Archive · 24 Dec 2025
India-Oman CEPA Signed, GCC Decouples Investment Talks
India and Oman signed a big trade deal called CEPA on December 18, 2025.
This deal makes it easier for India to sell things to Oman and for Oman to sell things to India.
It also helps Indian companies send workers to Oman for a few years.
The deal is important because it helps India sell more things like minerals, chemicals, and food to Oman.
Oman will also buy more services from India, like legal, medical, and educational services.
Meanwhile, the Gulf Cooperation Council (GCC), which includes countries like Saudi Arabia, UAE, and Oman, has decided to separate talks about investment rules from talks about a bigger trade deal with India.
This means they can talk about investments first and then later talk about a bigger trade deal.
India already has a trade deal with the UAE and is talking to other GCC countries like Qatar and Bahrain.
India and the GCC have been talking about a big trade deal since 2004, and they have a lot of trade between them, especially in oil.
In the year 2023-24, India and the GCC traded goods worth $161.59 billion.
India and Oman signed the Comprehensive Economic Partnership Agreement (CEPA) on December 18, 2025, covering trade in goods and services, professional mobility, investment flows, and regulatory and strategic cooperation.
Oman offered zero-duty access on 98% of India’s tariff lines, covering 99.38% of India’s exports to Oman, with India’s services exports to Oman accounting for just over 5% of Oman’s total services imports.
The GCC agreed to decouple talks for a Bilateral Investment Treaty (BIT) with the Terms of Reference (ToR) for an FTA with India, allowing for potential FTA talks with GCC members Qatar and Bahrain if BIT talks are concluded shortly.
India already has an FTA with GCC member UAE and has been negotiating a BIT with Saudi Arabia separately, with Saudi Arabia initially wanting to sign a BIT before proceeding with an FTA.
India-GCC bilateral trade stood at $161.59 billion in FY 2023-24, with India’s exports being $56.3 billion and imports being $105.3 billion, highlighting the significant economic linkages between the two regions.
- Who
- India, Oman, Gulf Cooperation Council (GCC)
- What
- Signing of the Comprehensive Economic Partnership Agreement (CEPA) between India and Oman, and GCC's decision to decouple investment pact talks from FTA talks with India
- When
- December 18, 2025 (CEPA signing), December 2024 (GCC's initial stance on BIT)
- Where
- Oman, GCC region
- Why
- To enhance trade, investment, and strategic cooperation between the countries and blocs
- Date Signed (India-Oman CEPA)
- December 18, 2025
- Implementation Time (India-Oman CEPA)
- About three months
- India's Exports to Oman (FY25)
- $4.1 billion
- Oman's Total Annual Imports
- $40 billion
- India's Services Exports to Oman (CY2024)
- $665 million
- Oman's Total Services Imports
- $12.52 billion
- India's Imports from Oman (FY25)
- $6.6 billion
- Indian Investments in Oman
- $7.5 billion
- GCC Members
- Saudi Arabia, UAE, Kuwait, Qatar, Oman, Bahrain
- India-GCC Bilateral Trade (FY 2023-24)
- $161.59 billion
- India's Exports to GCC (FY 2023-24)
- $56.3 billion
- India's Imports from GCC (FY 2023-24)
- $105.3 billion
Sources
India-Oman CEPA as much a strategic pact as a trade deal
Letters to Editor
Gulf Cooperation Council agrees to de-couple investment pact talks from FTA talks with India
Commerce Secretary: FTAs will unlock global markets for Indian professionals
India has become self-reliant under Modi’s leadership: Dr. Jitendra Singh
