meed-logo

line1 line2 line3
SIGN IN / REGISTER

UK-GCC trade talks make slow progress

11 December 2023

 

There may be some frustration creeping in over the pace of negotiations on a free trade agreement (FTA) between the UK and the GCC, with Gulf officials in particular calling for the process to be expedited.

The two sides launched the process in June 2022 and since then there have been five rounds of talks, the most recent of which wrapped up in Riyadh on 16 November.

The UK’s Department for Business & Trade said a few days later that technical discussions had been held on 21 policy areas and “good progress was made” with the draft text, with advances made in “the majority of chapters”.

The next round of talks is due to take place in the first quarter of 2024.

It is not clear how far the two sides are from reaching a deal, but Gulf officials have said they would like to see faster progress. At a meeting in Manama on 18 November, GCC secretary-general Jassem Mohamed Albudaiwi told the UK’s Minister of State for the Middle East Lord Ahmad of Wimbledon (pictured) of the “urgency of expediting the pace of negotiations”.

The UK, however, appears to be in less of a rush. Speaking at the Arab-British Economic Summit in London on 20 November, the country’s chief negotiator on the FTA, Tom Wintle, said: “It is fundamentally about the deal, not the date. We are absolutely committed to working at pace. We have huge political will and commitment on both sides to get this done. I can vouchsafe that both sides are working flat out. But it is about getting the right agreement.”

He declined to be drawn on how much longer the process might take but added: “We are starting to see what I believe will be a really remarkable free trade agreement emerging.”

The slow pace of the UK-GCC negotiations contrasts with the speed at which the UAE has been signing its own versions of bilateral FTAs.

Over the past few years, the UAE has launched negotiations on comprehensive economic partnership agreements (CEPAs) with several countries. The first four deals – with India, Israel, Indonesia and Turkiye – took an average of less than seven months from launch to conclusion.

At heart, what an FTA is looking to do is to make business easier, cheaper, more secure
Tom Wintle, the UK’s chief negotiator for the UK-GCC FTA

Gainful opportunity

Trade between the UK and the six GCC economies was worth £61m ($77bn) in 2022, according to the UK authorities, who suggest that the removal of tariffs and other barriers could increase trade flows by “at least 16 per cent”.

When the negotiations first began, the UK government pointed to the food and drink sector along with manufacturing and renewable energy as areas that stood to benefit from any deal.

In his most recent comments, Wintle emphasised potential gains in the digital realm, “and in particular the opportunity and potential to grow the transformational technologies like e-commerce, like AI [artificial intelligence]”. He went on to talk about “an FTA that really harnesses both what is happening today but importantly the forces that will shape the world of work and commerce in the future”.

In terms of specific demands, Wintle said the UK is looking to “lock in legal certainty on electronic transactions so businesses can make greater use of things like e-contracts, e-signatures, paperless trading”. 

“At heart, what an FTA is looking to do is to make business easier, cheaper, more secure,” he added.

While the talks continue, companies continue to trade. Speaking on the sidelines of the conference, an executive at a technology company that is already present in the UAE and is considering expanding into Saudi Arabia was cautious about the difference an FTA might make. “It is the market opportunity that is the driver,” he said.

Elsewhere in the Middle East, the UK already has FTAs in place with Egypt, Lebanon, Morocco and Tunisia, and has been on a push to sign more since leaving the EU. The talks with the GCC are just one of many sets of live negotiations, with others currently under way between the UK and South Korea, Canada and India, among others.

Trade issues also regularly come up in the strategic dialogues that the UK holds with countries from around the Middle East and North Africa region. In recent weeks, it has held them with Algeria, Bahrain and Tunisia.

Lord Ahmad told the Arab-British Economic Summit that in the recent meeting with Algeria, “we focussed on opportunities to increase our burgeoning trade relationship”, which he said had grown by 24 per cent in the past year to a value of £3bn.

Trade ties with Algeria go back a long way, with the two countries having signed a bilateral Treaty of Peace & Trade in 1682.

Lord Ahmad said the dialogues with Bahrain and Tunisia “focussed on areas such as climate, education, transport and much more as well”, and said in relation to the GCC trade talks that “we are progressing that well”.

“A trade deal with the GCC will boost our collaboration across a huge range of sectors, creating many business opportunities and importantly jobs on both sides, and attracting new investment,” he added.

“For the economies of the Arab world to become less dependent on carbon and fossil fuels, we must open doors for entrepreneurs to take advantage of the technologies – opportunities we can only grasp by removing barriers and facilitating growth, and working with our Gulf partners.”

As the long history of UK-Algeria trade shows, FTA deals are not a new concept even if, as with the ongoing GCC talks, it can take time to frame an agreement that takes into account the fast-moving nature of commerce.

