Last updated: April 2026. The India-UAE Comprehensive Economic Partnership Agreement is approaching its fourth anniversary in May 2026. In three years it has done what most trade deals take a decade to deliver: bilateral non-oil trade has crossed USD 65 billion, over 240,000 Certificates of Origin have been issued, and Indian exporters have moved USD 19.87 billion worth of goods at preferential duty. If you export from India and you are not using CEPA, you are leaving money on the table. This guide shows you how to actually claim the benefits.

CEPA in one screen: the facts that matter

AgreementIndia-UAE Comprehensive Economic Partnership Agreement
Signed18 February 2022
In force from1 May 2022
India tariff coverage11,908 tariff lines
UAE tariff coverage7,581 tariff lines
UAE duty concession on Indian exportsUp to zero duty on 97 percent of tariff lines covering 99 percent of Indian exports by value
Day one duty free (Indian exports to UAE)80.3 percent of tariff lines (around 6,090 products)
Minimum value addition for origin40 percent Regional Value Content
Certificate of Origin issuer (India)DGFT authorised agencies
Bilateral non-oil trade targetUSD 100 billion by 2027

The headline benefit for Indian exporters: under CEPA, the UAE removed duties on 97 percent of its tariff lines for Indian goods. Middle East Briefing reports Indian non-oil exports to the UAE rose to USD 27.4 billion in FY 2023-24, growing at 25.6 percent annually since CEPA launched. The agreement text is available through the UAE Ministry of Economy and Indian Trade Portal.

Which sectors benefit the most

CEPA was designed to tilt the benefit toward labour-intensive Indian industries. The big winners identified by Deloitte’s CEPA analysis and ELP Law’s outcomes study are:

  • Gems and jewellery. Tariff elimination on gold ornaments, diamonds, and silver jewellery, subject to tariff rate quotas on certain categories
  • Textiles and apparel. Zero duty on most cotton, silk, woollen, and synthetic fibre categories
  • Leather goods and footwear. Full elimination for finished leather products
  • Engineering goods. Components, machinery, and processed metal products
  • Pharmaceuticals and medical devices. A unique CEPA provision gives automatic UAE registration and marketing authorisation within 90 days for Indian generic medicines approved in EU, UK, Canada, or Australia
  • Food processing. Processed food, spices, rice, tea, coffee
  • Plastics, polymers, and chemicals. Phased reductions, some immediate
  • Agricultural and wood products. Strong preferences, especially for value-added exports
  • Sports goods, furniture, handicrafts. Labour-intensive sectors with high Indian comparative advantage

If your product sits in any of these buckets and you are still paying regular UAE tariffs, you are doing something wrong. The fix is almost always documentation.

Rules of Origin: the gate you must pass

CEPA preferences are not automatic. To claim the preferential rate, your product must qualify under CEPA Rules of Origin. Two broad tests apply:

  • Wholly Obtained. Products entirely produced or obtained in India (live animals, crops grown in India, minerals extracted in India)
  • Substantial Transformation. Products made partly from non-originating inputs but that undergo substantial processing in India

For the substantial transformation route, two sub-tests apply depending on the HS chapter:

  • Regional Value Content (RVC) of at least 40 percent. The Indian-origin value addition in the finished product must be at least 40 percent of the Free On Board price
  • Change in Tariff Classification (CTC). The HS code of the final product must differ from the HS codes of the non-originating inputs at a specified level
  • Product Specific Rules (PSR) override the general tests for certain sensitive chapters

Detailed guidance is in ATB Legal’s compliance overview and Bar and Bench’s legal analysis.

How to actually claim CEPA benefits, step by step

Step 1. Verify HS classification and concession

Start with your 8-digit HS code. Check it against the UAE’s CEPA tariff schedule on the UAE Ministry of Economy CEPA dashboard. Confirm what preferential rate applies to your product. Some items are duty free from day one. Others reduce over 5 or 10 year phase-out schedules. Some are excluded entirely (around 2.4 percent of tariff lines, covering 187 products).

Step 2. Confirm your product meets Rules of Origin

Work through a detailed bill of materials. Identify every input, its country of origin, and its invoice value. Calculate Regional Value Content using the transaction value method or build-up method as applicable. If your RVC is borderline, consider whether you can substitute Indian-origin inputs to get above 40 percent. Keep cost certificates from your Chartered Accountant on file.

Step 3. Register on the DGFT Certificate of Origin portal

The DGFT CoO portal is the common platform for all preferential Certificates of Origin including CEPA. Register your IEC and authorised signatories. Link your DSC. Certificates of Origin for CEPA are issued electronically with QR code verification.

Step 4. Select the authorised issuing agency

Multiple agencies are authorised to issue CEPA Certificates of Origin. Common ones include:

  • Federation of Indian Export Organisations (FIEO)
  • Engineering Export Promotion Council (EEPC)
  • Export Inspection Agency (EIA)
  • Apparel Export Promotion Council (AEPC) for textiles
  • Council for Leather Exports (CLE)
  • Agricultural and Processed Food Products Export Development Authority (APEDA) for agri-food
  • Spices Board for spices
  • Tea Board, Coffee Board for respective categories

You typically apply through the agency most aligned to your product. Your RCMC-issuing EPC is usually the right path.

