5-Dec-2022: Union Minister Dr Jitendra Singh describes India as a key Global Player in the Space sector and says, India is keen to take its Space cooperation with the UAE to newer heights
Union Minister of State (Independent Charge) Science & Technology; Minister of State (Independent Charge) Earth Sciences; MoS PMO, Personnel, Public Grievances, Pensions, Atomic Energy and Space, Dr Jitendra Singh today described India as a key Global Player in the Space sector and reiterated that under Prime Minister Narendra Modi, India is keen to take its Space cooperation with the United Arab Emirates (UAE) to newer heights.
Addressing the Opening Ceremony of the UAE summit, "Abu Dhabi Space Debate”, Dr Jitendra Singh acknowledged the presence of the UAE President, Sheikh Mohamed Bin Zayed at the Opening Ceremony and conveyed PM Modi's warm greetings to him and the people of UAE.
Dr Jitendra Singh is leading the official Indian delegation to United Arab Emirates (UAE) at the “Abu Dhabi Space Debate”, a 2-day international meet. Apart from Sheikh Mohamed bin Zayed Al Nahyan, President of Israel, Isaac Herzog, and Diplomats from several countries attended the opening ceremony.
Dr Jitendra Singh greeted the people of the United Arab Emirates on the occasion of the celebration of 51 years of the formation of this great country on behalf of the people of India. He said, another laudable achievement for the UAE this year is completion of the silver jubilee of its space odyssey with several golden milestones.
Dr Jitendra Singh said, development of the Space sector is one of the priority areas for the leaders of both India and the UAE and added that India started its space journey seven decades back from a scratch and is today acknowledged to be a leading space power. He said, the highlight of India’s journey has been its thrust on indigenous development through dedication and hard work of its scientists guided by the commitment of the leaders.
Dr Jitendra Singh said, the indigenously developed Space sector of India and the fast-growing Space sector of the UAE have a lot of complementariness that can be harnessed. He said, if we want to ensure that the Space remains a sector to serve our shared humanity, it is important to bring all the stakeholders together to discuss and deliberate about the Space and in this regard, this platform has the potential to shape the future of the Space sector.
The Minister said, the Indian space industry today is renowned across the globe for two things – reliability and economy. India is proud to have the maximum success ratio in the world for its flagship space launching vehicle – Polar Satellite Launch Vehicle or PSLV. Just a few weeks back, India’s PSLV launched 36 satellites including for countries from both the developed and developing world.
Dr Jitendra Singh said, the list of achievements of India’s Space industries is quite long and informed that Indian Space Research Organization or ISRO has launched more than 100 satellites so far and has immense in-house satellite building capabilities for GSAT, Earth Observation Satellites and Space based Satellite Navigation Systems. He proudly stated that India has also developed its own GPS, which we call the Indian Regional Navigation Satellite System or IRNSS. Besides the successful launch of India’s Mars orbiter mission in 2013, India has twice attempted to send its Mission to the moon known as Chandrayaan 1 and Chandrayaan 2. The third satellite mission to the moon, the Chandrayaan 3 will be launched next year, the Minister informed.
Dr Jitendra Singh said, India’s other flagship space programmes also include Human Space Flight Centre or what we call in India as Gaganyaan project under which we are planning to send our first crewed flight in space in 2024.
Dr Jitendra Singh said, in the light of the Indian philosophy of Vasudeva Kutumbakam which means - the World is one family, India wants to share the fruits of space development to reach all countries and bring closer cooperation between governments and private entities in the space sector. He said, with this idea, India has recently brought landmark reforms leading to policy initiatives to tap the best of our research potential as well as participation of the private sector.
The Minister said, India is also keenly promoting development of start-ups in the space sector to facilitate entry of foreign government and private sector entities. In this regard, India has established a dedicated organisation called Indian Space Promotion and Authorisation Centre or IN-SPACe which is tasked with the objective of hand-holding our nascent private entities in the Space sector, he added.
Dr Jitendra Singh recalled that among the several pioneering initiatives of His Highness Sheikh Mohamed bin Zayed is the Abu Dhabi Space Debate which reflects his commitment and vision for the Space sector. He said that much of this vision has already become a reality with the UAE sending a space mission to Mars orbit, thereby becoming the sixth such country demonstrating its prowess in the space sector and on top of that, the UAE became the only second country, other than India, to successfully launch a Mars orbiter in its very first attempt.
The Minister also congratulated the UAE for planning its second human space mission next year by sending four astronauts in space for six months. The launch of Rashid Rover, UAE’s Moon Mission in the near future, and creation of the Space fund are milestones which reflect the commitments and determination of the UAE to excel in the Space sector. He shared that India’s active space partnership with the UAE dates back to 2017, when our PSLV launched UAE’s first nanosatellite - ‘Nayif-1’ meant for collecting environmental space data.
Dr Jitendra Singh appreciated the thrust of the Abu Dhabi Space Debate for building the role of Governments in empowering space business and technology. He said, the list of discussions in ADSD on the role of the space sector to solve the climate issues, bringing accountability to environmental commitments, threats to and from space to the political discourse and making the presence of private sector and space innovation people driven that serve humankind; are very relevant to our time and are eye-opening topics, setting apart this initiative from any other such gathering in Space sector in the past.
