UAE-India Trade Achieves $100 Billion Milestone

UAE-India Trade Hits $100 Billion Milestone Five Years Early Amid CEPA Network's Global Expansion

Bilateral trade between the United Arab Emirates and India has surpassed the $100 billion mark, achieving this milestone five years ahead of schedule. This outstanding achievement is credited to the Comprehensive Economic Partnership Agreement (CEPA) signed by the two countries in 2022. The breakthrough was announced by the UAE's Minister of State for Foreign Trade during a panel discussion on economic diplomacy.

The Success Behind CEPA

CEPA is not merely a trade agreement but a strategic framework that removes tariffs and regulatory barriers for oil and non-oil products, thereby unlocking trade and investment potential. The CEPA between India and the UAE was finalized notably quickly—in just 88 days—which is remarkable compared to the traditionally lengthy negotiation processes.

According to the latest data, the trade volume between the UAE and India exceeded $100 billion between April 2024 and March 2025, including both energy and non-energy commodities. This milestone is significant not only from a trade perspective but also strategically, proving that CEPA-type agreements play a crucial role in economic diversification.

CEPA Network: More Countries Join

The agreement with India is just one of the 27 signed CEPAs, with several already in effect while others await implementation. According to the Minister, the goal is to establish 40-45 such partnerships by early 2025. Through CEPA agreements, the UAE strengthens its position as a regional trading hub while directing new investments into sectors like artificial intelligence, clean energy, and advanced manufacturing technology.

Close Cooperation with the Private Sector

A new era of economic diplomacy in the UAE has also manifested in actively involving the private sector in decision-making processes. This has been particularly noticeable in the reform of residency rules, tailored to the needs of entrepreneurs, investors, and individuals with significant wealth. Such collaboration has made flexibility and adaptability the cornerstone of the country's foreign economic strategy.

Global Challenges, New Opportunities

The panel discussion also highlighted that while economic relations with the United States and the European Union remain strong, rising global protectionism, such as the introduction of new US tariffs, poses new challenges. However, the UAE aims to convert these challenges into opportunities by responding with innovative and competitive strategies to global economic turbulences.

Preparing EU Trade Agreements

Trade agreements with the EU are particularly complex as the negotiations are not with a single state but a multi-actor institutional framework. This requires detailed sectoral coordination, diplomatic presence, and political will.

UAE's Openness and Adaptability

The United Arab Emirates remains committed to international openness and economic resilience, even as other countries increasingly lean towards economic nationalism. The cornerstones of its foreign economic strategy are rapid adaptation, foresight, and close state-private sector cooperation.

Summary

The $100 billion milestone is not just a figure. It indicates that the UAE is proactively shaping its economic future and, through CEPA agreements, becoming an increasingly influential international player. Through economic diplomacy, strategic partnerships, and an open attitude, the country positions itself as a key player not just regionally but globally as well.

(Source of the article: United Arab Emirates Economic Diplomacy 2024–2025 Report.)