Step 5. File the CoO application online

Upload commercial invoice, packing list, shipping bill, bill of materials, cost certificate, and RoO declaration. Pay the applicable fee. The issuing agency reviews, sometimes seeks clarifications, then digitally signs and issues the Certificate of Origin.

Step 6. Use the CoO at UAE customs clearance

Your UAE importer presents the electronic CoO to UAE Federal Tax Authority and local customs via the Dubai Trade or Abu Dhabi Customs systems. Preferential duty applies. Without a valid CoO, the full MFN rate applies and the benefit is lost.

Step 7. Retain documentation for five years

CEPA allows origin verification requests from UAE customs to Indian authorities for up to five years after the export. Keep the full bill of materials, cost certificates, supplier invoices, and production records for every CEPA shipment.

Direct transport rule: a trap exporters miss

To qualify for CEPA preferences, goods must be directly transported from India to the UAE. Transit through a third country is allowed only under specific conditions: the goods must remain under customs control, must not enter commerce in the transit country, and any handling must be limited to preservation.

If your shipment transits through a hub port and is repacked, relabelled, or split, you may lose CEPA status. Work with your freight forwarder to confirm routing supports direct transport documentation.

Tariff Rate Quotas: watch the caps

Some CEPA concessions are subject to Tariff Rate Quotas. Certain Indian exports to the UAE are capped at specified volumes at the preferential rate. Beyond the cap, the MFN rate applies. Categories under TRQ include gold, some plastics, and copper. If you export in these categories, coordinate your shipment schedule with DGFT consultants who monitor quota utilisation.

Services: the other half of CEPA

CEPA opens 111 service sub-sectors across 11 broad categories. Indian service providers get enhanced market access in business services, computer-related services, engineering, accountancy, legal services, advertising, telecom, construction, education, healthcare, financial services, and tourism. The agreement also provides a three-year visa for intra-corporate transferees and a 90-day extendable visa for contractual service suppliers and business visitors.

For IT companies, engineering consultancies, and professional services firms, CEPA is a structural opening to the Gulf services market. LEA Global’s overview covers the services liberalisation schedule in detail.

Bharat Mart and the 2026 push

Bharat Mart at Jafza Dubai becomes operational in 2026. It offers 2.7 million square feet of retail, logistics, and warehousing capacity with 1,500 showrooms for Indian exporters. The facility is linked to Jebel Ali Port, Al Maktoum Airport, and Etihad Rail. For Indian SMEs that want physical presence in the Gulf without heavy capex, Bharat Mart is a game changer. If you are scaling UAE exports under CEPA, Bharat Mart slots in naturally as your distribution hub.

The five most common CEPA claim failures

  • Applying after shipment. Certificates of Origin must accompany the shipment. Retroactive CoO is possible but involves delays and explanations to UAE customs. Apply before departure.
  • Wrong HS code in the CoO. A mismatch between the shipping bill HS code and the CoO HS code triggers rejection at UAE customs. Double-check at 8-digit level.
  • Bill of materials not aligned to cost certificate. When the issuing EPC asks for a CA cost certificate, it must match the BoM submitted. Inconsistency raises red flags.
  • RVC calculation error. Excluding freight and insurance from the denominator, or including non-originating inputs at the wrong value, is the most common calculation mistake. Use the method specified in the agreement’s Annex on Rules of Origin.
  • Transit mismanagement. Transshipping through a third port without customs control documentation breaks direct transport. Get port transit certificates when routing through hubs.

CEPA vs non-preferential GCC access

Without CEPA, Indian exports to the UAE faced the 5 percent common external tariff of the Gulf Cooperation Council. On USD 20 billion of previously dutiable exports, that was USD 1 billion a year leaving Indian exporter balance sheets. CEPA recovers most of it for exporters who actually file CoOs. The question is not whether CEPA is worth the paperwork. The question is why any Indian exporter to the UAE would skip it.

What to watch for next on CEPA

  • Phase 2 tariff reductions. Lines that were scheduled for 5-year phase-out are nearing full elimination
  • New Product Specific Rules. Joint Committee meetings periodically refine PSRs for specific HS chapters
  • Digital trade protocols. CEPA has a dedicated digital trade chapter with ongoing regulatory alignment
  • India-Oman CEPA. A sister agreement is in advanced negotiation. The India-UAE CEPA is effectively the template
  • India-GCC FTA. Discussions continue for a broader India-GCC agreement. CEPA is India’s anchor in the region

Primary sources and further reading

Ready to start exporting to the UAE under CEPA?

RASP International runs end-to-end CEPA setups for Indian exporters, from HS classification and Rules of Origin verification to Certificate of Origin filing and ongoing shipment compliance. If you are building a UAE export play, read our deeper Export Guide UAE or book a free discovery call. You can also WhatsApp +91 8218043048 for quick queries.

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