India-UAE Comprehensive Economic Partnership Agreement (CEPA) enters into force
The historic India-UAE Comprehensive Economic Partnership Agreement (CEPA), which the two countries signed on February 18, 2022, went into effect. Secretary, Department of Commerce, Mr. BVR Subrahmanyam today flagged off the first consignment of goods from India to the UAE under the India-UAE CEPA at a function in New Customs House in New Delhi.
He handed over Certificates of Origin to three Gems & Jewellery exporters as a symbolic gesture to operationalize the historic Agreement. The gems and jewellery sector accounts for a considerable share of India's exports to the UAE and is expected to benefit greatly from the tariff savings granted to Indian products under the India-UAE CEPA.
Overall, India will benefit from the UAE's preferential market access on over 97% of its tariff lines, which account for 99% of Indian exports to the UAE in value terms, particularly in labor-intensive sectors like Gems and Jewellery, Textiles, Leather, Footwear, Sports Goods, Plastics, Furniture, Agricultural and Wood Products, Engineering Products, Pharmaceuticals, Medical Devices, and Automobiles. Indian service providers will have improved access to about 111 sub-sectors from the 11 broad service sectors in terms of trade in services. Within five years, CEPA is expected to boost the overall value of bilateral goods trade to over US$ 100 billion and services trade to over US$ 15 billion.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.