Main headlines from this issue

French fry credits cook up a storm in Canada

A decision by the Canadian government to award Irving Shipbuilding offset credits for a french fry factory has proved controversial. Irving received a CAD $40m ($30.16m) credit under the government’s Industrial and Technological Benefits (ITB) policy in return for an investment in an Alberta-based french fry factory... A separate controversy has arisen following revelations that ISED Canada, the country’s offset authority, alerted Irving that Globe and Mail journalists were asking questions about the ITB credits.

German Bundeswehr: industrial participation is not “an official” part of the tender

Germany is employing a well-worn ruse to overcome restrictions imposed by the EU’s defence directive, a method frequently applied by member states to the disdain of the European Commission. A government official has admitted that Germany requires foreign contractors to form joint ventures with local companies in the Schwerer Transporthubschrauber (STH) heavy-lift helicopter acquisition project, but denies that this is in breach of Directive 2009/81.

EU lodges complaint against Turkey over localisation

The European Union has accused Turkey of “unlawful practices” that breach WTO terms with regard to Turkey’s procurement of pharmaceuticals. Turkish policy requires foreign producers to localise their production of certain pharmaceutical products. EU and Turkish officials have met to discuss the matter.

China sinks under weight of Malaysian palm oil

Malaysia has struck a deal with China that further implements Malaysia’s abstruse barter approach. Primary industries minister Teresa Kok announced that China will import $145m worth of “additional” palm oil, approximately 200,000 tonnes, in exchange for construction services, natural resources, and civilian and defence equipment.

PPP type projects favoured by Dubai, allowed by all emirates

The UAE is trying to attract private-sector investment and increase the number of services delivered using the public-private partnership (PPP) model. The Emirates has no federal PPP law but Dubai recently passed a special law of its own.