India, UAE intends to sign agreement to increase bilateral trade by 70 per cent in 5 years
"A new strategic economic agreement is projected to expand bilateral trade in products to $100 billion within five years of signing," the ministers said in a joint statement issued on Wednesday.
India and the United Arab Emirates plan to sign a Comprehensive Economic Partnership Agreement before the end of the year to expand bilateral trade by 70% in five years. On Wednesday, India's Trade Minister Piyush Goyal stated that both nations intend to negotiate an "early harvest" trade agreement before finishing the CEPA, which is expected to affect in March 2022. "A new strategic economic agreement is projected to expand bilateral trade in products to $100 billion within five years of signing," the ministers said in a joint statement issued on Wednesday.
To stimulate its economy, India is attempting to increase exports through trade partnerships and new pacts with several nations. The UAE is already India's third-largest economic partner, with over $60 billion in bilateral commerce. With around $30 billion in exports, the UAE is India's second-largest export destination behind the United States.
The agreement is intended to increase employment and investments in both nations, said UAE Minister of State for Foreign Trade Thani Al Zeyoudi during a visit to New Delhi.
In an interview earlier this month, Al Zeyoudi stated that the UAE would follow an ambitious timeline to negotiate commercial agreements with the eight nations it wishes to strengthen trade ties. Petroleum goods, precious metals, stones, gems and jewellery, minerals, food items such as cereals, sugar, fruits and vegetables, tea, meat, and seafood, textiles, engineering and equipment products, and chemicals are among India's significant exports to the UAE. Petroleum and petroleum products, precious metals, stones, gems and jewellery, minerals, chemicals, and wood and wood products are among India's major imports from the UAE.