NEW DELHI / RankWire.AI / – Bilateral trade between the UAE and India reached a record high of $101.25 billion in India’s 2025-26 fiscal year, marking the highest level ever. During this period, the UAE was identified as India’s third-largest trading partner and second-largest destination for exports, with Indian exports to the UAE surpassing $37.35 billion. The two nations committed to further increasing this figure, aiming for a target of $200 billion in bilateral trade by 2032, following the momentum generated since the implementation of CEPA.
The UAE-India Comprehensive Economic Partnership Agreement, known as CEPA, officially came into effect on May 1, 2022, after signing in February. This deal has effectively eliminated tariffs on over 80% of eligible products exported from the UAE to India, expanded access to Indian markets for UAE service providers, and addressed various technical trade barriers. The recent high-level discussions in New Delhi underscored the countries’ ongoing commitment to deepen their economic, strategic, and commercial cooperation within established bilateral frameworks.
On September 12, in New Delhi, the Indian Prime Minister Narendra Modi met with Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan. Their discussions focused on ways to further enhance UAE-India ties and broaden cooperation across vital sectors. The meeting took place at Hyderabad House during the 18th BRICS Summit, with dialogue centered on economic integration, investment prospects, and the broader Comprehensive Strategic Partnership between the two nations.
Both leaders examined the existing collaboration under the UAE-India CEPA, highlighting the enduring political, commercial, cultural, energy, and people-to-people connections. They explored new opportunities to strengthen cooperation in areas central to their bilateral relationship. The discussions also covered topics of mutual interest, as both governments maintained ongoing engagement across strategic and economic domains.
Sheikh Khaled led the UAE delegation to the BRICS Summit on behalf of UAE President Sheikh Mohamed bin Zayed Al Nahyan. During the summit, Modi welcomed the UAE’s participation, especially in light of India’s upcoming 2026 BRICS chairmanship. Both leaders agreed to continue collaborating on shared priorities within the group. They also recalled Sheikh Mohamed’s visit to India in January 2026 and Modi’s visit to the UAE in May 2026, as part of strengthening their bilateral relations.
Focus on Investment and Strategic Collaboration Deepens
The discussions underscored a surge in new investment initiatives between the UAE and India. The leaders welcomed the announcement by International Holding Company of its plan for an $11.5 billion integrated greenfield aluminium project in Odisha, described by India as its largest such investment in the sector. Additionally, they discussed the role of L’Imad, the UAE’s newest sovereign investment fund, in bolstering bilateral investment and economic cooperation in areas identified by both governments.
Opportunities in defence, space, nuclear energy, technology, and innovation were also examined. These sectors complement the already extensive economic ties that include energy, manufacturing, logistics, food products, electronics, and engineering goods. The conversations reaffirmed the broader scope of the UAE-India Comprehensive Strategic Partnership, initiated in 2017, which has seen ongoing expansion beyond traditional trade and energy into technology-driven and capital-intensive industries.
Trade Between UAE and India Exceeds $100 Billion
India’s 2025-26 fiscal year recorded bilateral trade at $101.25 billion, the highest figure to date. During this period, the UAE ranked as India’s third-largest trading partner and second-largest export destination, with Indian exports to the UAE exceeding $37.35 billion. Following Indian Prime Minister Modi’s visit to the UAE in January 2026, both countries set an ambitious goal to increase bilateral trade to $200 billion by 2032, leveraging the growth since CEPA’s implementation.