European Journal of Scientific Research (ISSN: 1450 ... - EuroJournals

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© European Journal of Scientific Research, Vol 7, No 5, 2005
conference did' not bear any fruit, there were instances of economic and industrial
cooperation. For example, in 1976, the UAE, Saudi Arabia, Qatar, Kuwait, Oman and
Iraq formed the Gulf Ports Authority and in 1979, Bahrain, Kuwait and Saudi Arabia
incorporated the Gulf Petrochemical Industries Company to establish a petroleum byproducts
industry.
The specific genesis of the GCC is generally traced to a 1976 proposal made by Sheikh
Jaber Al Ahmad A Sabah who at the time was the crown prince and prime minister of
Kuwait. The Kuwaiti Prime Minister toured the Gulf countries to discuss joint action to
"preserve the region's security and stability in the face of political, economic and security
challenges threatening this strategic area" and proposed the establishment of the Gulf
Union with the main objective of "realizing cooperation in all economic, political,
educational and informational fields" (Sandwich, 1987). While the representatives from
the six states enthusiastically agreed in principle to the benefits and necessity of regional
cooperation, negotiations proceeded for the next five years.
In the period from 1979 to 1980, a number of forces in the external political and security
environments slowed the momentum to form the Gee. First, the Iranian Revolution and
Tehran's declared intention to export that revolution raised Gulf member's concerns over
both external security and domestic stability. The 1979 Soviet invasion of Afghanistan
and U.S. pledge to apply force in the event of any foreign power's attempt to control the
Gulf region further raised both external security concerns, and issues related to foreign
domination: In 1980, the outbreak of war between Iran and Iraq formed yet another
impetus for cooperation (Dunn, 1996).
Although driven primarily by political and defense concerns and unlike the EU, the six
member states of the GCC took care to focus their agreement on economic concerns. In
constructing their Charter, the GCC members considered two contrasting proposals. One
proposal from Oman emphasized security and defense needs and recommended a defense
partnership with the United States; Another proposal from Kuwait, while stressing the
need to defend their independence and territorial integrity, emphasized economic
cooperation. In the end, the ministers adopted the Kuwaiti proposal with only minor
modifications. There was a specific rejection of the Omani proposal to forge a militarydefense
alliance with the U.S.; while the GCC founders readily acknowledged the
impossibility of defending the Gulf without outside assistance, they resolutely stopped
short of surrendering defense policy to a foreign power (Anthony, 1996). Thus, while
clearly inspired by defense considerations, the GCC formed its alliance around principles
of economic integration and cooperation. The basic objectives of the GCC, as set forth in
Article 4 of the GCC Charter were as follows (Sandwich, 1987):
To implement coordination, integration and interconnection among member states in all
fields in order to achieve unity among them.
To deepen and strengthen relations, links and scopes of cooperation in various fields now
prevailing among their peoples.
To formulate similar procedures, rules and regulations in various fields, including:
a) Economic and financial affairs
b) Commerce, customs and communications