Dubai plays a key role in the distribution of over 70 per cent of the UAE food imports, which are then re-exported to over 160 countries. India accounted for the largest share with 63 per cent of these re-exports.
Many different food staples are exported to India from Dubai including cashew nuts, coffee, rice, sugar, pulses, meat, fish, vegetables, dates and figs. Dubai’s prime location and access to air and sea ports with the best technology available make it an ideal place for re-exporting foodstuffs.
India is a vital trade partner of Dubai; the food market in India is expected to reach US$93 billion (AED3.4 trillion) by 2020. Furthermore, in 2016, India exported over US$29.95 billion (AED110 billion) in processed food. Hence it was notice that India is one of the largest producers of food globally.
has grown to exceed 37,000 even as Dubai's non-oil trade with India reached US$26 billion (AED95 billion) says His Excellency Majid Saif Al Ghurair, Chair of Dubai Chamber.
With this, a new pilot advantage from Dubai Exports, the Buyer Protection Programme will boost food trade between India and Dubai. This programme was designed by the Commercial Compliance and Consumer Protection (CCCP) to ensure that any potential disputes are resolved efficiently to the advancement of all parties involved.
This programme means that international disputes may be resolved quickly and at a fraction of the cost it would have previously. Indian companies can now commune with Dubai Exports office in their country. There, they can submit complaints and the office acts as an intermediary. Once the evidence has been provided the CCCP will ensure the issue has an amicable solution, usually within ten working days. Many of the leading trade bodies in India are enthusiastic about the move.
"The historic trade relations between the UAE and India are entering a new phase of dynamic and sustainable engagement with the leadership in both countries intent to work closer on optimising their respective strengths."Stated Saad Al Awadi, CEO of Dubai Exports.
The programme was launched as Abu Dhabi Crown Prince and Deputy Supreme Commander of the UAE Armed Forces His Highness Sheikh Mohamed bin Zayed Al Nahyan, and Prime Minister Narendra Modi, pledged to develop a medium and long-term strategy that would increase bilateral trade by 60 per cent within the next five years.
Mohammed Lootah, CEO of CCCP is optimistic of the opportunities that the Buyer Protection Programme will bring to those wishing to export foodstuffs from Dubai. “We are optimistic that the Buyer Protection Programme will open avenues for Dubai-based companies to further boost their exports not only in India but also to other neighbouring countries.” even after Dubai Exports has another five trade offices in other countries.
In addition to this, the UAE and India reached an agreement in February this year which allows both nations to bypass all foreign currencies and instead trade using only UAE dirhams and the Indian rupee. This agreement will only encourage trading between the two countries while also bringing savings to all involved.
The dirham is pegged to the US dollar, but it is thought this currency agreement will work positively for both nations.
Furthermore, India has been heavily invested by the UAE companies . Dubai based DP World has invested US$1 billion (AED 3.67 billion) to develop ports across India. as well as creating a US$3 billion (AED11 billion) fund alongside the Indian state to develop the logistics business.