India 2Nd Nation After US To Secure Bilateral Trade Pact With Oman

(MENAFN- IANS) New Delhi, June 1 (IANS) India has become only the second nation, after the US, to secure a Comprehensive Economic Partnership Agreement (CEPA) with Oman, the government said on Monday, as the trade pact came into force, marking a defining milestone in bilateral economic relations and opening a transformative new chapter in strategic trade and investment cooperation between the two countries.

Commerce and Industry Minister Piyush Goyal said that the CEPA marks a defining milestone in India's engagement with Oman and reflects Prime Minister Narendra Modi's vision of forging trade partnerships that deliver gains for farmers, fishermen, youth, women, entrepreneurs and MSMEs.

“This Agreement will be a force multiplier in the Gulf region. With 99.38 per cent of India's exports receiving duty-free access, the Agreement unlocks new opportunities for our exporters and professionals gain opportunities. Oman is our trusted partner, a bridge for our people and a gateway to the Gulf and East Africa,” Goyal said during a media briefing here.

“Our opportunities will be elevated, and CECA will strengthen India's integration into regional and global value chains. By delivering significant benefits to labour-intensive sectors, it will support job creation, drive investment and enable Indian enterprises to compete on an equal footing with suppliers from countries enjoying preferential market access,” the minister explained.

The India-Oman CEPA was signed on December 18, 2025, in Muscat in the presence of PM Modi and Oman Sultan Haitham bin Tarik Al Said. After completion of internal processes by both sides, the agreement entered into force on June 1, 2026.

Bilateral trade between India and Oman reached $11.18 billion in FY 2025-26, registering a positive trend from $10.61 billion in FY 2024-25.

Commerce Secretary Rajesh Agrawal said that at a time when global trade patterns are being reconfigured by supply-chain diversification, shifting production networks and the emergence of new economic corridors, the CEPA positions India and Oman to leverage these structural changes.

“The India-Oman CEPA brings new energy to our bilateral economic engagement, anchored in complementary strengths, deeper regulatory cooperation and a shared commitment to growth,” he mentioned.

Indian exporters now compete on equal or better terms than suppliers from countries without preferential trade arrangements with Oman. Oman's strategic logistics hubs at Sohar, Duqm and Salalah provide Indian exporters' enhanced access not only to Oman but also to wider GCC and East African markets.

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