New Delhi: The bilateral trade between Indian and United Arab Emirates is projected to increase from the current $60 billion to $100 billion annually within five years of implementation of the India-UAE CEPA (Comprehensive Economic Partnership Agreement), the Parliament was informed on Wednesday, March 16.
India and the United Arab Emirates (UAE) signed the Comprehensive Economic Partnership Agreement (CEPA) on the sidelines of the India-UAE Virtual Summit held on February 18.
India and UAE signed a comprehensive trade and economic pact that is expected to boost Indian gems, textiles, leather and sports goods. Under the pact, India agreed to provide tariff concessions on gold imports, while the UAE eliminated tariffs on jewellery imports into that country.
Further, in a major boost for pharma companies, UAE has agreed to allow market access for medicines from Indian companies within 90 days of approval in the US and UK.
In a written reply to Lok Sabha, Minister of State (MoS) for Commerce and Industry Anupriya Patel said the pact between India and UAE is a comprehensive and balanced partnership agreement which will give enhanced market access for India in both goods and services.
CEPA will be extremely beneficial for MSMEs, start-ups, farmers, traders, and all sections of businesses by opening new markets, enhancing exports and boosting our economy, she said.
India-UAE CEPA will not only increase exports of goods from India to the UAE but also to the Middle East and Africa, the minister added.
“UAE has offered immediate market access at zero duty from day one of the entry into force of the agreement to products accounting for around 90% of India’s exports to the UAE in value terms. Overall, India will benefit from preferential market access provided by the UAE on over 97% of its tariff lines which account for around 99% of Indian exports to the UAE in value terms,” Anupriya Patel said.