CII President R Dinesh expressed confidence on Sunday that the target of achieving USD 100 billion in non-oil trade between India and the UAE by 2030 is not only ambitious but also feasible, citing significant business opportunities in sectors such as textiles, jewelry, and pharmaceuticals in both countries.
Dinesh highlighted the positive impact of the free trade agreement between India and the UAE, implemented in May 2022, which has led to a notable increase in bilateral trade and investments. He emphasized that the agreement, officially known as the Comprehensive Economic Partnership Agreement, provides duty-free access to labor-intensive sectors like gems and jewelry, textiles, pharmaceuticals, and engineering products.
Bilateral trade has already reached USD 84.9 billion in 2022-23, with India emerging as the UAE’s leading non-oil trading partner. Dinesh underscored India’s vast consumer base and expanding manufacturing capabilities as attractive markets for UAE goods, while the UAE’s status as a global trade hub facilitates Indian exports to international markets.
The agreement, according to Dinesh, creates opportunities for collaboration between Indian and UAE companies in global supply chains and encourages manufacturing in both countries. He noted that FDI from the UAE to India has tripled, reaching USD 3.35 billion in 2022-23, presenting opportunities for initiatives like ‘Make in India’ and ‘Made in Emirates’ to collaborate.
Dinesh also emphasized the importance of joint ventures and technology transfers to enhance production, diversification, and value addition. He suggested streamlining logistics, promoting cross-border e-commerce, and supporting startups to further enhance trade dynamics. Additionally, he highlighted promising opportunities for UAE firms in India’s energy, regional connectivity, and maritime sectors, as well as in sectors like healthcare and education.
Cooperation in energy security and trade, particularly in green hydrogen and energy storage, was also deemed advantageous for India, given the UAE’s significant role as a crude and LPG source. Dinesh noted the progress in fintech collaboration, exemplified by the acceptance of the RuPay card in the UAE, as a testament to the commitment to the partnership.
