ABSTRACT
Iraq's economic relations with other Arab Gulf states improved dramatically during the first half of 1981. Foreign companies have been invited to Iraq for discussion on the subject of local production of jet engines, and Iraqi officials visited Britain in July 1981 to explore the possibility of British involvement in setting up an aircraft industry in Iraq. The chapter discusses the Iraq's economic links with Gulf Co-operation Council members are steadily gaining in importance. To this end the Iraqi government engaged in intensive diplomatic activity to co-ordinate the attitudes of Arab Gulf states. Iraq has in recent years given economic co-operation high priority in its relations with Arab Gulf states. Iraq makes no secret of its aim to achieve self-sufficiency in food and develop its agricultural potential to the point where it will have significant export capacity. In the meantime the Iraqi government is seeking other forms of agricultural co-operation with Arab Gulf states.
