KL to start trade with Israel

KL to start trade with Israel

KUALA LUMPUR (AFP): Malaysia may start trade ties with Israel prompted by significant strides in the Middle East peace process, but is not yet ready to set up diplomatic relations, reports said yesterday.

"If the Palestinians and others can have relations with Israel, I don't see why we cannot establish ties step by step," Prime Minister Mahathir Mohamad was quoted saying in the Sunday Star.

Predominantly-Moslem Malaysia, a strong supporter of the Palestine Liberation Organization (PLO), has no diplomatic ties with Israel and very restricted trading relations.

Malaysia's Ministry of International Trade and Industry had already been instructed to study possible areas for trade, its minister Rafidah Aziz said. "We are beginning to see a new country to market our products," Rafidah was quoted saying.