India set to sign trade deal with Oman to expand its Middle East ties

Prime Minister Narendra Modi and Sultan of Oman Haitham Bin Tarik maintain bilateral talks at Hyderabad House in New Delhi.
| Photo Credit: ANI

India and Oman will sign a trade deal within the coming months, two Indian authorities officers stated, as New Delhi seeks to expand its ties within the Middle East, the place rising tensions are placing main transport routes in danger.

“It will help India with a strategic partner and access to key trade routes in a volatile region,” one official informed Reuters.

India and Oman have annual trade of lower than $13 billion, however the relationship is essential for New Delhi because the Gulf nation is a gateway to the slender Strait of Hormuz between Oman and Iran, a significant transit level for international oil shipments.

Also Read | India, Oman in talks for complete financial partnership settlement

Israel’s warfare in opposition to Hamas in Gaza has unfold to hostilities with Iran, and Yemen’s Iran-aligned Houthi militants have launched repeated drone and missile strikes within the Red Sea space, claiming solidarity with the Palestinians in Gaza.

The trade deal requires the approval of the federal government that wins India’s ongoing nationwide elections, whose outcomes are to be introduced on June 4, the officers stated. Prime Minister Narendra Modi is broadly anticipated to win a uncommon third time period.

The officers requested not to be named because the discussions are personal.

Also Read | India, Oman to cooperate within the discipline of archives

India’s trade and Foreign Ministries and Oman’s embassy in India and Foreign Ministry didn’t reply to emails in search of remark.

Making little progress on a deal with the Gulf Cooperation Council (GCC), India has pivoted to in search of bilateral offers with GCC member nations corresponding to Oman and United Arab Emirates.

The deliberate deal with Oman “also gives a competitive edge as GCC is negotiating trade agreements with Pakistan and China,” the official stated.

Also Read | A time-honoured join that may assist bridge the Gulf 

Oman has agreed to get rid of duties on Indian exports price an annual $3 billion together with agricultural merchandise, gems and jewelry, leather-based, cars, medical units, engineering merchandise and textiles, the officers stated

India has agreed to scale back duties on some petrochemicals, aluminium and copper from Oman, whereas capping imports of such items, the officers stated.