Dr Jitendra Singh concluded by saying that he is confident that the Abu Dhabi Space Debate will grow in stature in the coming years and become a pre-eminent platform for discussions in space related matters and take India-UAE space cooperation into an entirely different and much higher spatial orbit. Lastly, as India assumed the chairmanship of G-20 on Dec 1, the Minister once again welcomed the UAE to the G-20 Summit and G-20 meetings in the period of India’s chairmanship.
11-Oct-2022: 10th Meeting of the India-UAE High Level Joint Task Force on Investments
The tenth meeting of the UAE-India High Level Joint Task Force on Investments (‘The Joint Task Force’) took place today in Mumbai. It was co-chaired by Shri Piyush Goyal, Minister of Commerce & Industry, Government of India, and His Highness Sheikh Hamed bin Zayed Al Nahyan, Member of the Executive Council of the Emirate of Abu Dhabi.
The Joint Task Force was established in 2013 to promote trade, investment and economic ties between the UAE and India. This was the first meeting of the Joint Task Force since the signing of the India-UAE Comprehensive Economic Partnership Agreement (CEPA) and unveiling of the Joint UAE-India Vision Statement in February 2022 during the virtual summit between Shri. Narendra Modi, Prime Minister of India and His Highness Sheikh Mohamed bin Zayed Al Nahyan, President of the UAE.
The CEPA is a major trade agreement set to transform bilateral economic, trade and investment ties and propel economic growth. Both these historic landmarks provide a clear roadmap for continued strengthening of the Comprehensive Strategic Partnership between the two countries at an accelerated pace.
During this tenth meeting of the Joint Task Force, the co-chairs recognized the early trends of positive impact of the historic India-UAE CEPA on bilateral trade between the two countries since it entered into force in May 2022. The co-chairs urged businessmen on both sides to gain optimal benefits from the conducive trade ecosystem created under CEPA. The co-chairs also noted progress on various aspects of the CEPA including establishment of the CEPA Joint Committee and related sub-committees.
The two delegations reviewed the status of the negotiations of the India-UAE Bilateral Investment Treaty. Twelve rounds of negotiations have been conducted till date. Both sides noted that much progress could have been achieved since the commencement of the negotiations, and therefore reiterated their commitment to accelerate the process for an early conclusion of a balanced and mutually beneficial agreement.
Discussions also took place on ways of enhancing bilateral investments in key sectors like food security, manufacturing, infrastructure, energy and technology. In this context, it was agreed that the concerned authorities in both countries will explore establishment of efficient and integrated Single Window Solutions and Virtual Trade Corridors to reduce costs and time involved in trade and investment related procedures. From the UAE side, it was agreed that the Department of Economic Development of Abu Dhabi will explore this area of cooperation with the concerned counterparties in India in order to agree a mutually beneficial implementation approach.
As a means of encouraging increased investment flows by UAE sovereign investment entities into India, the two sides reviewed UAE’s request with respect to providing tax incentives to certain UAE sovereign investment entities under existing UAE-India Tax Treaty, and India’s response to provide the same under the existing domestic tax laws of India. It was agreed that bilateral discussions should continue to reach a mutually beneficial outcome which meets the policy objectives of both countries. In this context, the support provided to UAE sovereign entities through the Finance Act 2020 and subsequent issuance of notifications for tax exemption was noted and appreciated.
An important area discussed was the creation of a mechanism for carrying out bilateral trade in national currencies. Referring to the ongoing discussions between Reserve Bank of India and Central Bank of the United Arab Emirates on Unified Payment Interface (UPI) as a common digital payments platform, both sides agreed to continue discussions.
In the positive backdrop provided by the extensive and growing trade and investment relationship between India and the UAE, the two sides acknowledged the importance of using the Joint Task Force as a forum to address specific issues and difficulties faced by the companies when investing into each other’s countries. India has set up a UAE Plus Desk in 2018 and established a Fast Track Mechanism in 2019 to identify, resolve and expedite issues faced by the UAE companies and investors in India. The UAE Special Desk in India was commended for its efforts in leading and facilitating UAE investments across sectors. In this regard, it was agreed that the Indian side will provide the necessary support to UAE Fast Track Mechanism in India to ensure speedy resolution of pending issues and difficulties experienced by a number of UAE companies and banks operating in India.
It was also agreed that a similar India Fast Track Mechanism would be set up in the UAE immediately to resolve issues pertaining to the Indian investors in the UAE, and to assist Indian companies in market entry and expansion when investing in the UAE. In this context, issues pertaining to some Indian companies in UAE were noted and it was agreed that the UAE side will provide the necessary support to ensure speedy and mutually satisfactory resolution of these issues.
Speaking at the meeting, Shri Piyush Goyal, Minister of Commerce & Industry, Consumer Affairs, Food & Public Distribution, and Textiles, Government of India, and Co-Chair of the Joint Task Force, said: “During the last meeting of the Joint, Task Force we had decided to fast-track the negotiations of CEPA, and we finalized the agreement in unprecedented 88 days. I am sure that the discussions we have had today on mutually beneficial areas like food security and bilateral trade in national currencies, will also see similar thrust from both sides. The India-UAE relations are witnessing unprecedented momentum. We have a large number of opportunities for cooperation and increasing investments especially the key sectors like infrastructure and technology, especially Fintech.”
