India, Gulf Cooperation Council FTA Talks Likely To Begin Within Month

New Delhi, Oct 16 (KNN) The free trade agreement talks between India and the Gulf Cooperation Council is expected to begin as early as next month, reported money control citing officials.

While the intent to hold talks on an FTA had been announced in November last year, nothing concrete had been done so far due to a delay in appointing a chief negotiator from the GCC, commerce ministry officials said.

“There was a change in the chief negotiator from the GCC side. However, the chief negotiator of the GCC has now been appointed and talks should begin soon,” an official told Moneycontrol.

The official added that both the sides are keen to complete these negotiations as early as possible.

The GCC is a union of six countries in the Gulf region – Saudi Arabia, the UAE, Qatar, Kuwait, Oman and Bahrain.

A Framework Agreement on Economic Cooperation between India and the Gulf Cooperation Council was first signed in August 2004. The framework agreement provided that both parties would consider extending and liberalising trade relations and start discussions on the feasibility of an FTA between them.

Accordingly, negotiations commenced with the GCC, with two rounds held in 2006 and 2008. The third round did not take place as the GCC deferred its negotiations with all countries and economic groups.

India imports predominantly crude oil and natural gas from Saudi Arabia and Qatar. It exports pearls, precious and semi-precious stones, metals, imitation jewellery, electrical machinery, iron and steel, and chemicals to these countries. 

(KNN Bureau)