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What is India-UAE CEPA and how does it benefit Indian exporters?

The India-UAE Comprehensive Economic Partnership Agreement (CEPA) came into effect on May 1, 2022, and is one of the most significant bilateral trade agreements India has signed in decades. For Indian exporters shipping to any UAE emirate — Dubai, Abu Dhabi, Sharjah, Ajman, Ras Al Khaimah, Fujairah, or Umm Al Quwain — CEPA is a game-changer that directly reduces import costs.

Under India-UAE CEPA, over 97% of Indian goods exported to the UAE qualify for zero or reduced customs duty, compared to the standard 5% GCC Common Customs Tariff. This saves UAE importers of Indian goods 5–25% on their landed cost, making Indian products significantly more competitive against Chinese, European, or other origin goods.

Products that benefit most from CEPA include textiles and garments, gems and jewellery, engineering goods, machinery, food and agricultural products, chemicals, pharmaceuticals, and plastics. For sectors like Indian textiles, the duty saving is especially impactful as it shifts price competitiveness firmly in India’s favour versus competing origins.

To claim CEPA benefits, the goods must be accompanied by a valid CEPA Certificate of Origin issued by an authorised Indian agency (such as FIEO, AEPC, or Indian Chamber of Commerce). The Certificate of Origin must correctly reflect the Rule of Origin compliance for the product category.

At 3Hatz India Pvt. Ltd., we handle CEPA Certificate of Origin documentation for all our UAE shipments, ensuring our clients in Dubai, Abu Dhabi, and across the UAE fully benefit from zero or reduced duty rates — reducing their overall import cost and improving margins.