Abu Dhabi New Delhi (WAM)
His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, and Narendra Modi, Prime Minister of the friendly Republic of India, witnessed yesterday, during the summit, which they held via video call, the signing of the Comprehensive Economic Partnership Agreement between the UAE and India, which inaugurates the comprehensive economic partnership agreement between the UAE and India. For a new era of economic cooperation based on mutual interests between the two friendly countries and the strengthening of historical relations between them and mutual access to markets and economic and investment opportunities.
The agreement also paves the way for broader prospects of strategic cooperation, raising non-oil intra-regional trade to more than $100 billion within five years.
During the video call, the ceremony of exchanging the Comprehensive Economic Partnership Agreement (CEPA) was broadcast in the presence of His Excellency Abdullah bin Touq Al Marri, Minister of Economy, His Excellency Dr. Thani bin Ahmed Al Zeyoudi, Minister of State for Foreign Trade, Dr. Ahmed Abdul Rahman Al Banna, UAE Ambassador to the Republic of India, and His Excellency Piyush Goyal, Minister of Commerce and Industry in India .
His Highness Sheikh Mohamed bin Zayed Al Nahyan welcomed the signing of the comprehensive economic partnership agreement between the UAE and the friendly Republic of India, which is one of the most important global markets with promising future growth prospects.
On this occasion, His Highness said: The UAE, under the leadership of His Highness Sheikh Khalifa bin Zayed Al Nahyan, President of the State, “may God protect him”, continues to consolidate its global position as a gateway for the flow of trade between international markets, which contributes to the recovery of the global economy and facing the challenges arising from the “Covid 19” pandemic. ».
His Highness added that the historic agreement between the UAE and the Republic of India comes within the program of global economic agreements concluded by the country under the umbrella of the “50 projects” that it announced last September, which constitutes a qualitative addition to its progress and prosperity and a basis for launching during the next fifty years towards further development. Developing for the benefit of future generations, consolidating the gains, dealing with challenges positively, and transforming them into opportunities for innovation and creativity.
His Highness pointed out that these agreements come within a forward-looking vision aimed at stimulating the sustainable growth of the national economy by doubling the UAE’s trade with the world and increasing the contribution of the sectors of the future economy based on knowledge and innovation to the country’s GDP.
His Highness Sheikh Mohamed bin Zayed Al Nahyan added that the historic comprehensive economic partnership agreement moves the historical strategic relations between the UAE and India to new horizons of partnership and mutual economic growth and provides more opportunities for expansion and prosperity for the business communities in the two friendly countries.
For his part, the Indian Prime Minister expressed his happiness at the signing of the Comprehensive Economic Partnership Agreement between the two countries, pointing out that such an important agreement was completed in a record time that did not exceed three months, while such agreements usually take years to be signed.
He explained that the agreement embodies the depth of friendship, common vision and mutual trust between the two countries. He expressed his confidence that a new era awaits the two countries in the field of economic cooperation, expecting the trade volume between the two countries to rise from $60 billion to $100 billion over the next five years.
The video call included the launch of the “common commemorative postage stamp” issued by the Ministry of Communications in India and the Emirates Post Group.
The call also included the announcement of the signing of two memoranda of understanding, including a memorandum of understanding between the International Financial Services Centers Authority in India and the Financial Services Regulatory Authority of the Abu Dhabi Global Market, and a memorandum of understanding between DP World, Al Dahra Holding and the Development Authority for Exports of Agricultural and Food Products manufactured in the Republic of India. It is noteworthy that the direction of the UAE towards concluding comprehensive economic partnership agreements with the most important trading partners comes within the framework of a package of projects and strategic initiatives within the “Fifty Plan” represented by the formation of the Higher Committee for Global Economic Partnerships, which aims to work on the program of global economic agreements and formulate the negotiating positions of the state to conclude partnerships The new economy will contribute to enhancing openness to world markets and developing foreign trade.
Great economic benefits
In terms of imports from the world, India came second after China, with a rate of 7.4% of the total of these imports, while it ranked third as a re-export destination to the world, with a rate of 8.1% of the total re-exports.
The Comprehensive Economic Partnership Agreement with India will contribute to significant economic benefits for the country, including increasing and deepening bilateral trade and investment relations by reducing trade costs and creating a level playing field for Emirati companies to compete in the Indian market, enabling increased export opportunities and increased productivity in the country.. The agreement also allows With a broader coverage of the areas of economic and trade cooperation.
The two sides determined the scope of the agreement in accordance with the common commercial interests of the two countries and in a manner consistent with the rules of the World Trade Organization regarding these agreements.. While the agreement covers trade in goods, rules of origin, customs procedures, trade facilitation, sanitary and phytosanitary measures, technical barriers to trade and trade treatments, in addition to services, investment and digital trade. The protection of intellectual property .. in addition to government procurement, small and medium-sized companies, economic cooperation and provisions for managing the agreement and settling disputes .. It also included a number of appendices, including an appendix on the movement of natural persons, an appendix on trade in pharmaceutical products, an appendix related to telecommunication services, and others.
Based on the importance of this matter, a list of priority countries has been identified to start negotiations with them during 2021, according to the economic feasibility studies prepared by the Ministry of Economy, which seeks during the first phase to conclude 8 comprehensive partnership agreements with 8 strategic markets and raise the volume of trade exchange with these markets, which It currently amounts to 257 billion dirhams, amounting to 40 billion dirhams annually.. While the Republic of India was chosen among the priority countries to establish a partnership agreement with it, as it is a major and distinguished trading partner for the UAE, and according to the statistics of 2021, India acquired 9% of the country’s total foreign trade Whereas, non-oil exports to India accounted for 13% of the total exports to the world, ranking first.