India-UAE trade likely to exceed $25 bn by 2010March 25th, 2008 - 5:05 pm ICT by admin
Dubai, March 25 (IANS) Two-way trade between India and the United Arab Emirates (UAE) is expected to exceed $25 billion from the current level of $19 billion. During a meeting with Crown Prince of Sharjah and deputy ruler of UAE Sheikh Sultan bin Mohammed Bin Sultan Al Qaasimi here, president of India’s Associated Chambers of Commerce and Industry (Assocham) Venugopal Dhoot submitted a blueprint of future two-way trade between India and the UAE and its projections.
According to the blueprint, total India-UAE two-way trade is likely to exceed $25 billion by 2010 with trade balance remaining in India’s favour in view of rising bilateral relations between the two nations.
Dhoot said at the meeting that the volume of two-way trade excludes the crude oil trade.
He said that the two countries had established a very close relationship, as a result of which 33 percent increase in two-way trade has been marked between India and the UAE between fiscal 2005-06 and fiscal 2006-07, according to an Assocham statement.
Dhoot led an eight-member business delegation comprising captains of industry sectors like IT, technology parks, higher education and solar energy on a two-day visit to the UAE.
In 2006-07, India’s exports to the UAE stood at over $10 billion as against its imports of $7.5 billion.
The areas in which India’s exports to the UAE are well diversified include gems and jewellery, vegetables, fruit, spices, engineering goods, tea, meat and its preparations, rice, textiles and apparel and chemicals, besides RMG cotton including accessories, man-made yarn, manufacture of metals, fabrics and made-ups, marine products, machinery and instrument and plastic products, according to the statement.
Stating that the trend would continue and even intensify in future as close linkages were being established both bilaterally and diplomatically, Dhoot said it was because of this reason that Assocham expected India-UAE two-way trade to exceed $25 billion, adding that these estimates were conservative as the trade volumes might even exceed as there was tremendous potential for this.
During the course of the visit, the delegation signed four memoranda of understanding (MoUs) under which Indian companies would execute four projects in Dubai.
These projects include harnessing of solar energy, setting up an IT and technology park and opening more facilities for higher education.
The Sharjah crown prince has also accepted an invitation from Dhoot to visit India in October this year to address Indian corporates to evolve a new mechanism for boosting bilateral trade between the two countries.
Tags: assocham, bilateral relations, bilaterally, business delegation, captains of industry, chambers of commerce, chambers of commerce and industry, crown prince, deputy ruler, industry sectors, member business, oil trade, president of india, sharjah, sheikh sultan, technology parks, trade balance, united arab emirates, ups, venugopal