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Food security, regulatory measures likely on India-GCC trade talks agenda.
Nov 22, 2022
India and the Gulf Cooperation Council (GCC) are likely to discuss issues related to food security, logistics and regulatory measures when they formally launch negotiations for a free trade agreement (FTA) on Thursday.
GCC comprises Saudi Arabia, UAE, Qatar, Kuwait, Oman and Bahrain. In May, India had implemented an FTA with the UAE which is likely to form the basis for the pact with the GCC, said officials.
'The GCC is keen to ensure food security while India's concerns relate to regulatory measures, especially in some food items,' said one of the officials, who did not wish to be identified.
The two sides were earlier involved in FTA talks in 2006 which are being resumed now. 'The GCC had some internal issues because of which talks were stuck,' said another official.
India could raise issues related to sanitary and phytosanitary measures which pertain to food safety, animal and plant health, as the grouping resorts to EU standards for maximum residue level in certain products, said people aware of the matter.
'We want them to consider a risk-based assessment system,' said the first official.
With Qatar and Saudi Arabia coming up as logistics hubs, these issues are also likely to be on the table.
India's exports to the GCC increased 58.26% year-on-year to about $44 billion in 2021-22 from $27.8 billion.
India imports crude oil and natural gas from Saudi Arabia and Qatar, and exports pearls, precious and semi-precious stones, metals, imitation jewellery, electrical machinery, iron and steel, and chemicals to the bloc. The GCC countries are a major source of foreign direct investment in India.
India has inked trade pacts with the UAE, Mauritius and Australia in recent years and is in talks with the UK, EU and Canada.
economictimes.indiatimes.com
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