Official Name

United Arab Emirates

Capital

Abu Dhabi

Political Structure

Federation of Seven Emirates

Name of Seven Emirates

Abu Dhabi, Dubai, Sharjah, Ajman, Umm al Quwain, Ras Al-Khaimah and Fujairah

Currency

Dirham (DH or AED),

Population

4, 104, 695 (According to Dec, 2005 Census)

National Day

2nd December

Main Languages

Arabic, English is widely spoken

His Highness Sheikh Khalifa bin Zayed Al

Nahyan took charge on 3 November 2004. Late President Sheikh Zayed Bin Sultan al Nahyan, founding father of the United Arab Emirates, died on 2 November 2004. He had been ruler of Abu Dhabi since 1966 and UAE President since the formation of the Federation on 2 December 1971. He took the initiatives that led to the formation of the United Arab Emirates (UAE) a Federation of seven Emirates in 1971.

Total GDP

AED 485.5 billion (2005, Current Prices)

Trade Relation

India has had social and mercantile contact with the region comprising the seven Emirates, which now form the United Arab Emirates, since at least 3000 B.C. The relationship between India and UAE has been traditionally close and friendly and rests on firm foundations of political, economic and cultural links. People-to-people contacts and barter trade for clothes and spices from India in exchange for dates and pearls from the region have existed for centuries. Sharjah and Dubai were the main hubs for trade with the western coast of India and, in particular, the Malabar Coast. Following the accession of H.H. Sheikh Zayed Bin Sultan Al Nahyan as the Ruler of Abu Dhabi in 1966 and the rapid development of Abu Dhabi thereafter and subsequently of the other Emirates, after the creation of the Federation in 1971, India-UAE relations flourished. Following the demise of H.H. Sheikh Zayed Bin Sultan Al Nahyan in 2004, his son H.H. Sheikh Khalifa bin Zayed Al Nahyan has taken over as the President and Ruler of Abu Dhabi. The bilateral relations have been on the upswing as a result of regular high-level interactions. Today UAE is home to over one million Indians. A large Indian expatriate community resides and engages in the UAE in economically productive activities.

Important Bilateral Treaties:

India has signed the following treaties with the UAE:

• Extradition Treaty, Mutual Legal Assistance Treaty in Criminal Matters & Mutual Legal Assistance Treaty in Civil Matters: Signed in New Delhi in October, 1999 provide for Extradition and Mutual Legal Assistance in Civil and Criminal Matters and came into force in May 2000.
• Agreement on Juridical and Judicial Cooperation in civil and commercial matters: Signed in New Delhi in October, 1999 and provides for Juridical and Judicial Cooperation in Civil and Commercial Matters, came into force on 29.5.2000.
• Agreement to Combat Trafficking in Narcotic Drugs and Psychotropic Substances: Signed in New Delhi on January 6, 1994, provide for exchange of information through nodal agencies on smugglers, suspects, financiers, organizers and those involved in trafficking of narcotic drugs and psychotropic substances.
• Civil Aviation Agreement: Signed in March 1989, provides for establishing air services between and beyond India and the UAE
• Cultural Agreement: Signed on January 3, 1975 provides for Cultural Exchange Programmes. The last Cultural Exchange Programme under this agreement covered the years 1994 to 1996.
• Defence Cooperation Agreement: Signed in June 2003 in New Delhi, provides for cooperation between the two countries in matters related to security and defence and for annual meetings of 'Strategic Dialogue'.
• Information Cooperation Agreement: Signed in New Delhi in April 2000 between the Emirates News Agency (WAM) and the Press Trust of India (PTI), provides for cooperation and exchange of news.
• Channel Carriage Agreement: Signed on 24.09.2000 at Abu Dhabi between the Directorate General of Doordarshan Broadcasting Corporation of India [Prasar Bharati] and the Emirates Cable TV and Multimedia LLC [E-Vision] provides for the down-linking and distribution of DD World signals in the UAE through E-Vision's cable network.
• MoU on Manpower Sourcing signed in December 2006

Five Agreements and MoUs were signed in March 2006

• Framework Agreement for developing Industrial Relations
• Protocol amending the Agreement for Avoidance of Double Taxation and Prevention of Fiscal Evasion with respect of Taxes on Income
• MoU for Technical Cooperation between Bureau of Indian Standards[BIS] and Emirates Authority for Standardization and Metrology[ESMA]
• MoU for Technical Cooperation in Accreditation Activities between National Accreditation Board for Testing and Calibration Laboratories and Emirates Authority for Standardization and Metrology
• MoU between Securities and Exchange Board of India and Emirates Securities and Commodities Authority for Assistance and Mutual Cooperation on the Exchange of Information

Bilateral Economic and Commercial relations

India and the United Arab Emirates (UAE) enjoy a strong and friendly relationship based on historical contacts, shared traditions and values. This relationship has been buttressed by long standing people to people and commercial contacts.

This relationship has evolved into a significant partnership in the economic and commercial sphere with UAE emerging as the second largest market globally for Indian products. At the same time Indians have emerged as important investors within the UAE and India as an important export destination for the UAE manufactured goods. Indo-UAE trade, valued at US$ 180 million per annum in the 1970s, is today valued over US$ 18 billion.

UAE, a long standing commercial and business hub of the Arabian world, has also emerged as the third major re-export centre in the world after Singapore and Hong Kong. Thus the UAE market is important for the opportunities it provides as a major sourcing centre for important markets such as Iran, Iraq, Africa, CIS countries etc.

This emergence of UAE as a re-export centre is reflected in our growing trade. The bilateral trade has shown significant growth over the past few years with our exports to UAE for the period April 2006-February 2007 being US$ 10,671.88 million as compared to US$ 7,331.38 million in the same period in 2005-6. India's imports from UAE for the same period was US$ 7,500.61 million while it was US$ 3,787.91 million in the same period in 2005-6. Total trade for the period April 2006-February 2007 was US$ 18,172.49 billion and the total trade for the period April 2005 February 2006 was US$ 11,119.29 billion. Trade balance for the period of April 2006-Febraury 2007 which is favouring India was US $ 3,171.27 million and for the same period in 2005-6 was US$ 3,543.46 million. UAE is the second largest destination for India's exports after USA. Many Indian companies have contributed to the growth of a number of sectors in the region, like power generation and transmission, highways, telecommunication, water and other infrastructure development. The presence of warehouses of the different Indian companies in UAE has also resulted in an increase in the trade not only with UAE but also with India's trade with other Gulf countries. India's exports to the UAE are well diversified with a large basket. Major items of India's exports to UAE have been RMG cotton including accessories, gems & jewellery, manmade yarn, fabrics, manufacturers of metals, cotton yarn, marine products, machinery & instruments, plastic & linoleum products, tea and meat & preparations. Similarly, major items of imports from UAE include petroleum and petroleum products, gold & silver, metal ores & metal scrap, sulphur and unroasted iron pyrites and pearls, precious and semiprecious stones. The detailed trade statistics on our trade with UAE (given below) provide an idea of the scope that exists in this market.

Values in US$ Million

Real GDP Growth Country: United Arab Emirates

Note: The country's total imports since 2000-2001 does not include import of Petroleum Products (27100093) and Crude Oil (27090000)

(Source: Foreign Trade Statistics issued by DGCIS, Calcutta)

Real GDP Growth is: 8.2% (2005)

Above table is related with the Bilateral Economic and Commercial relations