The barter system was in place before the Indian rupee became the currency in Dubai following the First World War. Pearl and camels used to be bartered for business transactions.
Although the India rupee was widely used in Dubai, traders preferred silver coins. When the merchants (javeris) from India brought currency notes, a 100 rupee note would only fetch silver coins worth 95 rupees
Gulf rupee (pronounced rubiya), printed by India, replaced the Indian currency in 1959.
On June 6, 1966, India devalued the Gulf rupee against the Indian rupee. And Dubai adopted what was called the Qatar and Dubai Riyal (QDR) as the legal tender.
Dirham became the UAE currency in 1973.
The origins of Customs in Dubai can be traced to the 1930s. Abdul Karim Bashi, an Iranian, was the first customs officer. He used to tax Indians 2 rupees and 8.75 anas. Out of that 2 rupees would go towards his salary, 8 anas as labour charges and 3 paise was paid to the officials/government. The customs duty on textile rolls used to be Rs 2.75 per carton.
Dubai Ruler His Highness Sheikh Rashid Bin Saeed Al Maktoum put Thani Bin Abdulla (left) in charge of Dubai Customs. Thani Bin Abdulla in February 1972 became the first Speaker of Federal National Council.
Onion and garlic were imported from Kutch in India. The boats arrived in Dubai in 15 days.
Wheat was imported from Bushehr, a city in Iran
Donkeys from Iran would cost 30 – 100 rupees
Cows from Iran: 12-14 rupees.
Goats from Iran: 1.8 rupees
Rice per bag: 6.50 rupees
Chinese silks: 2.50 to 4 rupees per roll (taka)
House Rent: 300 rupees per year
Meals for a month: 5 rupees