• UGI USER
  • Feb 23, 2024
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LEGAL SCRUBBING OF INDIA-OMAN FREE TRADE PACT UNDERWAY

Why in the news?

The progress of the India-Oman Free Trade Agreement (FTA) negotiations and its potential impact on trade relations between the two countries.

source:IE

FTA Benefits and Economic Impact:

  • FTA aims to diversify Oman’s economy beyond oil and gas while providing market access to Indian products.
  • Bilateral investment treaty (BIT) recently completed with UAE, furthering economic integration.
  • India-Oman CEPA offers import duty reductions, strengthening strategic ties in the West Asia region.
What is FTA ?

A Free Trade Agreement (FTA) is a pact between countries or regional blocs aimed at diminishing or removing trade barriers through mutual negotiations to promote trade.

●   FTAs oppose trade protectionism or economic isolationism, advocating for the principles of free trade and open markets.

●    They are classified into types such as : Preferential Trade Agreement, Comprehensive Economic Cooperation Agreement (CECA), and Comprehensive Economic Partnership Agreement (CEPA).