India-Oman CEPA takes effect: 98% duty-free access opens doors for textiles, pharma, MSMEs: Piyush Goyal
New Delhi, June 1
Union Commerce and Industry Minister Piyush Goyal on Monday said that the India-Oman Comprehensive Economic Partnership Agreement that takes effect from today will give Indian exporters immediate duty-free access to Oman and expand opportunities in services, pharmaceuticals and labour-intensive sectors
"The Comprehensive Economic Partnership Agreement will add new momentum to India's ties with Oman," Goyal said adding that it positions Oman as a gateway to the wider Gulf, Asia and Africa.
"From today, India will secure duty-free access on 98% of Oman's tariff lines, covering over 99% of India's exports to Oman," Goyal said. "As we speak more than 10 consignments are being shipped availing preferential duty access in Oman from different parts of India."
Goyal noted that, as PM Narendra Modi had said in Muscat, the CEPA is the blueprint of our shared future, and that blueprint is already taking shape.
Oman, he said, is more than a market is a gateway to the wider Gulf Cooperation Council GCC countries of the Middle East and East Africa and the Indian Ocean economy through its ports at Sohar, Duqm and Salalah.
"We are also looking forward to welcoming products from Oman, which are required in the Indian ecosystem and which will benefit our consumers, our business," Goyal said noting that dates from Oman are considered "very special" and the "best in the world."
The Union Minister said workers, MSMEs and exporters in sectors like textiles, sportswear, gem and jewellery, pharma, medical devices, engineering, sports goods, agri products, meat, leather, plastics, automobiles and marine products will now "step onto a preferential access against our competitors in Omani Market."
Oman has also committed to lifting its decades-old ban on exporting unpolished marble, allowing craftsmen in Rajasthan and Andhra Pradesh to source raw material directly.
Beyond trade in goods, the agreement contains substantial commitments in services and mobility. It provides enhanced mobility provisions for Indian professionals, including temporary stay commitments for intra-corporate transferees, contractual service suppliers, business visitors and independent professionals.
For healthcare, Goyal highlighted a fast-track approval route: "Indian generic medicines approved by the USFDA, EMA, or UK MHRA will now receive marketing authorization in Oman within 90 days, meaning Omani patients get affordable Indian medicines faster."
The CEPA is part of India's broader trade push. Goyal noted it is "part of India's nine free trade agreements finalized in the last three and a half years, which cover 38 developed nations" and secure preferential access for goods and services across nearly two-thirds of global trade. The government's export target is "Two trillion of exports five years from now."
India and Oman have witnessed steady growth in bilateral trade over recent years. India imported USD 7.2 billion worth of goods from Oman in the fiscal year 2026, dominated by crude oil (USD 1.6 billion), liquefied natural gas (USD 1.2 billion), and fertilizers (USD 843 million).
To get there, negotiations are underway with Israel, Chile, Canada and the six-nation GCC bloc. "Oman is a gateway for many other markets including the Gulf, Asia and Africa," Goyal said.
"I do believe that every agreement stands on its own feet, but since there's a lot of similarity in the Middle Eastern countries, I think this will certainly help in speeding up the negotiations with the GCC."
India has also launched talks with the Eurasian Group covering Russia and Central Asia, and has received expressions of interest from Mexico and Ecuador.
— ANI
Reader Comments
Good, but we should not forget – free trade agreements often have hidden costs. Our MSMEs might struggle competing with cheaper goods from Oman. The ban on exporting unpolished marble is a specific win, but what about other items? I hope the government has a support mechanism for small businesses that might face new competition.
As someone working in pharmaceuticals, this is fantastic news! The 90-day fast-track approval for meds approved by USFDA and EMA means we can literally save lives faster in Oman. And our generic drugs are world-class – this will also strengthen our brand globally. Also, Oman's ports like Duqm and Salalah are indeed gateways to East Africa – smart strategy!
"Two trillion exports in five years" – that is an ambitious target. But with nine trade deals already done covering 38 nations, the groundwork is there. PM Modi's vision of connecting with the Gulf and Africa is slowly materializing. Just hope the benefits reach actual workers and farmers, not just big corporates. Let's see how implementation goes on ground.
Interesting that they're using CEPA to also push for GCC negotiations. Oman as a "gateway" makes sense – smaller market but strategic location. However, I'm concerned about the crude oil imports dominance (USD 1.6 billion). Are we locking ourselves into more energy dependence? Also, dates from Oman? We have good dates in India too, but sure – trade is trade.
As an Indian living in the Gulf, I see this
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.