New Delhi, Mar11 (KNN) India's bilateral trade with the six-nation Gulf Cooperation Council and other Arab countries for the last three years has grown by nearly 76 per cent.   
Bilateral trade in the region has increased by 75.91 %   from USD 107360.14 million in 2009-10 to USD 188867.66 million in 2011-12, said a recent official statement by the Centre.
Countries included in the group are GCC Countries such as Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates; and West Asian Countries that include Iraq, Israel, Jordan, Lebanon, Yemen, Syria; and North African Countries - Algeria, Egypt, Morocco, Libya, Sudan and Tunisia.

Currently, India's export to the region primarily consists of gems and jewellery, petroleum (crude and products), transport equipment, rice- basmati, ready-made garments (cotton), sugar, meat preparations, drugs pharmaceuticals and fine chemicals, electronic goods, etc, according to the official statement.

Further, the total trade of India has grown at the rate of around 28 per cent during 2011-12, while the total trade in the above mentioned countries has grown at the rate of nearly 28.99per cent.  Assuming a rate of growth of 28 per cent, the total trade in the region is expected to be around USD 241 billion during the year 2012-13.

However, the release added, in view of the general slowdown observed in trade in India and the rest of the world, it may be safe to assume that India's trade in this region would go up to USD200 billion in 2012-13 which is nearly double of India's trade with this region in 2009-10.

The mandate for negotiations for a Free Trade Agreement between India and GCC was given by the Trade Economic Relations Committee (TERC) in July 2005 after which two rounds of negotiations were held in 2006 and 2008.  However, negotiations with GCC havebeen at a standstill since 2008.

"We have been informed that GCC is reviewing its negotiations with all countries and economic groups, and that a study has been commissioned by them to examine the issue of negotiations with India and China," said the Commerce Ministry.

Besides the above mentioned FTA with GCC, India is also negotiating an FTA with Israel in the region, six rounds of which have been held so far. (KNN/SK)