India’s exports to West Asia declined 7.2% during the first half of FY2026-27, reflecting disruptions to regional trade routes and weaker shipments of key commodities. However, exports to Oman and Jordan bucked the broader trend, registering strong growth during April–September 2026.
According to the latest data from the Commerce Department, exports to Oman increased 45% to $3.2 billion, while shipments to Jordan surged 2.4 times to $1.2 billion.
The India-Oman free trade agreement and Oman’s growing importance as an alternative trade gateway after disruptions to shipping through the Strait of Hormuz have supported Oman’s growth.
The agreement has boosted Indian shipments of ships and boats, processed minerals, chemicals, basmati rice, and iron and steel. With maritime traffic through the Strait of Hormuz disrupted, Oman’s ports have also gained importance as gateways for cargo moving towards the UAE and other Gulf markets.
Jordan Records Exceptional Growth in Indian Imports
Jordan emerged as an unexpected growth destination, with four major product categories contributing $592.7 million, or around 85%, of the nearly $700 million increase in India’s exports to the country during the first half of the financial year, according to the Global Trade Research Initiative (GTRI).
Petroleum product exports nearly trebled from $110.3 million to $327.3 million. Rice shipments, largely basmati, increased sharply from $47.6 million to $253.5 million. Buffalo meat exports rose from $48.8 million to $192.4 million, while pharmaceutical exports increased from $13.5 million to $39.7 million.
The Federation of Indian Export Organisations (FIEO) said India’s position in Jordan’s fuel market has strengthened amid rising demand, with the country supplying approximately 9,000 barrels per day. Saudi Arabia, however, remains Jordan’s dominant fuel supplier.
FIEO noted that Jordan could increasingly serve a dual role for Indian exporters, both as a growing destination market and as a potential gateway to other markets across West Asia and North Africa. The sharp rise in buffalo meat and pharmaceutical exports may also indicate growing regional distribution and possible re-export activity.
Petroleum and Jewellery Shipments Face Pressure
Despite the gains in Oman and Jordan, India’s exports to the wider Gulf region have faced pressure in several major product categories.
Petrol and diesel shipments to the GCC and other West Asian countries are estimated to have declined 27% to $3.5 billion during April–September. Exports of gold and other jewellery to the Gulf trading bloc fell 8.6% to $3.2 billion.
Mobile phone exports have also recorded a decline, while ships and boats and basmati rice have emerged among the stronger-performing export categories.
The contrasting performance across West Asian markets highlights the changing dynamics of India’s regional trade, with geopolitical disruptions, alternative shipping routes, trade agreements and shifting demand patterns influencing export flows.
Oman’s emergence as an alternative logistics gateway and Jordan’s growing importance as a destination for Indian petroleum, agricultural and pharmaceutical products could provide new opportunities for exporters as regional trade networks adjust to continuing maritime disruptions.
