Dr. Thani bin Ahmed Al Zeyoudi, the UAE Minister of State for Foreign Trade, and Piyush Goyal, India’s Minister of Commerce and Industry, recently convened in New Delhi to commemorate the first anniversary of the Comprehensive Economic Partnership Agreement (CEPA) between the two nations. During their meeting, they also reviewed the newly released trade data.
According to preliminary figures provided by the UAE Ministry of Economy, bilateral non-oil trade between the UAE and India reached $50.5 billion over the course of the CEPA’s initial 12 months from May 2022 to April 2023. This represents a notable 5.8 percent year-on-year increase. Both ministers expressed their satisfaction with the CEPA’s effectiveness in facilitating trade and investment, emphasizing their shared commitment to nurturing a mutually beneficial partnership that contributes to long-term prosperity for both countries.
Dr. Al Zeyoudi highlighted the significant progress made in bilateral non-oil trade since the implementation of the CEPA. The steady momentum observed in trade activities has set a promising trajectory towards achieving the ambitious goal of $100 billion by 2030. However, he emphasized that the CEPA extends beyond being a mere trade agreement, as it has fostered increased investment flows, facilitated joint ventures, and enabled deeper market penetration. The visit served as an occasion to celebrate the accomplishments thus far while simultaneously strengthening the foundation of a genuine partnership aimed at fostering sustainable growth.
The UAE and India have long recognized the importance of their economic relationship and have strived to enhance it through various initiatives. The CEPA, signed in 2021, has played a pivotal role in propelling the economic ties between the two nations to new heights. By eliminating trade barriers and creating a conducive environment for business and investment, the agreement has opened up a myriad of opportunities for both countries’ industries and entrepreneurs.
The review of the trade data revealed several encouraging trends. Key sectors driving the bilateral trade growth included precious metals, stones, and jewelry, as well as petroleum and petroleum products. The significant rise in trade volumes in these sectors reflects the robust demand and strong business ties between the UAE and India. Moreover, the trade data also highlighted the increasing diversification of trade flows, with a greater emphasis on non-oil sectors.
During the bilateral meeting, Minister Goyal expressed his appreciation for the UAE’s commitment to fostering economic cooperation and stated that India values its partnership with the UAE as a strategic priority. He emphasized the immense potential for further collaboration and welcomed the positive outcomes achieved thus far. Minister Goyal also highlighted the importance of building resilient and sustainable supply chains, promoting innovation and technology, and expanding the scope of bilateral trade.
In addition to their discussions on trade and economic cooperation, the two ministers explored opportunities for collaboration in various sectors, including renewable energy, infrastructure development, tourism, and food security. They recognized the mutual benefits of joint ventures and stressed the need to leverage the strengths of each country to enhance bilateral ties.
The meeting between Dr. Al Zeyoudi and Minister Goyal reflects the growing strategic partnership between the UAE and India. It signifies their shared commitment to promoting economic growth, creating employment opportunities, and fostering innovation. The CEPA has served as a catalyst for this partnership, facilitating increased trade flows and strengthening the foundation for future collaborations.
As both countries continue to prioritize economic diversification and explore new avenues for growth, the UAE and India are well-positioned to deepen their economic ties further. The success of the CEPA in its first year is a testament to the mutual trust and shared vision between the UAE and India, setting the stage for a promising future marked by sustained economic prosperity and bilateral cooperation.
