UAE and UK to strengthen trade relations after Brexit

As the UK reshapes its future trade policy during the post-Brexit transition period, the UAE — UK’s largest export market in the Middle East and the 13th biggest globally — has become one of its first trade allies to reaffirm its commitment in trade relations.

This commitment was signified by the meeting between Etihad Credit Insurance (ECI), the UAE Federal export credit company and the Rt. Hon. The Lord Mayor of the City of London William Russell, which underscores the aim of both entities to foster deeper relationships between the UAE and the UK, and to further strengthen the trade relations between the two countries.

The post-Brexit transition period gives the UK new opportunities to engage with countries which have a liberal trade regime, such as the UAE, thereby attracting capital from international markets. This will pave the way for greater value creation for UAE businesses and exporters, prompting an increase in trade and foreign investments for the future.

Stressing on ECI’s commitment in supporting a successful post-Brexit transition, Massimo Falcioni, CEO of Etihad Credit Insurance said: “The UK is one of the biggest trading partners of the UAE and we are delighted to enter into a productive discussion with the Lord Mayor of City of London to discuss strategic ways to strengthen trade and investments between the UAE and the UK.”

The Rt. Hon. The Lord Mayor of the City of London William Russell said: “The UAE is the UK’s key trading partner in the region, making up 40 per cent of GCC-UK trade. According to the UAE Ministry of Economy’s ‘Non-Oil Foreign Trade Relation Report between The United Arab Emirates and United Kingdom’, the UAE’s non-oil export and re-exports trade volume to the UK stood at Dhs13.2 billion in 2018 up from Dhs13.1 billion in 2017.

The UAE - the UK’s fourth largest export market outside the EU - is also home to a large expat population of 120,000 UK nationals and a travel destination to 1.25 million UK tourists in 2016.”

“ECI is committed to facilitating support for UAE exporters and investors to expand their business in the UK with comprehensive solutions to bring in new investments, trade opportunities and more jobs for the national economy. The meeting was instrumental in advancing the UAE’s economic non-oil diversification drive,” Massimo added. The meeting was witnessed by distinguished officials from The British Embassy marking the next step to drive economic momentum between the UAE and the UK. Abeer Al Mutawa, Director of Marketing & Communications of Etihad Credit Insurance was also present during the occasion.

In 2019, Etihad Credit Insurance signed a Memorandum of Understanding with UK Export Finance (UKEF), the UK government’s export credit agency, to encourage greater confidence amongst traders and investors by enhancing the trade relations as well as boosting investment opportunities between the UK and the UAE.

The MoU focuses on collaborations in export credit policies and practices, projects and other areas of mutual interest.

Meanwhile the Etihad Credit Insurance (ECI), the UAE Federal Credit Insurance Company, continues to provide support to UAE manufacturers to expand their export business.

Conares is a regional major private manufacturer in the UAE; annually producing 1 million tonnes of steel products - steel pipes, rebars and pre-painted coils. ECI will be protecting Conares’ export volume by offering them international trade credit coverage solutions and ease the steel manufacturer to open new markets.

The business in scope under this agreement includes exports of manufacturing and trading of steel rebar and steel pipes. This will help Conares to strategically identify potential customers in the international markets.

Conares has signed up with ECI for a multi-buyer trade credit solution, which will minimise the risks connected to the exports of their products to international markets. This agreement will also provide access to ECI’s comprehensive information database platform of 360 million corporates in both domestic and international markets.  Conares has a worldwide network and this coverage will help the company to strengthen its expansion plans and enhance its export capabilities.

Massimo Falcioni, CEO of ECI commented: “It is ECI’s mandate to strengthen UAE businesses’ export capabilities by providing a broad suite of tailored trade credit solutions that helps UAE manufacturers to achieve their goals and expand their business in the international and domestic markets. Conares has established its position in the steel industry and reinforced the region’s infrastructure development by providing industry-leading steel products through long-standing partnerships.

WAM/Agencies