NEW DELHI: The United Arab Emirates has replaced Saudi Arabia as the largest overseas destination for Indian blue-collar workers, according to the latest government data on emigration trends.
The shift reflects changing labour dynamics in the Gulf region, driven by infrastructure expansion, wage competitiveness, and worker-friendly policies in the UAE.
In 2025, as many as 200,686 Indian blue-collar workers migrated to the UAE for employment, compared with 136,812 who went to Saudi Arabia. This marks a significant reversal from last year, when Saudi Arabia attracted 167,598 workers, ahead of the UAE’s 111,308. The contrast is even sharper when compared with 2023 figures, when Saudi Arabia led decisively with 200,713 Indian workers, while the UAE received just 71,687.
Overall, overseas migration of Indian blue-collar workers has shown a steady rise. In 2025, 449,110 workers moved to 11 major labour-importing countries, up from 387,067 in 2024 and 398,316 in 2023. The data is maintained by the Ministry of External Affairs and covers Indian emigrants holding Emigration Check Required (ECR) passports, who travel to officially notified ECR countries.
In contrast to the UAE’s surge, migration trends across other GCC countries present a mixed picture. Qatar has recorded a steady decline in the intake of Indian blue-collar workers over the past three years, with numbers falling from 30,683 in 2023 to 23,785 in 2024, and further down to 21,907 in 2025, reflecting a cooling labour demand following the post–World Cup infrastructure phase. Oman, however, has moved in the opposite direction, showing consistent growth in worker inflows--- from 21,336 in 2023 to 24,258 in 2024, and a sharp rise to 29,158 in 2025 which signals renewed momentum in construction, manufacturing, and allied sectors.
Experts attribute the UAE’s surge primarily to its aggressive infrastructure push, particularly in construction, logistics, manufacturing, and urban development. Large-scale projects across Abu Dhabi, Dubai, and the northern emirates have created sustained demand for skilled and semi-skilled labour. Industry estimates suggest that wages in the UAE can be 15–30 percent higher than comparable roles in the region, especially in construction and manufacturing.
Non-economic factors also play a critical role. The UAE’s geographic proximity to India, shorter travel times, and perception of safety make it an attractive destination for migrant workers. Additionally, workers benefit from a tax-free income structure, allowing them to remit 100 percent of their earnings back home without deductions, boosting household incomes and remittance flows to India.
The shift signals a broader recalibration of labour preferences in the Gulf, with the UAE consolidating its position as the most attractive destination for Indian blue-collar workers amid rising competition for migrant labour in the region.