India, Gulf Bloc Review FTA Talks, Eye Next Steps At September Ministerial Meeting

India and the Gulf Cooperation Council (GCC) have reviewed the next steps for their proposed free trade agreement as both sides seek to deepen trade and investment ties. The discussions took place in Riyadh between Indian Ambassador to Saudi Arabia Vipul and GCC Secretary General Jasem Mohamed Albudaiwi on Sunday.

The two sides discussed FTA negotiations, ways to strengthen India GCC relations and preparations for a ministerial meeting scheduled for next month. They also exchanged views on regional and international developments and agreed on the importance of continued coordination on issues linked to regional security and stability.

The meeting comes after India and the GCC formally launched FTA negotiations in February 2026. The talks were later temporarily stalled in June because of the West Asia crisis, but the latest discussions signal a renewed push to move the process forward. The GCC had also confirmed in February that the negotiations marked a new phase in its strategic and economic partnership with India.

The GCC comprises Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the UAE. Established in 1981, the six nation grouping is a major economic and strategic partner for India.

The scale of the relationship gives the proposed pact considerable importance. India GCC bilateral trade reached USD 178.56 billion in 2024 25, accounting for 15.42 per cent of India's global trade. India exported goods worth about USD 56.87 billion to the region, while imports stood at USD 121.68 billion.

India's major exports to the Gulf include engineering goods, rice, textiles, machinery, gems and jewellery. Imports are led by crude oil, LNG, petrochemicals and gold, making the GCC especially important for India's energy security.

The Gulf is also a major source of investment and remittances. GCC countries had invested more than USD 31.14 billion in India as of September 2025, while nearly 10 million Indians live across the region.

The current talks revive efforts that were held in 2006 and 2008 before the GCC deferred FTA negotiations with external partners. The renewed process comes as India expands its network of trade agreements with key global markets.

India has already strengthened its Gulf trade ties through separate agreements. Its UAE trade pact is in force, while the India Oman Comprehensive Economic Partnership Agreement entered into force on June 1, 2026. The Oman pact provides preferential access for Indian exports and further strengthens India's economic link with the wider GCC market.