India to Exclude Gold from GCC Trade Deal, Citing Past Import Surge Concerns

• India is unlikely to offer tariff concessions on gold in its proposed free trade agreement with the Gulf Cooperation Council (GCC).
• This cautious approach follows the exclusion of gold and silver bullion from the CEPA with Oman to protect domestic interests.
• Previous trade agreements, like the CEPA with the UAE, led to a near tripling of gold imports from the UAE (from $5.8 billion in FY22 to $16.8 billion in FY25) due to tariff concessions.
• Concerns were raised about domestic market disruption and misuse of concessional tariffs on bullion imports under the India-UAE CEPA.
• India and the six-member GCC recently launched negotiations for a trade agreement, covering goods, services, investment, and customs procedures.