The India-Oman Comprehensive Economic Partnership Agreement (CEPA) entered into force, marking a major milestone in bilateral trade and offering significant advantages for Indian jewelry exporters. Overseas buyers sourcing from India can now benefit from immediate duty-free access for 99.38% of Indian exports, including gems and jewelry, enhancing price competitiveness in Oman's nearly USD 28 billion import market and providing a strategic gateway to the wider GCC and East African markets.
Supply-chain impact
The CEPA provides immediate duty-free access for 99.38% of India's exports to Oman by value, covering 98.08% of Oman's tariff lines. This is a dramatic improvement from the previous MFN regime, where only 15.33% of Indian exports entered Oman duty-free. For jewelry supply chains, this means Indian exporters of gems, jewelry, and related products gain substantial price competitiveness against suppliers from countries without similar preferential arrangements. Oman serves as India's second-largest trading partner in the Gulf region and offers strategic logistics hubs at Sohar, Duqm, and Salalah. These ports provide Indian exporters enhanced access not only to Oman but also to the wider GCC and East African markets, making the agreement a force multiplier for regional jewelry distribution networks.
What buyers should watch
Overseas importers and private-label brands sourcing from India should monitor the immediate reduction in landed costs for gems and jewelry products under the CEPA. The agreement is expected to significantly boost exports from major Indian jewelry manufacturing hubs, including Mumbai, Kolkata, and Chennai, where the first consignments availing preferential tariff benefits were flagged off.
Buyers should also note that the CEPA goes beyond tariff reduction, encompassing regulatory cooperation and non-tariff barrier safeguards. This creates greater predictability for businesses operating across both markets, potentially simplifying compliance and logistics for cross-border jewelry trade.
Compliance and logistics signals
The agreement includes structured safeguards for sensitive sectors, but gems and jewelry are among the labor-intensive sectors expected to benefit significantly. Indian exporters now compete on equal or better terms than suppliers from countries without preferential trade arrangements with Oman, which could shift sourcing patterns for GCC-bound jewelry orders. Bilateral trade between India and Oman reached USD 11.18 billion in FY 2025-26, up from USD 10.61 billion in FY 2024-25, indicating a positive trend that the CEPA is expected to accelerate. For jewelry supply-chain professionals, this signals growing integration and opportunity in the India-GCC trade corridor.
Source: Read the original report | Published: June 02, 2026