India and Gulf Cooperation Council (GCC) to ink terms of reference on 5 February for starting FTA talks

Key facts

• India and the Gulf Cooperation Council (GCC) will sign terms of reference on 5 February to launch negotiations for a free trade agreement.
• Commerce and Industry Minister Piyush Goyal will preside over the signing ceremony.
• GCC comprises Saudi Arabia, the UAE, Qatar, Kuwait, Oman and Bahrain.
• India already implemented a free trade pact with the UAE in May 2022.
• India and Oman signed a Comprehensive Economic Partnership Agreement (CEPA) on 18 December 2025.
• Earlier negotiations between India and GCC were held in 2006 and 2008; third round deferred.
• India's exports to GCC rose 1% to USD 57 billion in 2024-25.
• India's imports from GCC rose 15.33% to USD 121.7 billion in 2024-25.
• Bilateral trade reached USD 178.7 billion in 2024-25.
• UAE was India's third-largest trading partner in 2024-25 with a trade deficit of USD 26.76 billion.
• Saudi Arabia was India's fifth-largest trading partner with a trade deficit of USD 18.36 billion.
• Qatar was India's 22nd-largest trading partner with a trade deficit of USD 10.78 billion.
• Oman was India's 28th-largest trading partner with a trade deficit of USD 2.48 billion.
• Kuwait was India's 29th-largest trading partner with a trade deficit of USD 6.35 billion.
• Bahrain was India's 65th-largest trading partner with a trade deficit of USD 45.97 million.