The concept of industrialization back in the 18th century has provoked many countries to establish themselves as an industrial hub. Industries in any domain play a very important role for a nation to build-up the foreign investments and attract millions of investors. Oman, the Sultanate of the Arabian Peninsula, has also stood as an industrial hub. Apart from the mainland and free zones that it embraces, the Omani government has built a gateway for the Middle-East countries to identify and rely upon Oman as an industrial centre. If you are a business investor and are planning to set up a manufacturing business or to invest in Oman industries, you can count on the Oman Industrial Park. This article will take you through the necessary details that you should know before investing in Oman.
Oman as an Industrial Hub
As we all know that Oman is a famous tourist spot, the concept of grabbing foreign investors became more concrete when a plan was made to uplift the industrial sector in the 1970s. As a result, multiple industrial estates were built that focuses on different manufacturing units. Setting up a business in these zones have been made much easier. Let’s have a look at the different industrial estates.
1. Rusayl Industrial Estate
Established in 1983, the estate is situated at a distance of 45 km, from Muscat, and covers an area of 7.9 Million square meters. Starting from 12 factories, the estate has built itself to a count of 259 factories today. Industries covered include chemicals, batteries, electrical and machine building, fiber optic cables, foodstuff, textiles, garments, stationery, paints, etc.
Inaugurated in the year 1992, the estate is located in the mid-way of Muscat and Dubai and covers an area of 21,674,348 sq.km. The estate is a home to 319 businesses at present that covers industries like marble, paper recycling, foodstuff, detergents, furniture, leather, toothpaste, beverages, ice-cream, glass, steel bars, engine oil, etc.
3. Raysut Industrial Estate
Located at Oman’s southern region, Dhofar, the Raysut industrial estate covers an area of 3,810,479 sq.km. that includes warehouse facilities of 30 hectares. The area serves as a home to 194 industries and has been divided into different units ranging from 1,350 to 11,000 sqm. As it has seen a remarkable growth in the number of industries, it also plans to establish a free zone. Industries covered include fish processing, frozen non-veg items, PVC pipes, fabrication, solar heaters, vegetable oil, box files, ice, etc.
4. Sur Industrial Estate
Established in the year 1999, this estate is situated at a distance of 300 km, from Muscat, and also holds a deep-water harbor. Major tenants include Oman LNG, Oman India Fertilizer Company (OMIFCO). At present, it serves as a home to 109 businesses that include liquefied natural gas, urea, ammonia, ready-mix concrete, marble, wooden furniture, etc.
5. Nizwa Industrial Estate
Built in 1994, this estate plays a vital role in setting up industries that involve manufacturing of ceramics, medical products, tea packaging, oil services, water tanks etc. Currently, it turns out to be a home for 96 businesses and covers an area of 3.9 million sq. m.
6. Buraimi Industrial Estate
It occupies an area of 5.5 million sq. mt and is situated at a strategic location on the border of the UAE. Established in the year 1998, it serves as a home to more than 330 business entities and includes the industries engaged in furniture, cement, fiberglass, food industries, workshops, electrical industries, etc.
7. Al-Manuzah Industrial Estate
This estate borders with Yemen, and provides the flexibility to the Yemeni workers to work without a visa. It serves as a home to trading and warehousing facilities.
8. Smail Industrial Estate
Covers an area of 7.4 million sq. m, and is situated at a distance of 45km from Muscat International Airport and holds 190+ businesses.
9. Knowledge Oasis Muscat (KOM)
Opened in 2003, KOM serves as Oman’s flagship technology park. It is committed to creating an environment and a platform that uplifts the start-ups and SMEs. At present, it holds 194 business entities on its premises.
Vision 2020 and Its Objectives for the Manufacturing Sector
In order to bring a transformational change and diversify Oman’s economy, Oman’s government has taken a step forward stated as ‘Vision 2020’. The vision holds certain objectives for the manufacturing sector:
- Managing the effects of a strong currency
- Encouraging local and foreign investors in natural gas and its downstream industries
- Facilitating the concentration of export industries and services
- Promoting linkages between productive sectors
- Promoting the development of SMEs
- Completing infrastructure, dealing with information and communication technology
Thus, you have got an overall idea regarding setting up a business in the Oman Industrial Parks. Being an investor, it becomes essential that one should know the benefits that one can avail. Let’s have a look at them.
Benefits of Setting Up a Business in the Oman Industrial Estates
- Strategic and eco-friendly locations
- Cultural ties with Middle-East, Indian Sub-Continent, Africa, Europe, USA
- Availability of land and buildings for different industries
- 100% Foreign Share Capital
- Excellent Telecommunications
- Restaurant and Banking facilities
- Convenience and retail stores
We can say that the Oman Industrial Estates turns out to be the biggest and convenient platform that a manufacturer or an investor can rely upon. Now, to east the process of company formation in Oman, it becomes essential to understand the legal requirements. For this, having a word with one of the business consultants turns out to be the best option. We at Commitbiz help our clients for the same. Our business experts are well-versed with the Omani business framework and will provide tailor-made solutions understanding your requirements. To have a word today, do contact us. We’d be happy to assist.