India and Oman Launch Free Trade Agreement: What It Means for Exporters

The India-Oman Comprehensive Economic Partnership Agreement (CEPA) has officially come into effect, promising significant benefits for Indian exporters across various sectors. This agreement, which was signed in December 2025, allows preferential access to the Omani market, enhancing trade relations between the two nations. With bilateral trade reaching over USD 11 billion, Oman stands as a vital trading partner for India in the Gulf region. The agreement marks a strategic move to strengthen economic ties and expand market access for Indian goods. Learn more about the sectors that will benefit and the implications for future trade.

By Narendra Chaudhary Jun 1, 2026, 15:36 IST

India-Oman Free Trade Agreement Takes Effect

New Delhi: The Commerce and Industry Minister, Piyush Goyal, announced that the free trade agreement between India and Oman officially commenced on Monday.

The Comprehensive Economic Partnership Agreement (CEPA) between India and Oman is set to provide significant advantages to Indian exporters in various sectors, including textiles, leather, plastics, marine products, automobiles, sports equipment, and agricultural goods, by granting them preferential access to the Omani market, Goyal stated.

Goyal confirmed to the media, "The India-Oman Comprehensive Economic Partnership Agreement is now in effect as of today."

This free trade agreement was signed on December 18, 2025, in Muscat.

Following the completion of necessary internal procedures by both nations, the agreement became effective on June 1, 2026.

To celebrate this milestone, approximately ten shipments of agricultural and gems and jewelry products from Mumbai, Kolkata, and Chennai were dispatched to Oman under the new preferential tariffs.

Oman ranks as India's second-largest trading partner in the Gulf region and acts as a crucial gateway to the broader GCC market, thanks to its sophisticated port facilities.

In the fiscal year 2025-26, bilateral trade between India and Oman reached USD 11.18 billion, an increase from USD 10.61 billion in the previous fiscal year.