[ad_1]

INDIA-OMAN RELATIONS

WHY IN NEWS ?

  • Recently, Sultan Haitham bin Tarik of Oman concluded a highly successful visit to India.

MORE ABOUT THE NEWS:

  • This official visit by Sultan of Oman was his first and he was accompanied by a high-level delegation of senior ministers and officials.
  • The official visit to India was the first ever by any Omani Sultan in 26 years.
  • On the sidelines of state visit, Union commerce minister and his Oman counterpart Qais Bin Mohammed Al Yousef also discussed bilateral trade, investment and the possibility of rupee trade between the two countries.

OUTCOMES OF THE VISIT:

  • India-Oman Joint Vision : It is a “Partnership for Future” by the Sultan and the Prime Minister.
  • The vision is a roadmap for bilateral engagement in the future, based on Oman Vision 2040 (a blueprint for development) and India’s vision of “Amrit Kaal” in 2047.
  • It focuses on nurturing partnership between India and Oman in many areas:
  1. maritime cooperation and connectivity
  2. energy security and green energy
  3. digital payments
  4. health, tourism
  5. hospitality-related partnership
  6. disaster management
  7. agriculture and food security
  8. Cricket
  • An agreement between India’s Financial Intelligence Unit and Oman’s National Center for Financial Information to enhance collaboration in exchanging intelligence dealing with money laundering, associated predicate offenses, and terror financing.
  • Another one including Oman Investment Authority expanding its collaboration with the SBI by launching the third Omani-Indian Joint Fund amounting to $300 million.
  • The Omani-Indian Joint Fund is expected to boost the investments into rapidly growing sectors in India, including technology, health, and pharmacy.
  • This fund is also testimony to the success of the first two funds of value of $100 million and $230 million respectively.
  • Another significance of visit was the commitment by both sides to accelerate the process of securing a Comprehensive Economic Partnership Agreement (CEPA) between India and Oman.
  • The signing of CEPA can boost over 83.5 per cent of Indian goods worth $3.7 billion, which includes products such as gasoline, iron and steel, electronics, and machinery in Oman, where they currently face a 5% import duty.

IMPORTANCE OF OMAN TO INDIA:

  • Oman is a crucial pillar of India’s West Asia Policy and its oldest regional strategic partner.
  • The Oman’s strategic geographical location makes it a natural bridge between the Arab world and Iran.
  • Oman serves as a bridge between the Shia and the Sunni world, responsible for its independent foreign policy and its role as an intermediary.
  • The role of Oman in facilitating US-Iran talks led to the nuclear deal stands out the most coveted achievement in the list.
  • Oman is a part of India’s extended neighborhood.
  • It is India’s closest defence partner in the Gulf.
  • Tri-service military exercises are conducted by both countries regularly. Omani military personnel are training in India since 2018.
  • Strategically, Oman has given India access to its port, Port Duqm, for military and logistical use.

  • The access to Duqm port is significant not only given the current escalation in the region but also with China’s forays in the Indian Ocean.
  • Economically, India is among Oman’s top trading partners. India is the 2nd largest market after China for Oman’s crude oil exports for the year 2022.
  • At UNSC, Oman has been supportive of India’s bid for permanent membership of the security council.
  • MORE ABOUT INDIA-OMAN RELATIONSHIP:
  • India and Oman share a longstanding history of friendship and cooperation.
  • The bilateral trade and investment proved as an important pillar of relationship between them.
  • Both countries established the diplomatic relations in 1955, which later upgraded to a strategic partnership in 2008.

  • The current bilateral trade between the two countries stood at $12.39 billion in 2022-23, rising from $9.99 billion in 2021-22.
  • In 2022, both countries conducted a 13 day joint military exercise Al Najah IV in Rajasthan.
  • The Indian diaspora accounts to 673,789 Indians in Oman including 5,68,314 work visa holders. There are few Indian families living in Oman for more than 150-200 years.
  • The role played by the Indian expatriate community in building Oman is often acknowledged by Omani Government.

WAY FORWARD:

  • The proximity of India with Oman is not just geographical, but it reflects in our thousands of years old trade and cultural links. This also reflects the way we always give first priority to each other.
  • The signing of CEPA would not only ensure strengthening of the lost economic cooperation between the two countries but will also help in consolidating the bilateral partnership between both countries.

The post INDIA-OMAN RELATIONS appeared first on Vajirao IAS.

[ad_2]

Source link

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *