Qatar Ready to Begin Trade Pact Talks with India, Says Piyush Goyal

India’s trade diplomacy received a major boost as Commerce and Industry Minister Piyush Goyal confirmed that Qatar has expressed readiness to start formal negotiations for a trade agreement with India. The announcement comes just months after the February 2025 state visit of Qatar’s Amir, Sheikh Tamim bin Hamad Al-Thani, where both nations set the ambitious goal of doubling bilateral trade by 2030. This fresh momentum reflects the growing importance of West Asia in India’s trade strategy as New Delhi looks to deepen economic partnerships across the globe.

India-EU official team will meet for the 13th round of negotiations from September 8. (File) | NDTV

The Road to Negotiations

During an industry event, Goyal revealed that Qatar’s Trade Minister had personally conveyed Doha’s interest in beginning the process. This move follows a period of steady expansion in India–Qatar ties, particularly in the energy and infrastructure sectors. The groundwork for such an agreement was laid during the Emir’s visit, where both sides highlighted not only trade but also investments in digital infrastructure, renewable energy, and LNG supply as areas of long-term cooperation.

The minister also noted progress in other regional trade deals, confirming that India’s long-pending Comprehensive Economic Partnership Agreement (CEPA) with Oman is close to finalization. Discussions within the Gulf Cooperation Council (GCC) framework suggest that other Gulf states, including Saudi Arabia, could follow Qatar’s lead in strengthening trade links with India.

India’s Expanding Trade Diplomacy

Qatar’s willingness to open negotiations comes at a time when India has been aggressively expanding its network of trade pacts. Over the past five years, New Delhi has signed agreements with Mauritius, the UAE, Australia, and the EFTA nations. In 2025, India also concluded a trade pact with the United Kingdom, which along with the other agreements, is expected to take effect from October 1, 2025.

Beyond the Gulf, negotiations are advancing with several other major partners. Talks with the European Union are entering their thirteenth round, while discussions with the Eurasian Economic Union, Chile, and Peru are underway. Notably, New Delhi is also working with Washington on the first phase of a bilateral trade agreement with the United States, expected to conclude by late 2025.

Strategic Importance of Qatar

Qatar holds unique significance for India, both economically and socially. It is not only one of the world’s leading exporters of liquefied natural gas but also home to a large Indian diaspora, which makes up nearly 25 percent of Qatar’s population. This community has been an important link in trade, remittances, and cultural exchanges.

Energy ties have been a cornerstone of the relationship. In February 2024, QatarEnergy signed a landmark LNG deal with Petronet LNG, securing supplies for India until 2048. Beyond energy, the two nations have also embraced financial technology cooperation, with India’s Unified Payments Interface (UPI) now integrated into Qatar’s payment systems, enabling smoother remittances and travel-related transactions.

India’s Trade Policy Position

While expanding global trade ties, India has been careful to project strength and independence in its negotiations. Goyal reiterated that India would “neither bow down nor appear weak” in the face of external pressures, particularly in response to US tariff measures. The government has balanced its pro-export policy with efforts to boost domestic consumption through structural reforms such as GST rationalization, ensuring that India’s internal market remains resilient even as it pushes for global integration.

Conclusion

The announcement of Qatar’s readiness to begin trade talks marks an important chapter in India’s economic diplomacy. With trade already valued at nearly $14 billion annually and energy at the core of their partnership, the proposed pact has the potential to significantly elevate the relationship. Combined with India’s simultaneous outreach to the EU, US, and other global partners, this development underlines New Delhi’s ambition to position itself as a central player in global trade.

As negotiations formally begin, the India–Qatar partnership is expected not only to accelerate economic growth but also to reinforce political, cultural, and technological ties, making the bilateral relationship more comprehensive than ever before.

(Sources: Mint, NDTV, Economic Times)