India Pursues Free Trade Deal with Gulf Countries
ECONOMY & POLICY

India Pursues Free Trade Deal with Gulf Countries

India is actively engaged in negotiations to establish a free trade agreement (FTA) with Gulf countries, aiming to enhance economic cooperation and strengthen trade ties. This move comes as part of India's broader strategy to diversify its trade partners and expand its economic outreach in the Gulf region.

The FTA negotiations between India and Gulf countries are expected to unlock new opportunities for trade and investment, leading to substantial economic benefits for both sides. Currently, bilateral trade between India and Gulf countries stands at around $120 billion and is poised for further growth with the conclusion of a comprehensive FTA.

An FTA with the Gulf countries holds several advantages for India. Firstly, it would provide Indian businesses with increased market access, allowing for greater export opportunities and the expansion of key sectors such as pharmaceuticals, textiles, and engineering goods. Furthermore, it would attract foreign direct investment (FDI) into India, contributing to job creation and technological advancements.

Additionally, the FTA would foster closer ties between India and Gulf countries, improving geopolitical relations and providing a platform for enhanced cooperation across various sectors, including energy, infrastructure, and tourism.

India's efforts to forge an FTA with Gulf countries align with its "Look West" policy and the government's commitment to promoting international trade and investment. It also seeks to reduce its dependence on traditional partners and explore new markets for its goods and services.

While negotiations are ongoing, both sides have shown a strong commitment to reaching a mutually beneficial agreement that addresses concerns and interests on key issues such as tariff barriers, non-tariff measures, and intellectual property rights protection.

This pursuit of an FTA comes at a time when the global trading landscape is witnessing significant transformations. Many countries are seeking to establish new trade alliances and strengthen existing ones to boost economic growth and reinforce their positions in the global market.

India's focus on fostering stronger economic ties with Gulf countries is strategically important, considering the region's immense economic potential and its significance as a source of energy and investment.

In conclusion, India's proactive stance in pursuing an FTA with Gulf countries underscores its commitment to expanding its economic horizons and strengthening trade ties within the Gulf region. The potential benefits of such an agreement are considerable, opening up new avenues for trade, investment, and collaboration for India and Gulf countries alike.

India is actively engaged in negotiations to establish a free trade agreement (FTA) with Gulf countries, aiming to enhance economic cooperation and strengthen trade ties. This move comes as part of India's broader strategy to diversify its trade partners and expand its economic outreach in the Gulf region. The FTA negotiations between India and Gulf countries are expected to unlock new opportunities for trade and investment, leading to substantial economic benefits for both sides. Currently, bilateral trade between India and Gulf countries stands at around $120 billion and is poised for further growth with the conclusion of a comprehensive FTA. An FTA with the Gulf countries holds several advantages for India. Firstly, it would provide Indian businesses with increased market access, allowing for greater export opportunities and the expansion of key sectors such as pharmaceuticals, textiles, and engineering goods. Furthermore, it would attract foreign direct investment (FDI) into India, contributing to job creation and technological advancements. Additionally, the FTA would foster closer ties between India and Gulf countries, improving geopolitical relations and providing a platform for enhanced cooperation across various sectors, including energy, infrastructure, and tourism. India's efforts to forge an FTA with Gulf countries align with its Look West policy and the government's commitment to promoting international trade and investment. It also seeks to reduce its dependence on traditional partners and explore new markets for its goods and services. While negotiations are ongoing, both sides have shown a strong commitment to reaching a mutually beneficial agreement that addresses concerns and interests on key issues such as tariff barriers, non-tariff measures, and intellectual property rights protection. This pursuit of an FTA comes at a time when the global trading landscape is witnessing significant transformations. Many countries are seeking to establish new trade alliances and strengthen existing ones to boost economic growth and reinforce their positions in the global market. India's focus on fostering stronger economic ties with Gulf countries is strategically important, considering the region's immense economic potential and its significance as a source of energy and investment. In conclusion, India's proactive stance in pursuing an FTA with Gulf countries underscores its commitment to expanding its economic horizons and strengthening trade ties within the Gulf region. The potential benefits of such an agreement are considerable, opening up new avenues for trade, investment, and collaboration for India and Gulf countries alike.

Next Story
Infrastructure Urban

Indian Delegation Visits South Africa for Trade and Investment Talks

A nine-member Indian delegation participated in the second session of the India-South Africa Joint Working Group on Trade and Investment (JWGTI) held in Pretoria from 22 to 23 April 2025. Discussions were conducted in a cordial atmosphere, focusing on expanding trade ties, boosting investments, and fostering greater people-to-people exchanges. The meeting was co-chaired by Malose Letsoalo, Chief Director, Bilateral Trade Relations, Department of Trade, Industry and Competition of South Africa, and Priya Nair, Economic Adviser, Department of Commerce, India. Delegates from the High Commission ..

Next Story
Infrastructure Urban

Ministry of Cooperation Inaugurates NCOL Organic Packaging Facility

The Ministry of Cooperation inaugurated a new state-of-the-art packaging facility of National Cooperative Organics Limited (NCOL) in Noida, Uttar Pradesh. The centre is dedicated to packaging pulses and organic products while maintaining high hygiene and quality standards. Dr Ashish Kumar Bhutani, Secretary, Ministry of Cooperation, called the facility a major milestone in promoting the Bharat Organics brand. The initiative aims to empower farmers and expand access to certified organic produce across India, while offering premium prices to farmers and affordable organic food to consumers. Un..

Next Story
Infrastructure Urban

Adani Airport Seeks $750 Million Loan from Global Banks

Adani Group is in discussions for an offshore loan of up to $750 million for its airport arm, Adani Airport Holdings Limited, with international banks such as Barclays Plc, First Abu Dhabi Bank PJSC, and Standard Chartered Bank Plc. The funds will support capital expenditure and repay dollar-denominated debt maturing in September. The deal is expected to conclude by early May. Adani Airport Holdings Limited operates seven major airports across India and is preparing to open a new international hub worth $two billion on the outskirts of Mumbai. This would be the Group’s second significant o..

Advertisement

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Advertisement

Talk to us?