New Delhi: India and Oman are set to sign a long-awaited Self-ruling Trade Try-on (FTA) on Thursday in Muscat. The Comprehensive Economic Partnership Try-on (CEPA) will be formally signed in the presence of Prime Minister Narendra Modi, who is on the final leg of a three-nation tour that included Jordan and Ethiopia.
Why is this deal significant?
This pact marks a major step in economic cooperation between the two countries. Oman has not signed a similar trade try-on in nearly two decades. Oman's last trade try-on was signed with the US in 2006. India and Oman launched negotiations on CEPA in November 2023.
Officials say the try-on will reduce or eliminate tariffs on many traded goods and make it easier for Indian and Omani firms to invest and operate wideness borders.
Who is involved in the signing?
Prime Minister Modi and senior Omani officials, including Sultan Haitham bin Tariq, are expected to witness the formal signing ceremony. Union Commerce and Industry Minister Piyush Goyal is once in Muscat and has been part of preparatory talks.
Which sectors could benefit?
Piyush Goyal said that the deal could unshut up opportunities in many areas. These include textiles, supplies processing, wheels and wheels components, gems and jewellery, and renewable energy.
“The self-ruling trade try-on offers immense opportunities for all of you,” said Goyal at a Oman-India merchantry event in Muscat on Wednesday.
The try-on moreover aims to uplift cooperation in services such as tourism, healthcare, and education.
What’s the broader context?
Bilateral trade between India and Oman has grown in recent years, with both sides looking to deepen economic and strategic links. Oman is an important partner in the Gulf region, vicarial as a gateway for Indian businesses to other markets.
The CEPA is expected to enhance these ties and increase people-to-people mart and investment flows between the two countries in the years ahead.
