Mumbai, Malabar Gold & Diamonds has become the first beneficiary of the India-UAE Comprehensive Economic Partnership Agreement (CEPA).
One of the most prominent jewelry dealers globally has accepted the official nod to export jewelry manufactured in India to UAE at reduced duty rates as per the agreement. Malabar Gold & Diamonds will ship gold ornaments manufactured in its factories in India to the UAE, availing the removal of the 5% duty allowed under the agreement. The first Shipment was already reached Dubai on May 2, 2022. Malabar Gold & Diamonds is the first Indian entity to get the official consent to export its products at concessional duty to UAE under the recently concluded economic and trade cooperation pact. India and the Gulf federation of seven emirates signed the economic cooperation and trade facilitation agreement on February 18, 2022, after the leaders and officials from both sides met through a virtual conference.
“For us, this is a watershed moment,” said MP Ahammed, Chairman, Malabar Group, referring to the company becoming the first beneficiary of India-UAE CEPA. “This will add further traction to our `Make in India, Market to the World’ initiative. This will also give a further impetus to jewelry exports from India besides creating umpteen jobs and India becoming the supplier of choice to global OEMs and brands’, he added.
“The India-UAE CEPA will see bilateral trade topping the $ 100 billion mark in 5 years. The agreement will also help UAE become the `jewelry gateway’ of the world. It will also go a long way in expanding the already vibrant retail and wholesale jewelry trade in the UAE”, said Shamlal Ahammed, Managing Director, international operations, Malabar Gold & Diamonds. The jewelry retailer’s global operations are based out of Dubai. “Dubai is at various stages of negotiations with different nations to explore the possibility of signing CEPAs and FTAs. Malabar Gold will leverage this unique position of UAEs to enhance its global reach and fast track growth”, he added.
The $ 4.51 billion Malabar Gold & Diamonds has a total showroom count of 280 spread over various countries. It also has 14 wholesale units and nine manufacturing units.