India – UAE CEPA (Comprehensive Economic Partnership Agreement)

India – UAE CEPA (Comprehensive Economic Partnership Agreement)

The India–UAE CEPA is one of the most strategic and high-impact trade deals signed by the UAE. It officially came into force on May 1, 2022, and has since shown strong results, with continued momentum in 2025.

Key Highlights of the India–UAE CEPA:

• Tariff Reductions:
• Duty-free access to 90% of Indian exports to the UAE, including key sectors like gems & jewellery, textiles, leather, food products, engineering goods, and pharmaceuticals.
• UAE exporters also benefit from reduced duties and streamlined processes into the Indian market.
• Trade Volume Impact:
• Bilateral trade crossed $85 billion in 2023–24 and is targeted to surpass $100 billion annually.
• India's non-oil exports to the UAE increased by 11.6% in the first year of implementation.
• Market Access & Job Cre 𝒇𝒊𝒓𝒔𝒕 𝒃𝒊𝒍𝒂𝒕𝒆𝒓𝒂𝒍 𝒕𝒓𝒂𝒅𝒆 𝒂𝒈𝒓𝒆𝒆𝒎𝒆𝒏𝒕ation:
• Estimated to create over 1 million jobs in India, especially in labor-intensive sectors like textiles, leather, and plastics.
• Improves UAE investor access to Indian FDI channels and emerging sectors.
• Digital & Services Trade:
• The CEPA also covers services, digital trade, and investment rules, making it one of the most comprehensive FTAs for both countries.
• Easier Business Visas & Mobility:
• Simplifies professional mobility, including easier visa access for service professionals.

Strategic Significance:

• The CEPA with India is the first bilateral trade agreement signed by the UAE under its new CEPA strategy.
• It has become a template for future CEPAs by demonstrating measurable trade growth, simplified logistics, and private sector collaboration.
• It strengthens the UAE’s role as India’s trade gateway to the Middle East, Africa, and Europe.