United Arab Emirates

Bilateral relationship

In the year ended December 2008, the UAE ranked as New Zealand’s 18th most significant bilateral trade partner and is currently our third largest trading partner in the Middle East.  Exports amounted to the year ended December 2008 amounted to NZ$326 million; over the same period, imports, which consisted mainly of crude oil, totalled NZ$784 million. The UAE is NewZealand’s most diversified market in the Middle East. NewZealand exports to the UAE are made up of a wide range of products besides traditional meat and dairy exports. Exports include building materials, fruit, wine, refrigerators, machinery, clothing, timber and medical equipment. The supply of education services, and building construction and management services, for example in the “7-star” Jumeirah Beach Resort complex, greatly expand the diversity of the commercial relationship with the United Arab Emirates.

NewZealand companies are supplying a range of consultancy services to the UAE including postal services, education development, public sector management and English language training. Several New Zealand companies and consultancies have offices in Dubai, and a major law firm has opened an office Abu Dhabi in 2009.

The establishment of free trade zones in the UAE has allowed NewZealand information and communications technology companies, including those present in the newly established New Zealand Technology Oasis at Dubai Internet City, to demonstrate the positive contribution they can make to the UAE’s rapidly developing economy.

An Air Services Agreement and a Visa Waiver Arrangement with the United Arab Emirates (UAE) took effect on 1July 1999. A bilateral Agreement for the Avoidance of Double Taxation and an Arrangement on Trade and Economic Cooperation were signed with the UAE in September 2003. The inaugural Joint Ministerial Commission (JMC) was held in Abu Dhabi in March 2006, co-chaired by the UAE’s Minister of Economy, Sheikha Lubna Al Qasimi, and the NZ Minister of Trade Phil Goff. The second JMC was held in Wellington in March 2008.

New Zealand is currently negotiating a Free Trade Arrangement with the Gulf Cooperation Council (GCC ) states. Five rounds of negotiations have been completed with a sixth round to be held in New Zealand in October 2009.

Since 1 July 1999, GCC nationals, including from UAE, have not required visas to visit New Zealand for visits of up to 90 days.

Saudi Arabia, United Arab Emirates, Bahrain, Oman, Qatar, Kuwait.

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Key facts

Geography/Demographics

Land Area - 83,600 sq km
Population - 5.6 million (2008)
Capital City - Abu Dhabi
Religion - Islam
Official Language - Arabic (although English is widely spoken)

Political

Political system - Federation of seven emirates: Abu Dhabi, Dubai, Sharjah, Ajman, Ras al-Khaimah, Umm Al-Qaiwain and Al-Fujairah.
National government - Council of Ministers led by the Prime Minister, all appointed by the Supreme Council of Rulers. Each emirate is represented by at least one Minister. The Council of Ministers initiates legislation for ratification by the Supreme Council of Rulers, which is formed by the hereditary rulers of the seven emirates, is also a policymaking body which meets formally about once a year.
National legislature - Unicameral Federal National Council of 40 appointed members representing the separate emirates. It has a consultative role only.
Head of State - President Sheikh Khalifa bin Zayed al-Nahayan, Ruler of Abu Dhabi succeeded his father, Sheikh Zayed bin Sultan al-Nahayan, following the latter’s death on 2 November 2004. The President is elected by the Supreme Council of Rulers
Head of Government - Prime Minister, Vice President, Ruler of Dubai and Minister of Defence: Sheikh Mohammed bin Rashid al-Maktoum.

Main political parties - Political parties are not permitted

 

Economic

GDP - US $244.7 billion (2008 EIU estimate)
Real GDP growth - 7.4% (2008 EIU estimate)
Exports - US$210.5 billion (2008 EIU estimates)
Imports - US$145.8 billion (2008 EIU estimates)
Main exports - Re-exports (34.3%); crude oil (32.7%)
Current account - US$34.3 billion (2008 EIU estimates)
Inflation - 20% (2008)
Total external debt - US$126.9 billion (2008 EIU estimate)

New Zealand Trade

NZ Exports (FOB) - NZ$325.7 million (for the year to December 2008)
Main Exports - Milk powder (27.2%); timber (7.9%); butter (7.4%); builders joinery (6.3%)
NZ Imports (CIF) - NZ$783.5 million (for the year to December 2008)
Main Imports - Crude oil (NZ$667.3 million); Non-crude oil (NZ$36.3 million); Glass bottles/containers (NZ$25.8 million); Polymers of ethylene (NZ$21 million);

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Visits

New Zealand Ministerial visits to United Arab Emirates

• The Roving Ambassador for Trade, Hon Jim Sutton, visited Abu Dhabi and Dubai including the “Big 5 Trade Show” in November 2008.
• The Hon Clayton Cosgrove visited Dubai in June 2007 to investigate opportunities for New Zealand businesses in building and construction industries.
• The Hon Phil Goff visited Abu Dhabi and Dubai in March 2006, where he co-chaired the inaugural Joint Ministerial Commission as Minister of Trade, and as Minister of Defence met with his UAE counterpart.
• The Minister of Communications and Information Technology led an ICT delegation to Dubai and Abu Dhabi in May 2004.
• The Minister of Finance, Hon Michael Cullen, attended the IMF/World Bank Annual Meetings in Dubai in September 2003.
• The Minister of Education, Hon Trevor Mallard, led an education sector delegation to the United Arab Emirates in May 2003.
• The Prime Minister visited the UAE in October 2002.
• The Minister for Trade Negotiations visited the UAE in April 2002.
• The Minister of Foreign Affairs and Trade visited in January 2001, the first official visit by a New Zealand Foreign Minister to the UAE since the Emirates was founded in 1971.
• Since 1999 the New Zealand Tourism Board has visited the UAE, as part of wider Gulf visits, and conducted presentations on NewZealand as a tourist destination for Gulf nationals at the Arabian Travel Mart.
• Additionally, Defence links with the UAE have been strengthened by visits by both the Chief of the New Zealand Defence Force, Chief of the Airforce, and the Chief of Army. Air Vice Marshall Graeme Lintott visited the UAE in November 2007. The Chief of the NZDF visited Dubai and Abu Dhabi in August 2005, meeting with the Chief of the UAE Armed Forces and the Crown Prince of Abu Dhabi, among others. The Chief of Army made a defence diplomacy visit in October 2005, to reaffirm New Zealand’s interest in the Gulf region.

UAE Ministerial Visits to New Zealand

• In October 2000, two UAE government delegations visited New Zealand. The first delegation was from the Zayed Al Thani Military College, and the second from the UAE Ministry of Finance and Industry, to study New Zealand’s public sector financial management systems and to assess the suitability of New Zealand as a long-term investment partner.
• Delegations from the UAE Finance Ministry and the New Zealand Inland Revenue Department also made reciprocal visits during the negotiation of the Double Taxation Agreement.
• In June 2008, a UAE trade Mission led by Sheikha Lubna Al-Qassimi, the UAE Minister for Foreign Trade, travelled to Wellington to meet with Minister for Trade Phil Goff for the second session of the New Zealand/UAE Joint Ministerial Commission.

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Representation

• New Zealand established diplomatic relations with the United Arab Emirates on 20 May 1985
• New Zealand is accredited to the UAE from its Embassy in Riyadh
• The Government has also maintained a Trade NZ office in Dubai since 1993. This was upgraded to Consulate-General status in 2002
• The UAE Embassy in Canberra is accredited to New Zealand

Travel advice

The Safetravel website provides a travel advisory for travellers to United Arab Emirates [external link]. Enquiries may be directed to Consular Division at the following numbers: telephone: +6444398000; fax: +644439 8532

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