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India and Oman signed the landmark trade agreement on December 18, 2025. Following the completion of internal procedures in record time, the agreement came into force on June 1, 2026. Oman is India’s second-largest trading partner in the Gulf region, and the CEPA is expected to strengthen bilateral trade and open new growth avenues for Indian exporters.<\/p>\n
SIMA said the India-Oman CEPA will give Indian textile and garment exporters a 5 per cent tariff advantage, helping them compete more effectively and expand market share in Oman.
\nWith duty-free access for most exports and Oman serving as a gateway to GCC region and East Africa, SIMA expects stronger growth in apparel and home textile exports from key textile hubs.<\/p>\n
In a press release issued today, Durai Palanisamy, Chairman of The Southern India Mills\u2019 Association (SIMA), <\/em><\/strong>termed an excellent trade agreement for the textile sector. The CEPA provides zero-duty market access for 99.38 per cent of India\u2019s exports to Oman, including a wide range of textile and apparel products. The textile industry, which is the second-largest employment generator in the country and supports more than 11 crore people, predominantly women in rural areas is expected to be among the major beneficiaries of the agreement.<\/p>\n Highlighting the export advantages under the agreement, he noted that Indian textile products would enjoy a tariff advantage of around 5 per cent, enabling exporters to compete on an equal footing with suppliers from countries such as Bangladesh and Turkiye. The agreement is expected to particularly boost exports of readymade garments and home textiles.<\/p>\n He further stated that the CEPA would greatly benefit major textile clusters in Tamil Nadu, including Tirupur, Coimbatore, and Karur, by providing wider market access and enhanced export opportunities.<\/p>\n According to SIMA, India’s textile and garment exports to Oman stood at approximately $94 million during fiscal 2025-26, while Oman\u2019s total textile imports were valued at US$598 million. India currently accounts for nearly 16 per cent of Oman\u2019s textile imports and ranks as the third-largest supplier to the country. Palanisamy expressed confidence that the agreement would help India significantly increase its market share and textile exports to Oman in the coming years.<\/p>\n He also emphasised the strategic importance of Oman as a gateway to the Gulf Cooperation Council (GCC) region and East Africa. Leveraging Oman\u2019s world-class logistics hubs at Sohar, Duqm, and Salalah is expected to enhance India\u2019s regional trade connectivity and strengthen its export competitiveness across key international markets.<\/p>\n
<\/p>\n Fibre2Fashion News Desk (KUL)<\/p>\n
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