India, UAE Discuss Boosting Trade & Investment in Infra, Energy, Tech

• India-UAE trade doubled to $83.7B under CEPA, with non-oil trade at $57.8B
• Non-oil exports hit $27.4B, led by gems, machinery, chemicals, and smartphones
• CEPA boosted MSMEs, jobs, business opportunities, and defence ties

India and the United Arab Emirates (UAE) focused on enhancing their trade relations and discussed investment in UAE infrastructure, energy, and technology in matters of trade and investment. This was noted on X by the Union Commerce and Industry Minister Piyush Goyal, who stated that the two countries were committed to bilateral trade, and investment, and the Comprehensive Economic Partnership Agreement (CEPA) was a cornerstone toward that goal.

On his X account, the minister stated, "Honoured to welcome Dr @ThaniAlZeyoudi , the UAE's Minister of Foreign Trade, and congratulated him on assuming his new role. Our discussions focused on expanding bilateral trade and investment in key sectors such as infrastructure, energy and technology. We reaffirmed our shared commitment to deepening the India-UAE partnership and unlocking new avenues of growth together".

The CEPA agreement, signed three years ago, has already had an impact on bilateral trade between the two countries. According to the commerce ministry, merchandise trade has almost doubled since then, going from $43.3 billion in FY 2020-21 to $83.7 billion in later 2023-24. Trade has already hit $80.5 billion by January 2025 in FY 2023-24.

Also Read: India, Saudi Arabia Eye Joint Defence Production to Boost Ties

Non-oil trade has made a large impact in FY 2023-24, rising to $57.8 billion, which is more than 50% of total trade. This non-oil trade is also helping to achieve the joint goal of $100 billion in non-oil trade by 2030.

India’s non-oil exports to the UAE reached $27.4 billion in FY 2023-24, marking a 25.6 percent average annual growth rate since the implementation of CEPA. Some of the main contributors to this growth are refined crude products, gems and jewellery, electric machinery, medium- and high-technology products like boilers and reactors, and organic and inorganic chemicals. Smartphones have also driven exports, with $2.57 billion exported in FY 2023-24.

Since the signing of CEPA, nearly 2,40,000 Certificates of Origin have been issued, and $19.87 billion in exports to the UAE has been made under preferential duties. Apart from trade, CEPA has benefitted micro, small and medium enterprises (MSMEs), created jobs, and provided businesses opportunities to grow, creating a new chapter in economic relations and a new chapter in diplomatic relations.

Both countries remain committed to enhancing bilateral economic relationship under CEPA, and also expanding cooperation in defence, based on discussions held during the 13th India-UAE Joint Defence Cooperation Committee meeting in July.