New Delhi: The United Arab Emirates (UAE) has suspended exports and re-exports of wheat and wheat flour originating from India for four months.
The decision comes in view of the international developments that have affected trade flows.
India banned wheat exports in a surprise move on May 14, except for those backed by already issued letters of credit (LCs) and to countries seeking to ensure food security. Since then, it has allowed shipments of 469,202 tonnes of wheat.
Companies wishing to export or re-export Indian wheat brought into the UAE before May 13, when India`s suspension began, must first make an application to the economy ministry, it said in a statement.
The UAE and India signed a broad trade and investment pact in February that seeks to cut all tariffs on each other`s goods and aims to increase their annual trade to $100 billion within five years.
Meanwhile, India-UAE bilateral trade, valued at USD 180 million (Rs 1373 crore) per annum in the 1970s has increased to USD 60 billion (Rs 4.57 lakh crore) making the UAE, India’s third-largest trading partner for the year 2019-20 after China and the US.
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