“The beauty of this relationship has been that our leaders have been in very regular contact, even during Covid they were meeting virtually,” said India’s ambassador to the UAE, Sunjay Sudhir.
He noted that the historic Comprehensive Economic Partnership Agreement (CEPA), which gave a new thrust to the economic engagement between the two countries, was also signed during the Covid-19 pandemic.
“In just one year, our trade has gone by 19 per cent and the total trade is now about USD 85 billion. The initial target was USD 100 billion in five years,” the ambassador said.
Prime Minister Modi will hold talks with Sheikh Mohamed bin Zayed Al Nahyan, President of UAE and Ruler of Abu Dhabi on Saturday.
“I look forward to meeting my friend, H.H. Sheikh Mohamed bin Zayed Al Nahyan,..” Prime Minister Modi has said. “Our two countries are engaged across a wide range of sectors such as trade, investments, energy, food security, science and technology, education, fintech, defence, security, and robust people-to-people ties,” he said in his departure statement on Thursday. He also noted that in 2022, the two leaders agreed on a roadmap for the future of the bilateral partnership. “I look forward to discussing with him how to further deepen our ties,” Modi said.
The CEPA is a full and deep Agreement signed on 18 February 2022 and it entered into force from May 1, 2022.
The UAE will be hosting the 28th Conference of Parties of the UNFCCC (COP-28) later this year. “I also look forward to exchanging views on strengthening global cooperation towards accelerating climate action to facilitate the energy transition and implementation of the Paris Agreement,” Modi said.
“I am confident that my visit to the UAE will usher in a new chapter in our Comprehensive Strategic Partnership,” he added.
Global Business Federation (GBF) Middle East Chairman, Chandrashekhar Bhatia, said India and UAE’s businesses have benefited from CEPA — formalised in just 88 days.
“India and the UAE enjoy good relations and this visit will boost the ties further. Indian exports to the UAE have already increased by 25 per cent and I hope this cooperation (CEPA) extends to space, defence, and water technology,” Bhatia said.
Prime Minister Modi’s trip to Abu Dhabi will mark the completion of the triad after an even more substantive engagement with the leadership of France on July 14.
However, the multilateral element comes with the UAE-France-India trilateral cooperation initiative, which was announced last year and formalised in February this year.
The initiative serves to promote the design and execution of cooperation projects in various fields, including energy and combating climate change.
The trilateral platform also expands the cooperation between the three countries’ development agencies on sustainable projects and organises a range of trilateral events in the framework of the Indian Presidency of the G20 and the UAE’s hosting of COP28 in 2023.
“The India-UAE comprehensive strategic partnership has been steadily strengthening and the prime minister’s visit will be an opportunity to identify ways to take this forward in various domains such as energy, education, healthcare, food security, fintech, defence and culture,” the Ministry of External Affairs (MEA) said prior to the visit.
The echoes of Modi’s ongoing trip to France could also be heard in the Indian corporate corridors of the UAE.
Paras Shahdadpuri, the Chairman of the Nikai Group of Companies, called the France visit “a profound understanding of the vast opportunities that accompany fortified ties”.
He said the business community looked forward to the prospect of further collaborations and advancements in trade, investment, and technology between the UAE and India.
“Our aspirations soar as we place great trust in Modi’s ability to engage in substantive discussions regarding the prevalence of the esteemed Indian payment system, RuPay, an innovation introduced during his 2019 visit. The UAE, a trailblazer in the Gulf region, proudly embraced RuPay as the first country to adopt this transformative platform,” he added.
Kamal Vachani, the Group Director and Partner of Al Maya Group, said the India-UAE relations had strengthened over the years, especially under the leadership of Modi.
“From the historic signing of CEPA to increased trade between the two nations, citizens and their economies have benefitted immensely. We believe that this visit will further cement bilateral ties while also boosting the UAE and India’s economies,” he said.
Under the India-UAE CEPA in the Goods Domain, the UAE eliminated duties on 97.4 per cent of its tariff lines corresponding to 99 per cent of imports from India. India has obtained immediate duty elimination on over 80 per cent of its tariff lines corresponding to 90 per cent of India’s exports in value terms.
Emphasising the case of an IIT in Abu Dhabi, Deepika Thapar Singh, the CEO-Principal at Credence High School, said there is a large Indian community in the Gulf and many students after completing grade 12 consider going back to India for further studies in prestigious Indian institutions, particularly IITs.
“Students will now have the option to continue staying in the Gulf and studying in this prestigious institution which will surely cater to their unique cultural, educational, and social needs. This will make studying a more comfortable and fulfilling experience,” she said.
According to Singh, a degree from IIT is recognised and respected both in their home country and globally, potentially leading to better job opportunities for these students.
Another multilateral dimension to this bilateral relationship is the India, Israel, the UAE, and the US (I2U2) formation, which some think tanks choose to call “the nucleus of economic cooperation” that could also help forge security ties between the United States, Asian powers, and the GCC.
Despite the broader geo-economic potential of the engagement, Indian businesspersons keep going back to the CEPA agreement, which has given enormous impetus to the India-UAE ties.
Bharat Bhatia, Chairman and CEO of Conares, said that since the signing of CEPA over a year ago, his business had experienced new opportunities.
“We eagerly anticipate the discussions that will further strengthen our bilateral ties, encompassing trade, investment, and technology. As an Indian residing in the UAE for four decades, I wholeheartedly support the ongoing efforts and look forward to continued collaboration and prosperity between our nations,” he said.
There is also an emphasis on the personal rapport that has brought the relationship this far and Dubai-based Media and entertainment professional, Sanjay Raina, said the prime minister’s personal rapport with the UAE leadership added tremendous value to the initiative.
“A case in point is the CEPA and since it’s signing the trade between the two nations is up by 30 per cent. We Indians call the UAE our second home. We truly feel at home here,” he said.
John Sunil, CEO of Burjeel Holdings, one of the UAE’s largest healthcare companies, called Modi’s visit “a significant step toward deepening ties between the two nations”.
“I am hopeful that the visit will lead to a renewed focus on healthcare, energy, education, food security, and fintech, paving the way for innovation, shared knowledge, and greater economic resilience. The talent pool from India in UAE’s healthcare sector is significant, and both countries are further collaborating to strengthen their healthcare sectors,” he said.
John P. Varghese, President of India Social Culture Centre in Abu Dhabi, said the recent milestones achieved in the India-UAE bilateral relationship had elated spirits, particularly in fields including but not limited to business and trade.
“With this historic visit, we anticipate a fresh wave of dynamics to expand the bilateral ties between our nations further, propelling us toward greater prosperity and mutual growth,” he said.
Healthcare, AI and ESG enthusiast, Anurag Kashyap, said the Indian diaspora in the UAE was the largest in the world and Indians made up about 30 per cent of the UAE’s population.
“The Indian community is known for its hard work, entrepreneurial spirit, and strong cultural values. The UAE is India’s third-largest trading partner, and the two countries have a robust strategic partnership,” he said.
Banker and poet, Sarosh Arif, said a wish list for this otherwise happening relationship was NRIs being able to vote in India.
“We have all benefited from this relationship, but it would really go to another if NRIs across the globe, especially in the Gulf, are allowed to vote in India,” he said, adding, “It would also be great if steps are taken to ensure NRIs aren’t seen as cash-cows back home”.
Aside from the community aspirations and the burgeoning bilateral exchanges, the outlier value of the India-UAE relations lies in its ability to transcend the bilateral and acquire a multilateral dimension with infinite possibilities.
