
Oman-UAE railway project advances with key agreements signed
Muscat – In a major development towards enhancing regional logistics and trade, Hafeet Rail has signed a few key agreements to advance the Oman-UAE railway project.
On Thursday, the company announced a long-term commercial partnership with EMSTEEL, alongside awarding construction contracts to different international firms, marking a crucial step in building a world-class rail network connecting the two nations.
Hafeet Rail signed a 'Heads of Terms Agreement' with EMSTEEL, one of the region's largest steel and building materials manufacturers, to facilitate the transportation of limestone and red shale from Oman to the UAE. Under this agreement, the railway will handle an annual freight volume of 4.2mn tonnes over a 15-year term, ensuring a seamless supply chain for critical raw materials.
'This agreement is a significant step forward for EMSTEEL as it ensures a reliable and sustainable supply chain for our cement unit,' said Eng Saeed Ghumran al Remeithi, Group CEO of EMSTEEL.
The project aligns with Oman Vision 2040 and the UAE's Operation 300bn initiative, supporting sustainable economic growth and reinforcing the region's position as a trade and logistics hub.
Ahmed bin Ali al Bulushi – Hafeet Rail's board member and CEO of Asyad Drydock and Infrastructure Services – said that these contracts would enhance the technical and commercial capabilities of the network while reinforcing seamless integration between local industries and regional markets.
'By fortifying cross-border connectivity, we are unlocking unprecedented trade potential and positioning the region as a logistical powerhouse in the global economy.'
To further the project's implementation, Hafeet Rail has awarded construction contracts to Larson & Toubro (L&T) and Power China for the development of key railway facilities in Oman. These state-of-the-art facilities, to be constructed in Buraimi and Suhar, will enhance freight handling for bulk, containerised, and breakbulk cargo, ensuring multimodal connectivity and operational efficiency.
The Suhar facility will also include maintenance provisions for locomotives and wagons, strengthening the railway's long-term reliability.
In addition, China Railway Rolling Stock Corporation (CRRC) has been contracted to supply a fleet of advanced freight wagons designed for multi-modal adaptability.
These wagons will optimise the movement of varied cargo types, enhancing network agility and sustainability.
Ahmed al Musawa al Hashemi, CEO of Hafeet Rail, described the agreements as a transformative step. 'This initiative strengthens the UAE and Oman's positions as key trade and logistics hubs, fostering greater economic diversification, industrial expansion, and cross-border investment.'
By aligning with national economic priorities, he said, Hafeet Rail is building a high-impact transport corridor that is to enhance regional competitiveness and stimulates sustainable growth.
The Oman-UAE railway project is poised to redefine the region's logistics landscape, offering reliable rail-based freight solutions to reduce supply chain risks and support industrial growth. With a focus on economic integration and long-term value creation, the project aims to unlock new trade opportunities and cement the region's standing in global trade corridors.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


Observer
33 minutes ago
- Observer
SPF redefines equity with social changes
Muscat: In line with Oman Vision 2040, which places citizens at the core of development, Social Protection Fund (SPF) is emerging as a pioneering model in building a responsive, inclusive, and transparent welfare system. Far from being a top-down provider of benefits, the Fund engages directly with society to shape its policies and adjust to evolving socio-economic realities. In this exclusive interview, Oman Observer spoke with Malik bin Salim bin Suleiman al Harthy, Director-General of Entitlements at the SPF, who shed light on the Fund's mechanisms for identifying benefit priorities and how public participation translates into more equitable and efficient outcomes. Al Harthy began by emphasising the importance of the Royal Decree No 52/2023, which marked a turning point in Oman's welfare reform. 'The law reflects a shift toward a holistic model of protection, combining social insurance and cash benefits to offer life-cycle coverage,' he said. The executive regulations of the law (R/7/2023) clearly outline eligibility conditions and entitlements, providing the legal basis for a sustainable and inclusive protection system. According to Al Harthy, interaction is not limited to feedback collection. 'We use advanced tools — social media, traditional media, in-person meetings, and field visits — to understand public needs. All this data is methodically analysed to inform our policies.' This participatory approach has already led to tangible results. For instance, the Family Income Support Benefit was introduced for households whose income falls below the legally defined threshold. The application process is streamlined through a digital platform, integrated with national data sources to ensure accurate eligibility assessments. The impact of this engagement is evident in several newly introduced benefits. Malik bin Salim bin Suleiman al Harthy 'The Senior Citizens Benefit was developed after careful demographic study and public input,' Al Harthy said, noting that the benefit now supports over 170,000 individuals. Similarly, the Maternity and Paternity Leave Insurance — a first in Oman and rare in the region — was launched based on international best practices and national studies. 'It's an investment in families. Mothers are entitled to 98 days of paid leave, and fathers to 7 days, which strengthens family bonds and promotes gender equality.' The SPF's commitment to transparency underpins its public credibility. 'We clearly publish the eligibility rules, application procedures, required documents and payment timelines,' said Al Harthy. Beyond administrative clarity, the Fund ensures consistent public communication through outreach events, media appearances, and feedback forums across all governorates. Civil society representatives also sit on the SPF Board of Directors, ensuring community perspectives are embedded in the decision-making process. Unlike traditional systems that review policies every few years, the SPF applies continuous impact evaluation. 'We analyse economic indicators, inflation, household structures and labour market shifts to regularly review and adapt benefit schemes,' Al Harthy explained. This agile model prevents resource misallocation and ensures support reaches those who genuinely need it, even as conditions evolve. 'The International Labour Organization called our pension unification reform a 'model structural transformation' in the region,' said Al Harthy. In 2024, Oman received the ISSA Good Practice Award for Asia and the Pacific, with additional recognition for other projects. Al Harthy closed the conversation with a powerful message: 'We are not merely providing assistance — we are building a modern social contract. Justice is not shaped from offices but forged with people, in the field, by listening and adapting.' With robust legislation, digital tools, and a participatory spirit, Oman's Social Protection Fund is setting a benchmark — not only in the region but globally — for how governments can partner with citizens to achieve inclusive and sustainable development.


