UAE, Mauritius sign Comprehensive Economic Partnership Agreement

The UAE and Mauritius have signed a Comprehensive Economic Partnership Agreement (CEPA), laying the foundation for increased bilateral trade between the nations under reduced restrictions.

The agreement will ease barriers to trade by reducing tariffs and customs duties on different products.

It is expected to increase trade between the two countries from AED 624 million to AED 1.8 billion over the coming years, benefiting sectors ranging from petrochemicals and aviation, to tourism and logistics.

The CEPA is also expected to increase the UAE's GDP by 0.96 per cent and Mauritus' GDP by 1 per cent by 2030.

The signing ceremony on Monday was witnessed by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, and Pravind Kumar Jugnauth, the Prime Minister of Mauritius.

صاحب السمو الشيخ محمد بن راشد آل مكتوم نائب رئيس الدولة رئيس مجلس الوزراء حاكم دبي "رعاه الله"، وفخامة برافيند كومار جوجناوث رئيس وزراء جمهورية موريشيوس يشهدان التوقيع على اتفاقية الشراكة الاقتصادية الشاملة بين الدولتين pic.twitter.com/P3US4ec8SW

— UAEGOV (@UAEmediaoffice) July 22, 2024

"Today marks a historical moment in the economic relation between UAE and Mauritius after signing the Comprehensive Economic Partnership Agreement between both nations. This is an extremely important agreement for the private sector. It consists of more than 18 chapters on trading goods, trading services, investment, custom facilitation, small and medium enterprises," Juma al-Kait, Assistant Undersecretary for International Trade Affairs and Chief Negotiator for the UAE, told the ARN News Centre.

The potential for the agreement also goes beyond the borders of the UAE and Mauritius, giving way for increased cooperation with African states.

Mauritius is a signatory of the African Continental Free Trade Agreement; this will allow private sector businesses in the UAE to enter the African market in a preferential arrangement.

"Mauritius offers itself as an international financial centre for investment, trading goods and services to a larger, much larger market as Africa with 1.3 billion people and also trilaterally with countries like India and China. So this strategic partnership, with Mauritius as an IFC, gives us this competitive advantage," Maneesh Gobin, Minister of Foreign Affairs, Regional Integration and International Trade of Mauritius, told the ARN News Centre. 

The terms of the agreement were completed in December 2023, four months after the start of negotiations. Both the UAE and Mauritius hailed the quick progress, attributing it to the countries' economic, strategic and cultural similarities.

The new deal builds on growing UAE-Mauritius economic relations, which from January to April 2024 saw non-oil trade reach AED 279 million, an increase of 82.5 per cent over the same period last year. In 2023, two-way trade value reached AED 625 million, a 14.5 per cent growth compared to 2022.

The UAE has alsready signed comprehensive economic trade pacts with India, Indonesia, Cambodia, and others. The country is currently working on further expanding unhindered trade with other global partners.