Abu Dhabi, UAE— With the signing of the Comprehensive Economic Partnership Agreement (CEPA), the UAE exporters are expected to benefit more as they will gain more access to major sectors in Turkey like construction, metals, and their products, polymers, and other manufactured products.
According to Abdulla bin Touq Al Marri, UAE Minister of Economy, the working visit of UAE President Mohamed bin Zayed to Turkey would take the Emirati-Turkish strategic partnership to new heights.
“Relations between the two countries are ushering in a new chapter on the comprehensive strategic partnership boosted by the strong mutual desire in the two countries to advance joint work and cooperation to serve their vision towards developmental goals,” Al Marri told the Emirates News Agency (WAM) on the occasion of the President’s visit to Turkey.
‘’With the signing of a Comprehensive Economic Partnership Agreement (CEPA) between the UAE and Turkey, we are looking forward to a promising future full of tremendous trade, economic and investment opportunities in light of ambitious plans adopted by the two countries in key sectors of top priority in trade, investment, industry, tourism, transport, energy, food, technology and others, ‘’ he added.
In March, the two countries signed the CEPA, heralding a new era of bilateral cooperation that will stimulate trade, increase investment flow, and create joint opportunities in priority sectors.
Total non-oil trade between the UAE and Turkey reached US$19 billion in 2022, an increase of 40 percent compared to 2021 and 112 percent compared to 2020.
The CEPA with Turkey is the fourth to be concluded by the UAE as part of its global economic agreements programme, following similar agreements with India, Israel, and Indonesia.
This one aims to achieve mutual benefits for both countries and stimulate long-term, sustainable, and comprehensive economic growth by eliminating or reducing customs duties on 82 percent of goods and products, representing more than 93 percent of non-oil trade.
Additionally, the agreement improves market access to Turkey for exporters from the UAE, including major sectors such as construction, metals and their products, polymers, and other manufactured products.
The agreement is expected to increase non-oil bilateral trade to $40 billion annually within five years, while also creating 25,000 new jobs by 2031. In addition, the agreement is expected to increase UAE exports to Turkey by 21.7 percent.
Non-oil exports to Turkey amounted to $5.6 billion in 2022, an increase of 109 percent compared to 2021, while the value of re-export operations from the UAE to the rest of the world grew by 87 percent to reach $2.3 billion in 2022.
The longstanding ties between the two countries are based on the spirit of mutual understanding and respect. They aim to enhance collaboration in various fields, including the economic, climate, cultural, and youth empowerment sectors.