Three years of India-UAE CEPA—gems & jewellery exports flourish as bilateral trade doubles

Three years since its implementation, the India-UAE CEPA has strengthened India’s jewellery exports. Gems and jewellery remain a key driver of non-oil trade growth, contributing significantly to the USD 83.7 billion bilateral trade

Dubai: The India-United Arab Emirates (UAE) Comprehensive Economic Partnership Agreement (CEPA) marks its third anniversary on 18th February 2025. Signed during a virtual summit between Indian Prime Minister Narendra Modi and UAE President Sheikh Mohamed bin Zayed Al Nahyan on 18th February 2022, CEPA came into effect on 1st May 2022. 

Since its implementation, bilateral merchandise trade between India and the UAE has nearly doubled from USD 43.3 billion in FY 2020-21 to USD 83.7 billion in FY 2023-24. As of January 2025, the trade volume stands at USD 80.5 billion for the current fiscal year. Non-oil trade has also expanded significantly, reaching USD 57.8 billion in FY 2023-24, accounting for more than half of the total trade. This aligns with the bilateral goal of achieving USD 100 billion in non-oil trade by 2030. Since CEPA’s enforcement, approximately 2,40,000 Certificates of Origin have been issued, facilitating exports worth USD 19.87 billion to the UAE under preferential duties. 

India’s non-oil exports to the UAE have reached USD 27.4 billion in FY 2023-24, reflecting an average growth rate of 25.6% since CEPA’s introduction. Apart from refined crude oil and gems and jewellery, sectors such as electrical machinery, light and medium high-technology goods including boilers, generators, and reactors, as well as organic and inorganic chemicals, have seen substantial growth. Smartphones have emerged as a major export category, with shipments valued at USD 2.57 billion in FY 2023-24. 

To address trade-related challenges, both governments have engaged in regular high-level meetings and technical discussions. The Joint Committee, established to oversee CEPA’s implementation, has convened twice, with the most recent meeting held in October 2024. The Trade in Goods Committee has also conducted multiple meetings to resolve bilateral trade issues. In line with the agreement’s objectives, various sub-committees have been activated to address matters related to trade in services, rules of origin, customs procedures, and trade facilitation. 

The Bharat Mart initiative, inaugurated by the Indian Prime Minister in Dubai, is expected to serve as a centralised platform for Indian manufacturers to showcase their products to global markets, further supporting export growth. 

The India-UAE CEPA has played a significant role in strengthening economic relations by fostering business opportunities, empowering MSMEs, and generating employment. Both nations remain committed to deepening their economic partnership and expanding trade opportunities through the CEPA framework. 

Retail Jeweller ME News