UAE-India trade deal effective from May

UAE-India trade deal effective from May

Indian products to be low-priced in UAE as 90% of its exports will be exempted from 5% import duty

The Comprehensive Economic Partnership Agreement (CEPA) signed by the UAE and India on February 18 is poised to open up exciting new vistas for India in a wide array of sectors. — File photo

Published: Sun 20 Feb 2022, 4:53 PM

The game-changing UAE-India economic pact that comes into force from the first week of May 2022 will exempt at least 90 per cent of Indian exports from five per cent import duty, making certain categories of products available at lower prices in the Emirates compared to the source market.

In the first year, at least $26 billion worth of Indian products like gems and jewellery that are currently subjected to five per cent import duty in the UAE will enjoy zero tax status, leading to a transformational shift in the two-way trade ecosystem that also will bring about far-reaching changes on the global commercial landscape.

The Comprehensive Economic Partnership Agreement (CEPA) signed by the UAE and India on February 18 is poised to open up exciting new vistas for India in a wide array of sectors, in particular, labour-intensive industries such as textiles, leather, footwear,