The United Arab Emirates (UAE) has agreed to investigate India’s concerns over compliance with rules related to the import of silver products, platinum alloys and dry dates, the commerce department said on Tuesday.
At a joint committee meeting under the India-UAE trade deal, New Delhi officials expressed concern over the recent surge in imports of these products. These were shipped to India and took advantage of the lower tariffs under the pact.
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Indian government officials, who were in the UAE for the meeting, urged officials from West Asian countries to verify compliance with rules of origin and ensure they are not “bypassed.”
In the case of silver, the Commerce Department has been trying to understand the reasons behind the surge in imports in recent months. This is despite the strict rules of origin or value-added standards agreed under the trade agreement.
“The Indian side raised the issue in view of the recent increase in imports of silver products, platinum alloys and dry dates and urged the UAE to verify compliance with rules of origin and ensure that the rules do not are bypassed. The UAE has agreed to look into the concerns of its Indian counterparts,” an official statement said.
The Comprehensive Economic Partnership Agreement (CEPA) between India and the UAE was signed in February 2022 and came into effect from May 2022.
The pact includes provisions for unlimited imports of duty-free gold, silver, platinum and diamonds into India in the coming years.
Both sides also discussed their goal of achieving the $100 million non-oil trade target well before 2030. The two sides also held extensive discussions on all aspects of the bilateral partnership, including measures to further strengthen and improve mutual trade. the statement said.
The UAE is India’s third largest trading partner. During the first seven months of the financial year, India exported goods worth $11.45 billion to the West and Asian countries. Imports amounted to $31.14 billion. The UAE is also India’s second largest export market.
Both sides also agreed to appoint technical experts for seamless and timely exchange of trade-related data.
“It was decided that the group would meet as soon as possible to understand each other’s statistical systems and formulate methodologies for the harmonization of bilateral trade statistics. It will enable the analysis of trade data in a compatible and comparable format, further deepening mutual understanding,” the statement said.
Point of contention
> India expressed concerns over increased imports of silver, platinum alloys and dry dates under the India-UAE trade pact
> Indian officials urged the UAE to ensure compliance with rules of origin
> Both sides discussed measures to promote trade, with a target of $100 million in non-oil trade by 2030
First publication: October 16, 2024 | 12:22 pm IST