Paris, June 2 (PTI) Trade and Minister of Industry Piyush Goyal, said that negotiations between India and Oman on the proposed free trade agreement (FTA) are proceeding and some “good news” can come “very soon”.
The negotiations received the much needed impulse after visiting Goyal to Muscat in January this year.
Interviews on the agreement, officially dubbed as a comprehensive agreement on economic partnership (CEPA), formally began in November 2023.
“I think you will see a few good news about the Oman’s FTA,” the Minister told reporters as he asked if FTA interviews with Oman could end this year.
Goyal is here on an official visit where he organizes interviews with French leaders and businesses to support business and investment. On June 3, he will also participate in the mini-minute meeting of the World Trade Organization (WTO).
In such agreements, two business partners either significantly reduce or eliminate duties on the maximum number of goods traded between them. They also facilitate standards to support trade in services and attract investment.
Oman is the third largest export destination among countries for the Persian Gulf (GCC) for India. India already has a similar agreement with another member of GCC UAE, who came into effect in May 2022.
Bilateral trade was about $ 10.5 billion ($ 4 billion exports and imports $ 6.54 billion) in 2024-25.
India’s key imports are oil products and urea. These represent more than 70 % of imports. Other key products are propylene and ethylene polymers, Pet Coke, gypsum, chemicals and iron and steel.
With regard to such agreements, the Minister stated that these FTAs not only support trade in goods and services, but also strengthen the supplier chain, bring confidence in both parties about stable politicians and predictability.
“In a way, it’s big news when you close FTA,” he added.
Asked if India could see other domestic reforms as a result of these agreements, the Minister stated that FTA was standing on his own side and has no relation to “our own” domestic efforts to make the country more attractive.
“These agreements are more towards opening markets on both sides that lead to greater competitiveness, improvement of productivity and efficiency in all processes,” he said.
Goyal said the national production mission announced in the budget may soon appear.
It will also bring the “proper shape” how states and the center cooperate in the direction of promotion of production in India, he added.
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