India protects farmers, MSMEs by withholding duty cuts under Oman pact

    India has not extended duty concessions on dairy, jewellery and other sensitive products under the trade pact signed with Oman in Muscat

    Explained: Products excluded from duty cuts under India–Oman CEPA
    Explained: Products excluded from duty cuts under India–Oman CEPA

    India withholds duty concessions on dairy, gold under Oman trade pact

    India has safeguarded the interests of domestic farmers and micro, small and medium enterprises (MSMEs) by withholding duty concessions on several sensitive products under the Comprehensive Economic Partnership Agreement (CEPA) signed with Oman in Muscat on Thursday.

    The Commerce Ministry said India has kept a range of sensitive items in the exclusion list without offering any tariff concessions to protect key domestic sectors. These include agricultural products such as dairy, tea, coffee, rubber and tobacco, as well as gold and silver bullion, jewellery, footwear, sports goods and scrap of several base metals.

    “These products have been kept in the exclusion category to safeguard India’s interests,” the ministry said in a statement.

    For products of export interest to Oman that are considered sensitive for India, New Delhi has largely adopted a tariff-rate quota (TRQ)–based approach. Under this mechanism, duty concessions are extended only up to a specified import quota, beyond which normal customs duties apply.

    Items covered under the TRQ framework include dates, marble and certain petrochemical products. According to officials, Oman has also permitted Indian companies to import marble blocks, which are otherwise restricted exports in the Gulf nation.

    As per the agreement, India will allow duty-free imports of dates from Oman up to an annual quota of 2,000 tonnes.

    The ministry said the calibrated approach reflects India’s effort to balance trade liberalisation with the protection of domestic industries, particularly agriculture and labour-intensive sectors, while expanding economic engagement with Oman under the strategic partnership framework.

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