Business | Economy
Non-oil trade between Dubai and India at $19b
India-Dubai non-oil trade increased 74 per cent last year to $19 billion (Dh69.7), compared to $10.9 billion (Dh40 billion) in 2006, a senior official said.
- By Nadia Saleem, Staff Reporter
- Published: 23:32 June 2, 2008
Dubai: India-Dubai non-oil trade increased 74 per cent last year to $19 billion (Dh69.7), compared to $10.9 billion (Dh40 billion) in 2006, a senior official said.
Trade with Dubai represented 80 per cent of the trade between the two countries.
Venu Rajamony, consul-general of India said the reason behind the increase is the booming economy in both countries.
He said that the economic relationship between India and Dubai is "extremely close."
The major commodities imported from India to Dubai were precious and semi-precious stones and precious metals valued at $5.8 billion (Dh21.2 billion). Similarly, the top commodities exported from Dubai to India were precious and semi-precious stones and precious metals valued at $2.7 billion (Dh9.9 billion).
Total exports from Dubai equalled $3.2 billion (Dh11.7 billion), while imports from India totalled $9.9 billion (Dh36. 3 billion).
On the topic of trade taxes between the two countries, Rajamony said that s a free trade agreement between India and the GCC is under discussion. India has been progressively reducing its tariffs on imports.
"That is the process that is taking place as India's overall policy to becoming more open to trade," he said, mentioning that the tariffs in India are extremely low compared to five years ago.
"What is special to India and the UAE is that it is not purely a government to government relationship," he said speaking of the ventures between private companies.
The consul-general also mentioned that India has the largest number of companies registered with the Dubai Chamber of Commerce and Industry among all foreign countries.
Out of the total 101,000, 12,359 are Indian companies in Dubai, according to official statistics.
Added to that, 6,154 companies are registered with the Sharjah Chamber, which constitutes 18 per cent of the 33,103 companies registered in the emirate.
Furthermore, Jebel Ali Free Zone Authority has 575, Ras Al Khaimah (RAK) Free Trade Zone has 681, RAK Investment Authority has 300 and RAK Chamber of Commerce has 1227 registered Indian companies, according to latest reports. Approximately 60 per cent of the companies in the Fujairah Free Trade Zone are from India.
Sharjah Customs statistics show that non-oil trade between India and Sharjah last year was worth about $2.1 billion (Dh 7.7 billion) an increase of 10.5 per cent over the $1.9 billion (Dh6.97 billion) in 2006.
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