Opinion is mixed among the Canadian business community as to whether new Dubai visa restrictions due to be enforced from January 2011 will impact trade.
From January 2, 2011 all Canadian visitors to the UAE will have to apply for a visa, a move which some Canadian business owners said will put firms at a disadvantage to their competitors in Europe, who are able to travel freely.
One company manager told Arabian Business the decision had forced him to rethink a possible expansion into the UAE.
“We went on a fact finding trip last week to look at expansion into Abu Dhabi but we’ll put that on hold,” Donn Lovett, general manager of Oman Energy Services LLC, said. “We’re taking a wait and see approach until we find out what restrictions they actually impose come January.
“You always have options in business. I hope that the restrictions won’t be serious, but if they are we have to consider what direction to take our company in. We are ready for expansion.”
The company has operation in Oman, Kazakhstan, Brunei and Indonesia, and is planning to expand into either Abu Dhabi or Saudi Arabia, Lovett said.
Canadian companies coming to do business in Dubai will be most affected, said Hashim Abood, general manager of Arab Canadian Computer Co.
“Canada is a big partner in the Middle East, but now people will have to wait to apply for visas, while their counterparts in Europe will be able to travel without this,” he said. “It’s not going to just impact Canadian companies but the whole country of Canada.”
An estimated 27,000 Canadians currently reside in the UAE. The Gulf state is Canada’s largest trade partner in the Middle East and North Africa (MENA) region.
However, travel for these residents between the two countries will not be any different, says Lucy Ghattas, financial controller of Canadian Gulf Construction.
“People who stay in Dubai have to have a residency visa anyhow, so this visa change is not going to make that much of a difference,” she said. “It’s going to affect tourists more, but they can arrange that easily. It’s not a big deal.”
The change in visa regulations follows a diplomatic feud between the two countries sparked by Canada’s refused to allow UAE carriers, Etihad Airways and Emirates Airlines, to increase their thrice-weekly direct flights to Toronto.
The decision triggered a UAE government decision to shut a military base near Dubai used by Canada to support missions in Afghanistan.
Canada last week denied allegations that it has since barred government officials from flying on state-backed UAE airlines.
Follow us on
