Muscat/New Delhi, Dec 17: Prime Minister Narendra Modi’s official visit to Oman, taking place on December 17–18, is centred on strengthening economic and strategic ties between India and the Sultanate, with the much‑anticipated Comprehensive Economic Partnership Agreement (CEPA) expected to be a key outcome. The two countries have maintained close commercial relations for decades, with bilateral trade exceeding USD ~10.6 billion in FY 2024‑25, up from earlier levels, driven largely by energy products and other key commodities. The CEPA, which has been under negotiation for the past two years and recently received Cabinet approval, aims to significantly reduce trade barriers such as customs duties, simplify regulatory procedures and expand market access for goods and services, creating a more favourable environment for businesses on both sides.
Economic experts and business leaders from Oman and India say the agreement could double bilateral trade volumes within five years by removing tariffs on a broad range of products and opening up new sectors for cooperation, including technology, logistics, tourism, agriculture, green energy and services. The strategic geography of Oman — positioned near major shipping routes and serving as a gateway to the GCC, Africa and beyond — is seen as an added advantage for Indian exporters and investors looking to expand regionally. Both governments also hope that simplified trade rules, investment incentives and stronger institutional linkages will boost employment opportunities, encourage joint ventures, and elevate mutual investment flows. PM Modi’s visit is expected to provide the political momentum needed to finalise the CEPA and set in motion a faster pace of economic engagement between the two countries.
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