India & UAE sign Comprehensive Economic Partnership Agreement, eye $100 bn trade in 5 yrs

In a bid to bolster the bilateral ties with the UAE, Union Minister of Commerce and Industry Piyush Goyal on Friday held a bilateral meeting and signed the Comprehensive Economic Partnership Agreement (CEPA) with the UAE delegation led by their Minister of Economy, Abdulla bin Touq Al Marri and Minister of State for Foreign Trade Thani bin Ahmed Al Zeyoudi. The CEPA is expected to expand the bilateral trade from the current $60 billion to $100 billion in the coming 5 years.

"India and UAE are for rules-based fair trade and believe in engaging with each other in the spirit of reciprocity. We believe that businesses in both countries should benefit. India-UAE Comprehensive Economic Partnership Agreement is a complete and comprehensive economic partnership agreement finalised in the shortest possible time," said Union Minister Piyush Goyal, after signing the Comprehensive Economic Partnership Agreement with the UAE. 

'CEPA will be regarded as an achievement': UAE Economy Minister

The UAE Economy Minister Abdulla bin Touq Al Marri stated, "Our agreement on terms of a deal of this size, scope and importance within 5 months demonstrates the power of our shared vision. I am confident that UAE-India 'Comprehensive Economic Partnership Agreement' will be regarded as an achievement."

After the signing and exchange of the India-UAE CEPA, Prime Minister Narendra Modi held a virtual summit with Crown Prince of Abu Dhabi Sheikh Mohammed bin Zayed Al Nahyan, expressing happiness that India and UAE signed the CEPA in less than 3 months after the negotiations commenced in September 2021. 

During India-UAE virtual summit, PM Modi said, "I am very happy that both our countries have signed the Comprehensive Economic Partnership Agreement today. It is noteworthy that India and UAE were able to conclude negotiations on such an important agreement in less than 3 months which usually takes several years to complete."

Prior to the signing of CEPA between the two nations, External Affairs Minister (EAM) of India Dr S Jaishankar met the Minister of Industry and Advanced Technology of UAE, Dr Sultan Al Jaber. Speaking to the media, EAM Jaishankar assured that the deal will expand goods and services trade, stimulate investments, and strengthen the strategic alliance between the two countries. 

India-UAE relations

The relationship between India and the UAE has grown ever since Prime Minister Narendra Modi had visited the middle eastern country in 2015. The Trade between the two nations will return to pre-pandemic levels this fiscal year, with a value of $60 billion and is expected to expand after the signing of CEPA. On Friday, the UAE invested nearly  $17 billion. Business groups from the UAE have expressed a strong desire to invest in Jammu and Kashmir. Notably, UAE is India's third-largest trade partner. 

(With Agency Inputs)