India, Oman Seal Trade Deal Negotiations, Pact Signing Soon: Details

The finalisation and inking of the proposed free trade pact between India and Oman is nearing its expected announcement, as per an official, citing media reports.

The official mentioned that the trade agreement text is being translated into Arabic in Oman. The next step towards an official announcement would the requisite cabinet of both countries to have approved the agreement.

"Both countries have, in principle, decided to announce the conclusion and signing together," the official said. 

When inquired if it would take two to three months, the official said, "Much less" than that.

The  talks involving Comprehensive Economic Partnership Agreement (CEPA) started brewing back in November 2023.

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The nature of such agreements is such that two trading partners either significantly reduce or eliminate customs duties on a maximum number of goods traded between them.

They also ease norms to promote trade in services and attract investments.

Oman is the third-largest export destination among the Gulf Cooperation Council (GCC) countries for India. India already has a similar agreement with another GCC member, the UAE, which came into effect in May 2022.

The bilateral trade was between both nations was over USD 10 billion (exports USD 4.06 billion and imports USD 6.55 billion) in 2024-25.

India's key imports are petroleum products and urea. These account for over 70 per cent of imports. Other major products are propylene and ethylene polymers, pet coke, gypsum, chemicals, and iron and steel.