The Thai government is ready to start negotiations on a free trade agreement (FTA) with the UAE, one of its fastest growing trading partners. Both sides have already exchanged a plan of negotiations, which are scheduled for May 9. Thai Prime Minister Prayut Chan-ocha is confident that the FTA with the UAE will open up new opportunities for trade in the Middle East.
In 2022, non-oil trade between the two countries reached $6.1 billion, up 21% year on year. This indicates a significant potential for expanding mutual trade.
The FTA with the UAE will allow Thailand to strengthen its economic ties with the Middle East, which is a priority for the Prayut Chan-ocha government to expand trade and investment. In addition, the agreement will help reduce tariff barriers and increase the competitiveness of goods and services of both countries in the world market.
An important achievement before the start of negotiations was the signing of a memorandum of understanding between the Federation of UAE Chambers of Commerce and Industry and Thailand's most powerful business lobby, the Joint Committee on Commerce, Industry and Banking. This will give impetus to further strengthen business ties and improve the economic partnership between the two countries.
