India and Oman have signed a Free Trade Agreement, opening up several major global markets for the country!
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Prime Minister Narendra Modi met with Sultan Haitham bin Tariq Al Said of Oman on Thursday (December 18, 2025) and discussed bilateral issues. During the meeting, India and Oman signed a Free Trade Agreement (FTA). On this occasion, the Omani government honored Prime Minister Narendra Modi with the ‘Order of Oman’ for his contributions to strengthening bilateral relations.
What are the benefits of the India-Oman Free Trade Agreement?
This agreement will boost exports from India’s labor-intensive sectors such as textiles, leather, footwear, gems and jewelry, engineering products, plastics, furniture, agricultural products, pharmaceuticals, medical devices, and automobiles. This will create jobs and strengthen artisans, women-led enterprises, and MSMEs. This is India’s second free trade agreement in the last six months. India has signed several free trade agreements (FTAs) in recent years, which are benefiting our farmers, traders, and exporters.
India already has a similar agreement with another member of the Gulf Cooperation Council (GCC), the United Arab Emirates (UAE), which came into effect in May 2022. The other members of the GCC are Bahrain, Kuwait, Saudi Arabia, and Qatar. India and Qatar will also soon begin negotiations for a trade agreement. In the financial year 2024-25, India-Oman bilateral trade was approximately US$10.5 billion (exports US$4 billion and imports US$6.54 billion).
What does India export to Oman?
India’s major imports are petroleum products and urea, which account for more than 70 percent of total imports. Other major products include propylene and ethylene polymers, pet coke, gypsum, chemicals, iron, steel, and unrefined aluminum. The main Indian goods exported to Oman include mineral fuels, chemicals, precious metals, iron and steel, cereals, ships, boats, electrical machinery, boilers, tea, coffee, spices, textiles, and food products.
‘Four major global markets will open up for India’
Union Minister Piyush Goyal stated that the India-Oman Free Trade Agreement (FTA) will create new opportunities in textiles, food processing, automobiles, jewelry, agrochemicals, renewable energy, and auto components. Addressing the India-Oman Business Forum, Piyush Goyal highlighted Oman’s strategic importance as a gateway to the Gulf Cooperation Council (GCC), Eastern Europe, Central Asia, and Africa, providing Indian businesses with enhanced market access.
