The Government of Oman calls and strongly support Foreign Investors to partner with the Salalah Free Zone on its economic development journey for the benefit of all. Investors stand to gain better market access and reach at competitive costs while Salalah Free Zone’s success is ultimately the Omani’s Government success to create a diversified and sustainable economy with significant job opportunities.

Why Invest

It is simple… Salalah Free Zone is a location with cost competitive market reach and access in a country that has a business oriented environment.

The Salalah Free Zone offers solutions to business owners and multinationals looking to expand their operations into Middle East, Africa, Southern Europe and South Asia. We will be there to assist you with any needs and requirements you have regarding the establishment of your organization’s presence and operations in the free zone. We will help you with visa procedures for employees, as well as government permits and the installation of utilities for offices and facilities. We can also assist you in finding suppliers and or contractors for all your business purposes.

Why Invest

Salalah Free Zone: A Location with Cost Competitive Market Reach and Access

Salalah’s global location, connectivity and cost competitiveness provide a unique advantage in terms of reach, enabling global sourcing and exporting from and to the world, and competitive total landed costs.

First, the location of SFZ provides relocating manufacturers direct access to countries that are mostly raw materials exporters.

Second, Salalah is among the most competitive cost locations in the region in terms of labor, utilities and infrastructure which combined with the proximity to the raw material sources offer relocating manufacturers competitive conversion costs. The regulatory environment of international standards, provides investors assurances of IP protection, 100% foreign ownership, taxes exemption and freedom of repatriation of capital.

The location becomes more attractive when considering the access it offers to Free Trade Agreements (FTA), currently regionally net importing markets, and trade routes. The access to the US-OMAN Free Trade Agreement (FTA) provides considerable duties exemptions. The FTA is an interesting opportunity to attract companies seeking to reduce their cost, if they generate at least 35% of their value in Oman. The FTA seems to be particularly attractive in various sectors such as textile, electronics and other consumer goods and products, traditionally exported from Asia to the US. Neither Europe, India, nor China have a similar agreement. Tenants of SFZ can start trading in a true global customs free environment.

Furthermore, the location is the center of gravity to the East Africa/GCC/Subcontinent market, which imports more than USD$620 Bln of goods and materials per year, providing defacto an attractive regional market.

Finally, the strategic location between trade routes of the East and the West (with over USD 2 trillion worth of goods passing through every year, Salalah is located right at the heart of world trade) gives Salalah Free Zone a shipping cost and delivery time advantage to relocating manufacturers when compared to China, USA and India as well as regional competitors.

The location has already developed the required connectivity enablers to exploit its potential as it is served by the Port of Salalah, an international airport, a major network of highways into GCC markets, and in time, will be connected by a GCC-wide rail network.

Oman Air also offers a competitive sea-air connection from Asia to Europe that saves 48 hours on lead times and passes through Salalah.

Salalah Port is today a major regional and global transshipment hub, second only to Dubai in terms of size, and first in the Indian Ocean. It is also one of the biggest deepwater ports in the world. Three of the World’s largest shipping lines call at the Port of Salalah offering regular weekly connections to global hubs (e.g. 23 to Europe, 21 to Indian subcontinent, 13 to Asia, and 11 to Africa). As a result, import and export shipping times are on average 30% to 40% lower than other competing locations (e.g. 15 days to New York, 12 days to England, and 8 days to Singapore).

Why Invest

Oman: A Business Oriented Environment

Oman's modernization, which has lasted since the 1970s, has given the country the public infrastructure enjoyed by developed countries. Overall, Oman offers an ideal business environment as the Government regulations and laws in Oman are specially designed to make conducting business easy and hassle-free. Investors will find a stable, secure setting for their business to flourish in Salalah.

The government has recently introduced the One-Stop Shop (OSS), which entails online company registration, letting the process of business registration take around three days time: from depositing initial capital at the bank, registration with the Ministry of Commerce and Industry (MOCI), notification of the Tax Department of the Finance Ministry, registering employees for social insurance to making a company seal, the procedures are transparent, simple and take place simultaneously which make it fast and efficient.

Oman offers abundant resources with access to a wealth of natural resources, energy and domestic and international financing and together with the Salalah Free Zone they offer a comprehensive business ecosystem able to meet the needs of companies

The Salalah Free Zone is customs- and tax-free for all investors and multinational organizations.

The Omani business environment and Salalah Free Zone offer businessmen, entrepreneurs and multinational organizations several incentives that provide ease, security and profitability. These include (i) up to 100% ownership and 0% income tax, with no minimal capital requirements with establishing a company or representative office in the Free Zone., (ii) no import restrictions or restrictions of repatriation of capital, (iii) export guarantee insurance, (iv) exemption from all taxes, and (v) access to commercial loans.

