India-GCC FTA Talks Set to Begin, Trade Hits $178.7 Billion

India and the Gulf Cooperation Council (GCC) signed the Terms of Reference in New Delhi to start FTA talks; earlier negotiation rounds were held in 2006 and 2008.

Commerce & Industry Minister Piyush Goyal said the FTA will aid energy diversification, strengthen long-term supply security, and expand bilateral trade.

The proposed FTA is expected to benefit food processing, infrastructure, petrochemicals, ICT, and boost value-added manufacturing including premium leather goods, accessories, and upholstery.

India’s exports to the GCC rose ~1% to $57 billion in FY25 from $56.32 billion in FY24, while imports increased 15.33% to $121.7 billion from $105.5 billion.

Total India–GCC trade grew to $178.7 billion in FY25 from $161.82 billion in FY24; around 10 million Indians live and work in GCC countries.