Growing Bilateral Ties between India & UAE
Context:
• The free trade agreement between India and the UAE is likely to come into effect from May 1 this year, under which domestic exporters of as many as 6,090 goods from sectors such as textiles, agriculture, dry fruits, gem and jewellery would get duty-free access to the UAE market.
Background:
• The Comprehensive Economic Partnership Agreement (CEPA) was signed by India and the United Arab Emirates (UAE) in February which aims to boost bilateral trade to $100 billion in the next five years from current $60 billion.
• The two countries have agreed to set up a technical council on Investment, Trade Promotion and Facilitation, as part of the agreement signed.
• Overall, the UAE is offering duty elimination on over 97% of its products which account for 99% of Indian exports here in value terms.
• Immediate duty-free access covers all labour-intensive sectors such as gems and jewellery, textiles and apparel, agricultural and fish products, leather, footwear, and sport goods, pharmaceuticals and medical devices, and many engineering products.
Potential Areas for India:
• Service Sector,
• audio visual,
• education,
• health,
• tourism, travel,
• professionals services like nursing, engineering, and accountancy.
Source: THE HINDU.
