New Delhi: Economics is on the agenda with Oman as PM Narendra Modi embarks on a three-nation tour from December 15 to 18. His visit will conclude with trips to Jordan and Ethiopia. Prior to the visit, Oman’s Lower House, Shura Council, approved the Comprehensive Economic Partnership Agreement (CEPA) for which negotiations had begun in November 2023. The Indian cabinet too has approved the FTA.
About The Visit
While MEA officials did not confirm if CEPA would be signed during PM’s visit, they said a number of documents had been formalised. Speaking at a special media briefing, Secretary (CPV & OIA) Arun Kumar Chatterjee said. “We are all very optimistic about the India-Oman Comprehensive Economic Partnership Agreement. The teams from both sides have been working very hard for its early finalisation, and we are working towards it. I can inform you that a number of documents that are expected to be signed during the visit are in the last stages of finalisation.”
A hurdle in the trade talks has been the Omani government’s focus on ‘Omanisation’ which focuses on employing Omani citizens first in private and public sector jobs with specific quotas awarded to every company. Asked if Omanisation could prove a problem for Indian workers and companies seeking to work in the country, Chatterjee said, “Omanisation is there but it is our view that despite that, it is still anticipated that Oman will continue to employ skilled individuals to support its large infrastructure plans and sustained economic growth.”
He added, “So we are of the view that Omanis will continue to employ Indians in all these sectors and in the new and emerging areas that are likely to come up in the coming years.” Economics aside, MEA officials stated that India was also looking to expand upon its defence relationship with Oman. Senior diplomat and former ambassador to Oman, Talmiz Ahmad, explained why.
“Oman is located at the mouth of the Strait of Hormuz, serving as a crucial gateway to Middle Eastern, African, and Asian markets. It is also a crucial supplier of oil and LNG to India, and furthermore, New Delhi has a strong defence relationship with Muscat.” He added. “India has access to a specific zone of Duqm port for military use where the India Navy docks and maintains ships. This helps India maintain its maritime security presence in the Indian Ocean.”
Chatterjee also confirmed that Oman has offered to supply Jaguar aircraft spares, previously used by their Royal Air Force, to India, with deliveries anticipated soon. “The Royal Air Force of Oman used to operate Jaguar jets, but they were retired from their service some time back. They have many spares of these aircraft, which they would be willing to transfer to us in the near future, and we are expecting that the supplies of those spare parts are likely to come in the coming days.”
India is one of the few countries in the world that fly SEPECAT Jaguar fighter jets in its squadrons, and therefore supplies would be essential for New Delhi. Asked if both leaders – Prime Minister Modi and his Omani counterpart Sultan Haitham bin Tariq Al Said – would be discussing the Gaza conflict, Chatterjee said. “The leaders will be discussing regional and international issues of mutual interest. I would not be able to say at this stage what issues will come up during the talks between the two leaders. Maybe post the visit we can brief you on what came up.”