India-Oman CEPA Comes into Force, Opening Duty-Free Access for Over 99% of Indian Exports

India and Oman have officially operationalised the Comprehensive Economic Partnership Agreement (CEPA) from June 1, 2026, marking a major milestone in bilateral economic relations. 

Under the CEPA, India will gain duty-free access on 98% of Oman’s tariff lines, covering more than 99% of Indian exports to the Gulf nation. The move is expected to strengthen India's presence in the Middle East and improve access to regional markets.

Duty-Free Access to Benefit Key Export Sectors

As per news reports, the agreement would provide a substantial boost to Indian exporters, particularly micro, small and medium enterprises (MSMEs). Several sectors are expected to benefit, including textiles, sportswear, gems and jewellery, pharmaceuticals, medical devices, engineering goods, automobiles, plastics, leather products, agriculture, marine products, and sports goods.

The agreement also includes a significant healthcare provision. Indian generic medicines approved by leading international regulators will now be eligible for marketing authorisation in Oman within 90 days, improving access to affordable medicines and creating new opportunities for Indian pharmaceutical companies.

Additionally, Oman has agreed to remove its long-standing ban on unpolished marble exports, benefiting manufacturers and artisans in Rajasthan and Andhra Pradesh.

Oman to Serve as Strategic Gateway for Indian Businesses

Oman’s strategic location and world-class ports at Sohar, Duqm, and Salalah are expected to strengthen India’s trade connectivity with the Gulf Cooperation Council (GCC), Africa, and the wider Indian Ocean region.

The CEPA positions Oman as an important gateway for Indian businesses seeking to expand into regional and international markets. Enhanced logistics and trade facilitation measures are expected to improve supply chain efficiency and support long-term economic cooperation.

Services, Mobility and Broader Trade Strategy

Beyond merchandise trade, the agreement includes enhanced commitments in services and professional mobility. It facilitates temporary stays for intra-corporate transferees, business visitors, contractual service suppliers, and independent professionals, creating greater opportunities for Indian talent abroad.

The CEPA also aligns with India’s broader trade strategy, which includes recently concluded free trade agreements covering 38 developed nations and ongoing negotiations with the GCC, Canada, Chile, Israel, and the Eurasian region.

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Conclusion

The India-Oman CEPA represents a significant step forward in strengthening economic ties between the two countries. By expanding market access, improving mobility, and enhancing trade connectivity, the agreement is expected to boost exports, support MSMEs, and create new growth opportunities for Indian businesses across multiple sectors.

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