India–Oman CEPA Boosts Duty-Free Apparel Trade
The implementation of the India–Oman Comprehensive Economic Partnership Agreement (CEPA) is reshaping apparel trade between the two countries by removing import duties on a wide range of textile and garment products, making India a more competitive sourcing destination for GCC fashion brands.
Under the agreement, Oman has granted duty-free access to over 98% of tariff lines, covering nearly all Indian exports by value, including apparel and textiles. The move is expected to significantly reduce sourcing costs for Omani and wider Gulf Cooperation Council (GCC) fashion businesses, while improving margins and pricing flexibility.
Industry stakeholders note that the agreement strengthens India’s position as a global apparel manufacturing hub, supported by its vertically integrated textile ecosystem spanning fibre production, spinning, weaving, processing and garment manufacturing. This integration enables shorter lead times, improved efficiency and streamlined supply chains for international buyers.
The CEPA also opens opportunities in sustainable and technical textiles, as Indian manufacturers increasingly adopt eco-friendly production systems, global certifications and advanced fabric technologies used in activewear, uniforms and performance apparel.
Improved logistics connectivity further enhances the agreement’s impact, with Oman’s ports including Duqm, Salalah and Sohar, positioned as strategic gateways for distribution across GCC markets. This creates new possibilities for India-based manufacturing combined with Oman-based regional warehousing and re-export operations.
