The trilateral trade between India-UAE-Israel could reach up to USD 110 billion in the coming nine years by tapping into their mutual strengths, top diplomats and members of the business community have said. The comments were made at an event organized by the International Federation of Indo-Israel Chambers of Commerce (IFIICC) to discuss the ongoing business collaborations being pursued through IFIICC’s leadership across sectors.
The international business potential backed by Israeli innovation, UAE’s visionary leadership, and strategic partnership of both nations with India could help them increase the trilateral trade to $110 billion by 2030, Ambassador Ilan Sztulman Starosta, Head of the Israeli mission in Dubai, said in a press release issued by IFIICC.
India, Israel, and the UAE have an excellent possibility to form a trilateral bloc in West Asia in the backdrop of the peace deal and the establishment of full diplomatic relations between Israel and the UAE, Israeli ambassador to India Ron Malka said last year. “If India looks West geopolitically, a trilateral between India, Israel and the UAE is in the realm of possibility. India’s wide-ranging ties with both Israel and the UAE are a factor that can shape this trilateral. This is not mere speculation but very much in the realm of possibility,” he added.
Head of Israeli National Economic Council Avi Simhon has revealed that Israel and the UAE are planning to establish a railway project linking Abu Dhabi with Haifa. According to the news site, Simhon told the Hebrew press that the two countries are studying several mega infrastructure projects, including this railway. Simhon also said that this railway would travel through Jordan and Saudi Arabia, noting that there is a great opportunity for carrying out this project as most of the railway already exists except between 200 to 300 kilometers in Jordan.
Carrying out this project, Simhon said, will help Israel transport its goods to the UAE in one or two days instead of shipping through the Suez Canal which takes about 12 days. Fresh vegetables will then be exported to the UAE markets more easily. This railway project will also help India to reduce its dependence on Suez Canal, and India could also export to Europe via UAE, Israel train link.
In the financial year 2018-19, India-UAE bilateral trade grew by over 20% to reach USD 59.9 billion. India’s exports to UAE grew by 7% to USD 30.13 billion whereas UAE’s exports to India surged by 37% to reach USD 29.78 billion. While, with Israel, the trade grew from USD 200 million in 1992 to USD 5.24 billion (excluding defense) in the calendar year 2019 with the balance of trade being in India’s favor by more than USD 1.9 billion.