India-GCC FTA Negotiations Revive: A Trade Milestone

India has resumed talks with the Gulf Cooperation Council for a free trade agreement. This FTA aims to strengthen economic ties and boost trade, significantly impacting bilateral exchanges of goods and investment flows. The GCC, India's largest trading partner bloc, represents a critical market opportunity.

India and the Gulf Cooperation Council (GCC) have reinitiated negotiations for a free trade agreement, according to an official statement on Tuesday. A joint statement between Jasem Mohammad Al Budaiwi, the Secretary General of the GCC, and India's Commerce and Industry Minister Piyush Goyal was signed, marking this renewed effort.

The GCC, comprising nations like Saudi Arabia, the UAE, and Qatar, is India's largest trading partner bloc. Bilateral trade between India and the GCC stood at USD 178.56 billion in 2024-25, accounting for over 15% of India's global trade. The proposed FTA aims to formalize and enhance these ties with a comprehensive agreement.

India's exports to the GCC include goods such as machinery and textiles, while imports are predominantly crude oil and LNG. The discussions, reviving stalled talks from 2006 and 2008, aim to boost trade, customs procedures, and investment flows between India and the six GCC nations.

(With inputs from agencies.)