India UAE Trade Relations

India’s Trade Relations with

United Arab Emirates

Group 4 (FOUR)

Roll No. Name

72 Rajeev Ranjan Kesarwani

86 Bertila Thabah

98 Nitin Dwivedi

108 Swatanu Mohan Satpathy

111 Anurag Mishra

115 Suman Kundu

Topics of discussion

About U.A.E. in brief India-U.A.E. bilateral relations Bilateral Treaties Economic Relations Business Environment in U.A.E. Defense Relations The Future

About U.A.E. in brief

Capital City : Abu Dhabi Largest City : Dubai Population : 8,132,491 (94th in the world) GDP (2010) : 239.56 billion USD Per Capita : US$49,995 HDI : 0.815 (32nd in the world) Currency : Dirham = 12.3 INR Indians numbering about 2 million are employed in

the U.A.E. economy

India-U.A.E. bilateral relationsIndia as import partner : 10% of U.A.E.’s import

Cotton accessories Gems and jewelry Man-made yarn and fabrics Marine products Machinery and instruments Plastic and linoleum Tea

India-U.A.E. bilateral relationsIndia as export partner : 4.8% of U.A.E.’s export

Pearl and precious/semi-precious stones ; Gold Pulp and paper waste Sulphur and unroasted iron pyrites Metal scrap Organic and inorganic chemicals

India-U.A.E. bilateral relations

Us $ mn 2006-2007 2007-2008 2008-2009 2009-2010

Import 8655.28 13482.61 23791.25 19499.1

Export 12021.77 15636.91 24477.48 23970.4

Total trade 20677.05 29119.52 48268.73 43469.5

Trade Balance 3366.49 2154.3 686.23 4471.3

Source : Dept of commerce, GOI

India-U.A.E. bilateral relations

2006-2007 2007-2008 2008-2009 2009-20100

5000

10000

15000

20000

25000

ImportExportTrade Balance

Source : Dept of commerce, GOI

Bilateral Treaties

Cultural Cooperation Agreement Double Taxation Avoidance Agreement Agreement to Combat Trafficking in Narcotic Drugs

and Psychotropic Substances Agreement for establishing air services between

and beyond their respective territories Extradition Treaty : Agreement on Mutual Legal

Assistance in Civil and Criminal Matters, Judicial Commissions and Execution of Judgments

Bilateral Treaties

Agreement between Press Trust of India and Emirates News Agency for mutual professional cooperation

Defense Cooperation Agreement MoU on Manpower Sourcing MoU for Cooperation between Indian Council of

World Affairs (ICWA)and Emirates Centre for Strategic Studies and Research (ECSSR)

MoU between Securities and Exchange Board of India and Emirates Securities and Commodities Authority for Assistance and Mutual Cooperation on the Exchange of Information

Economic Relations

U.A.E. is the 2nd largest market globally for Indian products

Indo-U.A.E. joint commission for economic, scientific and technical cooperation was set up in Jan 1975 on an EAM level. Trade and Investment Combat crime, terrorism and illicit activities Education, culture, youth and sports Science and Technology

Economic Relations

India is also the 3rd largest investor in U.A.E. Major Indian companies in U.A.E.

L&T Punj Lloyd Hinduja Group Pioneer Cement Oberoi Group of Hotels

Economic Relations

India has topped the list of export market for Dubai for the 2nd consecutive year with a share of 40.6% at 5.36 billion US$.

Joint Business Council agreement was signed on 19th Feb 2004 at Mumbai between Federation of U.A.E. member of commerce and industry and Federation of Indian Chambers of commerce and industry. IT, Oil-gas Healthcare Infrastructure Tourism

Economic Relations

U.A.E. has invested over USD 5 billion in India through FDI and FII routes.

Major U.A.E. companies investing in India DP world RAK Investment Authority Emaar Group Damas Jewellery Al Nakheel Abu Dhabi Commercial Bank ETA Star Group SS Lootah Group Emirates Techno Casting

Business Environment in U.A.E. U.A.E. possesses 10% of world’s proven crude oil

reserves, which will last for more than 100 years. U.A.E. free trade zones are home to more than

3000 companies with an estimated trade of around US$ 8 billion.

U.A.E. has easy access to 1.5 billion consumer markets situated in Africa, West Asia and East Europe as well as the areas around the Red Sea and the Gulf.

Business Environment in U.A.E. No Corporate Tax and Income Tax No Personal Income Tax No foreign exchange controls 100% repatriation of capital and profits 11 ports and 6 international airports Dubai Internet city - Oracle, IBM, HP, Cisco Dubai media city - bridge to the future, linking the

GCC (Gulf Cooperation Council) countries and to the other nations of the world

Business Environment in U.A.E.Booming Sectors in U.A.E.

Telecom Electronic Goods Food and Beverage sector Oil and Gas Real Estate Gold and Ornaments

Defense Relations

India has been training U.A.E. defense personnel in various disciplines at its specialized institutions.

India is participating regularly in all international defense exhibitions (IDEX) organized by the General Exhibitions Corporation of the U.A.E.

An Agreement on Joint Defense Cooperation was signed by the two sides during June 2003. There was agreement that the 'Strategic Dialogue' would be held annually.

Defense Relations

At the first JDCC Meeting in April 2006, both sides agreed to support defense exhibitions in each country by deputing its platforms and personnel.

As a follow up of the meeting of the JDCC in April 2006 several steps were taken Enhance participation in training programmes Exchange of visits by service Chiefs Visits of Naval Ships and Coast Guard Cooperation in defense production industries

Defense Relations

In 2006 beginning, two Indian naval ships and two Indian Coast Guard vessels visited UAE.

India’s Navy Chief had a successful visit to the UAE in Feb 2007 during which he had meetings with the military chiefs of U.A.E.

The U.A.E. sent its defense officials to the Aero Show in Bangalore in Feb 2007.

A 5-member U.A.E. Defence Team visited India to examine Anti Aircraft Gun L-70-40 mm in March 2007.

The Future

Recent visit : The president of India visited U.A.E. from 21st to 25th November 2010

Agreement on security cooperation, counter-terrorism and maritime security Specific proposals focusing on education, science and technology and regional security An important area of cooperation, food security U.A.E. to invest in projects for enhancing agricultural

production in India, especially in the area of food processing

Labor welfare

The Future

U.A.E. to participate in activities in the petroleum sector to strengthen India's energy security, as well as in the infrastructure sector, including in the Railways.

Simultaneously, the U.A.E. assured India that it would back New Delhi's efforts for a permanent seat in the United Nations Security Council.

India-U.A.E. relations have been traditionally warm and friendly and based on continuity, trust and confidence without any irritants. This is likely to continue.

Thank You