India is Dubai’s top non-oil partner
Jun 03, 2008
Source: business24-7

India has emerged as Dubai's top non-oil trade partner, with the country heading the list of top export and re-export destinations for Dubai and it was the second largest source of imports in 2007.

Non-oil trade between the two countries in 2007 hit a record high of $19 billion (Dh69.73 billion), according to the figures revealed by the Consulate General of India in Dubai yesterday.

This constitutes approximately 80 per cent of the total India-UAE trade and marks a more than 74 per cent increase over the figures of $10.9bn recorded in 2006.

"India has been and is a close economic partner of Dubai. Trade figures for 2007 have beaten previous records. That's not all.

"India has the largest presence among foreign countries in terms of companies in the city. People know that Indians are a big community here but many may not be aware of the number of Indian companies that operate in Dubai and other parts of the UAE," Venu Rajamony, Consul General of India, told Emirates Business.

An analysis of statistics, issued by Dubai Customs and conducted by the Consulate General of India in Dubai, shows imports from India to Dubai increased by 55 per cent from $6.4bn in 2006 to $9.9bn in 2007.

Exports from Dubai to India increased 113 per cent, from $1.5bn in 2006 to $3.2 bn in 2007. Re-exports from Dubai to India increased from $3bn in 2006 to $5.9bn in 2007, which marks a 97 per cent increase.

"The fact that re-exports from Dubai were almost double of exports reflects the significance of Dubai as a trans-shipment point for Indian trade," Rajamony said.

India has also been Dubai's top trade partner in the first quarter of 2008.

It had a share of 13.14 per cent of the total imports from the emirate worth Dh12.6bn and 45.7 per cent of the total exports worth Dh4.7bn during the period.

It also emerged as the top re-export destination with 31.8 per cent (Dh11.9bn) out of the total re-exports in the first four months of the year.

Major commodities imported from India to Dubai included precious and semi-precious stones and precious metals, cereals, and copper articles, valued at $6.6bn out of the total imports of $9.9bn.

As in the previous year, India also remained the largest export destination from Dubai in 2007.

Trade up 443%

Total trade between Dubai and India from 2003 to 2007 has increased from $3.5 billion to $19 billion, a rise of 443 per cent. Imports into Dubai from India rose in the same period from $2.6bn to $9.9bn – an increase of 281 per cent.

Exports from Dubai to India increased massively too – from $100 million to $3.9bn in the past five years. Re-exports from Dubai to India also increased significantly over five years from $800m to $5.9 bn, an increase of 638 per cent.