India-Gulf Countries to expand bilateral trade
The Gulf Cooperation Council Secretariat General Dr Al Marzouqi has underscored that GCC and India have shared historic trade relations and that the signing of Terms of Reference (ToRs) on 5 Feb in Delhi marks the commencement of negotiations towards a mutually beneficial Free Trade Agreement (FTA).
He highlighted that the FTA will further reinforce relations between India and GCC, particularly in the context of prevailing global uncertainties.
Dr Raja Al Marzouqi, as Chief Negotiator, signed the ToRs. Ajay Bhadoo, Additional Secretary and Chief Negotiator, Department of Commerce, signed on behalf of India.
Witnessing the signing ceremony, Minister of Commerce and Industry Piyush Goyal said the ToRs will guide the negotiations for the GCC-India FTA by defining its scope and modalities.
Goyal emphasized that the FTA will be a force multiplier for the global good, and underlined that the trade pact will bring predictability and stability, taking the relationship between the two sides to greater heights http://commerce.gov.in.
During his visit, Dr Raja Al Marzouqi held discussions on bolstering overall economic partnership between India and the GCC and advancing cooperation in the areas of mutual interest.
The India–GCC FTA holds significant potential to unlock and expand trade with an important region, with which India has longstanding historical ties in trade and commerce https://www.bseindia.com/.
India’s trade with GCC stood at US$178.56 billion (Exports: US$56.87 billion; Imports: US$121.68 billion) in FY 2024-25, accounting for 15.42% of India’s global trade. In the last five years, India’s trade with the GCC has expanded steadily, registering an annual average growth rate of 15.3 per cent.
Key exports from India to GCC include engineering goods, rice, textiles, machinery, gems and jewelry. Key sectors of imports from GCC primarily comprise crude oil, LNG, petrochemicals, and precious metals such as gold. Collectively, the GCC countries represent a market of 61.5 million people (2024) and US$2.3 trillion in terms of GDP at current prices, ranking 9th globally in this category. The GCC region is also a significant source of FDI for India, with cumulative investments exceeding USD 31.14 billion as on September 2025 https://www.nseindia.com/.
The GCC is also home to nearly ten million members of the Indian community. These strong and enduring people-to-people ties are further reinforced by the substantial presence of Indian companies across the region, the Ministry of Commerce and Industry said. fiinews.com
