The Comprehensive Economic Partnership Agreement (CEPA) between India and the United Arab Emirates has driven a 37% increase in bilateral trade over the past four years, highlighting the growing strength of economic ties between the two nations.
According to data released ahead of the agreement’s latest milestone, non-oil trade between India and the UAE has expanded significantly since the CEPA took effect, reinforcing the UAE’s position as one of India’s most important strategic and commercial partners.
The trade agreement, which took effect in 2022, was designed to reduce tariffs, improve market access, strengthen investment flows, and accelerate cooperation across sectors, including manufacturing, logistics, energy, technology, gems and jewelry, and food processing.
Officials said the CEPA has helped businesses on both sides benefit from faster trade procedures, lower trade barriers, and improved cross-border commercial opportunities.
The UAE has increasingly emerged as a major hub for Indian exporters and global businesses seeking access to markets across the Middle East, Africa, and Europe.
Analysts say the agreement has also strengthened the UAE’s role as a gateway for Indian companies expanding internationally, while supporting the UAE’s ambitions to diversify its economy beyond oil.
Trade growth has been particularly strong in sectors such as precious metals, electronics, machinery, pharmaceuticals, and consumer goods.
The agreement forms part of a broader strategic partnership between India and the UAE, which has expanded rapidly in recent years across trade, investment, energy, infrastructure, fintech, and defence cooperation.
Business leaders have repeatedly highlighted CEPA as one of the most significant economic agreements for regional trade integration and investment facilitation.
The India-UAE partnership continues to gain momentum amid increasing economic collaboration, large-scale investment projects, and rising private-sector engagement between companies in both countries.
With inputs from WAM
