India-UAE Trade Bridge event highlighted robust bilateral trade ties between the two nations and efforts to boost trade and investment opportunities
Bangalore, UAE, 19 October 2022: DP World recently hosted “The India-UAE Bridge; Dubai – India’s Gateway to the World” along with the Confederation of Indian Industry (CII) for key business leaders in Mumbai to showcase the role of Jebel Ali Port and Free Zone in boosting non-oil trade between the UAE and India to $100 billion over the next five years, complementing the Comprehensive Economic Partnership Agreement (CEPA).
Trade between the two nations has existed for decades and continues to deepen with the signing of the UAE-India Comprehensive Economic Partnership Agreement (CEPA) in February 2022. The CEPA, which officially came into force on 1 May 2022, includes eliminating tariffs on more than 10,000 products and services over the next 10 years, which will have an enormous impact on trade between the two countries and the wider Gulf region. Despite macroeconomic and geopolitical headwinds across the globe, India and the UAE have seen an increase in trade, with DP World as a key logistics enabler. As per the Indian Ministry of Commerce and Industry, India’s non-oil trade with the UAE witnessed a 14% increase during the July-August 2022 period, just months after the CEPA came into force.
DP World is also supporting the ‘Make in India initiative’ and ‘Production Linked Incentive’ schemes to boost manufacturing, investments, and exports in India via its Jebel Ali hub, offering unmatched logistics and trade solutions and greater access to new markets.
In 2021, Dubai accounted for 86% ($38.4 billion) of the total $44.8 billion worth of total non-oil trade between the UAE and India. Indian companies at Jafza are the second largest partners in terms of trade volume (4.4 million metric tonnes) and fourth for trade value ($6.5 billion).
The Jebel Ali Port and Jebel Ali Free Zone (Jafza), which form a world-class, integrated ecosystem for over 9,000 companies from around the world, serve more than 3.5 billion people globally by connecting directly to 150 ports and more than 180 shipping lanes.
Through its joint investment platform with India’s National Investment and Infrastructure Fund (NIIF), DP World will invest up to $3 billion to create world-leading integrated logistics infrastructure for India.
DP World’s portfolio of multimodal logistics assets and services includes five port terminals with a total annual capacity of 6 million TEUs, as well as five container freight stations. It also operates 31 container trains, seven rail-linked private freight terminals, Cold Chain facilities and a fleet of 60 trucks.
DP World is currently developing three free-trade zones, more than 20 built-to-suit warehouses and 100+ hubs for express cargo. Its feeder service, Unifeeder is the largest coastal shipping player in India with more than 70% market share of coastal traffic.
Alongside physical infrastructure, customers and exporters can use DP World’s single-window digital platform CARGOES.com to book freight seamlessly, receive instant quotes online and choose preferred modes of transport.
Indian manufacturers can reach buyers from UAE, the Middle East and Africa through Bharat Bazaar, a world-class traders’ market linked to Jebel Ali Free Zone where they can store, showcase, and sell their products. With a full array of solutions on offer like storage, handling, packaging and logistics, Indian manufacturers have the flexibility to sell locally in Dubai or to export to other countries.
Abdulla Bin Damithan, CEO & Managing Director – DP World UAE & Jafza said: “India and the UAE have shared a close relationship for many years. Our vision and goals are common – to create a self-reliant and sustainable market. In alignment with the UAE government’s strategy, we at DP World look forward to driving the success of India’s revolutionary ‘Make in India’ initiative, while helping the emirate of Dubai retain its position as a leading trade hub and India’s gateway to newer, larger markets. DP World’s key offering towards this is the ‘India-UAE Bridge’, an initiative that will integrate our assets and capabilities to enhance trade values for both nations. We also have the India Traders Market under development and the new Agri Terminal’s capabilities, which will all help India’s trade with the world.”
Rizwan Soomar, Chief Executive Officer & Managing Director, DP World Subcontinent said: “DP World is committed to partnering the growth of bilateral trade between India and UAE with the enabling ecosystem we have built in terms of logistics facilities and capabilities. Our key assets including maritime terminals, rail-linked private freight terminals, free trade zones among others are geared to support the growing trade needs of the industry. The UAE is an excellent gateway for Indian exporters to have better access to markets and customers in Africa, the Middle East and Europe. With the CEPA now firmly in place, I am confident that bilateral trade will reach the $100 billion mark well within the target time period.”
Robin Banerjee, Vice-Chairman, CII Maharashtra State Council, CII said: “Today, India is one of the biggest consumer markets in the world. The UAE has emerged as our third largest trade partner, with total non-oil bilateral trade valued at more than $72 billion. By collaborating with DP World, we want to capitalise on this success. DP World’s offering and exceptional connectivity have cemented Dubai’s position as the preferred logistics and distribution centre for Indian businesses. Their UAE-India Bridge and global logistics and financial solutions support traders and manufacturers in India and the UAE to fund their trade ambitions, thus contributing to economic gains for both countries. Businesses are gaining greater exposure and benefiting from Jafza’s excellent connectivity and thriving digital solutions.”