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Future looks brighter

Sep 02,2019 - Last updated at Sep 02,2019

At last, Iraqi oil will start arriving in Jordan today, when Jordan's Petroleum Refinery Company in Zarqa will receive the first shipment of Iraqi oil by land transport from Kirkuk.

A total of 200 trucks, Iraqi and Jordanian, will do the transportation of Iraqi oil that marks the start of the implementation of the Jordanian-Iraqi Memorandum of Understanding, signed on February 7 of this year, under which Jordan will be receiving 10,000 barrels of oil from Iraq at a discount rate of $16 from the price of Brent crude per barrel.

The quantity of Iraqi oil projected to arrive in Jordan is expected to cover 7 per cent of Jordan's daily needs of oil. What is even more important is that the delivery of Iraqi oil is the political and economic outcome of the deal between the two countries.

Jordan is dependent on foreign oil to cover its energy needs, and the shipment of Iraqi oil to Jordan heralds an energy security deal for Jordan that reflects the emerging excellent political relations between Amman and Baghdad.

Iraq should be commended for living up to expectations by starting to transport oil to Jordan on a daily basis.

Depending on trucks for transporting the precious Iraqi oil may not be enough in the long run. No doubt there will come a time when Iraqi oil will have to be transported by a pipeline, especially as the delivery of Iraqi oil is projected to last for a long time.

The delivery of Iraqi oil to Jordan would also mean the stabilisation of energy costs in Jordan, something Jordanians have long waited for.

The Iraqi oil deal could also mean the opening of other channels of trade and commerce between the two neighbouring countries.

Given the expectation that Iraq will become dependent on the port of Aqaba for its trade with the outside world, economic relations between the two countries can only move forward at an accelerated rate in the future.

Iraq is a rich Arab country, with great potential in the near future. With the country experiencing fast political and security progress, the bilateral relations between it and Jordan can only move forward. This would be a double blessing for the two countries and their peoples.

Cultivating sound political relations between the two Arab countries through a progressive economic base is the best insurance policy for sustained, good neighbourly relations between the two countries. The future looks brighter than ever for both countries and hopefully it will last for as long as one can see.

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