Key Meeting in Riyadh

Indian Ambassador to Saudi Arabia Vipul met GCC Secretary General Jasem Mohamed Albudaiwi in Riyadh on Sunday.

The two sides discussed ways to strengthen India-GCC relations and exchanged views on regional and international developments.

FTA Negotiations Reviewed

The proposed India-GCC Free Trade Agreement was a key focus of the meeting.

India and the GCC signed the Terms of Reference for the negotiations in February 2026. The proposed agreement is intended to expand trade in goods and services, attract investment and create new economic opportunities.

Ministerial Meeting in September

The two sides also reviewed preparations for an India-GCC ministerial meeting scheduled for September.

The meeting is expected to provide an opportunity to give further political and policy momentum to the ongoing FTA negotiations.

Talks Had Faced a Temporary Pause

The FTA negotiations resumed in February but were temporarily disrupted in June because of the West Asia crisis.

The latest engagement indicates that both sides are seeking to move the trade negotiations forward again.

Six-Nation GCC

The GCC consists of:

  • Bahrain

  • Kuwait

  • Oman

  • Qatar

  • Saudi Arabia

  • United Arab Emirates

Established in 1981, the GCC is a major regional grouping focused on political, economic and security cooperation.

Major Trading Partner for India

The GCC is India's largest trading partner bloc.

Bilateral trade between India and the GCC reached approximately $178.56 billion in 2024-25, accounting for about 15.42% of India's global trade.

India's exports to the bloc were around $56.87 billion, while imports stood at $121.68 billion.

Key Trade Items

India's major exports to GCC countries include:

  • Engineering goods

  • Rice

  • Textiles

  • Machinery

  • Gems and jewellery

India's major imports from the region include crude oil, LNG, petrochemicals and gold.

GCC Investment in India

The Gulf region is also an important source of investment for India.

Cumulative GCC investments in India exceeded $31.14 billion as of September 2025, according to official data.

Importance of the Indian Diaspora

The GCC region is home to nearly 10 million members of the Indian community.

Remittances from Indians working in the Gulf form an important source of foreign exchange and support India's economy.

Existing Trade Agreements With UAE and Oman

While negotiations continue at the GCC-wide level, India already has separate trade arrangements with some member countries.

India has implemented a trade pact with the UAE and signed a Comprehensive Economic Partnership Agreement with Oman.

Conclusion

India and the GCC are seeking to advance negotiations for a comprehensive Free Trade Agreement, with both sides reviewing the next steps in Riyadh.

The latest discussions covered FTA negotiations, stronger bilateral engagement, regional developments and preparations for the September ministerial meeting.

With bilateral trade exceeding $178 billion, substantial Gulf investment and nearly 10 million Indians living in the region, a comprehensive India-GCC trade agreement could have significant economic and strategic importance for India.