Image: UK Minister of State for the Middle East Lord Ahmad of Wimbledon at the 2023 Arab-British Economic Summit

https://image.digitalinsightresearch.in/uploads/NewsArticle/11350781/main0606.gif
Dominic Dudley

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • Morocco to invest $300m in Casablanca port expansion

    9 July 2026

    Marsa Maroc, Morocco’s biggest port operator, has announced that it will invest MD3bn ($300m) to expand container-handling capacity at the Port of Casablanca, following the grant of a 20-year extension to its concession for operating Container Terminal 3 (TC3).

    The concession extension will be undertaken through Marsa Maroc's subsidiary, TC3PC.

    Marsa Maroc will increase TC3’s capacity from 600,000 to 900,000 twenty-foot equivalent units (TEUs) by 2030.

    The wider programme is expected to lift the Port of Casablanca’s overall container capacity to more than 2 million TEUs.

    Planned works include extending quay infrastructure, modernising cargo-handling equipment and reconfiguring storage areas at the two container terminals operated by Marsa Maroc at the port.

    The company said that these upgrades are intended to improve operational efficiency and enhance cargo throughput.

    The latest announcement follows Marsa Maroc's unveiling of a MD21bn ($2.1bn) investment programme in March, as it looks to reinforce its position as a leading regional ports player through to the end of this decade.

    Marsa Maroc reported consolidated revenue of MD5.7bn ($578m) in 2025, a 16% rise from MD5.8bn ($500m) a year earlier.

    The company attributed the growth to increased volumes handled at its terminals, as well as a broader range of logistics services.

    Operationally, cargo throughput climbed to more than 67 million tonnes, up 6% year-on-year, and a record for the group.

    Container volumes also hit a new milestone, topping 3 million TEUs for the first time, consolidating Marsa Maroc’s standing as Africa’s fourth-largest container operator.

    Marsa Maroc is the fourth-largest listed firm in Morocco by market capitalisation, according to UK-based Drewry Maritime Research.

    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17588652/main.jpg
    Yasir Iqbal
  • Riyadh tenders Quality Valley mixed-use PPP project

    9 July 2026

     

    Saudi Arabia’s State Properties General Authority, in collaboration with the National Centre for Privatisation & PPP, has tendered a contract to transform the Saudi Standards, Metrology & Quality Organisation's headquarters site in Riyadh’s Al-Muhammadiyah area into a mixed-use district.

    The firms have been allowed until 8 October to submit their proposals.

    Known as the Quality Valley Riyadh project, the public-private partnership (PPP) scheme will be developed on a design, build, finance, operate, maintain and transfer basis.

    In May, MEED reported that 59 firms had expressed interest in the contract to develop the project.

    Unless otherwise stated, the interested companies are local. They now include:

    Developers / real estate developers:

    • Abdulrahman Saad Alrashid & Sons (Artar)
    • Ajdan Real Estate Development Company
    • AlBawani
    • Al-Gihaz Holding
    • Al-Ayuni Investment & Contracting
    • Alameriah Development
    • Alargan Projects Company
    • Al-Fahd Company
    • Alkhorayef Investment & Development
    • Al-Soliman Real Estate
    • Al-Saedan Real Estate
    • Asyad Holding Company
    • Arabian Construction Company (UAE)
    • Business Deal Company
    • Ezdihar Real Estate Company
    • Hay Developments
    • Heyazah Real Estate Development
    • Kinan International 
    • Ladun Investment Company
    • Lamar Holding (Bahrain)
    • Ledar Investment
    • Liwan Real Estate Development
    • Mada International
    • Naif Alrajhi Investment
    • Pan Kingdom Real Estate
    • Refad Investment & Real Estate Development
    • Retal Urban Development Company
    • Al-Mozaini Real Estate
    • Safari Group
    • SkyBridge (US)
    • Sumou Real Estate
    • Tatweer
    • Technical Development Company
    • Telad Real Estate
    • Zamil Group
    • Zeoof Real Estate Investment & Development

    Contractors:

    • Al-Kifah Holding Company
    • BEC Arabia
    • Buna Al-Khaleej Contracting Company
    • Saudi Binladin Group
    • Fanar Arabian International
    • International Hospitals Construction Company
    • Mohammed Ali Al-Swailem Trading & Contracting (Masco)
    • Mobco Civil Construction
    • Shar Company
    • Shibh Al-Jazira Contracting Company
    • Urbas Middle East (Spain)

    Consultants:

    • Alteraz Design Architectural & Engineering Consultant
    • Dar Al-Riyadh
    • Meinhardt Group (Singapore)
    • Equity Investors
    • Ahmed Al-Thunayan Investment Group
    • Aldrees Industrial and Trading Company
    • Tanami Holding
    • Own United
    • SAH First Investment Company  
    • ​Sumou Global Investment / Poly Manners Architecture
    • Financial Services Providers​​
    • GIB Capital
    • Mefic Capital
    • SNB Capital

    The project comprises commercial offices, a four-star hotel and retail facilities. The contract term is 32 years, in addition to a three-year construction period. The site covers about 191,000 square metres.

