Muscat, Oman – India and Oman trade in 2022 reached $9.98 billion reflecting the deepening economic and commercial ties between the two nations.
The nearly 90 percent growth in trade compared to the previous year highlights the strong demand for Indian goods and services in Oman, coupled with growing investment flows between the two countries.
The bilateral trade growth has been fuelled by over 6,000 India-Oman joint ventures in Oman, accounting for an investment of over $7.5 billion. The establishment of the Oman-India Joint Investment Fund (OIJIF) in 2010, a collaboration between the State Bank of India and the State General Reserve Fund (SGRF) of Oman, has further facilitated investment.
The tourism sector has also witnessed significant growth, with over 1 million Indian tourists visiting Oman in 2021, a number that is expected to continue rising in the future.
The relationship between India and Oman extends across various sectors, including health, tourism, military cooperation, agriculture, civil aviation, and maritime issues.
Defense cooperation, in particular, has emerged as a key pillar, with Oman being India’s closest defense partner in the Gulf region. This close partnership was exemplified by the successful joint military exercise Al Najah IV, which took place in Rajasthan for 13 days in August 2022.
Energy cooperation has also become a focal point, with the two nations collaborating on the development of new energy projects, including a joint venture for a solar power plant in Oman. Oman, as a significant supplier of oil and gas to India, is exploring avenues to enhance energy cooperation further.
Efforts to strengthen cultural and educational ties have further strengthened the longstanding ties between India and Oman.The Indian government has established a Chair in Indian Studies at the Sultan Qaboos University in Muscat.
Cooperation in space sector
The chairman of the Indian Space Research Organization (ISRO), S Somanath, visited the Sultan Qaboos University (SQU) in Muscat on Friday to bolster bilateral cooperation in the space sector.
This visit aligns with the 2018 Memorandum of Understanding (MoU) on Cooperation in the Peaceful Uses of Outer Space between India and Oman.
India and Oman’s bilateral relations have evolved into a strategic partnership since 2008. The establishment of official diplomatic ties in 1955 has paved the way for robust people-to-people contact and frequent high-level visits. The notable visits, including Indian Prime Minister Narendra Modi’s visit in 2018.