India's FTA strategy has shifted from deep-but-slow to fast-track comprehensive agreements. Evaluate with reference to the India–UAE CEPA.

India's earlier trade pacts took a long time to negotiate. Talks with the EU began in 2007, and India left RCEP in 2019. The India–UAE CEPA was concluded in a record 88 days [1]. It became the model for fast, wide-ranging deals. The shift is largely real, though speed has left some design gaps.

Merits of the fast-track model

• Fast and deep market access: the UAE removed duties on 97.4% of its tariff lines, covering 99% of India's exports [1].
• More than goods: the Bilateral Investment Treaty came into force on 31 August 2024. It assures fair treatment and arbitration while keeping the state's right to regulate [2]. RBI–CBUAE agreements allow rupee–dirham settlement and a UPI–IPP payment link [3].
• Results: trade rose from USD 43.3 bn (FY21) to USD 83.7 bn (FY24). Non-oil exports reached USD 27.4 bn, and smartphone exports alone were USD 2.57 bn [4]. Trade crossed USD 100.06 bn in FY25, ahead of the five-year target [5].
• Became a template: the model was repeated with Australia (ECTA), EFTA (TEPA) and Oman (CEPA) [6].

Limits of speed

• Gaps in rules of origin: India itself flagged surges in silver products, platinum alloy and dry dates and asked the UAE to check origin compliance [5].
• Gold quota problems: the gold TRQ (low-duty import quota) had to be reallocated through competitive bidding [5].
• Inflated headline figure: both sides now target non-oil, non-precious-metal trade of USD 100 bn by 2030 [5]. This implicitly admits that bullion inflates the total.
• Low use of benefits: about 2.4 lakh certificates of origin covered only USD 19.87 bn of exports in total since the agreement began [4]. This suggests many exporters, especially MSMEs, are not claiming the benefits.

Verdict

The shift is real and has mostly worked. The UAE CEPA is fast, covers more than goods, and has delivered results. The CEPA Joint Committee, which reviews the agreement, has shown it can correct course [5]. Future agreements should build in strict rules of origin, outreach to MSMEs, and scheduled reviews. With these, speed and depth can go together, in line with SDG 17.11 on expanding developing-country exports.