India-UAE CEPA will lead to glorious, shared future: EAM Jaishankar

External Affairs Minister S Jaishankar said CEPA signed between India and the UAE on Friday marked a milestone in bilateral ties, which will lead to a glorious, shared future and enhanced investments

External Affairs Minister S Jaishankar said the Comprehensive Economic Partnership Agreement (CEPA) signed between India and the UAE on Friday marked a milestone in the bilateral ties, which will lead to a glorious, shared future and enhanced investments.

The path-breaking trade agreement was signed during a virtual summit between Prime Minister Narendra Modi and Abu Dhabi Crown Prince Sheikh Mohamed bin Zayed al Nahyan on Friday. The agreement was signed and exchanged by Commerce and Industry Minister Piyush Goyal and UAE Minister of Economy Abdulla bin Touq Al Marri in New Delhi.

In an exclusive statement to UAE's official Emirates News Agency WAM, Jaishankar said the signing of the UAE-India CEPA "is a milestone event in our bilateral relations".

"It will open new opportunities in both trade in goods and services, and will lead to enhanced investments," he said.

"A vision document (signed during the virtual summit) will provide contours for future growth of our bilateral relationship for a glorious, shared future. Overall, the two (CEPA and the vision document) will deepen our strategic partnership," Jaishankar said.

The UAE is India's third largest trading partner and accounts for approximately 40 per cent of its trade with the Arab world, the WAM report said.

In September last year, India and the UAE formally launched negotiations for the trade agreement.

The pact covers areas including goods, services, rules of origin, customs procedures, government procurement, intellectual property rights, and e-commerce.

Under such agreements, two trading partners reduce or eliminate customs duties on the maximum number of goods traded between them. Besides, they also liberalise norms to enhance trade in services and boost investments.

Bilateral trade between India and the UAE stood at USD 43.3 billion in 2020-21. Exports were worth USD 16.7 billion and imports aggregated at USD 26.7 billion in 2020-21. The two-way commerce stood at USD 59.11 billion in 2019-20.

The UAE is a gateway to Africa and other parts of the world.