MUSCAT, SEPT 16
Companies wishing to take advantage of the FTA between the Sultanate of Oman and the US and of the CEPA between Oman and India could set up genuine value-added manufacturing and processing facilities in Oman and then use the country as a strategic gateway to the vast US market, according to Rebecca Olson, CEO of AmCham Oman, the erstwhile Oman American Business Council.
Speaking to the Observer on the sidelines of an INMECC Oman Chapter session titled “Oman: The Bridge Between India and America” in Muscat, she pointed out that Oman is the only GCC country that benefits from both the India–Oman Comprehensive Economic Partnership Agreement (CEPA) and the US–Oman Free Trade Agreement (FTA).
“Oman can act as a ‘bridge’ as Indian firms manufacture/ value-add in Oman under CEPA benefits, then export duty-free to the US under the US-Oman FTA, provided they meet origin rules. A plethora of advantages in Oman’s special economic zones and free zones at Sohar, Duqm and Salalah such as foreign ownership, customs benefits, tax incentives and logistics will be available to those who do business,” said Olson who is tasked with improving trade and bilateral relations, and with helping companies seize opportunities from the US-Oman FTA.
She listed sectors with opportunities, such as solar energy, metals, plastics, fertilisers, food processing, pharmaceuticals, textiles, fisheries and light manufacturing.
“Duty-free access under the US–Oman FTA requires genuine manufacturing or substantial value addition in Oman, with rules of origin strictly followed,” she advised investors to evaluate product eligibility, landed costs, location advantages and compliance before setting up.
She described the US-Oman FTA “one of only four such agreements in the entire MENA region” and assured that AmCham would support businesses with market-entry guidance, export-readiness assessments, buyer introductions, certification help and access to US business networks.
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