Growth continues in special economic zones, free zones and industrial cities
Dr Ali bin Masoud Al Sunaidy, Chairman of the General Authority for Special Economic Zones and Free Zones, confirmed that the Special Economic Zone in Duqm has seen an increase in the volume of investments that are now operational.
The Duqm Refinery and the petrochemical industries have exported 100 shipments of high-quality petroleum derivatives, equivalent to four million tons, to various countries since its opening.
During a media meeting organised by the Authority in Muscat, the Chairman confirmed the start of construction work on the Jindal Shadid Falcon project to produce green iron in the Duqm Special Economic Zone with the aim of producing five million metric tons annually. It will provide high-quality iron to the automotive sector and energy-related industries.
Dr Ali bin Masoud Al Sunaidy said: “Recently the Authority has held meetings with European and Asian companies in order to meet their needs for green iron from Duqm with the aim of maintaining the commitments of these global companies to reduce carbon emissions.
“The Acme company has also started preparatory work for a green hydrogen production project in Duqm. It has signed a contract with the Norwegian company Yara to import 100 tons annually of green ammonia from Duqm by 2027.”
The Chairman said the areas supervised by the Authority attracted investments amounting to approximately 19 billion Omani Riyals by the end of 2023 distributed among the Special Economic Zone in Duqm, three free zones in Sohar, Salalah and Al-Mazunah, nine existing industrial cities and Khazaen Economic City.
Dr Ali bin Masoud Al Sunaidy said the investments added during 2023 in Sohar, Salalah and Al-Mazunah amounted to about 800 million Omani Riyals. The Sohar Free Zone was able to sign ten new agreements with an investment volume of 126 million Omani riyals. The zone administration began reclamation procedures for 630 hectares as an additional expansion for the current phase, while the Salalah Free Zone was able to localise a number of projects, including three in the fields of food, mining and medical supplies with an investment estimated at 24 million Omani Riyals.
He said in his speech during the meeting that the Madayn Public Establishment for Industrial Estates attracted 226 projects distributed among the various industrial cities with a total investment estimated at 203 million Omani Riyals, including seven projects in the plastics industries sector attracted as a result of continuous cooperation with the OQ Group, with an investment value of 32 million Omani Riyals.
He pointed out that more than a hundred agreements were signed in Khazaen Economic City by the end of 2023 in various sectors including logistics, food, medical and pharmaceutical industries. Construction work in Khazaen Central Market for vegetables and fruits was close to completion and expected to open this year.
He said during the past year the Authority was able to achieve financial savings estimated at approximately 38 million Omani Riyals which was used to develop the lifestyle in the Special Economic Zone in Duqm.
The Chairman said the volume of direct revenues from the regions in 2023 amounted to about 61.6 million Omani Riyals, an increase of 15 per cent over the target set for the same year, and the Authority was completing procedures for supervising and implementing the eight regions under development.
Dr Ali bin Masoud Al Sunaidy indicated that the Omanisation rate reached 34 percent within a total direct workforce exceeding 75 thousand workers at various administrative and technical levels in the economic, free and industrial zones supervised by the Authority.
He said work was underway to develop the integrated economic zone in Al Dhahirah Governorate, the economic zone in the Prosecution of Al Rawdah and the free zone at Muscat International Airport and a number of industrial zones operated by Madayn, such as the cities of Mahas, Ibri, Saih Al Sariyah, Al Mudhaibi and Thumrait.
The meeting heard that satisfaction rates for services provided by the General Authority for Special Economic Zones and Free Zones reached 92 per cent by the end of December 2023 compared to 86 per cent at the end of June 2023. The Authority was able to automate 80 electronic services as part of the digital transformation programme for investors.
The meeting touched on the performance of the 22 regions supervised by the Authority including the Special Economic Zone in Duqm, Khazaen Economic City, which is operated by the Asyad Group, three free zones – Sohar, Salalah, and Al Mazunah – nine industrial cities, the Madayn public industrial zone and eight other areas under development, including two economic zones, a free zone and five industrial cities in various governorates of the Sultanate of Oman.
The media meeting was attended by Engineer Ahmed bin Hassan Al-Dheeb, Vice President of the Authority, the CEOs of the special, free and industrial economic zones supervised by the Authority and a number of other officials.
This is an unofficial English version of an Arabic report. To view the official Arabic text, click here.