Latest news with #OmaniIndustryDay
Muscat Daily
13-02-2025
- Business
- Muscat Daily
SFZ powers Omani industry boom with OR 4.7 billion investment
Salalah – The 'Made in Salalah Free Zone' exhibition opened in Salalah, shining a spotlight on the Sultanate's booming industrial sector as part of Omani Industry Day celebrations. With a staggering OR 4.7 billion in investments and a soaring 40% annual growth rate, Salalah Free Zone (SFZ) is rapidly transforming into a powerhouse of Omani manufacturing. The exhibition, featuring 32 leading industrial companies in pharmaceuticals, food production, and petrochemicals, showcased cutting-edge innovations and Oman's industrial prowess. Dr Ali bin Mohammed Tabouk, CEO of SFZ, highlighted the zone's pivotal role in catapulting Omani industries onto the global stage. He noted that SFZ now hosts 41 industrial projects spanning over 6.2 million square metres, with the industrial sector driving 60 per cent of total investments. Tabouk also emphasised SFZ's commitment to job creation, with 3,096 individuals directly employed and an Omanisation rate of 34 per cent. He described the Free Zone as a magnet for investors, offering state-of-the-art infrastructure and a highly competitive business environment, positioning Oman as a leading hub for industrial innovation.
Times of Oman
12-02-2025
- Business
- Times of Oman
'Made in Salalah Free Zone' exhibition marks Omani Industry Day
Salalah: An exhibition themed "Made in Salalah Free Zone" was opened in the Wilayat of Salalah on Wednesday in celebration of the Omani Industry Day, which falls on 9 February every year. The exhibition forms part of the efforts of Salalah Free Zone (SFZ) to enhance industrial investments and augment the competitiveness of Omani products. SFZ efforts include the development of advanced infrastructure and a flexible and attractive business environment. The exhibition saw the participation of 32 industrial companies specialized in pharmaceutical, food and petrochemical industries. It showcases the latest products and innovative solutions and embodies the diversity of the Omani industrial sector. The event included specialised workshops in the field of developing industrial skills and raising the standards of quality and productivity. Dr. Ali bin Mohammed Tabouk, CEO of Salalah Free Zone, said that SFZ seeks to empower national industries and boost their ability to expand into regional and global markets by hosting a group of leading Omani companies in the field of production and manufacturing. Tabouk explained that SFZ hosts 41 industrial projects operating on a leased area exceeding 6.2 million square metres. This reflects the expansion of the industrial sector, which constitutes 60 percent of the total investments in the zone, he added. Tabouk pointed out that the total volume of investments in Salalah Free Zone stands at OMR4.7 billion, with a compound annual growth rate of 40 percent over the past five years. He added that about 3,096 employees were directly recruited, with a 9 percent annual growth rate and an Omanisation rate of 34 percent.
Observer
12-02-2025
- Business
- Observer
Unido highlights Oman's key role in energy transition
MUSCAT, FEB 11 The United Nations Industrial Development Organization (Unido) has underlined Oman's significant role in the global energy transition. Speaking at the Omani Industry Day celebrations earlier this week, Gerd Müller, Director General of Unido, shed light on some of the key challenges affecting the world. 'The world is facing emerging challenges that are fundamentally reshaping the future, and we must address them together. One of the major trends shaping our world by 2050 is population growth. Every year, the global population increases by 80 million people, primarily in developing countries. In Africa alone, the population will double from 1.2 billion to 2.5 billion by 2050. This rapid growth, combined with rising living standards and the global fight against hunger, will drive food demand up by 50 per cent over the next three decades,' he shared. The Director General further added: 'Another major trend is climate action and the future of energy, which is particularly relevant to Oman. As a key player in the energy sector, Oman has a vital role to play. By 2050, global energy demand is expected to increase by 70 per cent, and while oil and gas remain important, hydrogen production will become increasingly significant. At the same time, the world is experiencing resource scarcity, and the digital and energy economies of the future will require a vast supply of critical minerals.' According to the Director General, the Sultanate possesses critical minerals crucial for the transition, which also present a huge market opportunity for the country's mining industry, 'Oman possesses many essential critical minerals that are crucial for the green transition, clean energy, electric vehicles, and hydrogen production. These minerals present a tremendous market opportunity for Oman's industry, particularly the mining sector. The extraction of critical minerals in Oman is expected to increase globally by 500 per cent over the next decade. The challenges of climate change and resource scarcity make it clear that the future of industry is rooted in innovation,' he stated. Earlier this week, the UN body announced the signing of a Memorandum of Understanding ( MOU) with the Omani Government to establish a strategic partnership to support Oman's Industrial Strategy 2040. 'The country's economic progress and development are highly impressive, and at Unido, we take pride in supporting the development of Oman's Industrial Strategy 2040. Industrialization is the foundation for development, creating decent jobs and incomes, particularly for the younger generation,' Müller added. Concluding his address, the General Director invited the Sultanate to join Unido's green mining initiative which aims to address stabilising supply chains in the sector. 'Unido launched the Global Alliance for Responsible and Green Mining. Through partnerships, we aim to establish a fair global framework for mining and mineral processing.'