At the conclusion of the meeting, His Highness Sheikh Hamed bin Zayed Al Nahyan, Member of the Executive Council of the Emirate of Abu Dhabi and Co-Chair of the Joint Task Force, said:
“Since the last meeting of the Joint Task Force in October 2021, several significant milestones have been reached that serve to cement the close, growing and strategic relationship between India and the UAE. Within this broader context, the Joint Task Force continues to facilitate positive dialogue between our two countries as we strengthen the economic links that have helped to draw our nations together. The Joint Task Force has proved effective in creating new opportunities and removing barriers, and it will continue to play an important role in promoting bilateral investment in support of our respective countries’ growth ambitions.”
The meeting was attended by H.E. Dr. Thani bin Ahmed Al Zeyoudi, UAE State Minister for Foreign Trade, H.E. Dr. Ahmed A.R. Albanna, UAE’s Ambassador to India, H.E. Shri Anurag Jain, Secretary, Department for Promotion of Industry and Internal Trade, and senior officials from relevant government authorities, investment entities and companies from both countries.
25-Sep-2022: India-UAE CEPA makes significant positive impact on India-UAE trade
The India-UAE Comprehensive Economic Partnership Agreement (CEPA) which came into effect on the 1st of May 2022 is already creating a significant positive impact on India-UAE trade. Indian exports to the UAE, excluding petroleum products grew from US$ 5.17 billion during June-August 2021 to US$ 5.92 billion during June-August 2022, which denotes an increase of 14%.
It is pertinent to note that India’s global non-petroleum exports during the same period (Jun-Aug 2022) grew by 3% on an annual basis. This implies the growth rate of India’s non-petroleum exports to the UAE is almost 5 times as that of India’s non-petroleum exports to the world.
Excluding petroleum related imports, Indian imports from the UAE during the same three-month period grew from US$ 5.56billion (June-August 2021) to US$ 5.61 billion (June-August 2022) or an increase of 1% in percentage terms.
It may be noted that India’s non-oil export growth of around 14% on year-on-year basis comes in the context of significant macroeconomic headwinds such as conflict in Ukraine, COVID-19 related lockdowns in China, rising inflationary pressures, expected Policy tightening in advanced economies, global growth slowdown and consequent reduced demand, reduction in global merchandize trade (growth slowed down to 3.2% in Q1 2022 vis-a-vis 5.7% in Q4 2021)etc.
WTO’s global trade growth forecast for the entire year 2022 was at 3% in April 2022. This forecast is expected to be revised downwards as the macroeconomic headwinds had worsened since April 2022.
Indian exports are likely to increase further in the coming months with increasing use of the CEPA by the exporters and with dedicated efforts from Department of Commerce, in association with Indian Mission in the UAE, through organization of a series of trade promotion events in the UAE during the current Financial Year.
The analysis of the India-UAE CEPA was carried out from the period of June-August 2022, excluding statistics of oil trade. The month of May has not been included for the purpose of the analysis as it is considered as a transitory period. Oil trade has not been considered as import increase in oil/petroleum products is largely on account of the rise in global prices and to a certain extent on an increase offtake in volumes. Further, it is pertinent to mention that bulk of the oil imports from the UAE are of Crude Petroleum, the demand for which is inelastic and the customs duty for which is very low.
7-Sep-2022: Cabinet approves signing of memorandum of Understanding between India and United Arab Emirates on cooperation in the field of Education
The Union Cabinet chaired by Hon’ble Prime Minister Shri Narendra Modi has approved to sign a Memorandum of Understanding between the Ministry of Education, Government of India and the Ministry of Education of the Government of United Arab Emirates on cooperation in the field of Education. The objective of the MoU is to further strengthen our ongoing educational collaboration between India and UAE and widen the scope of our engagements.
An MoU was signed in 2015 with UAE in the field of Education which expired in 2018. In 2019, at a meeting between Education Ministers of the two countries, UAE side proposed to sign a new MoU. The new MoU incorporates changes brought in by the National Education Policy 2020 in India’s education ecosystem.
This MoU aims to promote Exchange of Information Education, Capacity Development of Technical and vocational Education and Training (TVET) teaching staff, Facilitation of academic collaboration between Higher Education Institutions in both the countries for offering Twinning, Joint Degree and Dual Degree Programmes and any such other areas agreed upon.
This MoU will rejuvenate educational cooperation and increase academic mobility between India and UAE besides facilitating exchange information in order to promote mutual recognition of these qualifications. It also covers cooperation in TVET as UAE is a major work destination for Indians.
The MoU will be valid for a period of five years from the date of signing and will be automatically renewable with the consent of both parties. Once signed, this MoU shall supersede the earlier MoU signed with UAE in 2015, which will then cease to have effect.
8-Jun-2022: Cabinet approves Memorandum of Understanding between India and United Arab Emirates (UAE) on Cooperation in the field of Industries and Advanced Technologies
The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, today has approved the proposal for signing a bilateral Memorandum of Understanding (MoU) between India and the United Arab Emirates (UAE) on Cooperation in the field of Industries and Advanced Technologies.
Growing India-UAE economic and commercial relations contribute to the stability and strength of a rapid diversifying and deepening bilateral relationship between the two countries. India-UAE bilateral trade, valued at US$ 180 million (Rs.1373 crore) per annum in the 1970s has increased to US$ 60 billion (Rs.4.57 lakh crore) making the UAE, India's third largest trading partner for the year 2019-20 after China and the US. Moreover, the UAE is the second largest export destination of India (after US) with an export value of US$ 29 billion (Rs.2.21 lakh crore) for the year 2019-2020. The UAE is eighth largest investor in India with an estimated investment of US$ 18 billion (Rs.1.37 lakh crore). Indian investments in the UAE are estimated at around US$ 85 billion (Rs.6.48 lakh crore).
