Industry
From The Report: Oman 2018
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Growth in Oman’s industrial and retail sectors has been affected by both commodity prices and weaker consumer sentiment, which have lowered spending and forced some companies in heavy industry to delay investment programmes. However, the impact of the costs borne by the sultanate’s manufacturers was offset somewhat in 2017 by the rise in exports to Qatar following the blockade of that country’s trade. The government is investing heavily in combatting hydrocarbons dependence and facilitating the development of a more diversified economic base. Manufacturing has been prioritised as one of the pillars of this strategy under the Tanfeedh programme for national economic diversification.

Articles from this Chapter

Overview

Focus of attention: Economic diversification drive supports sector growth
OBG
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Growth in Oman’s industrial and retail sectors has been affected by reduced global oil prices and weaker consumer sentiment, denting spending and forcing some companies in heavy industry to defer growth and investment programmes. However, the impact of the costs borne by the sultanate’s manufacturers was offset somewhat in 2017 by the rise in exports to Qatar following the blockade of that country’s trade with the Saudi-led bloc of the GCC. The government is also investing heavily…

Analysis

Free and easy: A range of incentives are available at special economic zones
OBG
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To encourage industrial investment in Oman, the government has established special economic zones where investors enjoy tax exemptions, trade facilitation, and competitive advantages on imports and Customs duties. There are four such free trade zones – Al Mazunah, Sohar, Salalah and Duqm – each at different stages of development, and all designed for foreign companies to leverage Oman’s position as a regional manufacturing and distribution base. Of the four, Al Mazunah and Salalah…