The first bilateral free trade deal agreement was signed between the two nations at the virtual summit. The CEPA Comprehensive Economic Partnership Agreement is enforced to make economies stronger and give them global access to pursue their business operations in the western markets. The trade deal was signed by India’s Prime Minister Narendra Modi and Crown Prince Sheikh Mohammed Bin Zayed Al Nahyan where they have discussed the plans of expansion and focusing on retaining higher profits with friendly bilateral relations. The trade deal was signed when UAE embarked on its 50th Anniversary and India celebrated 75 years of freedom. The occasion was well-suited to sign one of the remarkable CEPA that benefits both nations.
The free trade agreement is focused on boosting the trade between both countries from $60 billion to $100 billion in five years. The trade deal is expected to bring more business through the myriad of revenue streams. The CEPA will create new jobs, raise the living standards and also provide more economic opportunities that contribute to the development of the economy. In a press conference, it has been stated that Indian gems, textiles, leather, and other business will be benefiting from the deal. India will be providing tax concessions on the import of gold while UAE has also levied the tax on jewelry import to the country. The exposure for the Pharma industry has increased as UAE provides global market access to medicines from India within 90 days of approval in the US and UK.
The major benefit that both nations will be receiving from this CEPA is the reduction of tariffs on 80% of goods that are traded between the nations. This shows that foreign investors have the potential to grow their business in UAE now the tax is levied on imports by 80% .
The political leader has shared their vision with the signing of the free trade deal. The vision is to create newer opportunities and jobs in both nations, promote new trade, increase investments, technological advancements, and innovation in areas such as economic, energy, climate action, food security, defense, security, and much more. This trade deal acts as a safeguard mechanism for both nations if any uncertainties arise in the future. . The trade deal has opened doors for Indian investors to set up their business in the Jebel Ali Free Zone.
The trade deal will be effective in the first week of May which means if you deal in jewels, pharma, or any other business sector. It’s time to expand your horizons and set up your business with FlyingColour Business Setup Services and gain enormous profits in no time.FlyingColour Business Setup Services is one of the industry expertise and our network provides you the exposure that helps you excel in the UAE. We have a team of experts in every field, be it immigration, tax, accounting, or finding real estate that can help you retain higher profits.