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CliQ INDIA > International > Jebel Ali Free Zone Drives Unprecedented Growth in India-UAE Trade Ties
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Jebel Ali Free Zone Drives Unprecedented Growth in India-UAE Trade Ties

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Jebel Ali Free Zone (Jafza) has emerged as a pivotal force propelling the remarkable expansion of trade between India and the UAE, witnessing a remarkable 28% year-on-year surge in new Indian businesses establishing their presence in the trade and logistics hub.

In 2023 alone, Jafza welcomed 190 new Indian companies, marking a significant 15% year-on-year increase, bringing the total number of Indian businesses within its premises to over 1,500. This surge in customers follows a series of trade events in Mumbai and Hyderabad, organized in collaboration with the Confederation of Indian Industry (CII) and the UAE-India Business Council (UIBC).

At the forefront of this burgeoning partnership stands Bharat Mart, a groundbreaking initiative laid in February 2024 by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, along with Indian Prime Minister Narendra Modi. Scheduled for inauguration in 2026, Bharat Mart aims to revolutionize trade by offering comprehensive supply chain solutions integrating retail, warehousing, and logistics services under one roof. Remarkably, the project has already generated nearly 3,000 business leads within a month of its announcement.

Abdulla Al Hashmi, Chief Operating Officer, Parks & Zones at DP World GCC, emphasized the profound impact of Bharat Mart, stating, “We’ve received overwhelming interest from Indian businesses keen to establish a presence in Jafza, leveraging our world-class infrastructure, network, and market access. With Bharat Mart, we aim to continue revolutionizing trade, opening new pathways that strengthen economic partnerships and facilitate seamless global commerce.”

The recent trade events also highlighted the flourishing trade ties between the UAE and India, particularly since the signing of the Comprehensive Economic Partnership Agreement (CEPA) in May 2022. This landmark agreement, which eliminated tariffs for Indian traders, has fostered an open and efficient environment for cross-border trade, resulting in a 5.8% annual increase in bilateral non-oil trade to $50.5 billion in the first year alone. The ambitious goal is to further elevate non-oil trade to $100 billion by 2030.

Al Hashmi emphasized the pivotal role of DP World’s India-UAE Trade Bridge initiative, launched in 2019, which streamlines shipping between the two nations, reduces costs and time, and generates new business opportunities across various sectors.

Jafza’s strategic location and world-class facilities, serving over 10,000 companies from 130 countries, have positioned it as a vital link in India’s trade network. With Indian companies representing significant partners at Jafza, the integration with Jebel Ali’s new Agri Terminals facility further enhances its logistics capabilities, offering a comprehensive solution to support Indian businesses’ growth aspirations.

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