India-Oman CEPA and Order of Oman

India and Oman have entered a new phase in their bilateral relationship. They signed a Comprehensive Economic Partnership Agreement (CEPA). Oman also conferred its highest civilian decoration on Narendra Modi. The twin developments signify a major expansion of trade, investment, and strategic cooperation. These actions position Oman as a key economic partner for India in the Gulf region.

India-Oman CEPA: Duty-Free Access for Indian Exports

Under the CEPA, Oman has granted zero-duty access on over 98% of its tariff lines, covering 99.38% of India’s exports by value. Nearly 98% of product categories will see immediate tariff elimination.

Key beneficiary sectors include:

📦Textiles and apparel
📦Gems and jewellery
📦Leather goods and footwear
📦Engineering products and automobiles
📦Pharmaceuticals and medical devices

These exports earlier faced import duties of around 5%. These duties will now be fully removed. This change will boost the competitiveness of Indian goods in the Omani market.

India’s Tariff Concessions to Oman

India has agreed to liberalise 77.79% of its tariff lines, accounting for nearly 95% of imports from Oman by value. Products of export interest to Oman—such as dates, marbles, and petrochemical products—will receive concessions mainly through tariff-rate quotas (TRQs).

To safeguard sensitive domestic sectors, India has excluded items such as:

Dairy products, tea, coffee, rubber, tobacco
Gold and silver bullion, jewellery
Footwear, sports goods
Certain metal scraps

The Order of Oman: Global Prestige

During the official visit, PM Modi was awarded the First Class of the Order of Oman. This is the Sultanate’s highest national honour. The decoration has historically been reserved for eminent global leaders. These include Queen Elizabeth II, Nelson Mandela, Emperor Akihito of Japan, and King Abdullah II of Jordan.

This marks PM Modi’s 29th international honour. It reflects Oman’s recognition of his role in strengthening bilateral ties. It also signifies India’s rising global stature.

Strategic Depth in India–Oman Relations

India and Oman share long-standing ties rooted in maritime trade, cultural exchanges, and people-to-people links. In recent years, cooperation has expanded across:

Energy security and logistics
Defence and maritime collaboration
Counter-terrorism
Port connectivity and infrastructure

The Indian community in Oman is large. They continue to play a vital role in economic engagement. The Indian community is also crucial in social engagement between the two countries.