Muscat – Oman is celebrating significant strides in its industrial sector, with foreign direct investment (FDI) in manufacturing industries reaching RO 2.13 billion by the end of the third quarter of 2024, marking a remarkable 51.9% increase compared to the previous year. This surge highlights the growing confidence in the Omani economy and the successful implementation of the nation’s industrial strategies.

The Ministry of Commerce, Industry, and Investment Promotion (MCIIP) will host Omani Industry Day 2025 tomorrow, Sunday, under the patronage of His Highness Sayyid Dr. Fahd bin Al Julanda Al Said, Vice-Chancellor of Sultan Qaboos University. The celebration is part of ongoing efforts to enhance the Sultanate’s industrial sector and to focus on the importance of supply chains and the role of local content in strengthening the economy. This year’s theme also addresses the critical role of logistics services in bolstering local industries, specially manufacturing, innovation, and technology.

Dr. Saleh bin Saeed Masan, Undersecretary for Commerce and Industry, emphasised the importance of the partnership between the public and private sectors in addressing challenges faced by industrial establishments. The Ministry is committed to fostering an industrial environment conducive to investment and preparing the sector for the Fourth Industrial Revolution.

According to recent figures, industrial activities contributed RO 6.09 billion to Oman’s GDP by the end of September 2024, marking a 5.4 percent increase from the previous year. The manufacturing sector alone saw an 8.5 percent growth in output, reaching RO 2.686 billion at constant prices.
In line with the Sultanate’s Vision 2040, Oman continues to prioritize the development of its industrial sector. The Royal approval of the Industrial Strategy 2040 in May 2024 serves as a cornerstone for future industrial initiatives. These efforts are aimed at diversifying the national economy, creating jobs, and ensuring sustainable growth through technological advancements and enhanced manufacturing capabilities.

The celebration of Omani Industry Day also comes at a time when the Sultanate’s industrial policies are yielding impressive results. Oman’s global ranking in the Competitive Industrial Performance Report for 2024, issued by the United Nations Industrial Development Organization (UNIDO), stands at 53rd globally and 4th regionally.

Mazen bin Humaid Al Siyabi, Assistant Director General of Industry at the Ministry, highlighted the importance of effective supply chain management in maintaining competitiveness and supporting the growth of Oman’s manufacturing sector.

The government’s support for industrial zones, free zones, and infrastructure projects has also been pivotal in attracting foreign investments. A total of 84,116 industrial licenses were issued from January to November 2024, underscoring the sector’s expansion.

In his remarks, Sheikh Dr. Hilal bin Abdullah Al Hinai, Chairman of the Board of Directors of the Omani Industrialists Association, noted that local content is playing a vital role in the development of Oman’s industrial sector. The association is also focused on increasing the presence of Omani industries in regional and international markets, with a particular emphasis on supporting small and medium enterprises, which represent 90 percent of industrial establishments in the country.

He stressed that local content plays a vital role in localising supply chains, as it enhances reliance on local suppliers and reduces costs associated with imports. He also added that the data from the Public Authority for Industrial Estates shows that the percentage of local content in some key industries has reached 30 percent in 2023, and stressed on plans to increase it to 50 percent by 2030.