AMMAN: The Jordan Strategy Forum (JSF) has released a comprehensive policy paper titled "Prospects for Trade and Economic Cooperation Between Jordan and Syria: A Launchpad for Joint Arab Integration." The document outlines potential strategies for reinforcing economic ties between the two nations, emphasizing their critical roles in fostering broader Arab cooperation through trade and transport.
According to Jordan News Agency, the JSF's paper underscores the relatively low level of intra-Arab trade, which amounts to approximately $405.3 billion, representing only 14.9% of the region's total external trade. This figure starkly contrasts with intra-European Union trade, which accounts for 58% of the EU's total external trade. The JSF suggests that strengthening bilateral partnerships could be instrumental in advancing comprehensive Arab integration and sustainable development across the region.
The paper also highlights historical trade relations between Jordan and Syria, noting significant trade exchanges from 2004 to 2011, with figures surpassing $500 million annually. However, this trade volume sharply fell to $182 million in 2023, largely due to Syria's ongoing political instability and its impact on the nation's economy. Jordan's exports to Syria have plummeted from 5.4% of total national exports in 2007 to under 1% in 2023, while imports from Syria have similarly decreased from 2.7% to 0.2% of total Jordanian imports.
A key focus of the JSF's analysis is the strategic geographic positioning of Jordan and Syria. Both countries serve as vital land corridors for exports moving between Asia, particularly the Gulf states, and Europe or Turkey. Jordan provides a crucial gateway for Syrian goods to European and Turkish markets, while Syria acts as an essential route for Jordanian exports to the Gulf.
The policy paper also points to the reconstruction of Syria as a significant opportunity for Jordan. The JSF highlights Jordan's geographic proximity and its advanced industrial capabilities, particularly in construction-related fields such as cement, steel, insulation materials, paints, and electrical cables.
To enhance cooperation, the JSF offers several recommendations, including the establishment of partnership agreements and memorandums of understanding to boost trade relations and facilitate Jordan's involvement in Syria's reconstruction. The paper also advocates for revising trade policies to lift restrictions on specific imports and exports and adjusting trade quotas and conditions affecting traders and industrialists from both countries.
Additional recommendations include supporting Syria in reactivating its customs system and automating transport services to improve the flow of goods. The JSF also suggests reactivating the 1999 Jordan-Syria transport agreement to standardize transit fees for freight trucks and assist Syria in reopening the Bab al-Hawa border crossing with Turkey.
By implementing these strategies, the JSF believes Jordan and Syria can enhance their trade relations, strengthen regional economic integration, and leverage their geographic and economic strengths to mutual benefit.