Observer
10-02-2025
- Business
- Observer
Key agreements signed to support Industry 4.0, automation in Oman
MUSCAT, FEB 9 The Sultanate of Oman, represented by the Ministry of Commerce, Industry and Investment Promotion (MoCIIP), celebrated Omani Industry Day, February 9, under the auspices of HH Sayyid Dr Fahd bin Al Julanda al Said, Vice-Chancellor of Sultan Qaboos University in Muscat. The event, themed "Oman at the Heart of Global Supply Chains", was attended by the Minister of Commerce, Industry and Investment Promotion, Qais bin Mohammed al Yousef, along with several dignitaries and business leaders from the industrial sector. The celebration included the signing of three Memorandums of Understanding (MoUs). The first of which was signed with the Singapore International Centre for Industrial Transformation to facilitate Fourth Industrial Revolution (4IR) technologies (Industry 4.0) adoption in factories in Oman. The second was signed with the Gulf Organisation for Industrial Consulting (GOIC) to provide consultancy services to establish the recently inaugurated Advanced Automation Centre, which aims to enhance industrial capabilities and improve production efficiency. And the third was with the United Nations Industrial Development Organisation (Unido) to establish a strategic partnership to support Oman's Industrial Strategy 2040. The Ministry also launched several services and initiatives during the event. Including the launch of the National Product Identity Certificate Service within the "Made in Oman" platform. And the Certified Evaluators Qualification Programme which aims to train evaluators to assess factories' readiness for digital transformation. In addition to the Professional Certification Verification Programme, which aims to serve as a reliable platform to verify academic and professional documents. And the Industrial Sector Enablers Guide, which will act as an identifying guide for opportunities within the sector. Earlier, in his keynote address, Dr Saleh bin Said Masan, Under-Secretary of the Ministry of Commerce, Industry and Investment Promotion for Commerce and Industry, highlighted the significance of the industrial sector in Oman. 'The industrial sector is a fundamental pillar for achieving comprehensive development in the Sultanate of Oman, serving as a key axis that integrates with other economic sectors and intersects harmoniously to drive growth and progress forward. According to the latest data issued by the National Centre for Statistics and Information, the output of the manufacturing sector increased by 8.5 per cent to reach RO 2.686 billion by the end of September 2024 at constant prices, compared to the same period in 2023. Non-oil exports amounted to RO 5.642 billion November 2024.' Dr Masan further added: 'The Global Competitive Industrial Performance Report, issued by the United Nations Industrial Development Organisation (UNIDO), ranks Oman third in the Arab world and 53rd globally, reflecting the acceleration of industrial competitiveness in recent years. Additionally, agreements have been signed for 100 new industrial projects with a total investment of approximately RO 1.5 billion across renewable energy industries, food and medical industries, air-conditioning equipment manufacturing, construction materials, metals and plastics. These investments are spread across various industrial, economic and free zones; and are expected to increase in the coming period through further development and stimulation of the industrial sector. This will enhance its contribution to the gross domestic product (GDP), solidifying Oman's global position as a key manufacturing hub.' The Under-Secretary also highlighted the significant role supply chains play in the sector, stating, 'The stability of supply chains in the industrial sector is one of the fundamental pillars for ensuring the continuity of production processes and achieving operational efficiency. This requires meticulous planning and effective coordination among all stakeholders, from suppliers to end customers. It also involves the ability to anticipate and manage risks effectively, such as demand fluctuations, price volatility and global crises that may affect the flow of raw materials.' He also emphasised the role modern technologies play in improving supply chain resiliency. 'The adoption of modern technologies, such as artificial intelligence and data analytics, plays a crucial role in improving supply chain resilience and increasing responsiveness to challenges. Furthermore, strong and sustainable relationships with suppliers are essential for building trust and ensuring a steady supply of materials. Additionally, enhancing local capabilities and reducing reliance on external sources contribute to minimising logistical gaps and strengthening industrial self-sufficiency. Achieving supply chain stability will significantly boost the industrial sector's global competitiveness and create a more sustainable environment for economic growth.' In his keynote address, the Chairman of the Oman Chamber of Commerce and Industry (OCCI), Shaikh Faisal bin Abdullah al Rawas, highlighted the role the Chamber plays in supporting the industrial sector. 