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UAE and India celebrate one-year anniversary of CEPA, review latest trade data

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New Delhi: Dr Thani bin Ahmad Al Zeyudi, Minister of State for Foreign Trade, and Piyush Goyal, India’s Minister of Commerce and Industry held bilateral talks in New Delhi, India, to celebrate the one-year anniversary of the signing of the Comprehensive Economic Partnership Agreement ( CEPA) relationship between the two countries and review newly released trade data.

Preliminary data from the UAE Ministry of Economy shows that from May 2022 to April 2023, that is, the first 12 months after the signing of CEPA, the bilateral non-oil trade volume reached US$50.5 billion, a year-on-year increase of 5.8%. The two ministers appreciated the role of CEPA in promoting trade and investment outcomes, and reaffirmed our shared commitment to a partnership of mutual benefit and long-term prosperity.

They then participated in the wrap-up session of the inaugural UAE-India Joint Committee, which was convened on the first anniversary of the agreement to assess its impact to date, share data and experience, review implementation issues, and refine tariffs and quotas and propose amendments. Ministers watched as key negotiators signed minutes of the meeting, which will help develop CEPA over the next two years.

Dr Thani Al Zeyoudi heralded the progress the bilateral relationship has made over the past year. “Since the implementation of the Comprehensive Economic Partnership Agreement between the UAE and India, we have witnessed real momentum in bilateral non-oil trade, which puts us on track to reach our $100 billion target by 2030. But there is always more to it than just “A trade agreement, increased investment flows, joint ventures and deeper market penetration highlight the true potential of the agreement. Our visit this week is both a celebration of what has been achieved so far and a strengthening of what is becoming a true partnership for growth Opportunity.”

Abdulla Al Shamsi, Assistant Undersecretary for Industrial Development at the Ministry of Industry and Advanced Technology, highlighted the key role of the joint committee in ensuring the long-term impact of mutually beneficial partnerships. He said: “The UAE-India CEPA is designed to be a flexible document that can continuously adapt to the changing economic environment and the changing needs of both parties. The joint committee is essential not only to understand the economic impact of the agreement, but also to understand the implementation and utilization of both parties. Experience and ensuring both countries get the best out of it is critical. This week’s meeting demonstrates the same trust and transparency that existed throughout the negotiation process and will allow us to unlock new opportunities for our respective business communities.”

Piyush Goyal, India’s Minister of Commerce and Industry, affirmed that the UAE-India CEPA has played a prominent role in consolidating economic and trade ties, driving further growth and prosperity, and creating new opportunities and enablers for the private sector. He pointed out that the agreement has achieved remarkable economic results and enhanced trade between the friendly countries of the two countries.

The Indian minister also reviewed some economic initiatives that will enhance the prospects of investment cooperation between India and the UAE by capitalizing on promising investment opportunities in the markets of both countries.

Witnessed by the UAE-India Joint Committee, Al Zeyoudi and Piyush Goyal addressed a meeting of business leaders from the UAE and India, during which they gained insight into the private sector’s utilization of CEPA to date. The conference aims to understand the experience of the business community since the transaction was implemented and to explore new high potential opportunities.

The UAE-India CEPA, which came into force on 1 May 2022, is the UAE’s first-ever bilateral trade agreement and the cornerstone of its new foreign trade agenda. The agreement eliminated or reduced tariffs on more than 80 percent of product lines, created a new platform for SMEs to cooperate, and facilitated mutual investment flows, especially in priority areas. Following the deal with India, the UAE has now signed four more CEPAs with Israel, Indonesia, Turkey and Cambodia.

Dr. Abdulnasser Alshaali, UAE Ambassador to India, visited India with Al Zeyoudi; Abdulla Al Shamsi, Assistant Undersecretary, Industrial Development Sector, Ministry of Industry and Advanced Technology; and representatives from Brouge, KEZAD Group, DP World, Al Serkal Group, Al Rawabi, Ail Ain Senior private sector stakeholders in companies such as Farms, Al Ghurair Group, DMCC and Emirates NBD.

Tarek Farham / Amjad Saleh

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