Creation of foreign trade minister's post 'is a step in the right direction'

Officials and economists on Monday praised the establishment of a new foreign trade ministry headed by Shaikha Lubna Al Qasimi, saying the move is a step in the right direction towards greater specialization in the federal government's institutions.

The increasing diversification of the economy, including the massive spread in the trade infrastructure, required the move which comes to back the country's attempts to become the trading hub of the region.

"This move matches the context of enforce the government's performance which necessitates more specialization to tackle the many diverse issues linked to economic activities, the backbone of the country's overall development," said Saeed Al Merri, deputy director of the Federal Customs Authority (FCA).

Within the GCC, the UAE already accounts for the majority of imported goods through other member countries, according to the FCA.

The mega infrastructure developments for air and sea freight throughout the country will only lead to rising the country's position as one of the most important trading centers not only in the region but also at the global level.

With a trade surplus of about Dh250 billion and with re-exported goods valued at about Dh200 billion in 2007, the growth prospects of the sector are unlimited, according to economists.

"Specialization has become a need in line with the country's ambitious economic expansion and diversification plans, and that includes all levels of the government, and establishing this new ministry is one of the manifestations for the raelization of the national strategy introduced by His Highness Sheikh Mohammad Bin Rashid Al Maktoum, vice-president and prime minister of UAE and Ruler of Dubai," said Dr Nasser Saidi, the chief economist at DIFC.