'The industrial sector in Oman offers numerous opportunities for growth, sustainability and private sector empowerment. The Oman Chamber of Commerce and Industry is actively working to support and empower the private sector by identifying challenges, attracting investments, promoting Omani products and enhancing their competitiveness in both local and international markets.' Al Rawas further noted: 'The role of the Oman Chamber of Commerce and Industry is particularly vital, as it actively fosters global connections, promotes national products and strengthens partnerships between Omani private sector entities. These partnerships are strategically focused on leveraging Oman's unique geographical position, overlooking key maritime routes and global shipping lanes.' The Chairman also emphasised the importance of supporting local products. 'It is essential to emphasise that loyalty to national products is a pressing necessity, given its significant economic impact. Supporting Omani industries ensures the sustainability of private sector institutions, enhances their ability to compete, improves market efficiency, expands the economic base and increases the contribution of non-oil activities to the national GDP. Furthermore, it stimulates local investment, attracts foreign investment and creates employment opportunities.' According to the Ministry, the industrial sector has successfully achieved the targets of the Industrial Strategy 2040 during the years 2022 and 2023, achieving a growth of 19 per cent between 2020 and 2023. Furthermore, national employment in the sector grew by 79 per cent, with 26,000 job opportunities since 2020.
Times of Oman
08-02-2025
- Business
- Times of Oman
FDI in Oman's manufacturing sector topsOMR2bn
Muscat: The contribution of industrial activities to the gross domestic product (GDP) at current prices achieved a remarkable growth, reaching OMR6.09 billion by the end of September 2024, marking an increase of 5.4% compared to the same period last year when it was OMR5.7 billion. This growth is attributed to an 8.5% increase in the output of the manufacturing sector, reaching OMR2.686 billion by the end of September 2024 at constant prices. Dr. Masan affirmed that special economic zones, free zones, and industrial cities across Oman are attracting significant interest from investors. There is an increased focus on implementing infrastructure projects to attract investments, developing legislation, and promoting investment opportunities. He noted that foreign direct investment (FDI) in the manufacturing sector reached OMR2.13 billion by the end of third quarter of 2024, achieving a growth rate of 51.9% compared to the same period in 2023. This was stated by Dr. Saleh bin Saeed Masan, Undersecretary of the Ministry of Commerce, Industry, and Investment Promotion for Commerce and Industry, on the occasion of the celebration of Omani Industry Day. The day embodies the partnership between the public and private sectors by discussing challenges faced by industrial establishments and providing solutions, creating a suitable industrial environment for investment, and keeping pace with the Fourth Industrial Revolution and future industries. During this year's event Oman, represented by the Ministry of Commerce, Industry, and Investment Promotion, will celebrate Omani Industry Day on Sunday. The event will be held under the patronage of His Highness Dr. Fahd bin Al Jalanda Al Said, President of Sultan Qaboos University. The celebration is part of ongoing efforts to enhance Oman's industrial sector. This year's Omani Industry Day will focus on supply chains and the role of local content in localising supply chains. It will also address the importance of local content in logistics services, its role in boosting the industrial sector, and opportunities to enhance local content in logistics services related to manufacturing, innovation, and technology in local logistics. The goal is to develop the national economy, diversify income sources, achieve industrial integration, and enhance the production of goods. Dr. Masan further emphasised Oman's efforts to build a strong industrial future in line with its aspirations. Over the past five years, significant achievements have been made in the industrial sector, including the royal blessing of the Industrial Strategy 2040 in May 2024. The Ministry organised several discussion sessions involving all stakeholders to begin implementing the initiatives of the Industrial Strategy 2040. He added that the Ministry's plans focus on increasing the industrial sector's contribution to the GDP and providing job opportunities for citizens. Various initiatives have been launched in recent years to develop the industrial sector and increase its contribution to the GDP. Indicators show that the industrial sector is playing an increasingly important role in Oman's economy, with industrial activities contributing 19.5% to the GDP at current prices and the manufacturing sector contributing 10% to the GDP. This reflects the effectiveness of the government's developmental plans, which aim to enhance production capacities and stimulate investments. His Excellency pointed out the