    UK-based PricewaterhouseCoopers, US-based engineering firm Jacobs and Saudi Arabia’s Al-Nowaisser & Al-Suwaylimi are advising on the project.

    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17603519/main.jpg
    Yasir Iqbal
  • Egypt gold project to start commercial production next year

    9 July 2026

    Egypt’s Abu Marawat gold project is on track to begin commercial production in 2027, according to a statement by the North African country’s Petroleum & Mineral Resources Ministry.

    This target was highlighted during a meeting with Abu Marawat Gold Mines Company to review and discuss the Environmental and Social Impact Assessment study for the gold mining and extraction project in the Abu Marwat area of ​​the Eastern Desert.

    Abu Marawat Gold Mines Company is the Egyptian joint-venture company set up to develop and run the Abu Marawat gold project.

    It is owned by Canada’s Aton Resources and Egypt’s Mineral Resources & Mining Industries Authority (MRMIA).

    During the meeting, Yasser Ramadan, chairman of the MRMIA, said that the Marawat project serves as a practical model for the Petroleum & Mineral Resources Ministry’s strategy to establish modern mining operations.

    The Abu Marwat project is located in the Arabian-Nubian Shield region of the Eastern Desert.

    The concession covers an area of more than 57 square kilometres.

    Aton Resources has been advancing the exploration and development of the Abu Marawat concession since its award in 2007, with active exploration starting on the ground in 2009.

    The meeting with Abu Marawat Gold Mines Company was attended by executives from the Petroleum & Mineral Resources Ministry, the MRMIA and the Egyptian Environmental Affairs Agency, as well as representatives from the Red Sea and Qena governorates, members of the House of Representatives and local community leaders.

    READ THE JULY 2026 MEED BUSINESS REVIEW – click here to view PDF

    Stress test for Gulf aviation; Mixed performance as country outlooks diverge in the Levant; GCC tourism sector pivots from crisis to recovery mode.

    Distributed to senior decision-makers in the region and around the world, the July 2026 edition of MEED Business Review includes:
    To see previous issues of MEED Business Review, please click here
    https://image.digitalinsightresearch.in/uploads/NewsArticle/17603106/main.jpg
    Wil Crisp
  • Firms submit King Salman airport project prequalifications

    8 July 2026

     

    Register for MEED’s 14-day trial access 

    Saudi Arabia’s King Salman International Airport Development Company (KSIADC) received prequalification statements on 1 July from contractors for two new packages at King Salman International airport (KSIA) in Riyadh.

    These include the construction of a permanent East-West corridor and landside access roads serving the North and South terminals.

    The scope covers the construction of roads, bridges and tunnels.

    The client is expected to float the tenders soon.

    The latest development follows KSIADC's selection of three groups to deliver the Terminal 6 apron, taxiways and other airfield infrastructure at KSIA.

    KSIADC, which is backed by Saudi sovereign wealth vehicle the Public Investment Fund, will initially deliver the project on an early contractor involvement basis.

    In March, MEED exclusively reported that KSIADC had selected three groups for the construction of Terminal 6.

    In November last year, MEED reported that KSIADC was targeting mid-2026 to award the contract for the construction of Terminal 6.

    MEED reported in May 2025 that US firm Bechtel Corporation had been appointed as the delivery partner for the terminals at KSIA.

    According to local media reports, KSIADC’s acting CEO, Marco Mejia, said the project developer has completed the project’s masterplan.

    The reports added that Terminal 6 will boost the airport’s capacity by 40 million passengers.

    The project is expected to be delivered before the start of Expo 2030 Riyadh.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17588533/main.jpg
    Yasir Iqbal
  • WEBINAR: Saudi Giga Projects: Market Update for Q3 2026

    8 July 2026

    Webinar: Saudi Giga Projects: Market Update for Q3 2026 
    Tuesday 21 July 2026 | 11:00 AM GST  |  Register now

    Agenda:

    • Saudi projects market outlook and giga projects update
    • 2026 contract awards, project activity and market performance
    • Giga project reprioritisation, funding allocation and delivery progress
    • Key project announcements, milestones and market developments to watch
    • Major contracts awarded across construction, infrastructure and utilities
    • Upcoming tenders and contract award opportunities over the next 6–12 months
    • Geopolitical risks and their impact on project execution and investment
    • Progress across NEOM, The Red Sea, Diriyah, Qiddiya and New Murabba
    • Major non-giga project opportunities and growth sectors across Saudi Arabia
    • Short-, medium- and long-term outlook for the Saudi projects market
    • Audience Q&A

    Hosted by: Yasir Iqbal, MEED's construction editor

    Click here to register

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17588750/main.jpg
    Yasir Iqbal