MUSCAT: Omani and US officials have reaffirmed the continued strength and benefits of the Free Trade Agreement (FTA) between the Sultanate of Oman and the United States, despite the recent imposition of a 10% customs duty on some Omani exports.
Signed in 2006 and in force since 2009, the FTA has significantly bolstered trade and investment ties between the two countries, providing Omani products easier access to the US market.
Pankaj Khimji, Advisor for Foreign Trade and International Cooperation at the Ministry of Commerce, Industry and Investment Promotion, highlighted that both sides are committed to enhancing bilateral trade without barriers.
“Dialogue remains crucial to resolving any trade issues,” he said, noting that Omani exports to the US in 2024 exceeded RO 463 million, while American imports into Oman totaled more than RO 506 million.
US Ambassador to Oman, Anna Escrohema, described the FTA as “a strategic asset that must be continuously renewed and expanded.” She pointed out that US direct investment in Oman had surpassed $16 billion by the third quarter of 2024, making the US the second-largest investor in the Sultanate of Oman.
Khalid bin Saeed al Shuaibi, Chairman of the National Programme for Private Sector Development and Foreign Trade (Nazdaher), clarified that the FTA remains valid.
He explained that Omani products exported to the US are not subject to standard customs duties, except for the additional 10% applied across all imports. Negotiations are ongoing to address and potentially ease these charges.
Meanwhile, Saud bin Ahmed al Nahari, a board member of the Oman Chamber of Commerce and Industry (OCCI), acknowledged that although the duties have had some impact on Omani exporters, they are “not worrisome at present.” He emphasized that the Chamber’s newly established trade office in the United States is actively supporting Omani businesses in navigating the US market.
Al Nahari also announced that an Omani trade delegation will participate in the “Choose the American Market” exhibition in the US this May. The initiative aims to explore export opportunities and promote Oman as an attractive investment destination. — ONA
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