87 The Political Agent emphasised that the dangers of restricting business to the existing handful of petty traders and the few foreign firms who had managed to get in to Abu Dhabi had been put to the Ruler over and over again. He might seem to agree, as he did when Mr. Cranston saw him, but he had not altered his views and remained deaf to all arguments. There was general agreement that there would have to be a radical change in the Ruler's outlook before there could be progress in this field. 12. The Economic Secretary mentioned that some bu Dhabi merchants had that morning complained to the Ruler that frican & Eastern was 'taking all the business'. This was nonsense, but it illustrated the importance of foreign businesses keeping in touch with and on good terms with wbu Dhabi merchants. 13. In the discussion which followed it was emphasised that wherever possible firms used local merchants either to buy from or as sub-contractors. Gray Mackenzie's and the other firms were very willing to guide and help local merchants, to build them up.. Mr. Willy (11DMA) said he thought the Ruler must change his policy about partners - he could not restrict partnerships to British firms with local merchants: this would very soon lead to criticism both locally and abroad. In any case, there were few British firms who would or could take on a local petty trader as their partner. Mr. Willy also asked whether it was true the Ruler would not allow firms already established in Abu Dhabi to take on new agencies. This should be clarified in view of what the African & Eastern General Manager from Bahrain had been told by the Ruler. 15. Further discussion brought out the need for all foreign firms who established themselves in bu Dhabi to have an Ara jussistant Manager (or equivalent local officer) who could maintain daily contact with the sug and with the Ruler. Only in this way could misunderstandings be removed. 16. It was generally agreed that it would take time and patience to bring about any significant improvement. If the Ruler were to liberalise trading (in particular allow other Gulf rabs to go into partnership with libu Dhabi merchants), and it was hoped that Mr. Clark would be able in time to persuade him to do so, trade would expand to meet the State's needs. 17. Mr. Mackaşkill mentioned a useful early development in Dubai where merchants (including foreign businessmen) used to meet the Ruler from time to time to discuss trading conditions. It was not a formal affair and did not accomplish very much,
