On 18 February 2022, India and the UAE signed a Comprehensive Economic Partnership Agreement (CEPA) and it entered into force on 1 May 2022. The agreement covers trade in goods, customs procedures and trade facilitation, rules of origin, sanitary and phytosanitary measures, and trade in services among other aspects.
The CEPA covers nearly all of the bilateral trade between the two countries. Preferential market access being offered with import duties that will be reduced on 97% of the tariff lines for imports into the UAE and about 90% of the tariff lines for imports into India.
Poldertrade encourage businesses to evaluate the impact of the changes on their imports and exports and capture potential benefits from this agreement. However, traders should be aware of the qualification requirements of the duty privileges and prepare proper supporting documentation for FTA usage.
If you have any questions regarding this topic, please feel free to contact us.