UAE, Mauritius sign comprehensive economic partnership agreement

Image credit: WAM

The UAE and Mauritius signed a Comprehensive Economic Partnership Agreement (CEPA) on Monday, marking a significant milestone as the UAE’s first CEPA with an African nation. The trade agreement aims to enhance the flow of goods, services, investment, and bilateral private-sector collaboration.

The announcement was made following the signing of a joint statement in Mauritius by Dr Thani bin Ahmed Al Zeyoudi, UAE’s Minister of State for Foreign Trade, and Maneesh Gobin, Mauritius’ Minister of Foreign Affairs, Regional Integration, and International Trade.

The conclusion of negotiations came just four months after the initial round of talks.

CEPA

The UAE-Mauritius CEPA is set to deepen trade and investment ties, accelerate growth in key industries, create jobs, strengthen supply chains, and streamline market access for businesses in both countries.

As part of the agreement, Mauritius will eliminate 99 per cent of tariffs on imports from the UAE, while the UAE will eliminate 97 per cent overall.

The CEPA encompasses various areas, such as:

• Goods
• Trade in services
• Economic cooperation
• Removing technical barriers to trade
• Sanitary and phytosanitary measures
• SMEs
• Trade remedies
• Investment facilitation
• Government procurement
• Telecommunications
• Intellectual property rights
• Financial services
• Rules of origin
• Digital trade

The landmark agreement was witnessed by Sheikh Mohammed bin Rashid Al Maktoum, Vice President, Prime Minister, and Ruler of Dubai, and Pravind Kumar Jugnauth, Prime Minister of Mauritius.

This CEPA is projected to enhance the UAE’s GDP by 0.96 per cent and add over 1 per cent to Mauritius’ economy by 2030.

Sheikh Mohammed bin Rashid Al Maktoum hailed the agreement as a testament to the UAE’s commitment to forging strong partnerships under the leadership of President Sheikh Mohamed bin Zayed Al Nahyan.

كلمة محمد بن راشد ورئيس وزراء موريشيوس بمناسبة توقيع اتفاقية الشراكة الاقتصادية الشاملة بين البلدين#فيديو_وام pic.twitter.com/oppmry0vFg

— وكالة أنباء الإمارات (@wamnews) July 22, 2024

He emphasised that the UAE is dedicated to building bridges of friendship and cooperation with nations that share its vision for a prosperous future.

.@HHShkMohd, Mauritius PM witness signing of comprehensive economic partnership agreement. https://t.co/SSR0nUJPla #UAE pic.twitter.com/6QFfJHQrPZ

— Dubai Media Office (@DXBMediaOffice) July 22, 2024

Prime Minister Jugnauth expressed gratitude to President Sheikh Mohamed bin Zayed Al Nahyan and Sheikh Mohammed bin Rashid Al Maktoum for their support in strengthening bilateral relations. He highlighted the UAE’s crucial role in facilitating global trade and investment, fostering international cooperation, and maintaining regional stability.

He added that the agreement is about fostering a deeper understanding and partnership that will benefit both economies and the wider regions of the GCC and Africa.

UAE-Mauritius trade

Building on growing economic relations, the agreement follows a period of increased trade between the two countries. From January to April 2024, non-oil trade reached $76m, an 82.5 per cent increase compared to the same period the previous year, as per government figures.

In 2023, the total trade value reached $170.4m, marking a 14.5 per cent growth from 2022.

The UAE is currently the eighth-largest investor in Mauritius, with $13.2bn invested in projects spanning tourism, real estate, renewable energy, and technology. Foreign trade remains central to the UAE’s economic agenda, with the country’s non-oil trade in goods reaching a record high of $701bn in 2023, a 12.6 per cent increase from 2022, as per figures published by the Government of Dubai’s media office.

The CEPA programme is a critical component of the UAE’s strategy to reach $1.1tn in total non-oil trade by 2031.

Read: UAE-Cambodia CEPA goes into effect: Here’s how free trade pacts lift growth