The UAE and Israel have entered into a customs agreement to boost their trade relations, with the signing being carried out by H.E. Mohamed Al Khaja, the UAE’s Ambassador to Israel, and Eli Cohen, the Foreign Affairs Minister of Israel.
The signing of the ceremony took place at the Prime Minister’s office in Jerusalem, with Israeli Prime Minister Benjamin Netanyahu in attendance. This customs agreement will pave the way for the UAE-Israel Comprehensive Economic Partnership Agreement (CEPA), which was signed in May 2022, to come into effect.
Mohamed Al Khaja said: “The Comprehensive Economic Partnership Agreement between the UAE and Israel will serve as a major engine to strengthen economic and commercial ties between the UAE and Israel. We expect the agreement to produce significant mutual economic benefits.”
The customs agreement aims to enable mutual assistance in ensuring the proper application of customs laws, accurately assessing customs and other tax fees on exports and imports, adjusting customs data, and preventing and investigating customs violations.
In 2022, the non-oil bilateral trade volume between the United Arab Emirates and Israel reportedly reached more than $2.5B. Once the CEPA between the United Arab Emirates and Israel becomes effective, both countries anticipate a substantial increase in their trade volume. It is projected that the CEPA will drive bilateral trade to exceed $10B in the next five years and contribute $1.9B to the GDP of the UAE within the same period.
