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Benin's proximity to Nigeria and its vital re-export trade to that country dominates its international relations. A Joint Nigeria-Benin Committee on Commerce was inaugurated in May 2005 to try to regulate the trade. Five Beninese companies were authorised to export their products to Nigeria following Nigeria's decision to lift an earlier import ban on textiles, cottonseed, palm and vegetable oils. These restrictions had caused friction between the 2 countries since both are members of ECOWAS, which is founded on principles of free trade. The other important relationship which Benin has is with its francophone neighbours through their common history and through membership of the Franc Zone and of UEMOA. A long-term border dispute with Niger over ownership of islands in the Niger River was referred to the ICJ in 2002. The Court's ruling was given in July 2005. It awarded 16 of the 25 disputed islands to Niger, including the largest one, Lete, which was at the heart of the dispute, and the remaining 9 to Benin. Both countries accepted the ruling, and are implementing the decision.
Outside Africa, France remains its key ally, principal aid partner and significant trade partner. China has become a major source of imports displacing France in recent years into second place. French businesses are still strong players in Benin.
Union Economique et Monétaire Ouest Africaine (UEMOA)
The UK's relations with Benin are cordial. There is no resident Embassy in that country – relations are covered by the British High Commission in Abuja. Benin does not have an Embassy in the UK, covering relations from Paris. The UK does not have a bilateral assistance programme but contributes to European Development Funds. Commercial and trade relations are minimal. In 2006 UK imports of goods from Benin were small at £0.29 million, while exports to Benin were larger at £37.6 million, largely goods for re-export to Nigeria.