Oman, India sign CEPA for duty-free access to 99% of exports
The agreement instantly eliminates tariffs on major labour-intensive sectors: textiles, leather, footwear, gems and jewellery, engineering products, and pharmaceuticals.
Source: X (PiyushGoyal)
India and Oman have signed a Comprehensive Economic Partnership Agreement (CEPA) on December 18 that grants zero-duty access to Indian goods on 98.08% of Oman's tariff lines. According to the press release, this covers 99.38% of India’s current exports to the Sultanate by value.
The pact was finalised in the presence of Prime Minister Narendra Modi and His Majesty Sultan Haitham bin Tarik, with signatures from Indian Commerce and Industry Minister Piyush Goyal and Oman’s Minister of Commerce, Industry & Investment Promotion, H.E. Qais bin Mohammed Al Yousef.
The deal provides immediate tariff elimination for major labour-intensive sectors, including textiles, leather, footwear, gems and jewellery, engineering products, and pharmaceuticals.
This move is expected to catalyze employment and empower Indian artisans, women-led enterprises, and MSMEs by making their products more competitive in the Gulf region.
India has offered tariff liberalisation on 77.79% of its tariff lines, covering roughly 94.81% of imports from Oman by value. To protect domestic interests, India has placed sensitive items such as dairy, tea, coffee, rubber, tobacco, and certain bullion and jewellery in an exclusion category, ensuring no concessions are granted for these products.
Beyond merchandise trade, the CEPA introduces a framework for the services sector and professional mobility. Oman has extended substantial commitments across 127 sub-sectors, including IT, healthcare, education, and R&D.
Union Minister Piyush Goyal said, “the CEPA It unlocks nearly universal duty free access for Indian goods in the Omani market, expands services commitments across key high growth sectors, and ensures greater mobility for Indian professionals. The agreement reinforces India’s commitment to inclusive growth benefiting farmers, artisans, workers, MSMEs while safeguarding core national interests.”
