Oman Free Trade Agreement May Come Into Force From June As India Expects $1tn Exports This Fiscal News Today
New Delhi: India’s proposed free trade agreement (FTA) with Oman is likely to come into effect from June 1, Commerce and Industry Minister Piyush Goyal said on Monday, as the government sharpens its export-led growth while boosting domestic manufacturing to reduce dependence on imports amid global trade uncertainty.
India has set a target of $1 trillion in combined goods and services exports in the current financial year and intends to double it in the next five years, Goyal said at the launch of the Bharatiya Vyapar Mahotsav, a trade fair, in New Delhi in August.
“Oman FTA may come into effect from June 1, while other completed FTAs pending on paper will also be operational subsequently,” Goyal said.
India and Oman signed a free trade agreement in December 2025 that will allow duty-free access to 98% of India’s exports to the sultanate, including textiles, agricultural products and leather goods. In return, India will reduce tariffs on Omani products such as dates, marble and petrochemicals.
Bilateral trade between the two nations will reach approximately $10.5 billion in 2024-25.
The minister said the government has concluded trade agreements with nearly 38 developed countries in the last three-and-a-half years to give Indian exporters preferential access to major overseas markets at lower import duties compared to competitors.
National Mission
Calling exports a “national mission”, Goyal said India’s exports stood at $26,863 billion in the fiscal year, up nearly 5% from the previous year, despite global challenges. He said exports of both goods and services have seen growth.
At the same time, the minister called on businesses to closely monitor import trends and identify opportunities for domestic production and import substitution. He said the Commerce Department’s trade portal could help industries identify products to be imported into the country and areas where India’s manufacturing capacity can be strengthened.
Goyal also pushed for greater adoption of home-made products, saying that rising middle-class consumption could otherwise lead to a surge in imports if local industries cannot meet demand.
He identified sectors such as capital goods where India continues to be significantly dependent on imports and urged industrial clusters in Rajkot, Jalandhar, Ludhiana, Batala and Pune to expand domestic manufacturing.
The Minister said that improving product quality, packaging and productivity will be essential for India to strengthen its presence in global markets. He added that exports of agriculture and fisheries have almost swung ₹5 trillion, although value addition in these sectors remains limited.
Goyal also called for greater participation of startups, youth and women entrepreneurs in the manufacturing and export-oriented sectors.
The Bharatiya Vyapar Mahotsav is scheduled to be held from 12 to 15 August 2026 at the Bharat Mandapam in New Delhi to promote domestic manufacturing and encourage exports.