Commerce and Industry Minister Piyush Goyal said the India-Oman Comprehensive Economic Part-nership Agreement (CEPA) has come into force, marking the start of a free trade pact between the two countries.
Signed on December 18, 2025 in Muscat, the agreement became effective on June 1, 2026 after both sides completed internal procedures. It is expected to benefit Indian exporters in sectors such as textiles, leather, plastics, marine products, automobiles, sports goods, and agricultural products by providing preferential access to the Omani market.
Goyal said the deal will give Indian exporters a competitive edge over other countries in Oman.
To mark the agreement coming into effect, around 10 consignments of agricultural goods and gems and jewellery from Mumbai, Kolkata, and Chennai were exported to Oman under preferential tariffs.
Oman is India’s second-largest trading partner in the Gulf and a key gateway to the wider GCC region due to its advanced port infrastructure. Bilateral trade rose to $11.18 billion in FY 2025–26 from $10.61 billion the previous year.
Indian exports to Oman were about $4 billion in FY 2026, led by refined petroleum products such as petrol and naphtha, along with calcined alumina, iron and steel, machinery, and rice.
Fresh push for trade deal upgrade between India, South Korea
India and South Korea concluded the 12th round of talks to upgrade their existing trade agreement, with Seoul agreeing to address India’s rising trade deficit, according to the Ministry of Commerce and Industry.
The negotiations on enhancing the India-Korea Comprehensive Economic Partnership Agreement, which came into effect in 2010, gained momentum after Commerce Minister Piyush Goyal and South Korean Trade Minister Yeo Han-koo signed a joint declaration in April 2026. The latest round of discussions was held in New Delhi from May 25 to 27.
India and South Korea have agreed to tackle their growing trade imbalance under the India-Korea Comprehensive Economic Partnership Agreement (CEPA), with India’s trade deficit widening to $15.6 billion in 2025-26 from $5.1 billion in 2009-10.
The latest talks focused on trade, investment, rules of origin and sanitary measures. Both sides also agreed to set up dedicated groups on digital trade, supply chains and strategic industrial cooperation.