PM Modi and Sultan Haitham Ink Historic Trade Deal

December 19, 2025 — In a landmark moment for West Asian diplomacy, Prime Minister Narendra Modi and His Majesty Sultan Haitham bin Tarik of Oman held high-level delegation talks today at the Al Baraka Palace in Muscat. The meeting culminated in the signing of a Comprehensive Economic Partnership Agreement (CEPA), a historic free trade deal expected to reshape the economic landscape of both nations.

Prime Minister Modi, who arrived in Muscat on Wednesday as the final leg of his three-nation tour (including Jordan and Ethiopia), was received with full state honors. The visit coincides with the 70th anniversary of diplomatic relations between India and Oman, highlighting a partnership that has evolved from historical maritime trade to a modern strategic alliance.

The CEPA Milestone: A “Golden Chapter”

The center-piece of the visit was the formalization of the CEPA, which Prime Minister Modi described as a “new and golden chapter” in bilateral cooperation. The agreement is designed to:

• Boost Market Access: Grant duty-free access to nearly 98% of Indian goods entering Oman, including textiles, pharmaceuticals, and engineering products.
• Simplify Services: Open 127 sub-sectors for Indian professionals, including IT, healthcare, and education, making it easier for skilled workers to operate in the Sultanate.
• Secure Supply Chains: Strengthen ties in critical minerals and energy, ensuring resilience amid global economic uncertainties.

“Today, we are taking a historic step forward,” PM Modi stated during the joint press briefing. “The CEPA will energize our ties in the 21st century and create a stable framework for our youth to innovate and trade.”

Expanding Strategic Horizons

Beyond trade, the two leaders held extensive discussions on maritime security, defense, and green energy. Given Oman’s strategic location overlooking the Arabian Sea, both sides adopted a Joint Vision Document on Maritime Cooperation. This builds on India’s existing logistical access to the Duqm Port, which is vital for the Indian Navy’s regional operations.

The Sultanate also officially joined the International Solar Alliance during this visit, signaling a shared commitment to green hydrogen and renewable energy projects.

A Warm Reception and National Honor

The personal chemistry between the two leaders was evident as Sultan Haitham bin Tarik conferred upon Prime Minister Modi the “First Class of the Order of Oman”—the Sultanate’s highest civilian honor. This marks the 29th international award for the Prime Minister, underscoring his influence in the Gulf region.

The PM also addressed a vibrant gathering of the Indian diaspora in Muscat, celebrating the 50th anniversary of Indian education in Oman. With over 675,000 Indians residing in the Sultanate, the community serves as a “living bridge” that the Prime Minister credited for the enduring trust between the two capitals.

Key Outcomes at a Glance

As PM Modi departed for New Delhi late Thursday, the consensus in Muscat was clear: the India-Oman relationship has moved beyond traditional oil-and-gas diplomacy into a high-tech, comprehensive strategic partnership.