US embassy cable - 03ABUDHABI4494

UNCLAS SECTION 01 OF 02 ABU DHABI 004494 
 
SIPDIS 
 
SENSITIVE 
 
STATE FOR NEA/ARP, NEA/PPR 
STATE PASS USTR - JBUNTIN 
GENEVA PASS USTR 
 
E.O. 12958: DECL 10/06/08 
TAGS: ECON, ETRD, WTRO, GCC, USTR, TC 
SUBJECT: UAEG CLARIFIES GCC CONFORMITY CERTIFICATION PROGRAM 
FOR COUNTRIES EXPORTING TO GCC MEMBER COUNTRIES 
 
REF: A) STATE 243476    B) ABU DHABI 3115 
 
1.  (U) This is an action request; please see paragraph 4. 
 
2.  (SBU) The Ambassador expressed USG interest in 
developing a constructive dialogue on the specificities of 
the "GCC Conformity and Certification Scheme for Countries 
Exporting to GCC Member Countries" and forwarded ref A 
points in a signed letter to UAE Minister of State for 
Finance and Industry Mohamed Khalfan bin Khirbash on 
September 9. 
 
3.  (SBU) Econoff subsequently contacted Emirates Authority 
for Standardization and Metrology Deputy Director Dr. Rashid 
bin Fahad, who was designated by Dr. Khirbash to craft the 
UAEG response.  Dr. Rashid said that the GCC Certification 
Program was completely compliant with the UAE's WTO 
obligations and consequently forwarded the UAE response to 
ref A questions on September 30.  An unofficial, edited 
translation of the letter follows: 
 
Begin text of letter. 
 
H.E. Marcelle Wahba 
Ambassador of the United States of America, Abu Dhabi 
 
Subject: Gulf Conformity Certificate Program for Exporting 
Countries to the GCC Countries 
 
We thank you for your cooperation toward our common goals. 
 
With reference to your letter dated September 9, 2003, 
regarding the "Gulf Conformity Certificate Program for 
Exporting Countries to the GCC," we would like to inform you 
that in an effort to secure the public health and safety of 
citizens and residents of GCC countries, and in order to 
protect the environment, the GCC agreed to implement certain 
measures (that do not contradict WTO agreements) that 
require imported and local products to comply with GCC 
safety standards outlined by the GCC Customs Union. 
 
In its capacity as the legal standards authority in the UAE 
and in coordination with other national standards 
authorities throughout the GCC, the Emirates Authority for 
Standardization and Metrology will implement two GCC 
conformity programs (one each for imported and local 
products) under the supervision of the GCC Standards and 
Metrology Authority. 
 
The International Conformity Certification Program (ICCP) 
for imported products (which is still under discussion by 
the GCC member countries) is based on internationally 
recognized procedures and methods.  The ICCP was developed 
using the guidelines of the International Standardization 
Organization (ISO), and uses internationally accepted 
procedures for inspection and examination consistent with 
relevant WTO agreements.  These guidelines ensure that the 
ICCP will be transparent, with clear and simple procedures 
based on modern technological and electronic methods to 
facilitate customs inspection procedures at the ports of 
entry and promote free trade among GCC countries without any 
technical barriers. 
 
In order to ensure non-discrimination, the GCC countries 
currently are discussing a proposal to implement an ICCP for 
local products, whereby products produced in the GCC must 
conform to certain obligatory specifications and undergo 
similar procedures to those cited in the ICCP for imported 
products.  This secondary ICCP for local products is 
necessary to guarantee the free trade of local products 
throughout the GCC and eliminate the need for inspection and 
examination procedures at customs check points in GCC 
countries. 
 
It is worth mentioning here that an experienced 
international firm accredited (approved) and contracted by 
the Gulf Standards and Metrology Authority would execute the 
two ICCPs -- especially the one for imported products.  This 
will ultimately unify all customs procedures among GCC 
countries, and bring all customs inspections and 
certifications (literally, certification-granting) up to 
internationally accepted standards. 
 
The UAE and GCC countries' markets are open and receive 
products of varying qualities (standards), safety measures, 
and manufacturing technologies.  Considering the potential 
effect of varying product standards on public health and the 
environment, as well as the effect on the industrial and 
trade sectors, the implementation of the two ICCPs will 
ensure a high level of safety standards for consumers and 
simplify the fulfillment of technical specifications for 
manufacturing companies. 
 
The Emirates Authority for Standardization and Metrology, 
through coordination and in consultation with other UAE 
government offices concerned with trade and industrial 
affairs, is aware of the UAE's obligation under WTO to 
ensure the non-discrimination of foreign products entering 
the UAE, and transparency for exported and local goods.  The 
Emirates Authority for Standardization and Metrology also is 
responsible for ensuring the safety of these products for 
local consumers. 
 
We believe that the implementation of the two ICCPs -- and 
increasing consumer product safety -- will boost the UAE's 
position as a regional and international trade hub.  The 
fees charged under the ICCPs are not only reasonable, but 
also are less than those applied internationally.  The ICCPs 
will not present any significant impediment to the 
importation of affected products or increase the price paid 
by consumers for these products -- consumers who also rely 
on their government to ensure that imported and local 
products meet minimum safety specifications. 
 
ICCPs have been successfully implemented in many countries 
in the region, including WTO members Kuwait, Jordan, and 
others. 
 
Should the UAE implement the ICCPs, the UAE as a member of 
the WTO would inform the WTO Secretariat of its intent. 
There would be a transition period prior to the full 
implementation of the ICCPs providing manufacturers and 
importers an opportunity to get acquainted with the new 
requirements and procedures and adjust their situations 
accordingly. 
 
The proposed ICCPs were developed with noble intentions, and 
designed simply to better protect consumers and the 
environment in the GCC.  We also aim to increase 
transparency in trading and commercial deals, and do not in 
any way intend to create obstacles for foreign exporters or 
impede free trade. 
 
Based on our belief that cooperation and dialogue with other 
countries enhances our trade relationships with those 
countries, the UAE stands ready to discuss with you the ICCP 
procedures to be implemented.  We also believe we can 
benefit from your distinguished experience in this regard, 
and work toward a common objective that benefits both of our 
countries. 
 
Thanking you for your cooperation. 
 
Best regards, 
 
Dr. Mohamed Khalfan Bin Khirbash 
Minister of State for Finance and Industry 
 
End text. 
 
4.  (SBU) Action request: Dr. Rashid expressed the UAEG's 
keen interest in meeting with U.S. experts on the margins of 
the informal meetings of the TBT Committee October 23-24 or 
the formal meeting of the Committee on November 7.  Post 
requests that USTR please advise on the modalities of 
setting up such a meeting.  End action request. 
 
Wahba