NEW DELHI — The six-member Gulf Cooperation Council—which includes Saudi Arabia and the United Arab Emirates— and India signed on Thursday the Terms of Reference (ToR) to formally begin negotiations on a free trade agreement. This marks a major step in strengthening economic ties with the six-member Gulf bloc, including Bahrain, Kuwait, Oman, and Qatar.The Terms of Reference (ToR) for the India-GCC Free Trade Agreement (FTA) were signed between Ajay Bhadoo, Additional Secretary and Chief Negotiator, Department of Commerce and Dr. Raja Al Marzouqi, Chief Negotiator, Secretariat General of the Gulf Cooperation Council, at Vanijya Bhawan, New Delhi on Thursday. The signing took place in the presence of India’s Minister of Commerce and Industry Piyush Goyal, Minister of State for Commerce and Industry Jitin Prasada, and Commerce Secretary Rajesh Agrawal. The ToRs will guide the negotiations for the GCC-India FTA by defining its scope and modalities. During the signing ceremony, Goyal emphasized that the FTA will be a force multiplier for the global good. He underlined that the FTA will bring predictability and stability, taking the relationship between the two sides to greater heights. He exuded confidence that FTA will enable seamless flow of goods, and services and attract investments while expanding job opportunities and fostering food and energy security for the region, elevating deep economic ties. On his part, Dr. Al Marzouqi underscored that GCC and India have shared historic trade relations and that the signing of ToRs marks the commencement of negotiations towards a mutually beneficial FTA. He highlighted that the FTA will further reinforce relations between India and GCC, particularly in the context of prevailing global uncertainties. The India–GCC FTA holds significant potential to unlock and expand trade with an important region, with which India has longstanding historical ties in trade and commerce. The GCC is also home to nearly ten million members of the Indian community. It is noteworthy that Oman and India signed a comprehensive economic partnership agreement last December, aimed at strengthening trade and investment cooperation, facilitating the smooth flow of goods and services, and establishing a strategic framework for expanding bilateral cooperation. In January, India signed a landmark free trade agreement with the European Union, establishing a free trade area encompassing two billion people, following nearly 20 years of negotiations.