India's food sector has seen remarkable growth, playing a pivotal role in the nation's economic resilience. This momentum has been fueled by agricultural exports and strategic partnerships, notably with the United Arab Emirates (UAE). Strengthened ties through the India-UAE Comprehensive Economic Partnership Agreement (CEPA) have opened new avenues for bilateral trade, investment, and technological collaboration.
The CEPA eliminates technical barriers, reduces customs duties, and fosters cooperation in critical sectors, positioning the food industry as a central focus. In 2023-24, India exported $36 billion worth of goods to the UAE, with food exports making up a modest 3%. However, the sector holds immense potential for growth as both nations align their objectives around food security and economic integration.
India’s agricultural strength, bolstered by a growing food processing industry, complements the UAE’s role as a significant food importer. Initiatives such as the India-Middle East-Europe Economic Corridor (IMEC) further enhance India’s export capabilities, promising reduced transit times and improved global access. Real estate infrastructure, like cold storage facilities and mega food parks, plays a transformative role in supporting this growth. These facilities reduce spoilage, shorten farm-to-retail times, and boost rural economies through employment opportunities.
Additionally, India's policy environment, including 100% Foreign Direct Investment (FDI) in food processing and trading, invites global participation. Strategic collaborations with the UAE will integrate advanced AgriTech, climate-resilient practices, and efficient logistics, further modernizing India's food sector. Together, these efforts promise a robust and sustainable future for both nations in the global food market.
