The India-UAE Comprehensive Economic Partnership Agreement (CEPA) came into effect from May 1.
Exports of gems, jewellery, sugar confectionery, cereals, electrical machinery and other products to the UAE have registered a healthy growth after the two countries implemented a trade deal in May.
The commerce ministry said that Indian exports to the UAE, excluding petroleum products grew from USD 5.17 billion during June-August 2021 to USD 5.92 billion during June-August 2022, an increase of over 14 per cent.
However, sectors which recorded negative growth during the period include ships, boats and floating structures, apparel, pharmaceutical products, aluminium and articles, organic chemicals, carpets and other textile floor coverings, and silk.
The India-UAE Comprehensive Economic Partnership Agreement (CEPA) came into effect from May 1.
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“Indian exports are likely to increase further in the coming months with increasing use of the CEPA by the exporters and with dedicated efforts from Department of Commerce, in association with Indian Mission in the UAE, through organization of a series of trade promotion events in the UAE during the current financial year,” the ministry said in a statement on Sunday.
It said that data for May has not been included for the purpose of the analysis as it is considered as a transitory period.
“Oil trade has not been considered as import increase in oil/petroleum products is largely on account of the rise in global prices and to a certain extent on an increase offtake in volumes. Further, it is pertinent to mention that bulk of the oil imports from the UAE are of crude petroleum, the demand for which is inelastic and the customs duty for which is very low,” the ministry said.
According to the ministry’s analysis, exports of electrical machinery and equipment rose by 67 per cent to USD 916.53 million during June-August 2022. Similarly, exports of gems and jewellery increased by 33 per cent to USD 1.4 billion.
The outbound shipments of cereals; sugars and sugar confectionery; Inorganic chemicals; and nuclear reactors, boilers, machinery and mechanical appliances increased by 161 per cent, 237 per cent, 74 per cent, and 27 per cent to USD 281.36 million, USD 111.49 million, USD 156.92 million, and USD 267.89 million respectively during the period under review.
Exports of vehicles and accessories; coffee, tea, mate and spices; edible vegetables and certain roots and tubers; and essential oils and resinoids; perfumery, cosmetic or toilet preparations too recorded a positive growth, the commerce ministry data showed.
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Sectors which recorded negative growth during the period include ships, boats and floating structures (- 67 per cent), apparel (- 47 per cent), pharmaceutical products (- 37 per cent), aluminium and articles (- 26 per cent), organic chemicals (- 4 per cent), carpets and other textile floor coverings (- 33 per cent) and silk (- 35 per cent).
https://www.financialexpress.com/economy/exports-to-uae-get-a-boost-from-trade-deal-says-commerce-ministry/2690521/
