Tuesday 17 / September / 2024
Mumbai: Abu Dhabi Crown Prince Sheikh Khaled Bin Mohamed Bin Zayed Al Nahyan, who is on an official visit to India, attended a business event held in Mumbai on Tuesday.
During the meeting, both nations signed two significant agreements aimed at boosting trade and investment between the two nations.
The first agreement launches the India-UAE Virtual Trade Corridor (VTC) and MAITRI interface, which will facilitate trade and reduce administrative processes, logistics, and transport costs.
The second agreement is a Memorandum of Understanding (MoU) between International Resources Holding RSC LTD and a consortium of Indian companies for global collaboration in critical mineral supply chain exploration in third countries.
"Launch of work on the India-UAE virtual trade corridor (VTC) and MAITRI interface to facilitate VTC under the framework agreement between India and the UAE on the India-Middle East-Europe Economic Corridor (IMEEC)," according to the official statement.
The Virtual Trade Corridor (VTC) will be an integral part of IMEEC. Benefits of VTC include reduction of administrative processes and time, reduction of logistics and transport costs, and enhancing ease of doing business .
MAITRI is a Master Application for International Trade and Regulatory Interface that integrates multiple Indian operational portals to facilitate interfacing with UAE portals.
It optimises efficiencies, leverages technologies, eases regulatory compliance, streamlines operations and enhances transparency. MAITRI is also scalable, secure, unified and credible.
IMEEC is an ambitious infrastructure project which will define global connectivity in the decades to come.
Following the announcement of the project at the G20 summit in Delhi last September, India and the UAE took the lead in February this year when an Inter-Governmental Framework Agreement to implement IMEEC was signed during the PM's visit to Abu Dhabi.
"MoU between International Resources Holding RSC LTD and a consortium of Oil India Ltd, Khanij Bidesh India Ltd and ONGC India Ltd towards global collaboration in Critical Mineral Supply Chain," as per the official statement.
"The MoU provides for cooperation in critical mineral exploration in third countries. It will help boost the supply chain resilience of critical minerals. Critical minerals are key to powering 21st century digital economy," the statment added.
According to the official statment, India-UAE trade, reached USD 84 billion in 2023-24, making the UAE India's third largest trading partner after China and the US.
Moreover, UAE is the second largest export destination of India (after the US) with an amount of nearly USD 36 billion for the year 2023-24.
The UAE's investment in India between 2000-2023 is estimated to be around USD 20-21 billion, of which USD 18.5 billion is in the form of FDI while the remaining is portfolio investment. In 2023-2024, UAE is the 6th biggest FDI, investor into India.
The UAE has also committed to invest USD 75 billion in India's infrastructure sector over a period of time.
