The customs duty reduction could increase Israeli exports to Kazakhstan by 10% annually. The newly signed agreement is in the framework of the Kazakhstan efforts to join the WTO
Israeli Minister of Industry, Trade and Labor, Eli Yishai, signed last week an agreement with Kazakhstan deputy trade minister, Zhanar Aizhanova, which will enable Israeli exporters to have better access to the market in Kazakhstan.
The newly signed agreement is in the framework of the Kazakhstan efforts to join the World Trade Organization.
An Israeli Ministry spokesman noted that Kazakhstan has vast natural resources and one of the world’s largest oil, gas and mineral deposits. It has embarked upon an industrial policy designed to diversify the economy away from over-dependence on the oil sector by developing light industry and, with the increased prosperity of the country, services industries.
The ministry spokesman added that the agreement gave Israel a significant customs duty reduction on preference products from the industrial and agriculture sectors down from between 10% and 15% to between zero and 5%.
The customs duty reduction could increase Israeli exports to Kazakhstan by 10% annually.
Mr. Ehud Gonen, head of the eastern European desk at the Ministry of Industry, Trade and Labor, noted that trade between the two countries grew 5% to $70 million last year.Gonen added that Israel exports machinery, mechanical equipment, electrical equipment, communication equipment and chemicals to Kazakhstan. Israel's imports from Kazakhstan consists mainly of metals, minerals, timber & textile products.