Key Highlights
- India-Oman Comprehensive Economic Partnership Agreement (CEPA) officially comes into effect.
- Duty-free market access to boost Indian textile and apparel exports.
- Special mobility provisions introduced for Indian workers in manufacturing and non-services sectors.
- Social Security Agreement (SSA) framework to help avoid dual social security contributions.
- Dedicated chapter on health and traditional medicine services, including AYUSH cooperation.
- Faster approvals for Indian pharmaceutical exports through recognition of global regulatory certifications.
- Recognition of Indian halal and organic certifications to reduce compliance costs.
- Enhanced cooperation in licensing, professional qualifications, and digital examinations.
- New opportunities expected for MSMEs, farmers, artisans, healthcare professionals and exporters.
- Major textile hubs such as Tiruppur, Surat, Ludhiana, Panipat and Jaipur expected to benefit.
News Summary
A new chapter in India-Oman’s economic partnership began today as the Comprehensive Economic Partnership Agreement (CEPA) officially entered into force, paving the way for deeper trade, investment and services cooperation between the two countries.
The agreement is expected to significantly strengthen market access for Indian exporters while creating fresh opportunities for workers, professionals, entrepreneurs and MSMEs across multiple sectors.
One of the biggest beneficiaries is expected to be India’s textile industry. Oman imported textiles worth nearly USD 350.7 million in 2025, with India’s exports reaching USD 99.13 million and commanding a market share of 28.26%. Under CEPA, Indian textile and apparel products will receive duty-free access, improving competitiveness against suppliers from China, Bangladesh, Türkiye and the UAE.
The agreement also includes a first-of-its-kind mobility provision for Indian workers employed in manufacturing and industrial sectors, providing greater certainty for professionals and businesses operating in Oman. Additionally, both countries have agreed to negotiate a Social Security Agreement (SSA), which is expected to ensure continuity of social security benefits and help avoid dual contributions by workers and employers.
In the services sector, CEPA introduces a dedicated annex on health and traditional medicine services. The framework promotes cooperation in licensing procedures, recognition of qualifications, digital conduct of licensing examinations, medical value travel and joint research in traditional medicine systems.
The agreement also contains important provisions on sanitary, phytosanitary and technical barriers to trade. Oman will recognize inspection and certification mechanisms issued by Indian authorities, reducing testing requirements and speeding up market access for Indian exports.
Indian pharmaceutical companies are expected to gain from faster marketing approvals through acceptance of certifications from major global regulators, while exporters of halal and organic products will benefit from greater recognition of Indian certification systems.
Government officials believe the agreement will support export growth, attract investments, create jobs and strengthen economic integration between India and Oman over the coming years.
Major Sectors Expected to Benefit
- Textiles & Apparel
- Pharmaceuticals
- Healthcare & Medical Tourism
- AYUSH & Traditional Medicine
- Organic Products
- Halal-certified Products
- Manufacturing
- Logistics & Trade Services
- MSMEs
- Professional Services
