India, UAE seek smooth flow of trade amid W Asia crisis

India on Tuesday expressed deep concern at the situation in West Asia and backed efforts to restore peace and ensure the smooth flow of trade as external affairs minister S Jaishankar met his UAE counterpart Sheikh Abdullah bin Zayed Al Nahyan in Mumbai to review bilateral ties.

Sheikh Abdullah, who arrived in the financial hub on Monday, said the UAE is keen to do more to bolster cooperation in areas ranging from trade to people-to-people ties. The UAE is currently India’s third largest trading partner after China and the US, and two-way trade is worth more than $100 billion.

“The situation in the Gulf remains a matter of deep concern. We will continue to work together and support all efforts to promote dialogue and diplomacy,” Jaishankar said at the start of his meeting with Sheikh Abdullah.

“We continue to support free, safe and unimpeded flow of trade, energy and fertilisers. I would also like to thank you today, and through you, the UAE leadership, for ensuring the well-being of the Indian community in the UAE,” he said, referring to the presence of some 4.5 million Indians in the Emirates.

The India-UAE economic partnership continues has set new benchmarks despite global headwinds and regional challenges, with bilateral trade surpassing $100 billion since the two sides signed the comprehensive economic partnership agreement (CEPA) in 2022, Jaishankar said.

Two-way investments have continued to grow, reflecting the confidence of businesses in each other’s economies, while cooperation in defence, energy and technology is “acquiring a strategic character”, he said.

Sheikh Abdullah, the latest in a string of senior Emirati leaders to visit India as the two sides have worked to shore up their relations amid the uncertainty created by the West Asia conflict, said his country wanted to further enhance bilateral cooperation.

The UAE is honoured to be one of India’s largest trading partners, and the aim of the Emirati leadership is to have a closer, stronger and diverse relationship, he said.

“We are very close but we want to be closer,” Sheikh Abdullah said. The UAE wants to do more with India in areas such as people-to-people ties, culture and education, he said.

Jaishankar subsequently said on social media that he had a productive meeting with Sheikh Abdullah, who is also deputy prime minister of the UAE, and two sides undertook a comprehensive review of their ties.

“The breadth and ambition of our cooperation is visible across the domains of trade, investments, energy, technology, logistics, defence, education and people-to-people ties,” he said in the social media post.

The two sides have had several high-level engagements this year. The UAE President, Sheikh Mohamed bin Zayed, visited India in January, while Sheikh Khalid, the crown prince of Abu Dhabi, led the UAE delegation to the AI Impact Summit in February and to the Brics Summit in September. Prime Minister Narendra Modi visited the UAE in May.