UAE temporarily suspends Indian wheat export for four months.

The Ministry of Economy of the United Arab Emirates (UAE) has temporarily suspended the export and re-export of wheat and wheat flour from India, including free zones, for a period of four months, according to state media agency WAM.

The Ministry has issued Cabinet Resolution No. 72 of 2022, which applies to all wheat varieties, including hard, ordinary, and soft wheat, as well as wheat flour, with a strict moratorium on wheat export and re-export.

• The decision is being made in light of recent international developments that have affected trade flows.

In February, the UAE and India signed a broad trade and investment agreement aimed at lowering all tariffs on each other's goods and increasing their annual trade to USD 100 billion within five years.

The pact, known as the Comprehensive Economic Partnership Trade Agreement (CEPA), took effect on May.

• Meanwhile, bilateral trade between India and the UAE has increased from USD 180 million (Rs 1373 crore) per annum in the 1970s to USD 60 billion (Rs 4.57 lakh crore), making the UAE India's third-largest trading partner in 2019-20 after China and the US.

Furthermore, the UAE is India's second-largest export destination (after the US), with an export value of USD 29 billion (Rs 2.21 lakh crore) for the fiscal year 2019-2020.

The UAE is the eighth largest investor in India with an estimated investment of USD 18 billion (Rs 1.37 lakh crore).

• Indian investments in the UAE are estimated at around USD 85 billion (Rs 6.48 lakh crore).

In February this year, India and the UAE signed a bilateral. "Comprehensive Economic Partnership Agreement". This agreement has the potential to increase trade between: India and the UAE from USD 60 billion (Rs 4.57 lakh crore) to USD 100 billion (Rs 7.63 lakh crore) in the next five years, the ministry said.