industrial sector's achievements in 2024 and the efforts made to develop and stimulate the sector and increase its contribution to the GDP. Among these achievements are the royal blessing of the Industrial Strategy 2040 in May 2024 and Oman ranking 53rd globally and 4th regionally in the 2024 Industrial Competitive Performance Report issued by the United Nations Industrial Development Organisation (UNIDO). He further added that these achievements included the launch of the Omani Product Identity and Oman Barcoding Centre, as well as the commercial identity. Additionally, a number of advanced technology investments were attracted, and programs were started for factory automation and enhancing supply chains. The Undersecretary of the Ministry of Commerce, Industry, and Investment Promotion for Commerce and Industry, stated that Oman is working on upgrading manufacturing industries to advanced technology and developing innovative products. The country is also implementing a range of policies and legislation aimed at enhancing the competitiveness of national products in local and international markets. He explained that the "Local Content Plan in the Industrial Sector" was launched under the name "Tasee'ir," along with the "Ta'meer" programme for major projects, and the "Itqan" programme, which aims to empower national competencies in the industrial field. Mazen bin Hamid Al Siyabi, Assistant Director General of Industry at the Ministry of Commerce, Industry, and Investment Promotion, said that this year's Industry Day celebration focuses on the importance of supply chains and the role of local content in localising supply chains. He emphasised the importance of local content in logistics services and its role in enhancing the industrial sector, as well as opportunities to enhance local content in logistics services related to manufacturing. He stressed the importance of supply chain and logistics management, including knowledge of the movement and storage of goods, the plan for distributing goods and services across the global network, reducing waste, improving operational efficiency, reducing overall costs, and attracting customers by providing excellent service. He pointed out that the number of industrial licenses issued from January to November 2024 reached 84,116 licences, while 697 applications for customs exemptions were submitted during the same period. A total of 569 electronic customs exemptions were issued, along with 4,466 exemptions from customs duties for machinery and equipment. He added that 363 certificates of identity for Omani products were issued by January 2025, and 20 Omani factories were assessed using the Smart Industry Readiness Index. He explained that the 2025 Industry Day celebration under the name "Supply Chains" comes due to the importance of managing them because of the continuous innovation in technology and rapidly changing customer expectations. He noted that the success and competitiveness of organisations have become dependent on effective supply chain management in alignment with the changing environment and technology. He highlighted that supply chains represent a connected network of individuals, organisations, resources, activities, and technologies involved in the manufacture and sale of a product or service. It begins with the delivery of raw materials from the supplier to the manufacturer and ends with the delivery of the final product or service to the consumer. In other words, it represents the steps taken by organisations to deliver the product or service from its original state to the end customer. The Assistant Director General of Industry pointed out that organisations periodically develop supply chains to reduce costs and ensure their competitiveness in business. Supply chain management tasks include planning and executing the movement of raw materials, capital, and information, determining sources of raw materials, managing inventory and storage, dividing products, and handling returns or defective items. He confirmed that improving the manufacturing process is one of the most important tasks of supply chain management (SCM). It starts with raw materials, moves through production and logistics, and ends with delivery to the customer. He added that supply chain management provides many benefits that translate into higher profits, a better brand image, and a greater competitive advantage, such as risk management and market demand forecasting, increased sustainability from a societal and environmental perspective, improved cash flow, and more efficient logistics services. He explained that the supply chain management process consists of five main elements: plan or strategy, supplier, manufacturing, delivery, and returns. He stressed the importance of supply chain management in enhancing customer service, reducing operating costs, improving the organization's financial position, ensuring efficiency, and improving quality. He said that the latest data from the National Centre for Statistics and Information indicate that the trade balance increased by the end of November 2024, reaching OMR37.312 billion, an increase of 8.86% compared to the same period in 2023. This is due