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The newly enacted Comprehensive Economic Partnership Agreement between India and Oman represents a critical breakthrough for India’s long-term energy and economic security amid heightened regional instabilities. Because a significant portion of Oman’s coastline and major maritime hubs, such as the Port of Salalah and the Port of Duqm, sit entirely outside the highly vulnerable Strait of Hormuz chokepoint, Oman has proven to be an exceptionally dependable alternative trade gateway. This geographic advantage was starkly highlighted during recent regional conflicts that caused severe disruptions to maritime flows from Saudi Arabia, Qatar, and the UAE, leading to a sharp drop in overall Gulf trade while India-Oman import volumes conversely surged by 246.4 percent due to escalated purchases of crude oil and urea. Under the newly implemented trade pact, Oman has granted India immediate zero-duty access on 98 percent of its tariff lines, directly boosting the global competitiveness of Indian refined petroleum, calcined alumina, machinery, steel, and rice exports. Concurrently, India is progressively eliminating or reducing tariffs on 78 percent of its incoming lines from Oman, opening up vast reciprocal avenues for professional service providers and unlocking massive untapped potential across bilateral computer, business, and audio-visual engineering markets.

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