In a move which could pave the way for a Free Trade Agreement between India and the Gulf Cooperation Council, both the partners have concluded negotiations for a Framework Agreement expected to be inked soon.
Negotiations with regard to the Framework Agreement for economic cooperation, entailing overall commitment for increased economic and trade exchange, have been successfully concluded and the pact could be signed soon, official sources told PTI in New Delhi.
On the FTA, they said New Delhi had already initiated a study into the feasibility of a pact on trade in goods while similar studies would be commissioned for trade in services and investment.
The study on goods is currently being carried out by the National Centre for Trade and Information, a joint venture between the National Informatics Centre and India Trade Promotion Organisation.
The overall GCC-India trade stood at about $12.5 billion in 2002, with GCC being the second largest export destination from India.
GCC comprises Qatar, Oman, Bahrain, Kuwait, UAE and Saudi Arabia. India has close links with Oman, which is keen on New Delhi forging a FTA with the region.