to a 7.7% increase in merchandise exports, reaching OMR22.225 billion, and a 10.6% increase in merchandise imports, reaching OMR15.087 billion. Additionally, the trade balance recorded a surplus of OMR7.137 billion, an increase of 2% compared to the same period in 2023. Eng. Jassim bin Saif Al Judaidi, Technical Director of the Office of the Undersecretary of the Ministry of Commerce, Industry, and Investment Promotion for Commerce and Industry, praised the positive performance of the trade balance, which increased by 31%, and the growth of the trade balance surplus by 52.5% since the beginning of the Tenth Five-Year Plan (2021-2025). This reflects the success of the economic policies adopted by Oman under Oman Vision 2040, contributing to the enhancement of non-oil economic sectors, increased productivity, and attracting investments to support sustainable economic growth. He confirmed the continued governmental efforts in developing economic infrastructure and improving the business environment, which enhances productivity levels, increases the efficiency of economic sectors, and stimulates innovation and entrepreneurship, ultimately enhancing financial and economic stability in the long term to achieve strong and balanced growth rates supporting social and economic progress. Tawfiq bin Abdul Hussein bin Jumaa Al Lawati, Chairman of the Industry Committee at the Oman Chamber of Commerce and Industry, said that the celebration of Omani Industry Day reflects the prominent position held by the industrial sector in the national economy. The industrial sector is relied upon to achieve comprehensive development in Oman, as other economic sectors revolve around and integrate with it. He added that Omani Industry Day is of great importance as it honors industrialists in Oman and recognizes their role in supporting the diversity of the national economy, expanding the productivity base, and enhancing local products both domestically and internationally. This day provides an opportunity to closely examine the latest developments in Oman's industrial sector, explore industrialists' visions on ways to develop and empower the sector, and identify the main challenges facing Oman's industry. It also discusses solutions and proposals to develop the industrial sector, addressing key problems and issues faced by the sector and investors. He pointed out that there are many incentives and facilities provided by the government to support the industrial sector, such as incentives in industrial areas, efforts to attract foreign investment, and exemptions. Additionally, several initiatives, like the local content enhancement policy, work on increasing connections between commercial entities and factories and empowering small and medium enterprises (SMEs) by enhancing the production of goods and providing locally delivered services. This also includes increasing Oman's manufacturing capacity, achieving industrial integration, and developing the skills and capabilities of the national workforce. Sheikh Dr. Hilal bin Abdullah Al Hinai, Chairman of the Board of Directors of the Omani Industrialists Association, stated that Omani Industry Day is an occasion to honor the efforts made in developing the industrial sector and highlighting its achievements that contribute to diversifying the national economy. He confirmed that the sector is witnessing significant growth and increasingly contributing to the GDP. He pointed out that the Fourth Industrial Revolution imposes radical transformations on the global industrial sector. Adopting these technologies can enhance production efficiency and reduce costs. He confirmed that, according to the Omani Industrialists Association, 70% of local industrial companies have obtained international quality certifications like ISO, reflecting their commitment to high-quality standards. He added that competitiveness can be enhanced through effective marketing and expanding export markets to regional and international markets. He proposed increasing support for SMEs, which make up about 90% of the total industrial establishments in Oman. Encouraging innovation and enhancing partnerships between the public and private sectors can yield positive results. Additionally, developing logistical infrastructure and facilitating investment procedures can attract more investors, especially given the presence of industrial areas across different governorates in Oman. He confirmed that local content plays a vital role in localizing supply chains by increasing reliance on local suppliers and reducing costs associated with imports. According to the Public Authority for Industrial Estates data, the local content percentage in some key industries reached 30% in 2023, with plans to increase it to 50% by 2030. He added that the association significantly contributes to developing the industrial sector by representing industrialists' interests, providing consultations and technical support, and organizing events that enhance communication between companies and government institutions. The association also works to strengthen cooperation between the public and private sectors to achieve industrial development goals. – With inputs from ONA
