Oman continues to strengthen its economic ties through the Arab free trade framework. The Greater Arab Free Trade Area (GAFTA) facilitates trade among Arab countries and supports sustainable economic development.
GAFTA, approved by the League of Arab States in 1978, gradually entered into force from 1998. The agreement aims to establish a unified Arab trade zone by eliminating customs duties and non-tariff restrictions on goods exchanged between member states.
The agreement applies to nearly all agricultural and industrial goods, promoting smoother trade flows across the region. Additionally, it focuses on removing administrative, financial, technical, quantitative, and qualitative barriers that hinder commerce.
GAFTA also grants preferential treatment to Arab products while protecting them from competition with non-Arab goods. This approach encourages local industries to expand production and enhances competitiveness in regional markets.
Oman joined the agreement in 1997 by Royal Decree. Since then, the country has worked to meet the requirements of both regional and international trade agreements. This effort enhances Oman’s economic presence and supports its long-term development goals.
The Ministry of Economy highlighted that GAFTA represents a pillar of joint Arab economic action. It contributes to economic integration, facilitates the free flow of goods, and strengthens cooperation among Arab nations.
Trade volume between Oman and other Arab countries has grown approximately 68.5 percent since 2019. The increase demonstrates the agreement’s effectiveness in expanding markets and supporting Omani exporters.
Experts note that GAFTA encourages private sector growth by providing predictable and transparent trading conditions. Moreover, it supports sustainable development by fostering economic diversification and regional collaboration.
Looking forward, Oman aims to further leverage the agreement to attract investment and increase its share of regional trade. Continued compliance with GAFTA provisions will reinforce Oman’s position as a competitive and reliable trading partner in the Arab world.
Overall, Arab free trade initiatives like GAFTA play a critical role in strengthening Oman’s economic ties, expanding trade opportunities, and contributing to long-term regional development.
