New Delhi: Industry Chamber PHDCCI on Monday said that the India–Oman Comprehensive Economic Partnership Agreement (CEPA) strengthens India’s trade connectivity with the GCC and East Africa through strategic logistics infrastructure.
The agreement will strengthen economic integration of both countries by improving market access, trade benefitting exporters, professionals and investors, according to a statement.
“Reduced trade barriers will open new opportunities for MSMEs and service providers. India is well positioned in key labour-intensive sectors such as agriculture, food processing, pharmaceuticals, textiles, gems and jewellery that will benefit substantially from the agreement”, said Rajeev Juneja, President PHDCCI.
Under the agreement, 99.38 per cent of India’s exports by value across sectors such as agriculture and processed food, marine products, textiles, gems and jewellery, pharmaceuticals, engineering goods, electronics, automobiles and footwear will receive duty-free access to the Omani market.
The agriculture and processed food sector will see new opportunities for products such as basmati rice, cashews, onions, potatoes, sweet biscuits, butter and bovine meat products.
The marine products sector is expected to benefit from import duty waivers on shrimp, fish and other seafood products, he added.
“Coastal states with significant seafood exports, including Andhra Pradesh, Kerala, Tamil Nadu and Gujarat, are clear winners,” he further said.
In the gems and jewellery sector, the elimination of tariffs will boost competitiveness of Indian exporters, particularly in manufacturing clusters located in Surat, Jaipur, Mumbai, Kolkata and Chennai.
“The agreement will support export growth, employment generation and greater participation in regional markets. Faster regulatory approvals, and enhanced investment cooperation will particularly benefit sectors such as information technology, healthcare, engineering, and start-ups where India has strong relative competitive advantage”, said Dr. Ranjeet Mehta, SG & CEO, PHDCCI.
The pharmaceutical sector will benefit from faster regulatory approvals and improved market access. Pharmaceutical products approved by major international regulators, including the USFDA and EMA, will qualify for accelerated marketing authorisation procedures.
A major hurdle in exports— compliance burden will see substantial reduction due to provisions for recognition of inspection and certification systems, the statement said.
“The CEPA also includes one of the most comprehensive services market access commitments offered by Oman to any country. Indian professionals and businesses in information technology, engineering, healthcare, education, financial services, construction and consultancy services are expected to benefit from improved mobility provisions,” the statement noted.
(IANS)
