Oman plans to invest heavily in developing industrial estates

Muscat: Oman plans to invest in developing new industrial estates and expanding existing ones to meet the growing demand for industrial plots from entrepreneurs.
The Public Establishment for Industrial Estates (PEIE), which acts as a one-stop-shop for entrepreneurs, plans to build three industrial estates – one each in Thumrait, Shinas and Al Mudhaibi, Hilal bin Hamad Al Hassani, chief executive officer of PEIE told journalists on the sidelines of an event to celebrate industrial day.
There are also ongoing expansion projects for further developing existing industrial estates, which will help diversify the country’s economy and create employment opportunities for Omani youths.
“Now we are waiting for final approval for further expanding Sumail industrial estate. The existing industrial plots are fully occupied and entrepreneurs are asking for more space,” added Al Hassani. “There is a huge demand for industrial plots in all our industrial estates, not only in Sumail.”
PEIE manages Rusayl, Raysut, Sohar, Sur, Nizwa, Buraimi and Sumail estates, which have a combined area of over three million square metres.
“The focus now is on developing the existing industrial estates by building infrastructure facilities,” noted Ahmed bin Hassan Al Dheeb, undersecretary at the Ministry of Commerce and Industry.
“We have enough land and now PEIE is aiming at developing these areas,” added Eng. Al Dheeb. He also noted that some of the expansion projects are under construction, while tenders for others will be floated soon.
Al Hassani earlier said that there are approximately 900 existing projects in various industrial zones in the Sultanate, which employ more than 15,000 local people. Also, there are 242 projects under construction that will commence operation within two years and thus will provide 12,000 job opportunities, of which 4,500 jobs for the citizens.
Al Hassani noted that lands were allocated for more than 500 projects, which are expected to enter operational phase in the next three years and they will provide more than 25,000 job opportunities, including 9,000 jobs for the citizens. This means that the projects under construction or those that have been allocated lands will provide more than 14,000 job opportunities for Omanis over the next three years.
The investment in industrial zones in the Sultanate exceeded OMR5 billion and additional investments in industrial estates will help to enhance non-oil exports.
Industrial sector’s contribution
The contribution of industrial sector in the country’s gross domestic product (GDP) in 2015 was 9.5 per cent, noted Eng. Al Dheeb.
New investment law
Oman’s ministry of commerce and industry has almost finalised the draft of new investment law. The draft law will be send to the Ministry of Legal Affairs before submitting with the Council of Ministers for final approval, Ahmed bin Hassan Al Dheeb, undersecretary at the Ministry of Commerce and Industry, told journalists here on the sidelines of an event to celebrate the country’s industry day.