India and the UAE have signed a bilateral "Comprehensive Economic Partnership Agreement" (CEPA) on 18/02/2022. This agreement has potential to increase trade between India and the UAE from US$ 60 billion (Rs.4.57 lakh crore) to US$ 100 billion (Rs.7.63 lakh crore) in the next five years.
The MoU envisages cooperation on a mutually beneficial basis in the following areas:
- Strengthening the Supply Chain Resilience of Industries
- Renewable & Energy Efficiency
- Health and life sciences
- Space Systems
- Artificial Intelligence
- Industry 4.0 Enabling Technologies
- Standardization, metrology, conformity assessment, accreditation, and Halal certification.
The MoU aims at strengthening and developing industries in both nations through investments, technology transfer and the deployment of key technologies in industries. This is likely to generate employment across the economy.
The implementation of MoU may lead to increase in research and innovation in all areas of mutual cooperation, particularly in the areas of Renewable Energy, Artificial Intelligence, Industry Enabling technologies and Health and Life science. This may lead to growth of these sectors, increased domestic production, enhanced exports and reduction in imports.
Signing of the MoU will result in fulfilling the goal of Atmanirbhar Bharat, a clarion call given by Hon'ble Prime Minister of India in making India a self-reliant nation.
1-May-2022: India-UAE Comprehensive Economic Partnership Agreement (CEPA) enters into force
The historic India-UAE Comprehensive Economic Partnership Agreement (CEPA) which was signed between the two nations on 18 February 2022, officially entered into force today. Secretary, Department of Commerce, Shri BVR Subrahmanyam flagged off the first consignment of goods comprising of Jewellery products from India to UAE under the India-UAE CEPA at a function in New Customs House in New Delhi today.
In a symbolic gesture operationalizing the landmark Agreement, Shri B V R Subrahmanyam, Hon’ble Commerce Secretary to Government of India, handed over Certificates of Origin to three exporters from the Gems & Jewellery sector. The aforementioned consignment which will now attract zero customs duty under this Agreement is expected to reach Dubai today, 01 May 2022.
Gems & Jewellery sector contributes a substantial portion of India’s exports to the UAE and is a sector that is expected to benefit significantly from the tariff concessions obtained for Indian products under the India-UAE CEPA.
Overall, India will benefit from preferential market access provided by the UAE on over 97 % of its tariff lines which account for 99% of Indian exports to the UAE in value terms particularly from labour-intensive sectors such as Gems and Jewellery, Textiles, leather, footwear, sports goods, plastics, furniture, agricultural and wood products, engineering products, pharmaceuticals, medical devices, and Automobiles. As regards trade in services, Indian service providers will have enhanced access to around 111 sub-sectors from the 11 broad service sectors.
CEPA is expected to increase the total value of bilateral trade in goods to over US$100 billion and trade in services to over US$ 15 billion within five years.
Speaking at the ceremony, Commerce Secretary said it was a momentous occasion. Highlighting the immense potential for strategic partnership between the two nations, he said that the agreement is a trendsetter because of the short time in which it was negotiated.
He added that although the agreement had envisioned a target of USD 100 billion worth of trade, given the size of India's market and the access that UAE would give to India, much more could be achieved. Noting that the agreement was an outcome of the vision of the leaders of the two nations, the Commerce Secretary said that for India, UAE would be a gateway to the world.
Underscoring the need for India products to be competitive in the international market, the Secretary said that there was a need to build and augment our capacities. He also added that the government was working on reducing the logistics cost so that the products from hinterland could also be competitive.
The Commerce Secretary informed that India was negotiating trade agreements at a very fast pace with complementary economies and that talks were ongoing with UK, Canada and EU.
He also spoke of the need to communicate the benefits of such trade agreements to the exporter community in layman's language so that they understand the provisions of the agreement and make the best possible use of it. Highlighting the need for market intelligence and data analytics, which the government would be focusing on in future, the Secretary urged the exporters to take advantage of free trade agreements.
Stating that USD 670 bn of exports (goods and service) during last fiscal year constituted 22-23% of the GDP, Shri Subrahmanyam said that exports are an important engine of growth in every economy and added that the world was looking to India as a reliable partner.
Conveying a vision for India's future in 2047, the Secretary said that we would be a USD 40 trillion economy in the next 25 years. He asserted that the Department of Commerce has also been strengthening itself to be future ready and meet the challenges of tomorrow with focus on trade promotion.
Shri Santosh Kumar Sarangi, Director General of Foreign Trade; Shri Surjit Bhujbal, Chief Commissioner of Customs; Shri Sanjay Bansal, Commissioner of Customs; other senior officials from Department of Commerce; and representatives from Industry/Exporters Community and media fraternity witnessed this ceremony.
29-Mar-2022: India-UAE CEPA will be operationalized on May 1, 2022
Union Minister of Commerce & Industry, Consumer Affairs and Food & Public Distribution and Textiles, Shri Piyush Goyal has said the India-UAE CEPA will be operationalized on May 1, 2022. Addressing a Business-to-Business (B2B) Meet on India-UAE CEPA in Dubai on Monday, he said the historic deal sets the tone for new beginnings, extraordinary outcomes & a paradigm shift in our trade ties.
Shri Goyal said India looks to UAE as a gateway to Africa, other GCC and Middle Eastern countries, CIS countries and some European countries.
