FIEO welcomes India–Oman CEPA, citing zero-duty access on 98% tariff lines and stronger export, jobs, and services growth.
India’s export community is celebrating a landmark moment in the nation’s global trade journey, as the Federation of Indian Export Organisations (FIEO) on Thursday, 18 December 2025, warmly welcomed the signing of the India–Oman Comprehensive Economic Partnership Agreement (CEPA).
The agreement, signed under the leadership of Prime Minister Narendra Modi and Oman’s Sultan Haitham bin Tarik, and formalised by Commerce and Industry Minister Piyush Goyal and Oman’s Minister of Commerce, Industry and Investment Promotion, Qais bin Mohammed Al Yousef, marks a major leap in India’s economic partnership with the Gulf region.
FIEO President S C Ralhan described the CEPA as a transformational framework that will not only elevate India’s export competitiveness but also open up unprecedented growth opportunities across goods, services, and professional mobility.
Near-Universal Duty-Free Access for Indian Exports
At the heart of the agreement lies a sweeping tariff breakthrough. Oman will grant zero-duty access on 98.08% of its tariff lines, covering an extraordinary 99.38% of Indian exports by value.
This near-total duty exemption, Ralhan said, will turbocharge India’s export presence in a wide range of industries. particularly labour-intensive sectors such as:
- textiles and apparel
- leather and footwear
- gems and jewellery
- engineering goods
- plastics
- furniture
- food and agriculture
- pharmaceuticals and medical devices
- automobiles
- sports goods
He emphasised that the agreement will boost production, open new markets, and generate employment, especially for MSMEs, artisans, farm producers, and women-led enterprises across India.
Gateway to Gulf and Africa
Oman’s strategic location, FIEO noted, makes it a key access point to wider trade corridors in the Gulf and Africa. With bilateral trade already crossing USD 10 billion, the CEPA is expected to accelerate merchandise exports, integrate Indian companies into regional value chains, and improve India’s global market share.
Ambitious Services Commitments
Calling the services component “ambitious and forward-looking,” Ralhan highlighted that the CEPA covers 127 services sub-sectors, including IT, business and professional services, R&D, education, healthcare, and audio-visual industries.
Improved mobility rules will offer Indian professionals’ easier access and longer stays as:
- intra-corporate transferees
- business visitors
- contractual service suppliers
- independent professionals
These provisions are expected to spur job creation and lift India’s services exports to new heights.
Major Boost for Investment and Standards Integration
The agreement allows 100% FDI from Indian companies in major Omani service sectors, while for the first time introducing a comprehensive commitment to Traditional Medicine, opening new global pathways for India’s AYUSH and wellness industries.
It also eases regulatory and certification barriers that have long challenged exporters, including:
- faster pharmaceutical approvals
- acceptance of global regulatory standards
- mutual recognition of Halal certification
- acceptance of India’s NPOP certification for organic products
- improved cooperation on standards and conformity assessment
These measures are expected to significantly reduce non-tariff barriers and enhance business confidence.
A Defining Chapter in India’s Export Story
Mr. Ralhan expressed strong optimism that the India–Oman CEPA will play a decisive role in boosting exports, strengthening manufacturing and supply chains, generating employment, and deepening long-term bilateral partnership.
For India’s exporters, Thursday, 18 December 2025, marks not just a policy milestone — but a doorway to a larger, faster, and more dynamic future in global trade.
Source: PR
