South Australia is forging stronger economic ties with the United Arab Emirates (UAE) as part of a strategic push to expand its presence in the Middle Eastern market. A delegation led by the South Australian Minister for Trade is visiting Dubai to capitalize on the newly established Comprehensive Economic Partnership Agreement (CEPA) and increased air freight capacity between Adelaide and Dubai.
Boost in Air Freight Capacity Driving Exports
The return of Emirates' daily flights between Adelaide and Dubai in October 2024 has provided a significant boost to South Australian exporters. The restored service enables more than 200 tonnes of weekly direct air freight capacity, offering local businesses quicker and more cost-effective access to the Middle East.
The state government noted that this additional capacity has simplified the export process, reducing administrative barriers and opening new opportunities for South Australian products to reach the UAE market.
UAE: A Key Export Market for South Australia
Recent figures from the Australian Bureau of Statistics (ABS) highlight the UAE’s growing importance as a trade destination. The UAE has surpassed Singapore to become South Australia's second-largest export market, with total exports valued at $254 million annually.
This surge in trade coincides with the signing of the CEPA in November 2024, a historic agreement that eliminates tariffs on over 99% of Australian exports to the UAE. The agreement, set to come into effect in mid-2025, is expected to further enhance bilateral trade by fostering a seamless flow of goods and services.
Delegation Aims to Unlock New Opportunities
Minister Szakacs, who is leading the trade delegation, emphasized the importance of leveraging these developments to secure long-term economic benefits for South Australia.
“While we’re encouraged by the recent expansion of air freight options to the Middle East, we must continue to build momentum. That’s why this delegation is focused on showcasing South Australia’s strengths and unlocking opportunities ahead of the Australia-UAE trade agreement coming into force,” he said.
The delegation’s agenda includes meetings with major UAE companies, including Emirates, Leader Healthcare, and ClimaGulf, to explore collaboration in sectors such as aviation, technology, and agribusiness.
A Gateway to Global Markets
The UAE serves as a strategic hub connecting South Australia to the broader Middle East, North Africa, South Asia, and Europe. Minister Szakacs highlighted the UAE's role as a gateway for South Australian exporters seeking to expand their global footprint.
“The UAE is not just an important partner for South Australia; it’s a bridge to key international markets,” he noted.
Expanding Outreach to India
Following the Dubai visit, the delegation will continue to India to explore trade opportunities in food, agriculture, technology, space, and defense. The mission underscores South Australia’s commitment to fostering global partnerships and driving economic growth through diversification.
Looking Ahead
With the CEPA agreement set to take effect and improved air freight connectivity already in place, the partnership between South Australia and the UAE is poised for significant growth. These developments are expected to deliver mutual benefits, driving innovation, investment, and job creation in both regions.
As South Australia positions itself as a key player in international trade, the collaboration with the UAE serves as a powerful example of how strategic partnerships can create new economic opportunities and strengthen global ties.
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