India-Oman Economic and Commercial 

Relations 

The economic and commercial relations between India and Oman are robust and buoyant. Bilateral trade during FY 2023-24 reached US$ 8.947 billion and and for the FY 2024-25 reached US$ 10.613 billion. Investment flows, both ways, have been robust, as reflected in numerous joint ventures, established both in India and Oman. There are over 6,000 India-Oman joint ventures in Oman with estimated investment of over US$ 776 million. Indian companies have emerged as leading investors in Oman, particularly at Sohar and Salalah Free Zones. The cumulative FDI equity inflow from Oman to India during April 2000 to March 2025 is US$ 605.57 million. 

India-Oman Bilateral Trade 

2. Bilateral trade during the last eight years is as under (values in US$ million): 

3. Oman is India’s 28thlargest trading partner in FY 2024-2025 with total trade of US$ 10.61 billion. Oman is India’s 25thlargest import source for the FY 2024-2025.India is among Oman’s top trading partners. India is the 4thlargest source of Oman’s imports for the year

2025 after China for non oil imports and 3rdlargest market for Oman’s non-oil exports for the year 2025 after Saudi Arabia. 

4. The main items of India’s exports to Oman during the calendar year 2024 were Light oils and preparations; Aluminium oxide other than artificial corundum; Rice; Boilers, machinery and mechanical appliances, parts thereof; Aeroplanes and Other aircraft and spacecraft;  Electrical machinery and equipment and parts thereof; Other beauty / make up preparations;  Plastic and articles thereof; Iron and Steel; Ceramic products, etc. 

5. The main items of India’s imports from Oman during the calendar year 2024 were Petroleum oil crude; Liquified Natural Gas; Urea including fertilizer grade; Organic chemicals; Anhydrous ammonia; Sulphur, Earth and Stone, Plastering Materials, Lime; Plastic in  primary forms; Aeroplanes and other aircraft; Iron ores and concentrates non-agglomerated, etc. 

India-Oman Bilateral Investment 

6. Oman-India Joint Investment Fund (OIJIF) is a 50-50 Joint Venture between the State Bank of India and the erstwhile State General Reserve Fund (which has now become Oman Investment Authority) of Oman. It was set up in July 2010 as a special purpose vehicle (SPV) to invest in India. OIJIF commenced its operations in 2011 with an initial seed capital of US$ 100 million, fully invested across seven Indian companies from diversified sectors. In 2017, OIJIF invested its 2nd tranche of US$ 200 million in projects in India. After successful utilization of funds under tranche I and II, the 3rd OIJIF tranche worth US$ 300 million was announced during the visit of HM Sultan Haitham Bin Tarik to India in December 2023. 

7. Oman India Fertilizer Company (OMIFCO), located at Sur (Oman), is a US$ 969 million joint venture between Oman Oil Company and equal partners IFFCO and KRIBHCO of India. It started operations in January 2006. The plant produces anhydrous ammonia and granular urea. A long term Urea Off-take Agreement (UOTA) was initially signed in 2005 between GOI and OMIFCO under which India imports almost the entire production of 1.6 MTs of granulated urea and 0.255 MTs of ammonia, except small quantities to meet local requirements of Oman. On expiry of the initial UOTA in 2020, a fresh UOTA was finalized and signed in 2022 for offtake of I million tons of urea per year for a period of three years. 

8. Several Indian firms have set up manufacturing units in Oman as joint ventures or in Special Economic Zones in various sectors like green hydrogen, green ammonia, green steel, construction and engineering, waste management, logistics, manufacturing, finance and capital, software solutions, communications, oil and gas etc.