India–Oman comprehensive economic partnership agreement
Date of publication: June 15, 2026
The India–Oman Comprehensive Economic Partnership Agreement — referred to as the India–Oman CEPA — marks a major step in India's expanding trade engagement with the Gulf region. The Agreement was signed in Muscat on 18 December 2025 and became operational from
1 June 2026
, after both countries completed their internal legal and administrative procedures.The CEPA is broader than a conventional free trade agreement. It covers trade in goods, trade in services, professional mobility, regulatory cooperation, customs procedures, non-tariff barrier safeguards, rules of origin, SPS/TBT disciplines, investment facilitation, and cooperation chapters.
Key measures
The India–Oman CEPA introduces several practical trade facilitation and market access measures:
- Immediate duty-free access for Indian exports to Omanacross a very large share of Oman's tariff lines.
- Calibrated tariff concessions by Indiaon Omani-origin goods, while protecting sensitive domestic sectors.
- Rules of origin frameworkto ensure that only eligible originating goods receive preferential tariff treatment.
- Tariff Rate Quotas and Minimum Import Price mechanismsfor selected sensitive products.
- Recognition of Indian certification systems, including Export Inspection Council certificates, organic certification, and halal certification.
- Fast-track regulatory access for pharmaceuticals, including quicker marketing authorisation for products approved by major regulators.
- Improved services market access, especially for Indian professionals in IT, engineering, healthcare, education, accounting, and consultancy.
- Customs and trade facilitation disciplinesaimed at reducing duplicative testing, delays, and compliance uncertainty.
Trade in goods: market access commitments
Oman's offer to India
Oman has provided one of the most comprehensive market access outcomes secured by India in the Gulf region.
The CEPA provides
duty-free access for 99.38% of India's exports to Oman by value
, covering 98.08% of Oman's tariff lines
. All zero-duty concessions by Oman come into effect immediately, giving Indian exporters immediate price competitiveness in Oman's market.Before the CEPA, only
15.33% of India's exports
entered Oman duty-free under the MFN regime. The CEPA therefore substantially improves tariff treatment for Indian exporters.Key Indian products benefiting from preferential access into Oman
Indian Export Sector | Key Products | Main CEPA Advantage |
|---|---|---|
Marine products | Shrimp, fish, cuttlefish | Immediate duty-free access; earlier duty up to 5% removed |
Gems & jewellery | Gems, jewellery, polished stones | Duty up to 5% eliminated from Day One |
Agriculture & processed food | Rice, cashew, honey, onions, potatoes, biscuits, butter, mangoes, bovine meat | Duty elimination improves competitiveness |
Pharmaceuticals | Medicines, vaccines, APIs, antibiotics | Zero-duty access and 90-day marketing authorisation route for globally approved products |
Engineering goods | Machinery, electrical equipment, iron and steel, automobiles, copper products | Zero-duty access; earlier MFN tariffs up to 5% removed |
Electronics | Static converters, TV reception apparatus, electronic components | Tariff certainty and improved access |
Textiles & apparel | Garments, fabrics, made-ups | Preferential access for labour-intensive exports |
Leather & footwear | Footwear, leather goods | Supports MSME and export clusters |
Plastics & furniture | Plastic products, furniture articles | Improved competitiveness in Oman |
Medical devices & precision instruments | Medical devices, diagnostic and precision instruments | Better market access and certainty |
Auto and industrial products | Automobiles, auto components, base metals, glass, ceramics, paper products | Supports diversified manufacturing exports |
India's offer to Oman
India has offered tariff liberalization on
77.79% of its tariff lines
, covering 94.81% of imports from Oman by value
. However, India has adopted a calibrated approach to protect sensitive sectors such as agriculture, dairy, cereals, edible oils, oilseeds, rubber, leather, spices, and other key domestic sectors.India has also included
Tariff Rate Quotas
and Minimum Import Price mechanisms
for selected sensitive industrial and agricultural products to safeguard domestic industry while allowing controlled market access.Key Omani products benefiting from preferential access into India
Omani Export Sector | Key Products | Main CEPA Advantage |
|---|---|---|
Energy products | Mineral fuels and oils | Preferential access into India under applicable tariff schedule |
Petrochemicals | Petrochemical products and downstream inputs | Improved competitiveness in India's industrial market |
Fertilisers | Fertilisers and related inputs | Supports India's agriculture input needs |
Metals and aluminium | Base metals, aluminium and metal products | Preferential access for covered products |
Organic chemicals | Organic chemicals and intermediates | Supports Indian chemical and pharma supply chains |
Inorganic chemicals | Inorganic chemicals and related inputs | Preferential access to India's manufacturing sector |
Minerals and earth materials | Salt, sulphur, earths and stones | Supports Indian fertiliser, chemical and industrial sectors |
Industrial raw materials | Selected raw materials for manufacturing | Diversifies India's input sourcing |
Pharmaceutical inputs | Selected pharma input materials | Supports pharma supply chain integration |
Sensitive sectors protected by India
India has retained protection for certain sensitive sectors by excluding them from full tariff liberalisation or applying limited concessions. These include:
Broad Category | Products |
|---|---|
Agriculture and food products | Dairy, cereals, fruits, vegetables, edible oils, oilseeds, spices and other key agricultural products |
Animal-origin products | Selected meat, dairy-linked and other animal-origin goods |
Industrial products | Rubber, leather, selected chemicals and petroleum-based products |
Manufacturing sectors | Certain transport equipment, textiles and footwear products |
These safeguards are intended to protect
farmers, food security interests, MSMEs and sensitive domestic industries
.
Conclusion
The India–Oman CEPA is a significant trade and strategic economic agreement for both countries. For India, it delivers immediate and commercially meaningful access to Oman's market across goods and services, particularly in labor-intensive and export-oriented sectors such as marine products, agriculture, processed foods, textiles, gems and jewelry, pharmaceuticals, and engineering goods.
For Oman, the Agreement creates preferential access to India's large and expanding market, especially for petrochemicals, fertilizers, metals, chemicals, minerals, and industrial inputs. It also strengthens Oman's position as a logistics and re-export hub connecting India with the GCC and East Africa.
These changes have been updated in ONESOURCE Global Trade Content. For more information on how ONESOURCE Global Trade solutions can assist you in managing supply chain risk, tariff challenges and regulatory compliance, please contact your Account Manager or Customer Success Manager.