“This significantly opens the doors to significant markets all over the world. So when we set out to engage with each other, we were not engaging with a 10 million population in the UAE, I had in mind, and both of us had in our vision, the much larger engagement that this CEPA is going to offer to businesses on both sides”, said Shri Goyal, addressing the B2B meet with the UAE Minister of State for Foreign Trade, H.E. Thani Al Zeyoudi by his side.
Shri Goyal said the India-UAE CEPA, covering Merchandise Trade and Services, has many first to its credit including the fact that the trade pact was sealed in a record short time span of 88 days.
“And this Agreement is not about Trade alone, it’s not about trade in Goods and Services alone; I think it has a huge geopolitical, economic and also, in some sense, a great human element given the huge presence of the Indian Diaspora in the UAE”, said Shri Goyal.
Shri Goyal termed the India-UAE Partnership as the “defining strategic partnership of the 21st century”. This Agreement gives a new direction, a paradigm shift to this relationship, he said.
Shri Goyal said the India-UAE CEPA is based on the Prime Minister Shri Narendra Modi’s vision of 'Sabka Saath, Sabka Vikas, Sabka Vishwas aur Sabka Prayas'. India wants a larger share of the UAE market as New Delhi sets its eyes on achieving $1 trillion goods exports by 2030, he added.
“With the growing role of Services, in both the economies, I think that will also give a big thrust to our bilateral engagement in the years to come,” he said.
Shri Goyal said the UAE has made commitments about their interest to invest in Indian Infrastructure, Manufacturing & Logistic sector. A huge delegation of UAE entrepreneurs recently visited J&K too.
27-Mar-2022: Comprehensive Economic Partnership Agreement (CEPA) between India and the United Arab Emirates (UAE) Unveiled
Shri Piyush Goyal, Union Minister of Commerce and Industry ,Consumer Affairs, Food and Public Distribution, and Textiles, Government of India, today announced the unveiling of the Comprehensive Economic Partnership Agreement (CEPA) between India and the United Arab Emirates (UAE) at a press conference held on 28 March 2022 during his visit to the United Arab Emirates. Shri Goyal is in UAE to participate in ‘Investopia Summit’ and ‘World Government Summit’ being held in Dubai on 28th March 2022 and 29th March 2022 respectively. With this launch, the text of the India-UAE CEPA is now available in public domain.
India-UAE CEPA was signed on 18 February 2022 in New Delhi during the India-UAE Virtual Summit held between His Excellency Shri Narendra Modi, Hon’ble Prime Minister of India and His Highness Sheikh Mohammed Bin Zayed Al-Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, and Chairman of the Executive Council.
The salient features of India-UAE CEPA are as follows: The India-UAE CEPA is the first deep and full free trade Agreement to be signed by India with any country in the past decade. The Agreement is a comprehensive agreement, which will cover Trade in Goods, Rules of Origin, Trade in Services, Technical Barriers to Trade (TBT), Sanitary and Phytosanitary (SPS) measures, Dispute Settlement, Movement of Natural Persons, Telecom, Customs Procedures, Pharmaceutical products, Government Procurement, IPR, Investment, Digital Trade and Cooperation in other Areas.
Impact or benefits: CEPA provides for an institutional mechanism to encourage and improve trade between the two countries. The CEPA between India and the UAE covers almost all the tariff lines dealt in by India (11,908 tariff lines) and the UAE (7581 tariff lines) respectively. India will benefit from preferential market access provided by the UAE on over 97 % of its tariff lines which account for 99% of Indian exports to the UAE in value terms, especially for all labour-intensive sectors such as Gems and Jewellery, Textiles, leather, footwear, sports goods, plastics, furniture, agricultural and wood products, engineering products, medical devices, and Automobiles. India will also be offering preferential access to the UAE on over 90% of its tariff lines, including lines of export interest to the UAE.
As regards trade in services, India has offered market access to the UAE in around 100 sub-sectors, while Indian service providers will have access to around 111 sub-sectors from the 11 broad service sectors such as ‘business services’, ‘communication services’, ‘construction and related engineering services’, ‘distribution services’, ‘educational services’, ‘environmental services’, ‘financial services’, ‘health related and social services’, ‘tourism and travel related services’, ‘recreational cultural and sporting services’ and ‘transport services’.
Both sides have also agreed to a separate Annex on Pharmaceuticals to facilitate access of Indian pharmaceuticals products, especially automatic registration and marketing authorisation in 90 days for products meeting specified criteria.
Timelines: The negotiations for India-UAE CEPA were concluded in a record span of 88 days. The Agreement is expected to enter into force on 01 May 2022.
Background: India and the UAE enjoy excellent bilateral relations, which are deep rooted and historical, sustained and nurtured by close cultural and civilizational affinities, frequent high-level political interactions, and vibrant people to people linkages. The India-UAE comprehensive strategic partnership initiated during the visit of Prime Minister of India to UAE on 16-17 August 2015, is the cornerstone of our multi-faceted bilateral relations.
Growing India-UAE economic and commercial relations contribute to the stability and strength of a rapidly diversifying and deepening bilateral relationship between the two countries. India and the UAE have been each other’s leading trading partners. These excellent bilateral economic and commercial relations have continued to enhance and deepen over time. From US$ 180 million per annum in the 1970s, India-UAE bilateral trade has steadily increased to US$ 60 billion (₹4.55 lakh crore) in FY 2019-20 making the UAE, India's third largest trading partner. With exports to the UAE valued at US$ 29 billion for the year 2019-20, the UAE is also the second largest export destination of India, while Indian imports from the UAE were valued around US$ 30 billion, including 21.83 MMT (US$ 10.9 billion) of crude oil. The UAE is an important source of India’s energy supply and a key partner of India in the development of strategic petroleum reserves, upstream, and downstream petroleum sectors.
