Blitz Bureau
NEW DELHI: India and Oman have reaffirmed their multifaceted strategic partnership and signed key agreements, including the Comprehensive Economic Partnership Agreement (CEPA), during Prime Minister Narendra Modi’s official visit to the Sultanate of Oman from December 17 to 18. PM Modi visited Oman at the invitation of His Majesty Sultan Haitham bin Tarik.
He was accorded a ceremonial welcome and held detailed consultations with the Sultan at Al Baraka Palace on December 18. The visit holds special significance as it coincides with the 70th anniversary of the establishment of diplomatic relations between the two countries and follows the Sultan of Oman’s State Visit to India in December 2023.
During the talks, the two leaders expressed satisfaction over the strong and expanding bilateral relationship, covering areas such as trade and investment, defence and security, energy, technology, education, space, agriculture, culture and people-to-people ties. They reviewed progress under the Joint Vision Document adopted in 2023 and noted that ties between the two maritime neighbours have evolved into a broad-based strategic partnership. The Indian side appreciated Oman’s economic diversification and sustainable development under Vision 2040, while the Omani leadership commended India’s sustained economic growth and its vision of a developed India by 2047.
Trade and commerce were identified as a key pillar of bilateral cooperation, with both sides highlighting the potential to expand and diversify trade in sectors such as textiles, automobiles, chemicals, equipment and fertilisers. The signing of the India-Oman CEPA was described as a major milestone, expected to reduce trade barriers, enhance economic growth, create jobs and boost investment flows. The leaders encouraged the private sectors of both countries to leverage the agreement.
The India, Oman free trade deal provides zero-duty access for Indian goods in 98.08 per cent of Oman’s tariff lines, opens up avenues for Micro, Small, and Medium Enterprises (MSMEs) and labour-intensive sectors, and protects the mobility of Indian professionals. Both sides noted the positive role of the Oman-India Joint Investment Fund in promoting bilateral investments and explored mechanisms to facilitate trade in local currencies. Progress on the Bilateral Investment Treaty was also welcomed.
In the energy sector, the two countries agreed to expand cooperation across conventional and renewable energy, including collaboration in exploration and production, green hydrogen and green ammonia, with a focus on joint investments and technology transfer. Defence and maritime cooperation featured prominently, with both sides agreeing to strengthen collaboration through joint exercises, training, high-level exchanges and enhanced maritime domain awareness. A Joint Vision Document on Maritime Cooperation was adopted to reinforce cooperation on regional maritime security, the blue economy and sustainable use of ocean resources.