Al Mazunah Free Zone sees growth in cargo movement, attracts 8 new projects

Times of Oman

6 days ago

Salalah: The total investment volume in Al Mazunah Free Zone in Dhofar Governorate has reached OMR140.17 million. This follows the attraction of eight diverse projects valued at OMR165,000 over the past period, which will span an area estimated at 5,405.88 square metres.
Eng. Ahmed Khamis Al Kasbi, Director General of Al Mazunah Free Zone, told Oman News Agency (ONA) that 172 lease contracts have been signed in the zone, distributed across industrial, service, and commercial activities. The zone's management is actively seeking to attract investments in the industrial sector to ensure the sustainability of investment movement.
He clarified that the zone is currently finalizing preparations for the operation of the animal quarantine facility in cooperation with the Ministry of Agriculture, Fisheries, and Water Resources, with trial operations expected to begin in the third quarter of 2025. Simultaneously, 70% of the water desalination plant project has been completed, with full operation anticipated in the fourth quarter of this year, aiming to enhance the zone's infrastructure.
Al Kasbi noted that during the first half of 2025 (January to June), the free zone received over 137,000 tons of various goods, marking an approximately 21 percent increase compared to the same period last year, which saw over 113,000 tonnes. Concurrently, the number of vehicles entering and exiting the free zone surged by 31%, reaching 2,921 vehicles, up from 2,223 last year.
He added that the zone has issued a tender announcement for a duty-free market management and operation project to specialised companies. This initiative aims to activate direct sales and provide services for travelers crossing the border between the Sultanate of Oman and the Republic of Yemen.
It is noteworthy that Oman is striving to enhance the competitiveness of its free zones at the regional level and attract more local and international investment. This is to stimulate economic growth, expand the productive base, deepen investment in sectors with global added value, strengthen the contribution of non-oil sectors to the GDP, and affirm Oman Vision 2040's economic objectives.
Al Mazunah Free Zone, the first free zone in Oman, is located in the far southwest of the country. It serves as the Gulf gateway for transit trade to East African countries via Yemen. The Wilayat of Al Mazunah is recognised for its economic growth, positioning it among the promising wilayats in Oman's development and progress across various sectors.