New Delhi, Dec 18 (PTI) Oman has offered to ease norms for Indian companies operating in the Gulf country under the bilateral trade pact signed on Thursday, allowing them to employ up to 50 per cent of their total staff from their India office.

The provision is part of the Comprehensive Economic Partnership Agreement (CEPA) signed by Commerce and Industry Minister Piyush Goyal and Oman’s Minister of Commerce, Industry and Investment Promotion Qais bin Mohammed Al Yousef in Muscat.

It was inked in the presence of Prime Minister Narendra Modi and Sultan of Oman Haitham Bin Tarik. The deal is likely to be implemented by the first quarter of 2026.

The Commerce Ministry said that a major highlight of the CEPA is the enhanced mobility framework for Indian professionals.

"For the first time, Oman has offered wide-ranging commitments under Mode 4 (movement of professionals), including a notable increase in the quota for Intra-Corporate Transferees from 20 per cent to 50 per cent, together with a longer permitted duration of stay for contractual service suppliers, extended from the existing 90 days to two years, with the possibility of a further two-year extension," it said.

In the services segment of the pact, Oman has offered to ease norms in 127 sub-sectors.

The Gulf country has extended commitments across a broad spectrum of sectors, including computer-related services, business and professional services, audio-visual, R&D, education and health services.

Computer-related services include development, maintenance and management of computers, software and IT systems.

Similarly, professional services include accounting, taxation, architectural, engineering, urban planning, medical, dental, veterinary, nursing and midwifery services.

"These commitments are expected to unlock significant new opportunities for Indian service providers, promote high-value job creation, and support expanding commercial engagement between the two countries," the commerce ministry said.

Oman's global services imports stood at USD 12.52 billion. India's share in this is just 5.31 per cent.

The data indicates significant untapped potential for Indian service providers in Oman.

An official said that the pact agreed that if Oman offers more liberal terms to any other SAARC countries regarding their Omanisation policy, similar concessions will have to be extended to India as well.

Under the Omanisation policy, the Gulf country seeks to boost the employment of its citizens in the private sector. The policy mandates companies to meet specific quotas for hiring Omani nationals. These quotas vary by sector and are periodically revised.

South Asian Association for Regional Cooperation (SAARC) members are Afghanistan, Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan, and Sri Lanka.

The CEPA, it said, further provides for 100 per cent foreign direct investment by Indian companies in major services sectors in Oman through commercial presence.

It will help India's services industry to expand operations in that region.

In addition, both sides have agreed to hold future discussions on the social security agreement once Oman's contributory social security system is implemented.

Bilateral social security agreements protect the interests of Indian professionals and skilled workers working abroad by providing certain benefits.

In 2024, India's services exports stood at USD 665 million, while imports were USD 198 million. PTI RR CS MR

Trade pact increases intra company transfer quota to 50% and extends permitted stays for contractual service suppliers. The CEPA increases the quota for Intra-Corporate Transferees from 20% to 50% and lengthens permitted stays for contractual service suppliers from 90 days to two years with a possible further two year extension under Mode 4, extends liberalisation across 127 services sub sectors including computer and professional services, provides for 100% foreign direct investment by Indian companies in major services sectors through commercial presence, and contemplates future negotiation of a bilateral social security agreement; it also requires parity if more liberal nationalisation terms are given to other South Asian countries.