Sohar, Salalah Free Zones Attract $9.6 Billion in Investments for 2019
The Middle East’s comprehensive logistics provider, ASYAD, has announced the number of investment projects at Sohar Freezone and Salalah Free Zone has reached 120 with an estimated value of $9.6 billion in various industrial and logistic activities.
In line with the Sultanate Logistics Strategy (SOLS2040) and Oman 2040 Vision to attract local and foreign investments and to develop an integrated logistics system allowing local products to reach international markets, ASYAD Group is working, in cooperation with the relevant government entities, towards improving the competitive advantage of the Sultanate’s free zones.
With world class and advanced infrastructure, the Sultanate’s free zones offer investment incentives, tax exemptions and simplified procedures for licenses and permits supporting the free zones' competitive business environment.
Omar Mahmood Al Mahrizi, Chief Executive Officer of Sohar Freezone, said: "Today, Sohar Freezone is a home to 44 industrial projects in various sectors such as metals, petrochemicals, food industries, etc., and witnesses an increase in the number of companies occupying the warehouses and offices that is part of the package of innovative solutions offered to the investors.
"The occupancy of the total leasable areas of the three development phases has reached 301.4 hectares by the end of 2019, with 63% occupancy of the areas in the first phase."
The CEO of Sohar Freezone also stated that the focus of Sohar Freezone is on integrated downstream projects that offer business opportunities and grow ICV, such as attracting industries that depend on the polyethylene product which will be produced in Liwa Plastics Industries Complex (LPIC).
Highlighting on the One-Stop-Shop (OSS) of Sohar Port and Freezone, Al-Mahrizi explained that the OSS is a single window for investors to obtain all necessary requirements to set up and operate their businesses efficiently and effectively.
The Companies and foreign investors would also enjoy 100% foreign ownership, corporate tax holiday of up to 25 years, 0% import or re-export duties, 0% personal income tax, low capital requirements, flexible and high-quality office space for rent at reasonable prices, and cold warehouses to serve varied industries.
CEO of Salalah Free Zone (SFZ), Ali bin Mohammed Tabouk, said: “Our goal is to position Salalah Free Zone as a leading regional and global logistics and industrial hub and the investment projects in SFZ is a testimony for our efforts to attract foreign investors and our successful relationship with the Free Zone`s strategic partners.”
Salalah Free Zone achieved exceptional results in 2019 that included signing of 24 usufruct agreements that worth $3.6 billion. Tabouk indicated that the Free Zone will provide job opportunities for locals. He added that the percentage of Omanisation has reached 36% in the companies operating at SFZ.
Ali Tabouk highlighted that Salalah Free Zone plans to develop Salalah Free Zone Food Processing Plant that will provide commercial warehouses, logistic services and storage facilities for the food and beverage industries.
Tabouk also talked about the Free Zone`s initiative to ease doing business at Salalah Free Zone including; registration, granting of licenses and signing of usufruct agreements within one to three hours.