India–Oman CEPA Creates New Opportunities for Polymer Imports into India

PolyMart Market Insights | 17 July 2026 India has taken another step toward expanding global trade by operationalizing the Tariff Rate Quota (TRQ) mechanism under the India–Oman Comprehensive Economic Partnership Agreement (CEPA). The development is expected to gradually improve sourcing opportunities for several polymer products while offering eligible importers access to reduced customs duties within specified quota limits. The agreement covers a wide range of polymers including Polyethylene (PE), Polypropylene (PP), PVC, CPVC, ABS, Polystyrene (PS), PET, Polyurethane (PU) and other related polymer products. Key Highlights Duty Benefits Under TRQ Eligible imports from Oman will receive phased customs duty reductions over five years. PE & PP: Basic Customs Duty reduced from 7.5% to 3.75% PVC & CPVC: Basic Customs Duty reduced from 10% to 5% Including the Social Welfare Surcharge, the effective customs duty for PE & PP could reduce from approximately 8.25% to 4.125%. Annual Import Quotas To ensure controlled market access, imports will be permitted under annual Tariff Rate Quotas: Polyethylene (PE): Up to 150,000 MT per year Polypropylene (PP): Up to 75,000 MT per year Both quotas will be phased in over seven years. Potential Cost Advantage For eligible PE and PP imports, the reduction in customs duty could significantly lower landed costs over time. For an indicative assessable value of ₹90/kg: Current duty (including SWS): ~₹7.43/kg Reduced duty after full implementation: ~₹3.71/kg Potential saving: ~₹3.72/kg Actual savings will depend on freight rates, exchange rates, logistics expenses, finance costs, and applicable concession schedules. PolyMart's Perspective The CEPA is expected to create a more competitive import environment by: Increasing sourcing options for Indian buyers. Improving competition among international suppliers. Supporting polymer processors with additional procurement choices. Potentially influencing domestic price premiums depending on market conditions and Omani supply availability. PolyMart — Procure with Purpose📝 DisclaimerThis article is published by PolyMart Pvt. Ltd. for informational purposes only. All regulatory actions are subject to updates from the Government of India.