According to Union Commerce and Industry Minister Piyush Goyal, the India-UAE Comprehensive Economic Partnership Agreement will enhance the food processing sector while maintaining the interests of Indian farmers.
While speaking with industry representatives here, Goyal told them that farmers will be fully safeguarded under the India-UAE CEPA, and that the food processing sector would benefit.
"An extra boost in agricultural exports of $850 million is predicted over the next five years," he stated.
India's market access will improve as a result of CEPA, and access to the Middle East will be improved when five more nations join the agreement, he said.
The minister went on to say that the UAE's tariff concessions in gold will cut input costs, boosting exports to the UAE.
"This is projected to enhance gems and jewellery exports to the UAE to $10 billion (about Rs 74,000 crore) in 2023," Goyal added.
Similarly, the plastics industry will see a significant increase in exports as a result of CEPA's lower raw material costs, which will result in lower input costs, he said.
India had shipped plastics worth USD 418 million to the UAE in 2020-21, he noted.
Both India and the UAE, according to the Union minister, believe in the values of reciprocity, the rule of law, and transparency, therefore the India-UAE CEPA is a win-win agreement for both countries.
According to the minister, Indian business can investigate opportunities for start-ups in the UAE, and start-ups can find investors in the UAE.
According to Goyal, India and the UAE hope to boost their bilateral commerce to over USD 100 billion in the next five years as a result of the CEPA Agreement.
However, he stated that the potential for trade between the two countries is even greater, and that they will exceed the goal they set for themselves.
"While striving towards Aatmanirbhar Bharat, the Foreign Trade Agreement arrives at a good moment. Other countries with whom we are negotiating FTAs include the United Kingdom, Australia, the European Union, and Israel, among others "Goyal continued.