The Comprehensive Economic Partnership Agreement (CEPA) between the UAE and India, signed in May 2022, recently completed its third anniversary, showcasing significant progress in bilateral trade and strategic cooperation.
The landmark deal has propelled non-oil trade between the two countries, reaching $57.8 billion in 2023–24, with overall bilateral trade rising from $43.3 billion in 2020–21 to $83.7 billion in 2023–24. Projections suggest this figure may touch $80.5 billion in 2025. Over 2.4 lakh Certificates of Origin have been issued under CEPA, supporting $19.87 billion worth of Indian exports to the UAE.
CEPA, unlike a traditional Free Trade Agreement, provides a framework for deeper economic integration, including the liberalisation of trade, investment promotion, and cooperation in competition policies. It also facilitates the smoother movement of skilled professionals, including faster visa processing — an important step considering the UAE hosts over 3.5 million Indian nationals as of 2024.
Beyond trade, CEPA has strengthened India’s ‘Look West’ policy, improving regional food and energy security and opening new avenues for collaboration in fintech, renewable energy, and cybersecurity.
A recent study highlighted the vulnerabilities Indian migrant workers faced during the pandemic, especially the 17% drop in remittances from the UAE. CEPA aims to safeguard and empower this diaspora by promoting stable economic links.
In a time of global uncertainty, CEPA stands as a model for resilient economic cooperation and evolving geopolitical alignment, reinforcing the UAE-India partnership as both economically dynamic and diplomatically strategic.
