Egypt's isolation within the Arab would has increased with the announcement that the Arab Organisation for Industrialisation will be dissolved.
Egypt's isolation within the Arab would has increased with the announcement that the Arab Organisation for Industrialisation will be dissolved. The organisation was established in 1975 to set up an arms industry for Arab states, based in Egypt. It was funded by Saudi Arabia, Qatar, and the United Arab Emirates -- with Egypt providing the labour and the land. It had been described as the best ever example of pan-Arab industrial co-operation. The announcement that the organisation was to be disbanded came on Monday (14 May) -- less than a week after Egypt had been suspended from the forty-three member Islamic conference.
SYNOPSIS: Delegates at the Islamic Conference in Morocco also decided that Arab airlines should boycott Cairo Airport. These aircraft -- leaving Egyptian soil perhaps for the last time -- were further evidence of Arab hostility to the Egypt/Israel peace treaty.
And planes leaving Cairo took with them hundreds of Arab company employees. The Arab Organisation for Industrialisation operated in conjunction with international corporations. one of the biggest of thee is American Motors which is contracted to produce twelve thousand jeeps a year. Now that the organisation has been dissolved, fifteen thousand skilled jobs throughout Egypt may be lost.
Egyptian leaders and businessmen greeted the news of the organisation's demise with incredulity, as did ...former Prime Minister, Dr. Abdul Aziz Hegazi. He is a consultant to Saudi Arabia on investment in Egypt.
President Anwar Sadat said that, in dissolving the Organisation for Industrialisation, Arab states were emulating the Soviet Union.
The Soviet Union imposed an arms embargo on Egypt six years ago, and President Sadat said he rejected any attempt by other countries to impose Soviet methods abroad.