Dubai upbeat on UAE-India ties

India is set to explore more areas of cooperations with the UAE as the relations between two nations get diplomatic boost with the ongoing visit of His Highness Sheikh Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi and Deputy Supreme Commander of the UAE Armed Forces, to India as a Chief Guest to celebrate 68th Republic day today.

Speaking exclusively to Khaleej Times, UAE business leaders like Sultan Ahmed bin Sulayem, DP World Group chairman and chief executive officer; Hamad Buamim, president and chief executive officer, Dubai Chamber of Commerce and Industry; and Fahad Al Gergawi, chief executive officer, Dubai Investment Development Agency (Dubai FDI) have endorsed and expressed the desire to build strong and long-term ties that will benefit both the nations.

Dubai's non-oil foreign trade with India has seen 144 per cent growth from 2004. India was Dubai's second largest trading partner in 2016, with bilateral trade Dh70 billion for first nine months of 2016, comprising imports of Dh43 billion; exports of Dh8 billion and re-export of Dh19 billion. The UAE is the second largest export destination of India, with over $33 billion invested in the Emirates.

DP World is a market leader in Indian container terminal operations with a network stretching across ports in Gujarat (Mundra, 2003), Maharashtra (Nhava Sheva, 1999 and 2012), Kerala (Cochin, 2005), Tamil Nadu (Chennai, 2001), Andhra Pradesh (Vishakapatnam, 2002).

"The group is committed to enabling India's growth and economic development through its operations in the country, where it has invested over $1 billion in the past supporting over 30 per cent of India's container trade. DP World has invested in the development of five international gateway ports in India and we believe making ports more productive across the country rather than building more greenfield sites is the way forward," Bin Sulayem told Khaleej Times.

He said there is a need to reach internal markets, invest in cold storage facilities and networks, using coastal and inland waterways to increase efficiencies and lower costs.

"By developing this transport infrastructure - at existing ports, multi-modal transport including rail for freight and more use of waterways - there will be a direct economic impact benefitting manufacturing and agriculture, those in cities and the rural farming community."

The group - last year - announced its intention to further strengthen its presence in India by seeking investment opportunities worth over $1 billion over the next few years.

"This shows the confidence we have in the India story of growth and development. These investments will be in different parts of the country. We are investing in new container terminals and also in facilities such as inland container depots and rail rolling stock that will improve inter-modal services in India," added Sulayem.

The DP World Group chairman stressed that for more than a decade DP World has worked closely with the government to redefine the container terminal business by introducing new technologies, world class infrastructure and international operating practices, but is still looking at where it can add value to customers outside port operations. Earlier this month, he met India Prime Minister Narendra Modi at the 8th edition of the Vibrant Gujarat Global Summit held in Ahmedabad and discussed the immense potential of India's growing economy and the nation's maritime and inland trade. New opportunities resulting from the Prime Minister's programmes such as Invest India, Digital India, Skill India and Made in India were also on the agenda, evidence of the new economic direction of the country.

Commenting on the significance of Shaikh Mohamed's visit to New Delhi, he said India and the UAE have become firm partners based on cultural, religious and economic ties between the two nations.

"Over time, both countries have taken great strides to support each other's economies - most significantly through trade. They are striving to further strengthen these ties, underlined by the exchange of high level visits and His Highness Shaikh Mohammed bin Zayed's presence at the Republic Day celebrations as chief guest," Bin Sulayem said.

Buamim of Dubai Chamber of Commerce and Industry also echoed the similar view and said the chamber has played a very active role in boosting trade ties with India.

"The UAE and India have historic ties that have strengthened in recent decades with the increase of bilateral trade and investment, and the growing number of Indian companies and expats in our country," Buamim said.

"Recently, we have seen stronger commitment from both sides in forming strategic agreements and joint ventures in energy, infrastructure, security, agriculture and information technology that will surely complement this unique partnership.

"Both countries have strengths and expertise to offer in these areas, and we are confident that a comprehensive strategic partnership agreement between the UAE and India will open the door to cooperation in new areas, and bring about long-term benefits for both economies," he added.

The emirate's foreign investments in India is soaring and with new investment avenues this will only multiply further.

Al Gergawi of Dubai FDI said His Highness Shaikh Mohammed bin Zayed Al Nahyan's visit to India is a remarkable step towards cementing the natural and obviously strong relations between the UAE and India.

"It's a clear gesture from the leadership in both countries calling on their respective business communities to move closer and leverage the new ways of doing business on either sides for greater commercial and cultural engagement," he said.

- sandhya@khaleejtimes.com