The Israel-Mexico free trade agreement will be signed at the end of February 2000, at a ceremony attended by Mexican president Ernesto Zedillo, who will come to Jerusalem on an official visit. Mexico will thus join the US and Canada, with which Israel already has free trade agreements.
In six months Israeli products will have customs-free access to all North American markets, although implementation of the agreement with Mexico will be done in stages staggered up to 2005.
Isaac Castiel, counselor for economic affairs at the Israels embassy in Mexico City said that, in their talks in Jerusalem on November 14-18, the two countries decided to hold another round of talks on January 17 in Mexico City to finalize the agreement.
According to Castiel, agreement has already been reached on three target dates for abolishing customs on various categories of goods. On July 1, 2000 customs will be lifted from the first product category, which accounts for 65% of Israeli exports to Mexico and includes communications, software, agricultural and chemical products.
On January 1, 2003 customs will be removed from the second category, which makes up 20% of Israels exports to Mexico. On January 1, 2005 customs will be abolished on the third category.
The makeup of the second and third categories has yet to be determined, and will be a key issue in next Januarys talks in Mexico City.
Minister of Industry and Trade Ran Cohen, who is due to arrive in Seattle today for the World Trade Organization conference, will meet his Mexican counterpart, Herminio Blanco, to discuss the free trade agreement.
Published by Israel's Business Arena December 1, 1999