Oman says it's open to diverting OMIFCO fertiliser production share to India

New Delhi: Oman would be happy to consider diverting its share of the production from the Oman India Fertilizer Project (OMIFCO) to India if such a request is made, Advisor for Foreign Trade and International Cooperation at Oman's Ministry of Commerce, Pankaj Khimji, said on Monday.

OMIFCO is a joint venture between IFFCO, KRIBHCO and Oman Investment Authority, which became operational in 2006. For 15 years, all its production was for India. Now Oman sells its share of the output on a trading platform.

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"I'm sure if push comes to shove, Oman would be happy to consider an agreement to focus the manufacturing towards the Indian requirement. But I think the two parties need to approach each other. Usually, I believe you have Ministry of Fertilizer or Agriculture, which both need to approach each other," Khimji told reporters here.

He was virtually addressing a joint press briefing after the India-Oman comprehensive economic partnership agreement came into force.

India imported USD 843 million worth of fertiliser from Oman in 2024-25. The country's total imports of fertiliser, crude and manufactured goods in 2025-26 rose 60.75 percent to USD 16.5 billion.

The US-Iran war and the subsequent closure of the Strait of Hormuz have led to disruptions in supply chains, including for agri sector products, as the West Asia region accounts for nearly half of the country's fertiliser imports and over 60 per cent of its liquefied natural gas requirements.

The conflict and disruption of shipments have impacted domestic urea production, although the government has already secured more than half of the fertiliser requirement for the ongoing kharif season.

On petrochemicals, he said, Oman is competitive in this sector, where India is also manufacturing, but India is still a main importer of the petrochemicals that Oman manufactures.

"We are more than happy to serve that requirement," he said.

On LPG, he said that if the whole region manufactures LPG, it will not be enough for the Indian population.

"So whatever little LPG that we do manufacture, we are more than happy to route it towards (India)... the price mechanism, the purchase mechanism needs to be agreed between both sides. But I'm sure things can be worked out. We're not against it," he added.

When asked how the trade agreement would help push bilateral trade in energy and petrochemicals, Khimji said Oman is transitioning into a new energy zone, and that is green hydrogen, alternative energy, and for that, it needs solar, electrolysers, and cables.

"So I believe, India is going to be able to play, or has the opportunity to play, a very important role in the new green hydrogen initiative that Oman has taken on," he said, adding that huge opportunities are there for increasing collaboration in the green hydrogen sector.

"We are open to the conventional energy drilling and exploration business. We are open to any foreign institution wanting to come and explore the Omani territory to come and register and comply, and bid. We are a very open thing," he said.

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He added that Oman is looking at India's demand for petrochemicals, LPG, and fertiliser.

"Everything that you consume and are short of, Oman is producing it. So we believe it's a great win-win situation in both energy and resources," he said.

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