Yes, they would. Let's do the maths.
Indian total exports 2016/17 - $274 billion.
Indian remittances GCC - $31 billion.
That is $274/$31 which equals to 11%. I have no idea about you but taking a 11% hit of your total exports would hurt your trillion, trillion, trillions trillion dollar Indian economy feeding nearly 1,400, 000,000,000,000,000,000 people - sorry did I lose count on the zeros? Whatever. I mean there is more of you guys then grain particles on all the sandy beaches on earth.
And more specificially many of your southern states which export labour woould get a knockout blow and cause economic disaster that would send waves north to New Delhi.
GCC/KSA are giving India a CPEC every two years - 31 times 2 + $62 billion. That is what you call a frenemy.