JEDDAH: The Arab League member countries are holding talks to formulate a rules of origin agreement (RO) governing commodities produced in Arab countries by the end of this year.
The agreement is aimed at determining the country of origin of each commodity. This is expected to help pave the way for the establishment of an Arab Free Trade Zone (FTZ.)
Muhammad Al-Tuwaijri, Arab League’s assistant secretary-general for Economic Affairs, said the member countries were formulating a detailed RO, calling on member countries to be determined to formulate rules that take into consideration Arab countries’ industrial factors and are compatible with the necessity to develop and integrate trade exchanges between them. Previously officials held talks and discussed a 40 percent value-added tax on Arab commodities, which were later amended.
Current discussions were on points of negotiations that had previously been determined. Resulting agreements would be on specific principles that serve Arab trade, Al-Tuwaijri told Al-Eqtisadiah newspaper.
In 2007 the member countries formulated preferential RO agreements, and so far detailed ROs were agreed upon for group Arab commodities, he said.
“Before approving the rules, their effects on bilateral trade exchanges and Arab countries’ industrial abilities to adhere to them must be recognized, especially as the new rules come to amend previous ones approved by the Arab Economic and Social Council. The council previously raised the minimum value-added tax on some commodities from 40 to 50 and 60 percent,” he added.
Products’ Country of Origin (COO) is the foundation on which the process of commercial commodity exchange between countries takes place. Without it, it is not possible to determine a commodity’s place of origin and consequently it will be difficult to categorize it, Al-Tuwaijri said, adding that COO data is necessary for determining customs duties and other customs procedures, including restrictions and obligations that countries have to apply according to countries’ trade agreements and protocols.
Rules formulated to pave way for Arab FTZ
Rules formulated to pave way for Arab FTZ
Silver crosses $77 mark while gold, platinum stretch record highs
- Spot silver touched an all-time high of $77.40 earlier today, marking a 167% year-to-date surge driven by supply deficits
- Spot platinum rose 9.8% to $2,437.72 per ounce, while palladium surged 14 percent to $1,927.81, its highest level in over 3 years
Silver breached the $77 mark for the first time on Friday, while gold and platinum hit record highs, buoyed by expectations of US Federal Reserve rate cuts and geopolitical tensions that fueled safe-haven demand.
Spot silver jumped 7.5% to $77.30 per ounce, as of 1:53 p.m. ET (1853 GMT), after touching an all-time high of $77.40 earlier today, marking a 167% year-to-date surge driven by supply deficits, its designation as a US critical mineral, and strong investment inflows.
Spot gold was up 1.2% at $4,531.41 per ounce, after hitting a record $4,549.71 earlier. US gold futures for February delivery settled 1.1% higher at $4,552.70.
“Expectations for further Fed easing in 2026, a weak dollar and heightened geopolitical tensions are driving volatility in thin markets. While there is some risk of profit-taking before the year-end, the trend remains strong,” said Peter Grant, vice president and senior metals strategist at Zaner Metals.
Markets are anticipating two rate cuts in 2026, with the first likely around mid-year amid speculation that US President Donald Trump could name a dovish Fed chair, reinforcing expectations for a more accommodative monetary stance.
The US dollar index was on track for a weekly decline, enhancing the appeal of dollar-priced gold for overseas buyers.
On the geopolitical front, the US carried out airstrikes against Daesh militants in northwest Nigeria, Trump said on Thursday.
“$80 in silver is within reach by year-end. For gold, the next objective is $4,686.61, with $5,000 likely in the first half of next year,” Grant added.
Gold remains poised for its strongest annual gain since 1979, underpinned by Fed policy easing, central bank purchases, ETF inflows, and ongoing de-dollarization trends.
On the physical demand side, gold discounts in India widened to their highest in more than six months this week as a relentless price rally curbed retail buying, while discounts in China narrowed sharply from last week’s five-year highs.
Elsewhere, spot platinum rose 9.8% to $2,437.72 per ounce, having earlier hit a record high of $2,454.12 while palladium surged 14% to $1,927.81, its highest level in more than three years.
All precious metals logged weekly gains, with platinum recording its strongest weekly rise on record.
