How India-UAE trade is enhancing global trade competitiveness of both economies

economictimes.indiatimes.com:

CEPA a historical landmark, considering that it was signed within 88 days of negotiations, but it also provided a blueprint for other ongoing trade negotiations, including with the Gulf Cooperation Council (GCC) countries. CEPA envisions to grow the total value of merchandise trade between both countries to $100 billion by 2027.

This ambitious commitment has since seen robust progress.Robust bilateral trade witnessed post CEPA Since CEPA’s operationalisation on May 1, 2022, India’s bilateral trade with the UAE has multiplied with non-oil trade increasing by 14% year-on-year (y-o-y) between June – August 2022. India is steadily making headway under the agreement, having achieved $88 billion worth of trade in FY24, testifying to its potential in realising the country’s vision of becoming a $5 trillion economy by 2027.

This partnership will catalyse India’s dynamic investor ecosystem, prompting companies based in India and the UAE to seek business opportunities. This will inevitably stimulate export-oriented industries in India, expand India’s domestic manufacturing base, and enhance the global trade competitiveness of both economies.

The agreement posits significant benefits for India’s vibrant MSME ecosystem, including labour-intensive MSME industries such as gems and jewellery, textiles, and handlooms, among others, and provides a real opportunity for their growth. Since the implementation of CEPA last year, India and the UAE have progressively endeavoured to accelerate its operationalisation through enhanced engagement on bilateral forums, including the High-Level Joint Task Force on Investments, where both countries signalled their intent of establishing efficient and integrated Single Window Solutions and Virtual