India Advances Dual Trade Fronts, Relaunching GCC Talks and Finalizing New Zealand Pact

India is aggressively expanding its global trade footprint on multiple fronts, formally restarting long-stalled free trade negotiations with the Gulf Cooperation Council (GCC) while simultaneously moving to ratify a comprehensive agreement with New Zealand. These parallel moves signal a significant strategic push to diversify economic partnerships from the Middle East to the Pacific.

After a suspension of nearly two decades, India and the GCC have agreed to resume talks for a Free Trade Agreement (FTA), according to The Week. Officials from both sides signed the Terms of Reference (ToR) in New Delhi on February 5, 2026, which will guide the upcoming negotiations. The renewed push reflects a structural shift, as Gulf economies aim to diversify away from oil and India seeks to secure resilient supply chains and new markets. Bilateral trade between India and the GCC reached nearly $179 billion in the 2024-25 fiscal year, underscoring the economic importance of the relationship.

Simultaneously, details are emerging from the India-New Zealand FTA, which concluded negotiations in December 2025 and is expected to be ratified in 2026. The deal is set to eliminate tariffs on 100% of Indian exports to New Zealand, while 95% of New Zealand’s exports will become tariff-free or receive reduced duties, as reported by RNZ News. The agreement is expected to provide a significant boost to India’s labor-intensive sectors like textiles and leather. For New Zealand, the pact improves market access for key agricultural products, including cherries, seafood, and honey. The deal also includes provisions for skilled migration, establishing a new temporary visa for up to 5,000 Indian professionals, according to Law.asia. While the agreement is comprehensive, India has protected sensitive domestic sectors by keeping certain dairy and agricultural products in an exclusion list.