Indian Economy News

India, Oman agree to have joint feasibility study on limited trade deal

India and Oman agreed to conduct a joint feasibility study before proceeding with a preferential trade agreement on limited commodities. According to a senior commerce department official, Oman has asked India for a preferential trade agreement on a limited number of commodities, in which both countries can explore tariff reductions on selected items of export importance.

The development comes as India prepares to deepen its interaction with Gulf Cooperation Council (GCC) members in the pursuit of a free trade agreement (FTA). The Gulf Cooperation Council (GCC) is a regional, intergovernmental political and economic union comprised of six countries: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates (UAE).

Department of commerce joint secretary Mr. Srikar Reddy said that India and Oman are in the process of negotiating a free trade agreement with the Gulf Cooperation Council (GCC). Oman will be a signatory to the GCC FTA when it is completed. Oman is India's 31st most important commercial partner. Bilateral trade has grown rapidly, growing 82.6% from US$ 5.4 billion in FY21 to US$ 9.94 billion in FY22. One of the key outcomes of the meeting was the expediting of approvals for the registration of Indian pharmaceutical products that had already been registered by the USFDA, the UK Medicines and Healthcare Products Regulatory Agency (UKMHRA), and the European Medicines Agency (EMA).

Other outcomes include the joint release of a market research report on the pharmaceutical sector in Oman commissioned by the Indian Embassy in Muscat, highlighting strategies and prospects for Indian companies in that nation.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.