India and the Gulf Cooperation Council (GCC) have resumed discussions on the free trade agreement (FTA), according to media reports.
“We have exchanged preliminary documents and the delegations have been meeting,” Ausaf Sayeed, Secretary (CPV&OIA), Ministry of External Affairs, India was quoted by the Indian newswire ANI.
The newswire quoted the official as saying at the 6th India-Arab Partnership Conference held on July 11 and 12 in New Delhi.
“We hope this will soon become a reality, bringing newer opportunities for businesses on both sides,” Sayeed added.
According to an official, ongoing discussions are taking place to explore alternative forms of trading with GCC nations.
The official stated, “We are currently engaged in talks with our bilateral partners, exploring options such as rupee trading, barter trading, and various other alternatives. This is particularly important as many countries are currently facing challenges with foreign currency.”
The resumption of trade talks was agreed upon in November 2022, during a meeting between India’s Commerce Minister Piyush Goyal and GCC Secretary General Nayef Falah M. Al-Hajraf.
In December, Anupriya Patel, India’s Minister of State for Commerce and Industry, reported that bilateral trade between India and the GCC region had increased by 40.53% to $111.71 billion between April and October 2022, compared to $79.49 billion the previous year.
It is worth noting that India and the UAE have already signed a Comprehensive Economic Partnership Agreement (CEPA) in the past year.