India, Gulf bloc mull next steps on FTA; Canada talks to speed up, Chile deal nearly done

Commerce Minister Piyush Goyal

• India holds virtual talks with GCC for a proposed trade agreement
• Trade deal negotiations with Mercosur, Canada, and Chile are progressing
• India's CEPA with Oman and New Zealand expected to come into force soon

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India is holding virtual discussions for a proposed trade deal with the Gulf Cooperation Council (GCC), stepping up engagement with bloc.

The virtual talks with the GCC are focused on next steps in the proposed trade agreement, the sources said.

The GCC is a regional grouping of six Middle Eastern countries comprising Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates.

Separately, formal discussions for a trade deal with the Mercosur bloc are expected to commence soon, with a scoping study already initiated.

India is also looking to accelerate talks with Canada, with Commerce and Industry Minister Piyush Goyal likely to visit the country in the third week of February to push forward discussions on a proposed trade agreement, the sources added.

Negotiations with Chile are nearing completion, with efforts underway to speed up the process after India's Union Budget is presented on February 1, and conclude the agreement quickly.

Sources said, India continues to pursue trade agreements at its own pace, stressing that speed would not come at the cost of compromise.

At the same time, India is advancing the post-negotiation process for multiple trade agreements concluded in recent years.

The comprehensive economic partnership agreement (CEPA) with Oman is expected to be the first among the recent deals to come into force. This will be followed by New Zealand, where legal scrubbing is currently underway, after which the agreement will be taken up in their Parliament, sources said.

The comprehensive economic partnership agreement with Oman is expected to be the first among the recent deals to come into force, followed by New Zealand.

A review of the ASEAN trade pact is underway and beginning to take shape, sources said.

In recent years, India has stepped up its engagement for trade deals with key economies.

India’s trade and economic partnership agreement with the European Free Trade Association (EFTA) bloc came into force in 2025.

The South Asian nation also signed a trade deal with the UK last year.

And, India and the European Union on January 27 announced the conclusion of talks for the "mother of all deals".