India's gold jewelry exporters have gained a competitive edge in the Middle East following the implementation of the India-Oman Comprehensive Economic Partnership Agreement (CEPA) on June 1, 2026. The pact eliminates tariffs on gold jewelry exports to Oman, with industry forecasts projecting a surge from $10 million to $150 million over three years. For overseas buyers, this signals more cost-competitive sourcing options from India and potential shifts in regional supply dynamics.
Supply-chain impact
The duty-free access under CEPA directly reduces landed costs for Indian gold jewelry in Oman, making Indian exporters more price-competitive against rivals from other manufacturing hubs. Kolkata-based Wonder Jewels dispatched the first duty-free consignment on June 1, 2026, marking a new direct trade route. This development could encourage Indian manufacturers to scale production capacity and streamline logistics for the Omani market, potentially leading to shorter lead times and more flexible order volumes for importers.
Market growth projections
Industry bodies, including the Gem & Jewellery Export Promotion Council (GJEPC), estimate that annual gold jewelry exports to Oman could grow from $10 million to approximately $150 million within three years. This expansion represents a strategic diversification for Indian exporters beyond traditional markets like the UAE. For overseas distributors and private-label brands, the increased supply from India may offer more competitive pricing and a broader range of designs tailored to Middle Eastern consumer preferences.
What buyers should watch
Importers and trading companies should monitor actual export volume growth in the coming quarters to validate the projections. Key factors include global gold price volatility, which can affect consumer demand in Oman, and the economic health of the Middle East region. Compliance with CEPA documentation standards is critical for smooth customs clearance. Buyers may also benefit from exploring partnerships with Indian manufacturers in Eastern India, such as those in Kolkata, which are increasingly active in export markets.
China sourcing context
While India gains a tariff advantage in Oman, Chinese jewelry exporters—particularly those in sterling silver, stainless steel, and costume jewelry segments—should assess competitive positioning. The CEPA does not directly affect China's exports, but it may shift buyer attention toward Indian gold jewelry for Middle Eastern markets. Chinese suppliers can differentiate by focusing on non-gold categories, rapid OEM/ODM capabilities, and value-added services like packaging and compliance support to retain buyer interest.
Source: Read the original report | Published: June 11, 2026