The CEPA trade agreement between India and Oman is expected to be formally signed during Prime Minister Narendra Modi’s visit to Oman. This agreement will increase bilateral trade, increase employment opportunities and encourage economic diversification.
PM Modi Oman Visit 2025: CEPA (Comprehensive Economic Partnership Agreement) between India and Oman is expected to be formally signed during the two-day official visit of Prime Minister Narendra Modi. This agreement can start a new phase in bilateral trade, employment opportunities and economic development of both the countries.
CEPA and Oman’s Vision 2040: Logistics, Tourism and Technology
Omani business leaders believe that CEPA is not just a document, but a major step to expand investment, trade and services opportunities between India and Oman. Ajay Khimji, director of Khimji Ramdas Group, described it as an “honor for India and Oman” and said it also proves the deep strategic trust between the two countries. He says CEPA will reduce barriers to trade, improve supply chains and spur innovation.
How much will CEPA increase employment and investment opportunities?
Davis Kallookaran, Deputy Chairman of the Oman Chamber of Commerce and Industry (OCCI), said CEPA will bring about a sea change in Oman’s business environment. He informed that currently India-Oman trade is worth about $12 billion, but after the implementation of CEPA it can increase manifold due to reduction in customs duties and trade barriers.
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Modi-Oman CEPA: New opportunities for trade and investment
Kallookaran also said that Oman can act as a gateway to western countries and Africa, while India will get access to a huge market of 1.4 billion people. This means that new trade and investment opportunities will open up for both countries, as well as employment and technological development will be boosted.
What is the connection between Oman’s Vision 2040 and CEPA?
Oman’s Vision 2040 prioritizes sectors such as agriculture, information technology, tourism, mining and logistics. The plan includes attracting 11 million international tourists annually by 2040, $36 billion in revenue from logistics, $26.8 billion from manufacturing and increasing the contribution of the digital economy to GDP by 5-10%. The CEPA agreement will help Oman achieve these goals and open new trade opportunities with India.
What is expected from Modi’s visit?
Before Prime Minister Modi reached Muscat, a meeting of ministers and business leaders of both the countries was held. Indian Ambassador Godavarthy Venkata Srinivas described the visit as “very timely” and said there has been a lot of progress in relations between the two countries since 2018. According to Srinivas, the visit will include talks with His Majesty Sultan Haitham bin Tariq Al Said, business forum with key Indian representatives and interaction with students and community. Apart from this, Modi’s visit will also help in strengthening defense ties.