Observer
5 hours ago
- Observer
Integrated livestock farming and meat production project launched in Al Suwaiq
MUSCAT: Seeking to contribute to food security goals in North Al Batinah Governorate, Omani entrepreneur Hamood Al Mahrazi has launched an integrated livestock farm and meat production facility in the Wilayat of Al Suwaiq aimed at producing premium-quality meat from a mix of local and international livestock breeds. The venture, which employs advanced farming technologies, is supported by a farm with a capacity of 1,250 head of livestock annually. The facility blends Omani traditions with global expertise to ensure high standards in animal care, hygiene, and meat quality. 'Our project combines Omani authenticity with global expertise,' said Hamood al-Mahrazi, owner of the initiative. 'We rely on the latest technologies to ensure meat quality and safety, contributing to the sustainability of Oman's agricultural sector.' The project is expected to help meet growing domestic demand and reduce reliance on meat imports, aligning with national goals under Oman Vision 2040. 'The expected production capacity will reach 1,250 head annually,' Al-Mahrazi added. 'This reflects our commitment to fulfilling local demand and boosting the supply of high-quality meat.' The farm incorporates modern technologies across all stages of the process, including advanced feeding systems, specialised veterinary care, and state-of-the-art meat processing facilities. The project is part of an ongoing drive by the Ministry of Agriculture, Fisheries and Water Resources aimed at fostering entrepreneurial opportunities for Omanis in the fields of crop and livestock farming and meat production, among other related sectors, across the Sultanate of Oman.


Muscat Daily
6 hours ago
- Muscat Daily
Dialogue session to boost SME involvement in energy, minerals
Muscat – The Authority for Small and Medium Enterprises Development (ASMED) in collaboration with the Ministry of Energy and Minerals will host a dialogue session on June 15, under the theme 'Enhancing Opportunities for Small and Medium Enterprises in the Energy and Minerals Sector'. The session is part of ASMED's ongoing efforts to empower small and medium enterprises and highlight emerging opportunities in strategic sectors. The energy and minerals sector, in particular, is seen as vital to Oman's long-term economic growth and diversification agenda. The event will bring together stakeholders from both the public and private sectors to explore ways to strengthen SME participation in the energy and minerals industries. Discussions will focus on unlocking investment opportunities, addressing key challenges, and formulating policies that foster an enabling business environment for entrepreneurs and SME owners. ASMED stated that the dialogue session will reflect the national direction to enhance SME contribution to the GDP and to create new opportunities for innovative ventures in line with Oman Vision 2040. The vision places strong emphasis on the role of SMEs as engines of sustainable growth and diversification in the sultanate's economy. The authority also noted that the session will support the development of practical solutions and collaborative frameworks that allow SMEs to better access the energy and minerals sector. It aims to enhance competitiveness, strengthen partnerships, and create a more attractive and dynamic business ecosystem for local entrepreneurs. ASMED has invited SME owners and aspiring entrepreneurs from across the sultanate to take part in the session. Registration is open through the following link: