Big deal between Israel and UAE amid tension in Jerusalem, India will also benefit tremendously
Israel-UAE trade deal
After months of negotiations, Israel’s Minister of Economy and Industry Orna Barbiwai and UAE Finance Minister Abdullah bin Touq Al-Marie signed the Free Trade Agreement in Dubai on Tuesday. Following the deal, Amir Hayek, Israel’s ambassador to the UAE, said on Twitter that it was “done”. He responded to another tweet posted earlier by saying that “UAE and Israel will sign FTA next hour”. Dorian Barak, President of the UAE-Israel Business Council, said the trade agreement defined the tax rate, import-export and intellectual property, which would encourage more Israeli companies to open their offices in the UAE, especially many in Dubai. Israeli companies will be able to open their offices.
Benefit to a thousand Israeli companies
The Council of the UAE-Israel Business Council estimates that, following the agreement between the two countries, by the end of this year there will be around 1,000 Israeli companies operating in or through the UAE, across South Asia, the Far East and the Middle East. Will be doing business together. Dorian Barack said that, ‘You can’t capitalize on the entire opportunity through the domestic market and the opportunity is really getting established in Dubai, and many companies coming to Dubai will have opportunities to set up extensive business in multiple sectors’.
tax on goods will be removed
Israel’s economy ministry before signing said the agreement would remove tariffs on 96% of goods, including food, agriculture, cosmetics, medical equipment and medicine. At the same time, the UAE has predicted, as we have estimated under this trade agreement, that it will increase our trade between us by close to $10 billion every year over the next five years. Emirate’s Trade Minister Thani Al-Zayodi said on Twitter that, “Our agreement will accelerate growth, create jobs and lead to a new era of peace, stability and prosperity across the region.” “Together we will remove barriers and promote wider trade and new technologies that will lay a solid foundation for our common path, contribute to the well-being of citizens and make it easier to do business,” he said.
Agreement amid Jerusalem violence
This agreement between Israel and the United Arab Emirates comes at a time when tensions between Israel and Palestine have escalated once again in Jerusalem and three days ago Israeli forces entered the Al-Aqsha Mosque and several Palestinians in violent clashes. were injured. Regarding which a tweet was made by the Ministry of Foreign Affairs of the UAE and it was said that ‘extremist forces were entered under the protection of Israeli soldiers’ in the Al-Aqsha Mosque complex. Along with this, the UAE had condemned the violent clash. However, even after this, the people of Israel took out a rally in support of the occupation of Jerusalem and in many places they clashed with the Palestinians. To which the United Arab Emirates said that, ‘Israeli authorities should try to reduce tension, so that an atmosphere of instability does not arise’.
India will benefit
At the same time, India will benefit greatly from the free trade agreement between Israel and the United Arab Emirates, as there have already been free trade agreements between the UAE and India, and last year, India became the second largest partner of the UAE after surpassing the US. Is. At the same time, the goal of both countries is to increase the trade partnership to 100 billion dollars in the next few years. At the same time, Israel’s Ambassador to India Naor Gillon described this agreement between Israel and the UAE as very important and said that India-UAE and Israel have also joined the agreement in a way and together all three will increase a three-tier trade cooperation. Let us tell you, India and Israel signed the Comprehensive Economic Partnership Agreement (CEPA) on 18 February this year.
India’s Presence in the Middle East
India’s presence in Middle East countries has been there for years and there are more than 125 million citizens of India living in UAE as well as countries like Saudi Arabia, Qatar, Oman and Kuwait. Not only this, in the year 2021, India received foreign exchange of $ 87 billion from Indians living in these countries, so the Modi government knows that if India’s relationship with the Gulf countries is strengthened even more, then its tremendous India can get the benefit. Therefore, PM Modi himself met with the top leaders of the UAE in 2015, 2018 and 2019 and played an important role in taking the relationship between the two countries to a new level. Prior to PM Modi, former Prime Minister of India Indira Gandhi had visited the United Arab Emirates in the year 1981.