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India Shields Farmers, MSMEs in Oman Trade Deal
18 Dec, 2025
Summary
- India excluded dairy, gold, and footwear from duty concessions with Oman.
- Sensitive products were kept in exclusion categories to safeguard domestic interests.
- Tariff-rate quotas offered for goods like dates and petrochemicals.
India has strategically protected its domestic farmers and Micro, Small, and Medium Enterprises (MSMEs) by withholding duty concessions on several key sectors in its recently signed trade agreement with Oman. Agricultural products, including dairy, tea, and coffee, alongside valuable items like gold and silver, along with labor-intensive goods such as footwear and sports goods, are among those excluded from preferential tariff treatment.
This deliberate exclusion of sensitive products underscores India's commitment to safeguarding its internal markets and local producers. For goods that are of export interest to Oman but pose sensitivity to India, a tariff-rate quota (TRQ) mechanism has been employed. This approach allows for duty concessions up to a defined import quota, after which standard import duties will apply.
Under the TRQ, items such as dates, marbles, and petrochemical products will benefit from phased tariff liberalization. Notably, Oman has granted Indian firms access to import marble blocks, an item previously banned for export in the Gulf nation. The agreement also specifies an annual quota of 2,000 tonnes for duty-free dates.
