India and Gulf Nations Target $500 Billion Trade Growth
India is negotiating a Free Trade Agreement with the Gulf Cooperation Council and aiming to double bilateral trade with the UAE to $200 billion by 2032.
Trade between India and Arab nations, currently exceeding $150 billion, is projected to reach $500 billion over the next two decades. To support this expansion, the Gulf Cooperation Council is negotiating a Free Trade Agreement with India to improve market access for pharmaceuticals, agriculture, and services, with recent talks focusing on energy and digital transformation.
Specifically, India and the United Arab Emirates have agreed to double their bilateral trade to $200 billion by 2032. During the Innovators and Investors Series conference in Dubai, officials identified renewable energy, defense, space technology, and fin-tech as primary growth drivers. Indian officials urged UAE institutional capital to invest in India's startup ecosystem, which comprises over 797,000 startups and 93 unicorns, to scale these companies into global enterprises.
To further facilitate these partnerships, the India-Arab Business Conclave 2026 will take place in New Delhi on December 18-19, featuring representatives from 22 Arab countries. This initiative follows existing Comprehensive Economic Partnership Agreements India maintains with Oman and the UAE.
