Oman signs 18 investment agreements worth over RO 100 million

MUSCAT : The event was held under the patronage of His Excellency Sayyid Saud bin Hilal Al Busaidi, Governor of Muscat, and attended by His Excellency Eng. Said bin Hamoud Al Ma’awali, Minister of Transport, Communications and Information Technology, alongside senior government officials, CEOs, and industry specialists.

Organised by the transport ministry, this year’s theme, ‘Logistics Technologies and Investment’, highlighted the importance of advanced technologies in boosting competitiveness, efficiency, and investment attraction across Oman’s logistics landscape.

The ceremony featured the signing of 18 agreements, with a total investment value exceeding RO 100 million. These agreements span various areas, including ports, airports, transport and storage activities, and the integration of smart technologies into logistics operations. Among the major announcements were deals involving Sohar Port for LNG infrastructure development, Oman Airports for establishing a gold refinery and drone research academy, and Oman SATS offering significant logistics discounts to support perishable goods exports and re-exports.

In his keynote address, Eng. Abdullah bin Ali Al Busaidi, Acting Head of the Oman Logistics Center, emphasised the sector’s pivotal role in driving economic growth. “We aim for the logistics sector to become the second-largest contributor to Oman’s GDP,” he said. The sector contributed RO 2.25 billion in 2024, accounting for 5.9 percent of GDP, with projections estimating a contribution of OMR 36 billion by 2040.

The Logistics Sector Strategy 2040 is structured around four pillars: market development, trade facilitation, operational efficiency and Omanisation, and logistics technologies. These goals aim to enhance Oman’s global trade role and position the Sultanate as a regional logistics hub.

Al Busaidi also highlighted the increasing adoption of advanced technologies such as artificial intelligence and IoT across ports and airports, promoting faster processing times and improved sustainability. These efforts support Oman’s net-zero carbon emissions goal by 2050.

A significant highlight of the event was the signing of the framework agreement for the National Port Community System, which will digitise logistics processes, integrate stakeholder platforms, and improve supply chain transparency and efficiency across ports and border crossings.

Further, an initiative to improve first and last-mile connectivity for university campuses in Muscat and Salalah was launched, encouraging the use of electric bikes and shared micro-mobility solutions to reduce emissions and improve access to public transport.

Key agreements signed included:

• Sohar Port: LNG berth construction, dredging works, and project supervision contracts.
• Oman Airports: Development of a gold refinery, drone R&D centre, customs warehouse, tech innovation hub, and management of the airport hotel.
• Al Madina Logistics Services: Expansion of Sohar Logistics Station and establishment of an energy-sector-focused transport fleet.
• Public Transport: Development of an integrated bus station in Liwa in partnership with Mwasalat and the North Al Batinah Governorate.
• Darb Investment: Launch of a national freight management platform to streamline truck operations and last-mile delivery.
• Asyad Ports: Provision of ship fueling services at Port Sultan Qaboos in partnership with Astoool Supplies.
• Oman Logistics Center: Cooperation agreements with Oman Development Bank and the Omani SME Academy to support logistics startups.

The ceremony also included the announcement of the 2025 Best Practices Awards in the Logistics Sector, recognising organizations excelling in Omanisation, health and safety, carbon neutrality, innovation, and support for local products.

Winners included Arkan Sohar Logistics, Al-Sumari Trading, Oman SATS, Sohar Industrial Port, and Al Raad Logistics.

The event featured a series of expert-led presentations and panel discussions. Speakers from Oman, the World Bank, Kuwait, and Malaysia shared insights on logistics investment, sustainability, and innovation. Topics ranged from the global impact of logistics trends to green transport strategies and the role of public-private partnerships.

Logistics Day 2025 underscored Oman’s strong commitment to transforming its logistics sector into a world-class engine of economic growth. The newly signed agreements and forward-looking initiatives are aligned with the broader goals of Oman Vision 2040, signalling a future of increased investment, sustainable transport, and global trade leadership.