India’s Commerce and Industry Minister Piyush Goyal announced that negotiations for a Free Trade Agreement (FTA) with the Gulf Cooperation Council (GCC) have formally begun, with expectations to conclude within a year. The pact aims to boost trade in goods, services, digital commerce, and investments across the $178 billion corridor.
On February 24, 2026, India and the Gulf Cooperation Council (GCC) signed a Joint Statement in New Delhi, formally launching negotiations for a comprehensive FTA. The agreement is expected to cover goods, services, digital trade, and advanced technologies, while also fostering investment flows between India and the six GCC nations.
Minister Piyush Goyal emphasized that India aims to conclude the talks within a year, underscoring the urgency of strengthening ties with one of its largest trading partners. The GCC, comprising Saudi Arabia, UAE, Qatar, Kuwait, Oman, and Bahrain, represents a critical market for India’s exports and energy security.
Analysts highlight that the FTA could significantly enhance India’s manufacturing competitiveness, expand digital trade opportunities, and deepen strategic economic partnerships in the Middle East.
Major Takeaways
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India and GCC formally launch FTA negotiations with a Joint Statement
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Talks expected to conclude within one year, says Piyush Goyal
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Agreement to cover goods, services, digital trade, and technology
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GCC is a $178 billion trade corridor for India
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Pact aims to boost investment flows and strengthen economic ties
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Strategic importance for India’s exports and energy security
Conclusion
The India-GCC FTA represents a landmark opportunity to reshape trade relations, offering India greater access to Middle Eastern markets while enhancing investment and digital cooperation. If concluded within a year, the pact could become a cornerstone of India’s global trade strategy.
Sources: The Economic Times, CNBC TV18, The Financial Express