Marking a watershed moment for the nation’s textile and fashion industry, India and Oman have signed the India-Oman Comprehensive Economic Partnership Agreement (CEPA) This landmark deal eliminates the long-standing 5 per cent import duty on Indian textiles, unlocking a strategic gateway to the broader Gulf and African markets. Industry analysts predict this ‘zero-duty’ access will catalyze a $2 billion rise in overall exports over the next three years, with apparel serving as a primary engine of growth.

Duty-free access redefines export competitiveness

Under the new framework, Oman has granted immediate duty-free access to 98.08 per cent of its tariff lines, covering virtually all Indian textile and readymade garment (RMG) exports by value.

This move is strategically timed as Indian exporters face rising protectionism in Western markets. The CEPA makes Indian fashion products instantly more price-competitive against regional rivals, allowing Indian MSMEs and women-led fashion enterprises to capture a larger share of Oman's retail landscape, which is increasingly pivoting toward sustainable and high-end ethnic wear.

Beyond bilateral trade, which has recently exceeded $12 billion, Oman serves as a critical logistical hub for ‘Made in India’ apparel heading to East Africa and Central Asia. The agreement also eases professional mobility, allowing Indian fashion houses to station talent in Oman for up to four years to oversee operations. This ‘co-location’ opportunity enables brands to set up regional distribution centers, reducing lead times for the fast-fashion segment. As India targets $100 billion in textile exports by 2030, the Oman CEPA provides the necessary momentum to diversify beyond traditional Western blocks.