India and Oman Forge New Economic Pathways with Partnership Pact

India has signed an economic partnership agreement with Oman to boost bilateral trade amidst U.S. tariffs. This $10 billion trade relationship is crucial, as Oman provides strategic access to the Strait of Hormuz. The move marks India’s ongoing efforts to diversify trade routes and market outreach.

India and Oman have entered a landmark economic partnership to solidify their trade relationship and create avenues for new investments. This agreement comes as part of India's broader strategy to build ties with Middle Eastern countries amid escalated U.S. tariffs.

The bilateral trade between the two nations, already exceeding $10 billion annually, is pivotal for India. Oman offers strategic access as a gateway to the Strait of Hormuz, a critical transit point for global oil shipments. Indian Prime Minister Narendra Modi emphasized the importance of this pact during his address in Oman, highlighting its role in setting a vigorous pace for trade and creating trust in investments.

Part of Modi's three-nation tour including Ethiopia and Jordan, this agreement marks India's second major trade pact of the year following the one with the United Kingdom. The agreement is expected to aid Indian exporters in overcoming U.S. President Donald Trump's sanctions, which have led to a steep 50% tariff on Indian goods. Despite arduous negotiations, India has so far been unable to close a deal with the U.S. or EU to counter the tariff impacts.

(With inputs from agencies.)