The UAE is also the eight largest investor in India with an estimated investment of US$ 18 billion. Moreover, India and the UAE have recently entered into a Memorandum of Understanding (MoU) whereby the UAE has committed US$ 75 billion towards infrastructure development in India. Further, in October 2021, Government of Dubai signed an MoU with the Jammu and Kashmir administration for real estate development, industrial parks, IT towers, multipurpose towers, logistics, medical college, super specialty hospital and more.
The India-UAE CEPA will further cement the already deep, close and strategic relations between the two countries and will create new employment opportunities, raise living standards, and improve the general welfare of the peoples of the two countries.
22-Mar-2022: UAE army delegation arrives in India
A delegation of United Arab Emirates (UAE) Army is on a six day visit to India from 21 to 26 Mar 2022. The delegation is visiting Indian Army training establishments and then attend the Inaugural Army to Army Staff Talks (AAST). The aim of the visit is to enhance defence cooperation engagements between the two armies.
The UAE Army delegation is currently visiting Army establishments in Maharashtra to include School of Artillery, Armoured Corps Centre & School, Mechanised Infantry Centre & School, National Defence Academy, Command Hospital of Southern Command, Army Institute of Physical Training, Military Intelligence School & Depot and Bombay Engineers Group & Centre. The delegation will also be visiting Larsen & Tubro Limited and Tata Motors Limited at Pune.
The agenda for staff talks of inaugural AAST to be organised at College of Military Engineering on 25 and 26 March 2022, include issues related to military training, increase in course subscription in Indian Army establishments, conduct of bilateral exercises and enhancing defence technical cooperation.
20-Feb-2022: India – UAE Economic Partnership Agreement to open up new markets for Indian goods and services.
Union Commerce and Industry Minister Shri Piyush Goyal has termed the India-UAE Comprehensive Economic Partnership Agreement, signed Friday as a landmark pact, that will open up new markets for Indian goods and services.
Addressing a press conference in Mumbai, the day after the signing of the agreement, Shri Piyush Goyal said “India -UAE Comprehensive Economic Partnership Agreement (CEPA) will be extremely beneficial for MSMEs, Start-ups, farmers, traders and all sections of businesses.”
Speaking about the sectoral gains, he said the labour intensive industries like Textiles, Gems and Jewellery, Leather goods and footwear and food processing industry would be prominent among those to benefit the most.
Shri Goyal asserted that the CEPA is a balanced, fair, comprehensive & equitable partnership agreement, which will give enhanced market access for India in both goods and services. “It will create jobs for our youth, open new markets for our startups, make our businesses more competitive & boost our economy” he added.
The Minister informed that sector-wise consultations have shown that the pact will create a minimum of 10 lakh jobs for Indian citizens.
Shri Goyal further informed that the CEPA which was finalized and singed in a record time of just 88 days, would come into force in less than 90 days, by early May. He told the media that “around 90% of products exported from India to UAE will attract zero duty with implementation of the Agreement. 80% lines of trade will attract zero duty, remaining 20% does not affect our exports much, so this is a win-win agreement.”
For the first time in a Trade agreement, the CEPA provides for automatic registration and marketing authorisation of Indian generic medicines in 90 days, once they are approved in any of the developed countries. This will give big market access to Indian medicines.
Indian jewellery exporters will get duty-free access to the UAE, which currently imposes a 5% customs duty on such products. This will substantially raise its jewellery exports, since Indian designed jewellery enjoy a great market reputation. The Gems and Jewellery sector expects to increase its exports to US$ 10 billion by 2023.
The CEPA will not only improve competitiveness of Indian products, but also provide strategic advantages to India. “Since UAE functions as a trading hub, the Agreement will help provide us market entry points to Africa, Middle East and Europe” the Minister added.
Shri Piyush Goyal noted that with the conclusion of the CEPA, India and UAE aim to increase bilateral goods trade over the next five years to $100 billion. “However, I believe that the potential for trade between the two nations is even bigger, we will surpass the target we have set for ourselves”, he said. UAE is India’s third largest bilateral trading partner.
Agreement with GCC in 2022 itself
Shri Piyush Goyal also informed that the Government looks forward to conclude a similar economic partnership agreement with the Gulf Cooperation Council countries during this year itself.
He said the Secretary-General of the GCC has expressed the desire to fast track the negotiations and added "we are also confident in our negotiating ability, we have conducted negotiations in a rapid manner with UAE, and we are believe that a similar agreement on trade would be concluded with the GCC in this year itself,"
GCC is a union of six countries in the Gulf region, namely, Saudi Arabia, UAE, Qatar, Kuwait, Oman, and Bahrain with a combined nominal GDP of US$ 1.6 trillion.
18-Feb-2022: India-UAE Virtual Summit
Hon'ble Prime Minister Shri Narendra Modi and Crown Prince of Abu Dhabi HH Sheikh Mohammed bin Zayed Al Nahyan held a Virtual Summit earlier today. Both leaders expressed deep satisfaction at the continuous growth in bilateral relations in all sectors.
