Trade Agreement Between Uae And India

Although India and the United Arab Emirates are two fast-growing Asian economies, bilateral trade between them has not kept pace with the region`s economic growth, from about $67 billion in 2013 to $49.3 billion in 2016. [11] During Indian Prime Minister Narendra Modi`s visit to the United Arab Emirates in February 2018, the two sides signed a pioneering agreement to trade directly in their local currencies without eliminating the need for U.S. dollars, which would greatly boost trade. The two heads of state and government have also set an ambitious target of $100 billion in bilateral trade by 2020. [12] The Trade Union Cabinet has approved an agreement (PROTOCOLE) between India and the United Arab Emirates (United Arab Emirates) on technical cooperation in the railway sector. The MoU was signed in February 2018 with the Federal Transport Authority – Land – Maritime of UAE. The MoU will provide Indian Railways with a platform to interact and exchange with the latest developments and knowledge in the rail sector. It will facilitate the exchange of information, expert meetings, technical visits and the implementation of cooperation projects agreed upon by the two countries. The Memorandum of Understanding will allow technical cooperation in the following areas: the United Arab Emirates is a party to several multilateral and bilateral trade agreements, including with partner countries within the GCC.

Under the GCC, the United Arab Emirates enjoys close economic relations with Saudi Arabia, Kuwait, Bahrain and Oman, which means that the United Arab Emirates shares a common market and customs union with these nations. Under the Greater Arab Free Trade Area Agreement (GAFTA), the United Arab Emirates has free access to Saudi Arabia, Kuwait, Bahrain, Qatar, Oman, Jordan, Egypt, Iraq, Lebanon, Morocco, Tunisia, Palestine, Syria, Libya and Yemen “The bilateral currency exchange agreement between India and the United Arab Emirates should reduce dependence on hard currencies such as the US dollar,” he said, adding that the two central banks had concluded the agreement. In 2008/2009, India became the UAE`s largest trading partner, with bilateral trade of more than $44.5 billion between the two countries. [9] The AU and India are the main commercial players of the other. Trade is worth more than $75 billion (AED 275.25 billion). [10] The United States signed a Framework Agreement on Trade and Investment (TIFA) with the United Arab Emirates (UNITED Arab Emirates) in 2004 to create a formal framework for dialogue on economic reforms and trade liberalization. TIFA encourages the creation of legal protection for investors, improved protection of intellectual property rights, more transparent and effective customs procedures, and greater transparency of government and trade rules. Through this process, the U.S. government can identify potential partners for continued trade cooperation, such as free trade agreements (FAs). On August 16, 2015, Prime Minister Narendra Modi began a two-day visit to the United Arab Emirates, the first state visit by an Indian prime minister to the country in 34 years. Indian Prime Minister Shri Narendra Modi visited the United Arab Emirates from 16 to 17 August 2015 at the invitation of his crown prince, Mohamed Bin Zayed AI Nahyan.

[14] During a pause in the protocol, in which only the Minister of Foreign Affairs of the United Arab Emirates, Sheikh Abdullah, reportedly received dignitaries, the crown prince, Sheikh Mohammed Bin Zayed Al Nahyan, and his five brothers were present to receive Modi. [15] The purpose of the visit was to strengthen bilateral cooperation in the fields of energy and trade and to commercialize India as an attractive trade objective. [16] Each week, 1,068 direct flights are operated between different destinations in India and the United Arab Emirates, operated by Air India/Air India Express, Spicejet, Indigo, Go Air, Emirates, Etihad, Flydubai and Air Arabia.