The Comprehensive Economic Partnership Agreement (CEPA) between the UAE and Benin is expected to raise UAE exports to Benin by over $1 billion by 2033, while boosting Benin’s exports to the UAE by $100 million.
This will create new opportunities for trade and investment cooperation between the two countries, said Dr Thani bin Ahmed Al Zeyoudi, UAE Minister of Foreign Trade.
In a statement to the Emirates News Agency (WAM), he explained that the agreement provides for high levels of trade liberalisation, covering approximately 97% of current trade between the two countries, alongside the removal or reduction of a significant proportion of customs tariffs.
Record pace
He said the agreement represents an important addition to joint cooperation between the UAE and Benin, as well as to the UAE’s broader partnership with the African continent. He noted that negotiations had progressed at a record pace in recent months.
He highlighted the opportunities it offers across numerous sectors, particularly given Benin’s strong economic growth over the past two years, with growth exceeding 7.5% last year. This performance reflects the significant opportunities available for UAE private-sector companies seeking to enter the Beninese market.
He noted that Benin’s main exports to the UAE include cotton, certain types of nuts, soybeans and a range of food products. These goods have opportunities in the UAE market and can also be re-exported through the UAE to global markets.
Wide range of imports
He added that the Beninese market imports a wide range of equipment, electronics, devices and spare parts that directly support the industrial and infrastructure sectors.
He affirmed that the agreement also opens up opportunities in services and investment. He pointed to the signing of an agreement in the renewable energy sector during a roundtable meeting held earlier today.
He noted that UAE companies are already operating in Benin, investing in garment factories that benefit from the availability of cotton. He also emphasised that precious metals, particularly gold, will play a significant role in expanding bilateral trade, alongside substantial opportunities in the electronics and technology sectors.
He highlighted the importance of logistics, given Benin’s position as a gateway to neighbouring countries and its role in exporting a wide range of goods from Africa to global markets. He explained that efforts are currently under way to strengthen logistical connectivity to facilitate the movement of goods and services.—TradeArabia News Service
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