India-Oman Comprehensive Economic Partnership Agreement (CEPA) will provide duty-free access to various Indian labor-intensive exports starting June 1. The agreement, signed in December last year during Prime Minister Narendra Modi’s visit to Muscat, includes concessions on Omani goods under the trade pact with India.
The Finance Ministry issued a notification on duty concessions for Omani goods, with the exemption subject to proving the goods’ origin from Oman to the customs authorities. Oman has granted zero-duty access on 98.08% of its tariff lines, benefiting sectors like Gems & Jewellery, Textiles, Pharmaceuticals, and Automobiles.
India, in return, is offering tariff liberalization on 77.79% of its total tariff lines, covering 94.81% of imports from Oman by value. Sensitive products like agricultural goods, gold, and silver bullion, and labor-intensive items such as footwear and sports goods are excluded from concessions to protect Indian interests.
The services sector is a key focus, with Oman committing to substantial imports of services, presenting significant opportunities for Indian service providers. The agreement also enhances mobility for Indian professionals in Oman, with increased quotas and extended stay durations for various categories of workers.
