Canada and the UAE foresee even closer cooperation and partnership in the future

Canada and the UAE enjoy healthy relations based on economic interest, similar views on international politics and respect for each other's cultural identities.

The Canadian ambassador, W. David Hutton, is positive on the thriving ties between the two countries. He emphasises that many of the pre-requisites for an expanded relationship are already in place with potential for even closer and more intensive cooperation.

"Canada and the UAE are vastly different in size and culture but our challenging environments and openness to the world have proved to be a fertile ground for expanding our relationship across many spheres, including economics and commerce," he says.

The Canadian embassy, which recently shifted its office to the Abu Dhabi World Trade Centre building, works closely with the Canadian Business Councils in Dubai and Abu Dhabi to promote trade activities between both countries.

The ambassador says that Etihad Airways' direct flights to Toronto further strengthened the links between Canada and the UAE.

The inaugural flight in October 2005 carried a delegation of Canadian officials from the UAE along with the Canadian envoy, and the visit culminated in a presentation to the Canadian Manufacturers and Exporters' organisation and the Canada Arab Business Council.

Hutton and other officials also discussed various promotional possibilities in the UAE with Ontario's Ministry of Tourism.

"Consequently, the Ontario Deputy Minister visited the UAE in February 2006. There was significant Canadian participation at the Arab Travel Market in 2005."

Frequent visits by Canadian delegations saw an upswing in relations with the UAE last year. Canada's former minister of international trade as well as former governor general visited the UAE last year.

The Minister of Education from the province of Nova Scotia visited the UAE in February 2006. Conversely, the governor of the UAE's Central Bank has visited Canada twice in the past two years.

"Negotiations for agreements in the area of defence and judicial cooperation have been completed and I am sure my successor will conclude these agreements that are expected to boost our relations greatly," says Hutton.

Last year the UAE featured as the principal export market for Canada in the Middle East and North Africa (MENA) region. As the 23rd largest export partner for Canada worldwide, the UAE holds a healthy position, ahead of larger countries such as Russia.

Trade and services to the UAE have increased exponentially in the last four years, during Hutton's tenure, and this is evident by the Canadian expertise found in the modern infrastructure development of the country, especially in the fields of construction and architecture.

Since 2001 Canada's exports to the UAE have increased by 25 per cent per year, dominated by the sales of machinery for the oil and gas sector.

Exports have grown from C$209 million (about Dh687.41 million) in 2001 to C$273 million (about Dh917.64 million) in 2003 and to C$419 million (about Dh1.378 billion) in 2004.

Though exports reached a substantial C$583.3 million (about Dh1.918 billion) in 2005, with an increase of 39.1 per cent since last year, the services sector including architecture, engineering, education and health were estimated to add another 25 per cent of the figure. Imports from the UAE stood at C$66.2 million (about Dh217.74 million) in 2005.

Major exports to the UAE included machinery, aircraft, spacecraft, cereals, vehicles, precious stones and metals. Imports from the UAE comprised apparel, precious stones and metals, machinery and organic chemicals.

"Going by the trend, we are definitely expecting our exports to double over the next five years, especially since there's an increased level of interest and awareness of each other's potential," says Hutton.

Canada has an increasingly vibrant commercial presence in the UAE. About 10,000 Canadians are present in the country.

More than 100 Canadian firms, including major companies such as CAE Inc, Cansult, SNC Lavalin, popular retail brand outlets La Senza, La Vie en Rose, Aldo, Fidel and eateries such as Second Cup, Café Suprême, Café Ceramique, Blemz Blenz, Cinnzeo and St Cinnamon, have a strong presence in the UAE.

Ranked among the world's top three markets for investment and trade, Canada offers major advantages for direct investment.

"Canada has several winning advantages, including accessible markets, low corporate taxes and a competitive workforce combined with an excellent production capacity.

"Moreover, the cost of living as well as the cost of doing business is considerably lower than the US. While the UAE has made quite a few investments in Canada's real estate sector, we would like to see more," he says.

"There are several Canadian investment ventures in the UAE, including the largest investment of more than C$300 million (about Dh986.7 million) made by CAE Inc."

The embassy is active in promoting Canada's cultural diversity in the UAE. A weeklong cultural and education exchange programme was organised at the Abu Dhabi Cultural Foundation in February, designed to increase the awareness and richness of Canadian culture and to encourage children's interest in reading.

Nine award-winning authors, illustrators and performers from the Toronto-based Canadian Society of Children's Authors, Illustrators and Performers (CANSCAIP) attended the event.

"I am proud to have been associated with this event. The objective was to introduce Canadian life and values and to venture into multilingual translations of books related to the country.

"This was a rewarding experience as about 3,000 children purchased these books, thereby increasing awareness of the country here. Moreover about 600 volumes of Canadian literature were donated to the Abu Dhabi Cultural Foundation last year," says Hutton.

The embassy is making serious efforts to bring quality education to the UAE. "We are actively promoting education as, I believe, no other activity pays greater dividends than this sector. The University of Windsor and the University of New Brunswick are already operational here offering students the flexibility to pursue and complete their degrees in Canada.

"Other Canadian universities have shown interest and a few are in touch with CERT in Abu Dhabi. On the other hand, we have received 600 student visa applications last year and are working on marketing Canada as an education destination here," he says.

Hutton feels tourism is another growing sector with great potential for both countries.

"The figures are encouraging; we had more than 15,000 Canadian visitors to the UAE last year and the number of people from the UAE visiting Canada is on the rise. Recently we recorded more than 200 visa applications in just one day.

"The Deputy Minister of Ontario visited the UAE last year to promote provincial tourism. I am sure the introduction of direct flights to more Canadian destinations will boost tourism," says Hutton.