Musandam’s first industrial city prepped for new investment

https://www.omanobserver.om/article/1118790/business/economy/musandams-first-industrial-city-prepped-for-new-investment

OMAN DAILY OBSERVER / 9 MAY 2022

Strong growth: Contract for basic infrastructure and road network awarded

CONRAD PRABHU

The first industrial city in Musandam Governorate has begun welcoming investors eager to capitalise on its proximity to key regional markets to ignite the growth of a manufacturing hub in this strategically important part of the Sultanate of Oman.

Mahas Industrial City – the latest addition to the expanding chain of national industrial parks administered by the Public Establishment for Industrial Estates (Madayn) – is coming up in the Wilayat of Khasab. An area of around 1.44 million sq metres has been earmarked for the new facility, primarily for small and mid-scale manufacturing ventures.

According to Mubarak bin Salem al Ghailani, Acting Director General of the new industrial hub, a local contractor has been awarded a contract valued at around RO 5 million for the development of basic infrastructure for the project.?An area of around 1 million sq metres, representing about two-thirds of the original land earmarked for the industrial city, will be covered by this contract, he noted.

Significantly, since its establishment was announced last year, Mahas Industrial City has been attracting a flurry of new investors. As of the end of the first quarter of this year, as many as 11 investors had registered to set up operations in the Industrial City.

Development of the hub in Musandam received new impetus last year, following Royal Directives by His Majesty Sultan Haitham bin Tarik for the implementation of a slate of key projects aimed at fuelling the governorate’s socioeconomic development.?It includes a proposal for the upgrade of Port Khasab into a maritime hub for shipping, logistics and cruise tourism.

Mahas, an area well-known for quarrying activities, is proposed to be redeveloped into dedicated tourism and economic zones incorporating Mahas Industrial City. Also envisaged is a new university and strategic reserves for essential foodstuff and medicines.

As the governorate’s first industrial city, the project will add a manufacturing component to Musandam’s economic base, which is currently limited to primarily fishing, livestock farming, tourism and hospitality, local handicrafts and quarrying.

Given the importance of manufacturing and industry to the Sultanate of Oman’s GDP growth targets, a string of new industrial cities are planned elsewhere around the country. Currently under development are industrial parks in Ibri, Thamrait, Shinas and Al Mudhaibi, taking the total number currently under operation or initial development to 14 to date.

Madayn’s goal is to add a further 26 industries cities to this growing network over the next two decades with the aim of reaching a target of 40 national hubs by 2040.