India and Oman's Bold Trade Leap: The CEPA Impact

India signed the Comprehensive Economic Partnership Agreement (CEPA) with Oman, marking its 17th trade pact, aiming to boost bilateral trade and investments. This agreement will enhance trade by eliminating customs duties on various goods, thus promoting economic growth and investment between the two nations.

In a strategic move to enhance bilateral trade and investment, India has signed its 17th trade pact, the Comprehensive Economic Partnership Agreement (CEPA), with Oman on Thursday. This initiative is part of India's broader aim to forge stronger economic ties worldwide.

Since 2014, India has inked multiple trade pacts with nations such as Mauritius, UAE, and Australia. The agreement with Oman will eliminate or significantly reduce customs duties on a broad range of goods, encouraging exports and foreign investments. Notably, India's exports to Oman hit USD 4.1 billion in fiscal year 2025, driven by products like naphtha and machinery.

The new pact involves Oman offering duty concessions on products including dates and petrochemicals, while India offers tariff liberalization on 77.79 percent of its product lines. Expected to take effect from the first quarter of the next fiscal year, this agreement is poised to bolster economic cooperation significantly between the two countries.

(With inputs from agencies.)