The India-Oman Comprehensive Economic Partnership Agreement entered into force on June 1 [2], granting duty-free access for most Indian exports.

This agreement is a strategic move to deepen economic ties between New Delhi and Muscat. It serves as a catalyst for India to reach its ambitious trade goals while strengthening diplomatic relations through economic integration.

Piyush Goyal, Union Minister of Commerce & Industry, announced the implementation during an official ceremony in New Delhi. Goyal said the agreement provides duty-free access for 98% of Indian export lines [1].

The minister described the pact as more than a commercial arrangement. "This free trade pact is not simply a trade agreement; it is a statement of civilisational trust," Goyal said [4].

The deal arrives as India pursues a target of $1 trillion in exports for the 2026 fiscal year [5]. Recent data shows India's exports reached $863 billion in FY26, which is nearly five percent higher than the previous year [3].

Officials said that the CEPA is intended to diversify trade portfolios and reduce tariffs on a wide array of goods. By removing barriers, the two nations aim to increase the volume of bilateral trade and encourage investment in key sectors, ranging from industrial goods to services.

The entry into force marks the final step in a series of negotiations aimed at creating a more seamless trade corridor between South Asia and the Gulf region.

“The agreement will provide duty‑free access for 98% of Indian export lines.”

The activation of the India-Oman CEPA is a critical component of India's broader strategy to aggressively expand its export footprint to reach the $1 trillion mark. By securing duty-free access to the Omani market, India reduces the cost of its goods, making them more competitive in the Gulf region. This agreement not only boosts trade volume but also reinforces India's geopolitical pivot toward strategic partnerships in the Middle East to counter regional economic volatility.