India and Oman have officially launched the Comprehensive Economic Partnership Agreement (CEPA), marking a major milestone in bilateral economic relations and opening a new era of trade, investment, and strategic cooperation. Signed in Muscat in December 2025 and effective from June 1, 2026, the agreement aims to strengthen economic integration between the two countries while expanding India’s access to Gulf and East African markets.
The CEPA grants duty-free access to 99.38% of India’s exports to Oman, covering sectors such as agriculture, marine products, textiles, gems and jewellery, pharmaceuticals, engineering goods, footwear, and automobiles. The agreement is expected to boost exports, create jobs, support MSMEs, and enhance India’s participation in regional and global value chains.
Oman has also provided its most comprehensive services market access commitment to India, covering 127 services sub-sectors, including information technology, healthcare, education, engineering, financial services, tourism, and telecommunications. New mobility provisions will benefit Indian professionals, with improved opportunities for engineers, doctors, teachers, consultants, and IT specialists.
A significant feature of the agreement is the reduction of non-tariff barriers. Oman will accept certificates issued by India’s Export Inspection Council, simplifying customs procedures and accelerating market access. Pharmaceutical products approved by major international regulators such as the USFDA and EMA will receive marketing authorization within 90 days, creating fresh opportunities for Indian drug manufacturers.
While expanding market access, the agreement safeguards India’s sensitive sectors, including dairy, cereals, fruits, vegetables, edible oils, oilseeds, spices, and rubber. Tariff quotas and protective mechanisms have also been incorporated to protect domestic industries and farmers.
With bilateral trade already reaching USD 11.18 billion in FY 2025-26, the CEPA is expected to drive further growth in trade, investment, logistics, and services. The agreement positions Oman as a strategic gateway for Indian businesses seeking access to the Gulf Cooperation Council (GCC) region and East African markets.