Hon'ble Prime Minister and His Highness the Crown Prince issued a Joint Vision Statement "Advancing the India and UAE Comprehensive Strategic Partnership: New Frontiers, New Milestone". The Statement establishes a roadmap for a future-oriented partnership between India and UAE and identifies focus areas and outcomes. The shared objective is to promote new trade, investment and innovation dynamic in diverse sectors, including economy, energy, climate action, emerging technologies, skills and education, food security, healthcare and defence and security.
A major highlight of the Virtual Summit was the signing and exchange of the India-UAE Comprehensive Economic Partnership Agreement (CEPA) by Minister of Commerce and Industry Shri Piyush Goyal and Minister of Economy of UAE, H.E. Abdulla bin Touq Al Marri in the virtual presence of the two Leaders. The Agreement will provide significant benefits to Indian and UAE businesses, including enhanced market access and reduced tariffs. It is expected that the CEPA will lead to increase in bilateral trade from the current USD 60 bn to USD 100 bn in the next 5 years.
The two Leaders also released Joint Commemorative Stamp on the occasion of 75th anniversary of India's independence and 50th year of UAE's foundation. Two MOUs signed between Indian and UAE entities were also announced during the Summit. These are, MOU between APEDA and DP World & Al Dahra on Food Security Corridor Initiative and MOU between India's Gift City and Abu Dhabi Global Market on cooperation in financial projects and services. Two other MOUs - one on cooperation in Climate Action and the other on Education have also been agreed between the two sides.
Prime Minister thanked His Highness Crown Prince of Abu Dhabi for taking care of the Indian community during Covid pandemic. He also invited him to pay an early visit to India.
18-Feb-2022: India and UAE sign the historic CEPA aimed at boosting goods trade to US$ 100 billion over next five years
India and UAE signed the historic Comprehensive Economic Partnership Agreement (CEPA) aimed at boosting the merchandise trade between the two countries to US$ 100 billion over next five years. The deal was signed during the virtual summit meeting between Hon’ble Prime Minister of India, Shri Narendra Modi and H.E. Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi.
Addressing the joint press conference with Mr. Abdulla bin Touq Al Marri, Minister of Economy (UAE) and Dr. Thani Al Zeyoudi, Minister of State for Foreign Trade, Shri Piyush Goyal said that India, celebrating its 75 years of independence and UAE, celebrating 50 years of its foundation were at an appropriate time to reset the relationship between two nations and take it to greater heights than ever before. The Minister observed that both India and UAE are natural partners with several complementarities and hardly any elements of competitions. He said that both nations believed in rules based fair trade, in engaging with each other in a spirit of reciprocity and were determined that people and businesses of both countries must mutually benefit from the deepening engagement.
Shri Goyal emphasized that the Agreement was not an interim arrangement but a complete and comprehensive economic partnership finalized in the shortest possible time in history. He said that the agreement covered the widest possible array of subjects from free trade to digital economy to government procurement and several other strategic areas of mutual interest. He complemented the teams on both sides for their commitment and their dedication and for successfully concluding one of the most balanced, fair and equitable agreements in just 88 days, working in a spirit of brotherhood and friendship understanding each other’s sensitivities.
Emphasizing that CEPA would generate 10 lakh jobs across multiple labour-intensive sectors, the Minister said that major sectors like gems and jewellery, textiles, leather, footwear, furniture, agriculture and food products, plastics, engineering goods, pharmaceuticals, medical devices, sports goods etc. will benefit from this deal and create large scale, employment for our young boys & girls.
Shri Goyal said that there were many firsts in the CEPA agreement. He said that UAE had agreed to automatic registration and market authorization for Indian medicines in case of their regulatory approval in developed countries such as USA, EU, UK and Japan. The Commerce & Industry Minister added that the agreement also had a permanent safeguard mechanism which can be resorted to in a situation of sudden surge in imports along with strict rules of origin, which will prevent products from other countries through the CEPA route.
Addressing the gathering, H. E. Touq Al Marri, Minister of Economy (UAE) termed it as a momentous new chapter in the shared history between the two nations. He added that the India-UAE CEPA is a milestone in the relationship between India and UAE and has been built on decades of enterprise and aspires to establish a new era of progress and prosperity for the people of both nations.
He highlighted the long standing cultural and economic relationship between the two nations and said that India was the first nation UAE chose to partner with in the post pandemic world. Speaking on the occasion, H.E Thani Al Zeyoudi, Minister of State for Foreign Trade also expressed his appreciation to the teams from both sides for the early conclusion of the CEPA. He added that if our investors, entrepreneurs and businesses engage with each other with a sense of purpose, there is no limit to what can be achieved.
Several other agreements were also signed today between the two nations, including an MoU between APEDA and DP World & Al Dahra on the UAE side regarding “Food Security Corridor Initiative” and an MoU between GIFT city (IFSCA) and Abu Dhabi Global Market (ADGM).
18-Feb-2022: UAE and India Sign Historic Trade Pact, Marking a New Era of Economic Cooperation
New Delhi-India/Abu Dhabi-UAE, 18 February 2022: Today, on the 18th day of February 2022, His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, and Chairman of the Executive Council, and His Excellency Shri Narendra Modi, Hon’ble Prime Minister of India held a Virtual Summit. At the event, both the leaders laid out their future vision of the historic and friendly relations between both countries, at a time when India is celebrating 75 years of Independence as Azadi Ka Amrut Mahotsav and UAE is celebrating the 50th anniversary of its foundation.
