Interview: Ali bin Masoud Al Sunaidy
What are the priorities for industrial development, and how are they reflected in economic zones?
ALI BIN MASOUD AL SUNAIDY: OPAZ policies are aligned with Oman’s industrial strategy, which focuses on sectoral clustering – grouping complementary industries in dedicated zones to deepen value chains and boost economic resilience. This approach builds on existing strengths and guides future development through targeted planning. For example, in Sohar Free Zone, a manufacturing cluster focused on polysilicon production and downstream solar-related industries is emerging.
Salalah Free Zone and Raysut Industrial City are forming a cluster of medical industries, leveraging their access to raw materials, supply and global markets through the Port of Salalah. The master plan of the Special Economic Zone at Duqm (SEZAD) is already under way, and the existing infrastructure makes it possible to harness the energy required to launch a cluster of green hydrogen and renewables-related industries.
How is infrastructure investment adapting and evolving to support this strategic shift?
AL SUNAIDY: Infrastructure development is becoming more deliberately aligned with sector priorities. Investment is being directed towards enabling clusters, ensuring that physical, logistical and utility infrastructure contribute to supporting the specific needs of each zone’s focus sectors. In Khazaen Economic City, for instance, we are witnessing a clustering of food-related industries, driven by public and private investment in infrastructure, including substantial investment in Silal Fruits and Vegetable Central Market in Khazaen.
Public investment in the fishing port at SEZAD has already supported the development of a fisheries cluster, including infrastructure for canning and the production of fish oil, fish meal and organic fertilizers. Design is under way to integrate that with cold chain logistics – reflecting the government’s interest in maximising value in fisheries and food processing.
In what ways do partnerships with government ministries help to enable the development of clusters?
AL SUNAIDY: OPAZ works in close coordination with government ministries and related agencies. To name a few, the clusters of plastics and polysilicon is in close collaboration with the Ministry of Commerce, Industry and Investment Promotion, including OQ Group and the Oman Investment Authority, and more specifically, with Invest Oman and the Nazdaher programme. The hydrogen cluster is closely coordinated with the Ministry of Energy and Minerals, including the government-owned Hydrogen Oman. The fish and food cluster is coordinated with both the Ministry of Economy and the Ministry of Agriculture, Fisheries and Water Resources. There are also other clusters under study or design.
To what extent is this evolving strategy shaping the five-year outlook for industrial zones?
AL SUNAIDY: As we are approaching the end of the current five-year plan, the zones under OPAZ saw OR21bn ($54.6bn) of total investment by 2024, with a combined growth rate of 10%. The zones contributed 7.5% of GDP – according to 2022 figures – and exports of OR4.5bn ($11.7bn) worth of goods. Economic zones and industrial cities are increasingly being defined, not just by location, but by sectoral identity – whether in green energy, logistics, minerals or pharmaceuticals. Next, there are plans for a downstream aluminium manufacturing centre close to Sohar Aluminium Company.
In Shaleem, plans are advancing for a mineral-focused economic zone, including developing infrastructure to support bulk exports by sea. This reflects a vision of aligning natural resource development with industrial processing. This trend is mirrored in SEZAD, where green hydrogen and ammonia production is cultivating a new industrial identity focused on clean energy. Here, the emphasis is on large-scale production, with the objective of developing a robust supply chain that could include windmill assembly and blade manufacturing.
