UAE to examine India's concerns over import surge of silver, platinum alloy, dry dates

Both sides agreed on the early finalization of the MoU on food safety between their competent authorities, it added.

India has raised concerns over a jump in imports of silver products, platinum alloy, and dry dates from the UAE and urged the country to ensure that the rules are not circumvented under the free trade agreement (FTA), an official statement said on Tuesday.

The UAE has agreed to examine the concerns raised by India, the commerce ministry said. Following a significant increase in imports, India sought a review of certain provisions of the FTA with the UAE that came into force on May 1, 2022. The concerns were raised during the second meeting of the joint committee (JC) under the India-UAE Comprehensive Economic Partnership Agreement (CEPA) in the UAE on October 14. The Indian delegation was led by Additional Secretary in the Department of Commerce Ajay Bhadoo, and Assistant Undersecretary for International Trade Affairs, Ministry of Economy of the UAE, Juma Al Kait co-chaired from the UAE side.

The Indian side raised the issue related to the recent surge in imports of silver products, platinum alloy, and dry dates and urged the UAE to verify compliance with the rules of origin norms and ensure that the rules are not circumvented, the ministry said.

Indian industry has raised issues with regard to the increase in imports of dry dates from some third countries into India from the UAE by misusing the agreement norms. The UAE is the third-largest trading partner of India, with USD 83.65 billion in bilateral trade in 2023-24.

Seeking an urgent review of the pact, think tank Global Trade Research Initiative (GTRI) has said the India-UAE CEPA allows unlimited imports of gold, silver, platinum, and diamonds from the UAE into India with zero tariffs in the coming years. GTRI has claimed that many imports do not meet Rules of Origin conditions and, hence, do not qualify for concessions. India’s gold and silver imports from the UAE have skyrocketed 210 percent to USD 10.7 billion in 2023-24. India allows 7 percent tariffs, or customs duty concessions, on the import of unlimited quantities of silver and a 1 percent concession on 160 metric tonnes of gold.

The Indian side also urged that the Indian Jewellery Exposition Centre in Dubai be categorized as a Designated Zone so that the benefit of concessional duties can be availed by domestic jewellery manufacturers, including non-registered entities under the UAE’s domestic regulation. The UAE side conveyed its willingness to examine this request after consulting its internal stakeholders, including federal tax authorities, it said.

On issues related to sanitary and phytosanitary (SPS)/TBT (technical barriers to trade) measures, India asked to grant recognition to the i-CAS (India Conformity Assessment Scheme) Halal scheme that will considerably ease the certification process and promote the export of animal products to the UAE.

Both sides also agreed to take forward the discussion on fast-tracking registration as well as reference pricing mechanisms for pharma products. Both sides agreed on the early finalization of the MoU on food safety between their competent authorities, it added.

Furthermore, the Indian side highlighted the need for professional bodies from both sides to enter into mutual recognition agreements to enable professionals such as chartered accountants, lawyers, and nurses to provide their services without the need for another certification. Both sides agreed to work on an actionable plan in this regard.