The Gulf Cooperation Council (GCC) and India have formally launched negotiations for a free trade agreement (FTA), in a move officials described as a new chapter in their strategic partnership.
GCC Secretary-General Jasem Albudaiwi and India’s Minister of Commerce and Industry Piyush Goyal signed the joint statement initiating the talks during a meeting in New Delhi on Tuesday.
Albudaiwi said the launch of negotiations reflects the depth of ties between the Gulf states and India, stressing that the relationship extends beyond transient economic interests.
It is a longstanding partnership strengthened by centuries of cultural and social exchange and guided by a shared commitment to broad-based cooperation that serves mutual interests, he added.
India is one of the GCC’s most significant trading partners, Albudaiwi noted, pointing to steadily expanding trade volumes and growing integration in key sectors such as energy, food security and technology.
Deepening cooperation has become a strategic economic imperative, he remarked.
“New Delhi is not only a vast and promising market, but also a global hub for innovation and industry,” he stated.
The terms of reference signed in February establish a comprehensive framework for the negotiations. The two sides agreed to explore cooperation across a wide range of areas, including trade in goods and services, customs procedures and digital trade.
The framework also addresses sanitary and phytosanitary standards, intellectual property rights, and support for micro, small and medium-sized enterprises, among other issues of mutual interest. Albudaiwi said the scope of the talks reflects an ambition to craft an agreement aligned with the evolving global economy.
He hoped that the negotiations would culminate in a comprehensive and forward-looking FTA that eliminates tariff and non-tariff barriers, facilitates investment flows in both directions and strengthens trade and investment liberalization between India and the GCC.
Such an agreement would create a more competitive business environment, expand private-sector opportunities, reinforce supply chains and accelerate economic growth in line with the Gulf states’ development strategies, he said.
The GCC General Secretariat is ready to host the first round of negotiations at its headquarters in Riyadh in the second half of this year, he added.
