UAE has been India’s top export partner for decades. In fact, the top 5 agro products exported to UAE are from India.
Not just agro products, India exports many other products, including FMCG goods, electronics, textiles, and precious stones.
Indian goods are in high demand in the UAE, as the rapidly growing retail sector seeks quality products from India at affordable prices.
Want to know which product is most exported from India to the UAE? In this blog, you will learn about the most exported products to Dubai from India in the agro industry.
You will also learn about India's and the UAE’s trade relations. Keep reading the blog to find out what the top 5 agricultural exports are.
Why UAE Import Goods from India?
India is one of the top exporting countries for UAE. A massive population fo UAE relies on Indian supplies to fulfil their demand in the luxury retail sector.
Almost 80% of Indian goods are available at highly affordable prices in the UAE because India exports them there duty-free, thanks to the CEPA (India-UAE Comprehensive Economic Partnership Agreement).
Why does India Export to the UAE?
India export to the UAE for the following reasons:
-
Fast to Export: The UAE and India are close in the geographical landscape. So, shipping across the Arabian Sea takes only a few days. As a result, agricultural products don’t spoil, and supplies remain fresh upon arrival at their destination.
-
Demand from Indian Immigrants: With nearly 3 million Indian immigrants in the UAE, the rising demand for Indian goods is evident. Naturally, Indian consumers living in the UAE make massive demands for Indian spices, tea, coffee, rice, textiles, FMCG products, and other Indian products.
-
Hub for Re-Export: The UAE is a shopping hub for the Middle East and Africa. In fact, Dubai is responsible for re-exporting Indian goods to its neighbouring countries as soon as goods arrive from India.
-
Agreement for Trade: India and the UAE are bound by the CEPA, which exempts them from tariffs and duties on trade. So, India can export freely to the UAE without paying a fortune in trade tax.
In the meantime, you can refer to our blog “How to export spices from India”. If you wish to be a spice exporter in the UAE or anywhere in the world, this blog can guide you through the process.
What is the UAE’s Biggest Export from India?
The following are some of the biggest exports from India to the UAE:
-
Gems & Jewellery: India exports precious stones and metals to the UAE. Gold, diamonds, pearls, and gemstones are exported from India and are in high demand at Dubai's gold souks.
-
Refined Petroleum Products: India is a massive manufacturer of petroleum-based products. Petrochemicals, asphalt, grease, lubricants, wax, and other petroleum products are exported from India to the UAE, where they are then used by the local industries.
-
Textiles & Clothing: India is a major exporter of textiles and clothing to the UAE. The demand for Indian textiles, cotton, fabrics, and ready-made garments is quite high in the UAE shopping hubs.
-
Food & Agro Products: Indian food and agro products are in high demand in the UAE, where many Indian immigrants live. Indian spices, basmati rice variants, meats, fruits & vegetables, and sugar are among the top 5 agro products exported to UAE from India. The UAE import products list from India does not stop there, as tea, coffee, condiments, ready-to-cook meals, and other agro-products are also in high demand.
What are the Top 5 Agro Products Exported to UAE from India?
What is the UAE’s biggest export? To cut a long story short, the UAE has a high demand for agro-products, and India is one of their top exporters. Food items exported from India to UAE are a regular occurrence as India is one of the top exporters to the country. Below are the top 5 agro products exported to UAE from India:
-
Basmati Rice Variants
Rice is a staple food almost everywhere, including the UAE. The country has lots of rice-based dishes. Lots of migrants in the UAE consume rice. Thus, the demand for rice shoots up there. India is a global supplier of fragrant, long-grain basmati rice. In fact, rice is one of India's top agricultural export products.
-
Spices
Moving on to the next product, spices make it to the UAE import products list from India. Spices are one of the most exported products to Dubai from India. Turmeric, coriander, black pepper, cardamom, cumin, and ginger are among the spices India exports to the UAE.
-
Fruits & Vegetables
India exports many fresh fruit and vegetable varieties to the UAE because shipping products from India is cheap and quick. During shipping, the fruits and vegetables don’t go bad easily. Mangoes, bananas, pomegranates, potatoes, onions, tomatoes, etc., are among the most exported fruits and vegetables.
-
Dry Fruits
India is a major exporter of dried fruit to the UAE. Raisins, cashews, pistachios, and walnuts are primarily exported to Dubai and other Middle Eastern countries.
-
Meat
India is a top exporter of meat to the UAE, as they import buffalo meat from India at surprisingly competitive prices.
How is India and the UAE’s Trade Relations?
India is the top exporter to the UAE. So, it won’t be wrong to say that India and the UAE have great trade relations. But what does India export to the UAE? India-UAE trade primarily focuses on the buying and selling of precious metals, automotive and industrial equipment, petroleum products, consumer goods, and agricultural products.
Agro supplies are the most exported products from India to Dubai, so the trade does not put a load on either country's economy. As a matter of fact, the CEPA ensures that India and the UAE can engage in trade freely with low or no taxes on exports.
Facts About India and the UAE’s Trade Scene
-
Recently, the total export-import trade between India and the UAE has exceeded $100 billion.
-
India has earned around $37 billion by exporting products to the UAE. Products like rice, tea, meat, refined petroleum products, precious metals, gemstones, pearls, and electronics are exported from India to the UAE.
-
Crude oil, gold, and natural gas are among the goods India imports from the UAE, on which India spends nearly $63 billion.
-
India’s total imports from the UAE are higher than its total exports to the UAE. According to recent trade reports, this ultimately created a trade deficit exceeding $26 billion.
How do India and the UAE Trade?
Both Indian and the UAE use their local currencies for transactions. This local currency settlement system allows them to avoid using the US dollar. India uses INR, and the UAE uses AED to pay for oil and gold. This eventually makes trade quick and affordable for both countries.
Final Thoughts
- In conclusion to the top 5 agro products exported to UAE, Indian goods are highly demanded, not just for consumption, but for further export.
- India has been a primary exporter to the UAE for decades. Agro products play a significant role in India-UAE trade.
- Since a major population in the UAE is Indian, they naturally demand Indian products more.
- Thus, India exports a wide range of spices, rice, tea, coffee, meat, dried fruits, and other agricultural products to the UAE.
- Shipping these products to the UAE is cost-effective and quick. It hardly takes a few days to export Indian agro goods through the Arabian Sea.
- hope you found this blog helpful and have understood the trade relations between Indian and the UAE.
Disclaimer: This blog is for informational purposes only. Readers are requested not to consider this as legal, financial, professional, or general advice in any context. B2B TradeMart tries its best to provide the readers with the most accurate and up-to-date information. Any details and policies may change without prior notice. We hereby request that all our readers verify all information on official sites and legitimate sources before making any legal, financial, professional, or general decisions.
