Big boost to India's exports after free trade pact with UAE, up by 16.22%

After implementation of a free trade agreement, India's exports to the UAE rose by 16.22 percent to USD 837.14 million during May-June this year, sources said on Friday.

Exports during the same period of the previous year stood at USD 720.31 million.

The Comprehensive Economic Partnership Agreement (CEPA) between the two countries came into force from May 1.

Under the pact, domestic exporters from various sectors like textiles, agriculture, dry fruits, gems and jewellery are getting duty-free access to the UAE market.

"India's exports to UAE which were in negative growth trajectory post the outbreak of Covid-19 to April 2022 have witnessed a rebound since May 2022, that is, post the signing of the agreement," the sources said.

Post the signing of the CEPA, exports grew by 16.22 percent to USD 837.14 million in May-June 2022, one of the sources said.

Shipments of plain gold jewellery increased by 62 percent and 59 per cent in May and June to USD 135.27 million and USD 185.78 million, respectively.

Colin Shah, Chairman, GJEPC (Gems and Jewelery Export Promotion Council), said that plain gold jewellery exports have been the immediate beneficiary of the India-UAE CEPA.

"I urge all exporters to maximise their returns and make optimum use of the benefits available through this pact," he has said.