Ahead Of Modi's Visit, Omani Businesses Hail Impending 'Transformative' CEPA Trade Pact With India

With Prime Minister Narendra Modi set to arrive here on Wednesday, Omani business leaders anticipate significant growth in bilateral trade, enhanced employment opportunities and deeper economic diversification through the impending Comprehensive Economic Partnership Agreement (CEPA) with India.

Modi's two-day official visit is expected to see the formal signing of the landmark trade pact.

Ajay Khimji, Director of the Khimji Ramdas Group, described the prime minister's visit as 'an honour for India and Oman' and said that it validates the 'deep strategic trust' between the two nations.

'The India-Oman FTA is a declaration of our shared vision for the next century. Not merely a document, it will catalyse unprecedented potential by removing any barriers between the nations in trade, investment and services. It will provide certainty and scale for long-term commitments, supply chain diversification and innovations,' Khimji told PTI Videos.

He added that the agreement would further strengthen bilateral relations and enhance trade and cultural exchanges.

Davis Kallukaran, Deputy Chairman of the Foreign Investment Committee at the Oman Chamber of Commerce and Industry (OCCI), said the CEPA would bring 'a great transformation' to Oman's business environment.

'This is going to bring a great transformation in the environment of Oman in terms of both exports, imports and excellent employment opportunities,' Kallukaran said, noting that current bilateral trade is approximately $12 billion and is expected to 'go multifold' once the CEPA is signed, with the removal of customs duties and trade barriers.

He highlighted mutual advantages, saying that Oman could serve as a gateway to markets in the West, Africa and beyond, while gaining access to India's 1.4 billion-strong market.

'Oman can act as a gateway to the West and to the African and other countries also. We have the technology, we have the people, we have the know-how. So, India can take advantage of this. At the same time, Oman will have a great opportunity as it will get access to a bigger market with 1.4 billion people,' he emphasised.

Kallukaran also linked the pact to Oman's Vision 2040, which prioritises sectors such as agriculture, information technology, tourism, mining and logistics.

Key targets under the vision include attracting 11 million international tourists annually by 2040, generating $36 billion in logistics revenue, $26.8 billion from manufacturing, achieving self-sufficiency in food security (currently contributing $3.28 billion to GDP) and raising the digital economy's contribution to 5-10% of GDP.

Indian and Omani business leaders, including ministers of the two countries, will meet on Wednesday morning ahead of Modi's arrival in Muscat.

Earlier in the day, Indian Ambassador to Oman Godavarthi Venkata Srinivas described the visit as 'very timely' and mentioned that significant progress has been made since Modi's last visit in 2018. 'This is the time to take the relationship forward,' he said.

Srinivas added that the programme includes talks with His Majesty Sultan Haitham bin Tarik Al Said, a business forum with major Indian contingents, and engagement with students and the community.

The ambassador also expressed hope that Modi's visit would further strengthen the defence ties, which have emerged as a key pillar of the bilateral strategic partnership established in 2008.