The leaders also witnessed the signing of the India-UAE Comprehensive Economic Partnership Agreement (India-UAE CEPA) by the respective Commerce & Industry/Economy Ministers from the two countries. The India-UAE CEPA is the first bilateral trade accord concluded by the UAE, and it is also India’s first bilateral trade agreement in the MENA region. CEPA is a significant initiative in bilateral relations during the pandemic and a major trade agreement that will launch a new era of strategic cooperation between both countries. It will transform bilateral economic and investment ties, open up emerging trade routes between Africa and Asia, promote global trade liberalization and propel economic growth in a post-COVID world.
“The UAE, under the leadership of President His Highness Sheikh Khalifa bin Zayed Al Nahyan, continues to consolidate its global position as a gateway for trade and investment,” said HH Sheikh Mohamed bin Zayed Al Nahyan. “India is one of our most important strategic partners, and this deal brings us closer than ever before. The agreement we have reached today with Prime Minister Modi not only deepens our economic and trading relationship with a close partner but unlocks a new phase of global cooperation for us.”
His Highness added, “The historic economic agreement demonstrates the commitment of our leaders to the bold Projects of the 50, launched in our pursuit of the next 50 years of progress and prosperity. Future generations will benefit from this forward-looking vision aimed at stimulating growth and doubling our trade with the world and to strengthen the UAE’s knowledge and innovation-driven economy. This deal promises to provide significant benefits to UAE and Indian businesses, including reduced tariffs and enhanced market access, while also breathing new life into trading corridors from Africa to Asia and laying the foundations for growth and prosperity that will benefit the entire region.”
Prime Minister Narendra Modi said: “ I am happy at the signing of the Comprehensive Economic Partnership Agreement between our two nations today. It is noteworthy that such an important agreement has been concluded in a record time of less than 3 months. Such agreements generally take years for conclusion. The Agreement demonstrates the deep friendship, shared vision and the trust between the two countries. I am confident that this will usher in a new era in our bilateral economic relations and the bilateral trade volume will increase from USD 60 Billion to USD 100 billion in the coming 5 years".
Bilateral relations between India and the UAE have strengthened in all areas of mutual interest in the past few years; both sides had embarked upon a comprehensive strategic partnership in 2017. Leaders of the two countries have remained in regular touch over the past few years particularly during the COVID-19 pandemic as the two countries collaborated closely in critical areas of healthcare and food security to fight the pandemic. Ministerial visits between the two sides have also continued. This strategic partnership laid the foundations for the CEPA signed today between the two countries.
Bilateral trade, investment and energy relations between India and the UAE have remained robust. Signing of the CEPA is a testament to these longstanding bilateral trade and investment linkages. Both sides are also strengthening their cooperation in new areas of renewable energy like green hydrogen, climate action, start-ups, skilling, fintech and healthtech. The UAE is India’s third largest trade partner and bilateral trade is expected to surpass USD 60 billion mark in the current financial year. India ranks as the UAE’s number one trading partner for non-oil exports, accounting for nearly 14 percent of the UAE’s total non-oil exports globally. CEPA may increase the total value of bilateral trade to over US$100 billion within five years. The historic trade deal is expected to lay the roadmap to a shared vision for the future envisaging stronger, more resilient economies that deliver sustainable welfare and wellness to the peoples of the two countries.
16-Feb-2022: India-UAE Virtual Summit
Prime Minister Shri Narendra Modi and Crown Prince of Abu Dhabi and Deputy Supreme Commander of UAE Armed Forces, H.H. Sheikh Mohamed bin Zayed al Nahyan will hold a Virtual Summit on February 18, 2022. Both Leaders are expected to lay out their vision of the historic and friendly relations between the two countries, at a time when India is celebrating 75 years of its Independence as Azadi Ka Amrit Mahotsav and UAE is celebrating the 50th anniversary of its foundation.
The two leaders will also discuss bilateral cooperation and exchange views on regional and international issues of mutual interest.
In recent years, bilateral relations between India and the UAE have strengthened in all areas, and both sides have embarked upon a comprehensive strategic partnership. Prime Minister visited UAE in 2015, 2018 and 2019 while the Crown Prince of Abu Dhabi visited India in 2016 and 2017. Ministerial visits between the two sides have also continued, including three visits of External Affairs Minister and a visit of Commerce and Industry Minister to UAE in 2021.
Both sides have collaborated closely during the Covid-19 pandemic in critical areas of healthcare and food security. Bilateral trade, investment and energy relations have remained robust. The two sides are also strengthening their cooperation in new areas of renewable energy, start-ups, fintech, etc. India is participating with one of the largest pavilions in the Dubai Expo 2020.
A major initiative in bilateral relations is the Comprehensive Economic Partnership Agreement (CEPA). Negotiations for CEPA were launched in September 2021 and have been completed. The Agreement will take India-UAE economic and commercial engagement to the next level. UAE is India’s third largest trade partner, and bilateral trade and investment ties are expected to see significant enhancements.
UAE hosts a large India community which numbers close to 3.5 million. Prime Minister has expressed India’s appreciation to the leadership of UAE for supporting the Indian community during the pandemic. UAE leadership has also been appreciative of the contribution of the Indian community in its development. Both sides had agreed on an Air Bubble Arrangement in 2020 during the pandemic which has enabled the movement of people between two countries despite the challenges posed by Covid-19.
