UAE Firms Eye Bigger Role In India As Bilateral Non-Oil Trade Surges

UAE companies are lining up to expand investments in India across infrastructure, banking, startups, logistics, and data centres, Commerce and Industry Minister Piyush Goyal said on Friday, underscoring the growing momentum in economic ties between the two nations.

Goyal, who was in the UAE for the 13th meeting of the India-UAE High-Level Joint Task Force on Investments , said both sides have“reset their targets” to scale up capital flows and deepen collaboration in new-age sectors such as renewable energy, shipbuilding, pharmaceuticals, retail, and technology.“The UAE recognises India as a key investment destination. My sense is that we can look at a much larger investment flow given the work that has happened in India,” he told reporters after leading a 75-member business delegation.

The meetings coincided with fresh figures showing the impact of the Comprehensive Economic Partnership Agreement (Cepa), signed in 2022. In the first half of 2025 alone, bilateral non-oil trade surged 34 per cent year-on-year to nearly $38 billion, with Cepa-enabled trade at $37.6 billion. Non-oil, non-precious metals trade now stands close to $55 billion, putting the two countries firmly on track to achieve the $100 billion target within the next three years.

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Cepa's impact has gone well beyond tariff reductions. It has diversified trade into gems and jewellery, food processing, telecom, green energy, and digital services, while also triggering cooperation in artificial intelligence, space technology, and financial integration. Indian states are leveraging the pact to bring in targeted investment and integrate SMEs into global value chains, while the UAE has emerged as a preferred hub for Indian family offices and high-net-worth investors.

Among the flagship projects under discussion is“Bharat Mart ,” a 2.7 million square-foot facility at Jebel Ali Free Zone, designed to help Indian exporters showcase products to global buyers. The UAE has allocated land and construction is expected to be completed by 2027. More than 9,000 companies have expressed interest in the project.

Progress was also reviewed on the India-UAE Friendship Hospital, while future cooperation was mapped in sectors ranging from maritime and defence to textiles, leather, and home décor. Discussions also extended to joint initiatives in Africa, Central Asia, and Europe, combining India's manpower and technology with UAE's capital and connectivity.

Goyal announced that an Indian Institute of Foreign Trade campus would soon open at the Dubai Expo site, joining the Indian Institute of Technology in Abu Dhabi and the Indian Institute of Management in Dubai.“This will provide advanced training in global trade for both Emirati students and the Indian diaspora,” he said.

The UAE-India Business Council – UAE Chapter (UIBC-UC) also convened a closed-door roundtable in Dubai, co-chaired by Goyal and UAE Minister of Foreign Trade Dr. Thani bin Ahmed Al Zeyoudi. Senior Indian and Emirati officials, including Ambassador Sunjay Sudhir and Consul General Satish Kumar Sivan, attended alongside industry leaders from DP World, KEF Holdings, Emaar, Emirates NBD, and Tata Sons.

At the meeting, UIBC-UC released a landmark research paper titled Strength in Synergy: Unlocking India-UAE CEPA Global Potential. The study highlighted how CEPA is transforming from a bilateral trade accord into a platform for global cooperation, urging deeper collaboration in clean energy, AI, digital integration, education, and human capital development.

“CEPA is no longer just a trade pact-it's a blueprint for the future,” said Faizal Kottikollon, Chairman of KEF Holdings and UIBC-UC.“By combining India's manufacturing and technology strengths with the UAE's infrastructure and investment depth, we are charting a new era of collaboration that is globally resonant.”

Goyal also pointed to advances in financial connectivity. India's Unified Payments Interface (UPI) has already been rolled out in the UAE, while a bilateral investment treaty that came into effect in August 2024 offers greater protection for investors. Talks are underway to expand local currency trade, interlink payment systems, and cooperate on central bank digital currencies.

Bankers, too, are showing interest in India.“One banker who met me is very keen to set up a new operation in GIFT City,” Goyal said. The UAE is already among the top six investors in India, with foreign direct investment of $24 billion between April 2000 and June 2025. Officials believe that pool of capital could grow significantly as regulatory frameworks evolve.

“For businesses that seize these opportunities, this is not just about bilateral trade-it is about creating a corridor of trust and growth that can reach far beyond our two nations.”

At the Abu Dhabi India Business Forum, Goyal highlighted India's long-term growth story, projecting the country to become the world's third-largest economy by 2027, on its way to a $30–35 trillion economy by 2047. He cited $700 billion in forex reserves, a strong banking system, and a large talent pool producing 2.2 million STEM graduates annually as key drivers.

“India and the UAE are building a partnership rooted in innovation, investment, and sustainable growth,” he said, noting the 4.2 million Indians living in the Emirates as the human bridge that underpins bilateral ties.

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