The signing took place in the presence of Union Minister of Commerce and Industry Piyush Goyal, Union Minister of State for Commerce and Industry Jitin Prasada, and Commerce Secretary Rajesh Agrawal.
“Our ties with the 6-nation GCC (Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates) have transformed into a strategic partnership and assumed newer and greater dimensions,” Goyal said.
Together with trade deals with the UAE and Oman, this FTA with the GCC will unleash new opportunities for Indian goods and services, MSMEs, entrepreneurs, skilled youth & professionals, and attract massive investments. With India deepening its trade engagements with the developed world, the stage is set for unlocking the full potential of a mutually beneficial economic relationship with the GCC, he said.
The ToRs will guide the negotiations for the GCC-India FTA by defining its scope and modalities.
Goyal said FTA will bring predictability and stability, taking the relationship between the two sides to greater heights.
He exuded confidence that FTA will enable seamless flow of goods, and services and attract investments while expanding job opportunities and fostering food and energy security for the region, elevating our deep economic ties.
Chief Negotiator, Secretariat General of the Gulf Cooperation Council, Dr. Al Marzouqi, underscored that GCC and India have shared historic trade relations and that the signing of ToRs marks the commencement of negotiations towards a mutually beneficial FTA.
He highlighted that the FTA will further reinforce relations between India and GCC, particularly in the context of prevailing global uncertainties.
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. India’s trade with GCC stood at USD 178.56 billion (Exports: USD 56.87 billion; Imports: USD 121.68 billion) in FY 2024-25, accounting for 15.42 per cent 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 foreign direct investment for India, with cumulative investments exceeding USD 31.14 billion as on September 2025.
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.
