The enduring relationship between the Sultanate of Oman and the Republic of India is a testament to the powerful forces of geography, history and shared culture. It is a strategic partnership forged not by distant diplomacy, but by a mere stretch of water separating the western shores of India from the Omani coasts — a proximity that has nurtured centuries of cordial relations. The visit of Indian Prime Minister Narendra Modi to Oman is a strategic opportunity arriving at a pivotal moment.
This visit is critical for enhancing political coordination, facilitating a candid exchange of views on pressing international issues, and, most notably, accelerating the path toward signing the Comprehensive Economic Partnership Agreement (CEPA). This agreement promises to be a powerful catalyst, supporting Oman’s economic diversification and investment goals, entirely aligned with the ambitious Oman Vision 2040. Oman and India share a remarkably clear, forward-looking vision in several strategic sectors. Energy stands out as a core area, with a growing collaboration focusing on green hydrogen and ammonia projects, leveraging Oman's natural resources alongside India's advanced technological expertise.
Furthermore, the partnership is aggressively strengthening ports and logistics. Oman is strategically enhancing maritime connectivity with India through its key ports — Suhar, Duqm and Salalah. This initiative not only positions Oman as a vital regional trade hub but is also instrumental in reducing supply chain costs, cementing its role in global commerce.
The strength of this bond is perhaps most visible in the vibrant people-to-people ties. Oman hosts a sizeable community of Indian nationals who are deeply integrated into the fabric of the Omani community. They contribute significantly as skilled employees in Omani-owned enterprises and, crucially, as investors who actively offer employment opportunities for a large number of Omanis. This contribution is high-value; thousands of Indians serve as top-level professionals, particularly in the critical health sector.
The economic and cultural synergy extends to tourism. Statistics from the National Centre for Statistics and Information reveal that Indians, numbering 534,612, topped the inbound tourists to the country, second only to those from the UAE.
In the Gulf region, Oman is unequivocally India’s closest defence partner, making defence cooperation a non-negotiable cornerstone of the strategic relationship. Oman holds the distinction of being the first Gulf country with which all three wings of India’s defence forces hold joint exercises—a profound demonstration of trust and interoperability.
The visit of His Majesty Sultan Haitham bin Tarik to India in 2023 was a landmark event that institutionalised future cooperation through the signing of several key MoUs. India remains a significant economic partner, standing as the sixth-largest trading partner of the Sultanate of Oman in terms of total exports. The volume of trade exchange reached RO 1.627 billion by the end of last September. Omani exports to India amounted to about RO 17.182 million, while total Omani imports from India stood at RO 13.187 million by the end of last September. Crucially, India’s direct investment in Oman reached a substantial RO 268.4 million by the end of the second quarter of the current year. Though Omani direct investment in India is currently lower, at about RO 5.5 million by the end of 2024, the presence of 61 Indian-invested establishments in Oman by 2024 shows clear confidence in the Omani market.
As a mark of special friendship and recognition of Oman's pivotal regional role, India extended an invitation to the Sultanate of Oman to participate in the G20 Summit and meetings as a guest country during India's Presidency in 2023. Oman was represented at the highest level by HH Sayyid Asaad bin Tarik al Said, Deputy Prime Minister for International Relations and Cooperation Affairs, Personal Representative of His Majesty the Sultan, at the 2023 Summit. The Oman-India partnership is comprehensive and multifaceted. It is built on a bedrock of history, fortified by defence cooperation, and propelled by a shared economic vision for the future.
Oman Observer is now on the WhatsApp channel. Click here
