UAE investors look to move into India-UAE’s $7b food corridor

The UAE is currently evaluating investment opportunities in eight food parks in India, as the two countries work on a wider coalition on food security.

Juma Alkait, assistant undersecretary for International Trade Affairs Sector at the UAE’s Ministry of Economy, UAE said on Tuesday, “India is and has always been an important partner of the UAE. Eight food parks are currently being evaluated for a proposed project. We are looking on to collaborate on numerous projects on the India – UAE food corridor.”

He was speaking at the inaugural session of the UAE India Food Security Summit organised by the Consulate General of India in Dubai on Tuesday, December 8.

The proposed UAE-India food corridor initiative is projected to draw investments of up to $7 billion from the Emirates to the Subcontinent. The corridor is expected to benefit two million farmers and create 200,000 jobs in India by managing food supply chains and through the establishment of logistics infrastructure and major agricultural projects, said Alkait.

Speaking at the opening session, Dr Ahmed Al Banna, Ambassador of UAE to India said, “UAE- India food security summit is an important one, one that is close to both of our nations. Even in the crucial times of COVID-19, the relations have become stronger.”

Al Banna also praised India’s recently launched Production Linked Incentive (PIL) which provides manufacturers incentives on sales from manufacturing and processing units within the country. “The scheme will boost trade relations in all major sectors, including the food sector,” he added.

Pavan Kapoor, Indian Ambassador to the UAE said, “India’s export of agri-commodities has increased by 23 per cent during the first three months of the pandemic in comparison to figures from last year. India exported USD 3.42 billion worth of Agri-Products during March-May this year in comparison USD 2.8 billion during the same time period last year.” — dhanusha@khaleejtimes.com