India-Oman CEPA to Come Into Force from June 1

India and Oman have finalised the Comprehensive Economic Partnership Agreement (CEPA), which is expected to come into force on 1 June 2026. The agreement was signed in December 2025 and Oman ratified it through a Royal decree in February 2026.

What is a Free Trade Agreement?

A Free Trade Agreement (FTA) is a trade pact between two or more economies that reduces or removes customs duties on specified goods and services. CEPA is a broader form of trade agreement that can cover goods, services, investment, and economic cooperation.

Key Provisions of India-Oman CEPA

India will get duty-free access for 98% of its exports to Oman under the agreement. These exports include textiles, agricultural products, and leather items. India will also reduce tariffs on Omani products such as dates, marbles, and petrochemical items.

India-Oman Trade Relations

Bilateral trade between India and Oman stood at about US$10.61 billion in FY2024-25. India and Oman held discussions in New Delhi on 12 May 2026 on economic cooperation and trade facilitation.

Important Facts for Exams

• CEPA stands for Comprehensive Economic Partnership Agreement.
• Oman ratified the agreement through a Royal decree in February 2026.
• India will receive duty-free access for 98% of its exports to Oman.
• Bilateral trade between India and Oman reached about US$10.61 billion in FY2024-25.