SGCCI Event Explores UAE-India CEPA’s Impact on Trade

Surat : The Southern Gujarat Chamber of Commerce and Industry (SGCCI) hosted a program titled ‘THE UAE-INDIA CEPA: Advancing the Bilateral Partnership.’ During the event, UAE-India Ambassador Dr. Abdulnasser Jamal Alshaali, Head of Economic Affairs Fahad Albashr, and UAE-INDIA CEPA Council Director Ahmed Aljenaebi shared insights with entrepreneurs regarding the business opportunities available in the UAE.

During his welcome address, Vijay Mewawala, president of SGCCI, emphasized that the bond of trust and mutual trade between India and the UAE has been significantly enhanced by the Economic Partnership Agreement (CEPA) that was signed in 2022. The UAE has emerged as India’s third largest trading partner, with bilateral trade surpassing $84 billion in 2023, reflecting a robust growth of 16% following the CEPA agreement. India’s exports to the UAE are significant, with textiles, gems, and food products being key contributors. Surat is a key player in manufacturing, offering vast opportunities for entrepreneurs from South Gujarat, including those in Surat, within this sector.

Surat’s exports have seen a significant increase due to lowered tariffs in textiles and gems, particularly with diamonds valued at $4 billion being shipped annually from Surat to the UAE. India’s bold commitment to achieving Net Zero by 2070 in the renewable energy sector aligns closely with the UAE’s sustainability vision. He stated that the UAE, having invested over $20 billion in India, plays a crucial role in supporting India’s ambitions for green energy.

Dr. Abdulnasir Jamar Alshali highlighted Gujarat as the top trading partner. He stated that an estimate indicates Gujarat plays a crucial role in India’s overall exports to the UAE. The trade relations between the UAE and Gujarat are noteworthy. Initiatives are underway to enhance trade connections with Gujarat.

Mr. Ahmed Aljenaebi provided insights into the business landscape and diverse initiatives available in the UAE. He stated that CEPA is crucial for lowering customs duties, eliminating non-tariff barriers in trade, and establishing an efficient dispute resolution mechanism. CEPA aims to boost non-oil bilateral trade to 100 billion US dollars by 2030 and generate one million jobs in India.

He also mentioned that the UAE has eliminated tariffs on 7,581 products from India. The sectors that will benefit from immediate tariff-free market access for Indian labor-intensive industries encompass textiles, leather, plastics, and agriculture. Between the financial year 2021-22 and the financial year 2023-24, there has been a notable rise in India’s exports to the UAE, with a 64% increase in the gems and jewellery sector, a 39% boost in the drugs and pharmaceuticals sector, and a 35% growth in the fruits and vegetables sector.