India and Oman have made significant progress in their negotiations for a comprehensive economic partnership agreement (CEPA), with a senior official announcing that most of the policy areas have been finalized. The CEPA negotiations are expected to conclude shortly, marking a major milestone in the economic relations between the two nations.
The second round of talks for the CEPA concluded in Muscat earlier this month, following the initial round held in New Delhi from November 27-29. This agreement holds great significance as Oman stands as the third-largest export destination among the Gulf Cooperation Council (GCC) countries.
Bilateral trade between India and Oman has been thriving, with trade volumes reaching $12.39 billion in 2022-23, a significant increase from $5 billion in 2018-19. India’s exports to Oman have also surged from $2.25 billion in 2018-19 to $4.48 billion in 2022-23. Oman ranks as India’s third-largest export destination within the GCC.
Furthermore, India’s commerce secretary, Sunil Barthwal, shed light on the initiation of Free Trade Agreement (FTA) negotiations with the GCC bloc. India has presented two options to the GCC countries: to negotiate collectively as a bloc or individually. This decision demonstrates India’s commitment to strengthening its economic ties with the Gulf region.
With the CEPA nearing its conclusion and progress made on the FTA negotiations, India and Oman are looking forward to unlocking new and promising trade opportunities. As both countries strive to diversify their economies and enhance cooperation, this partnership agreement will serve as a solid foundation for economic growth and prosperity.
