India-Oman Free Trade Pact Comes Into Force — What It Means for Surat Lace Exports

On June 1, 2026, the India-Oman Comprehensive Economic Partnership Agreement (CEPA) officially came into force, opening a new chapter for Indian textile exports. The Southern India Mills' Association (SIMA) has hailed the agreement as a significant boost for the textile sector — and Surat's lace manufacturers are positioned to benefit directly.

What the India-Oman CEPA Means for Textiles

The CEPA eliminates customs duties on a wide range of Indian textile products entering Oman. Key categories that benefit include:

Embroidery and lace products: Duty-free access for lace, borders, trims, and embroidered fabrics
Man-made fibre textiles: Surat's core strength — polyester, nylon, and blended fabrics
Made-up textile articles: Finished garments with lace embellishments
Handloom and handicraft textiles: Including traditional crochet and handcrafted lace

For Surat lace manufacturers, this means jari lace, crochet lace, cotton lace, and designer lace borders exported to Oman are now duty-free. The previous tariff rates ranged from 5% to 12.5%, making Indian lace less competitive against Turkish and Chinese alternatives in the Omani market.

Oman as a Gateway to the Gulf

Oman is strategically positioned as a re-export hub for the entire Gulf Cooperation Council (GCC) region. Textile goods entering Oman often flow onward to the UAE, Saudi Arabia, Qatar, Kuwait, and Bahrain. With duty-free access to Oman, Surat lace manufacturers gain a cost advantage across the Gulf's lucrative wedding, hospitality, and fashion markets.

The Gulf region has a massive appetite for Indian lace. Bridal wear in the Middle East — from embellished abayas to designer kaftans — uses extensive lace borders and trims. The UAE alone imports over $200 million worth of textile embellishments annually. The India-Oman CEPA makes Surat-sourced lace more competitive for every buyer in this region.

The Surat Advantage

Surat already produces some of the finest lace in India. The city's lace manufacturing ecosystem — from yarn sourcing on Ring Road to finishing units in Pandesara — supports rapid order fulfilment at competitive prices. With the CEPA removing tariff barriers, Surat lace exporters can now offer:

Lower landed costs for Omani buyers: duty-free pricing makes Surat lace cheaper than alternatives from China and Turkey
Faster shipping: Gujarat's coastline proximity to Oman means sea freight from Mundra or Hazira reaches Muscat in 3-4 days
Design flexibility: Surat's design ecosystem adapts quickly to Gulf market preferences — metallic jari, pearl work, and bold floral motifs

What Buyers Should Do Now

If you're a garment manufacturer or fabric wholesaler exporting to Gulf markets, now is the time to review your lace sourcing. With duty-free access, Surat lace becomes your most cost-effective option for the GCC region.

At Paras Lace, we've been exporting lace to Middle Eastern markets for years. We understand Gulf buyer preferences — the preference for heavier jari work, the colour palettes that sell, and the quality standards expected. The India-Oman CEPA simply makes our offering better value.

Exporting lace to Gulf markets? Call Paras Lace at +91 87502 69626. Jari lace, crochet lace, cotton lace, polyester lace, and designer borders — manufactured in Surat, Gujarat since 1990. Duty-free exports to Oman under the new India-Oman CEPA.