news details |
|
|
| India-UAE CEPA has set stage for India's desire to become global player: Commerce Secy | | |  AGENCIES
MUMBAI, Feb 19: Commerce Secretary BVR Subrahmanyam on Saturday said the Indo-UAE Comprehensive Economic Partnership Agreement (CEPA), which is expected to push the bilateral trade between the nations to USD 100 billion in five years, has set the tone for India's desire to become a large global player in many fields.
Speaking to mediaperons in a virtual meet, Subrahmanyam said the CEPA agreement shows the maturity and the confidence coming out of Aatmanirbhar Bharat in India.
"(In this CEPA) we have got a government procurement chapter, we have a chapter on digital trade, we have a chapter on IPRs. So these are the areas where India has been diffident upon engaging either multilaterally or bilaterally. I think it shows the maturity and the confidence coming out of Aatmanirbhar Bharat in India, a sense of dynamism and self confidence that we are going ahead and signing (the agreement)," the Secretary said.
Subrahmanyam further said, "I think this CEPA is a landmark that this is the first time that we have inked a government procurement chapter, an intellectual property chapter, a chapter on digital trade. They may be very small but they have set the path, the trend and the tone and it conveys the sense of India's desire to be a large global player in many fields."
He also exuded confidence that the USD 100 billion target will be achieved ahead of the target of five years.
"No doubt that we will hit that number earlier rather than later. We have announced USD 60 billion for many years except last year because of Covid. Easily, we will exceed that (number) this year. So I think 100 merchandise trades, excluding petroleum, probably we don't even need to wait for 5 years. It will be earlier," Subrahmanyam added.
At present, India and UAE have USD 60 billion of trade with USD 30 billion on each side, of which India's import of petroleum is USD 15 billion. "For us, USD 30 billion of merchandise exports are going to the UAE, that's a significant amount. On services, we again have a substantial trade that we are expecting to go up. So we have a robust economic trade relationship."
Stating that the CEPA with the UAE was negotiated with a high degree of trust, transparency and balance, the Secretary said, "We went with open hearts to embrace very very deeply respecting each other's sensitivity and probably we were able to conclude in 3 months. If you start a particular approach with all our FTAs where two sides sit at the table understanding each other's sensitivity but with an openness to join hands to a maximum extent wherever possible, we will be able to conclude a lot of free trade agreements or CEPA or CECA very fast."
He further said the agreement is likely to come into effect by the beginning of April or May.
According to the CEPA, 9 broad sectors that account for 90 per cent of India's exports, in terms of value, to the UAE will get immediate market access at zero duty. These sectors include textiles, engineering products, gems and jewellery, pharmaceuticals and medical devices, plastics, automobiles, leather and footwear, agricultural products and other labour-intensive products.
"We are a major importer of gold. India imports 800 tonne of gold every year and so with UAE in this agreement we have given a tariff rate quota of 200 tonne. The tariff in perpetuity will be one per cent less than what is charged from the rest of the world. So UAE has a 1 per cent price advantage in gold bars. So this difference will get diverted to the UAE. On our side, the big gain is we get access to zero duty to the UAE market. So, on jewellery they had a 5 per cent duty on Indian jewellery, which has gone to zero. Therefore the gems and jewellery sector is gung-ho (with this agreement)," Subrahmanyam said. |
|
|
|
|
|
|
|
|
|
|
|
|
| |
| |
|
|
|
|
 |
|
|
|
|
STOCK UPDATE |
|
|
 |
| BSE
Sensex |
 |
| NSE
Nifty |
|
|
| |
CRICKET UPDATE |
|
|
|
|
| |
| |
|
|
| |
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
