The League of Arab States accounts for roughly one-sixth of India’s total global trade at USD 240 bn. To double that to USD 500 bn by 2030, trade needs to move beyond energy flows to investment-led value chains, says Waeil Awwad, secretary general of the Indo-Arab Chamber of Commerce, Industry, and Agriculture. In an exclusive chat with EnterpriseAM, Awwad outlines the roadmap ahead, even as war hits the region and logistical bottlenecks cloud near-term outlook.

EnterpriseAM: What is the structural change needed to realistically achieve the USD 500 bn target?

Waeil Awwad (WA): The dominance of an energy-led trade structure continues to limit diversification into high-value sectors. Crude oil will remain the base, but growth will require co-investment, co-production, and technology collaboration. It means building value chains around petrochemicals, manufacturing, and re-export hubs rather than just raw commodity flows. Renewable energy, green hydrogen, and energy storage will be integral to the transition. The most scalable upside remains in pharma, healthcare services, and agri-processing, as well as fintech, AI, and smart infrastructure. India brings manufacturing capability, technology, and human capital, while the Arab world brings capital and market access.

EnterpriseAM: Several operational barriers persist in India-Arab trade. What are the primary bottlenecks for most businesses today?

WA: Regulatory complexity, differences in standards, customs procedures, and certification processes raise costs and delay shipments, particularly for smaller exporters. Second, dependence on USD-based transactions, the absence of robust local currency settlement mechanisms, and limited access to trade finance can slow projects. Despite the geographic proximity, logistical inefficiencies — shipping routes, underdeveloped multimodal corridors, and port bottlenecks — limit supply chain integration and project execution. Businesses also cite visa constraints, varied law enforcement mechanisms, and weak market intelligence as factors that prevent scaling cross-border investment.

EnterpriseAM: How are geopolitics and the war impacting trade corridors and plans for connectivity, such as the India-Middle East-Europe Economic Corridor (IMEC)?

WA: Regional conflict and sensitivities could delay large multilateral infrastructure projects in the near term. A realistic pathway may involve a phased “IMEC Plus” model built around existing infrastructure and stable segments of the corridor. The India-UAE-Saudi Arabia trade route appears the most commercially viable starting point, while Egypt could play a critical role in linking the Gulf to Europe through the Mediterranean and the Suez Canal. Pragmatically, a flexible, multi-nodal network linking India, the Gulf, North Africa, and Europe may prove more resilient than the original linear corridor, especially during times of geopolitical volatility.

EnterpriseAM: How will the chamber step in to accelerate Indo-Arab trade and project financing?

WA: We plan to build structured pipelines to connect businesses through organizing sector-focused buyer-seller meets and curated delegations to convert dialogues into transactions. The next focal point is to simplify trade procedures for companies as they navigate regulatory requirements, obtain Certificates of Origin, and discover verified partners in Arab markets. Third, sectoral investment platforms will connect Gulf capital with projects in food security, energy, healthcare, and logistics across India and the Arab region.

EnterpriseAM: How can small and medium-sized enterprises (SME) benefit from the corridor rather than being crowded out by large firms?

WA: We plan to introduce digital platforms that connect small and medium-sized enterprises (SME) directly with Arab buyers and investors. Dedicated SME corridors within trade missions and exhibitions lend smaller companies targeted exposure. The export guidance, standards certification support, and logistics coordination mechanisms ensure that small and medium-sized enterprises are able to participate in cross-border value chains rather than being confined to domestic markets.

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