About Oman

The Sultanate of Oman (Oman) is an independent nation established in 1650 following liberation from Portuguese colonial rule. It is one of the founding members of the Council (GCC) states since 1981. The capital of Oman is Muscat, which is located in the north east of the country. Its neighboring states include Saudi Arabia, the United Arab Emirates and Yemen.

The country is a monarchy led by Sultan and Prime Minister Qaboos bin Said Al-Said who has been in power since 1970. Oman is home to a population of around 2.8-million people, of which 577,000 are non-nationals. The official language is Arabic.

About Oman

The Sultanate of Oman, with a total land area of 309,500 sq.km, is the second largest country in the Gulf Cooperation Council (GCC). The country has been able to grow significantly in recent years with a GDP growing on average by more than 5% year on year from 2000-2009. With a growing population of 2.8 million people, Oman is faced with the challenge of providing improved quality of life and jobs to its citizens and residents. Located in the southern tip of Oman, Salalah with its population of 300,000 is a priority.

Salalah is the second largest city in the Sultanate of Oman and is located on the southern coast of Oman (geographical coordinates 1717° 1" 3'N, 54° 4" 58'E). Serving as the capital of the southern province of Dhofar, Salalah is also the traditional stronghold and birthplace of Sultan Qaboos bin Said Al-Said, also the Prime Minister of Oman.

Salalah boasts a rich history dating back millennia, and was the centre of the frankincense industry during antiquity. Today, the city is most well known as a thriving tourist destination along the shores of the Indian Ocean. Most importantly, it is also the gateway to the Arabian Peninsula for the rest of the world.

About Oman


The stable economy has an "A" sovereign risk rating, making it second only to Saudi Arabia in GCC member states' in terms of rankings. GDP growth has been strong, led primarily by oil and gas. In 2009, it was second in the GCC region in terms of GDP growth, at 3.6%, behind Qatar's 8.5%. The country is actively pursuing a development plan based on diversification, industrialization and privatization to reduce the oil sector's contribution to GDP.

Currently, Oman offers a competitive environment for International investors. It was ranked 12th for Government Efficiency, according to the World Economic Forum. It is one of the top ten most secure nations in the world to do business, and has a strong track record for controlling corruption and streamlining its regulatory environment.

In 2009, a free trade agreement between the United States and Oman came into force. This FTA is one of only 13 currently active bilateral and multilateral FTAs entered into by the United States.

The economy of the Sultanate of Oman has been growing steadily since the last two decades, taking advantage of its geographic location along the Europe-Asia trade lane and in the middle of a broader region spanning from Eastern Africa to the southern borders of Central Asia, and India to Pakistan.

The stability of the country has largely participated in its progress and prosperity. It enjoys solid financials, a high GDP per capita, along the other GCC countries, a positive trade balance, and is abundant in natural resources especially oil, gas, and minerals. Oman’s FDI has increased significantly in the last year, reaching $12 billion since 2001.

The Omani GDP is heavily dependent on the Oil sector, in 2005 the sector contributed to 49% of the country GDP and decreased to 40% in 2009. Based on Omani Government Vision, the share of oil and gas in the GDP should decrease to 20% by 2020.

Oman is planning to boost mining and quarrying in order to contribute more than 2% of GDP by 2020 with an estimated yearly growth of 10.8%. Tourism is a growing sector of the economy and is expected to grow 7.5% annually.

Infrastructure projects throughout the country are planned by the government. Existing ports, airports and roads are to be expanded to accommodate higher capacities. Omani electricity is heavily dependent on gas, while alternative and coal natural resources are now more and more discussed and proposed as means of diversification from gas.

Vision 2040

About The Vision

The Royal Directives of His Majesty Sultan Qaboos bin Said – May his soul rest eternal peace- stipulate that the future vision “Oman 2040” will be thoroughly developed and precisely formulated in the light of wide community consensus and participation of the different social groups, so that the vision is fully integrated into the economic and social realities and objectively orientated towards the future foresight, as a key guide and reference for planning in the next two decades.


For the implementation of the aforesaid Royal Directives, the relevant committees were formed to prepare the future vision “Oman 2040”, including the Main Committee, Technical Committee and the Sectoral committees. These Committees have been divided into the themes of the vision namely; (“People and Society”, “Economy and Development”, “Governance and Institutional Performance”), in addition to the committees of National Priorities Alignment of Strategies, Organization and Follow up, as well as the Preparation team for the National Conference. Members of these committees comprise more than 100 people from various stakeholders, representing all segments of Omani society. The main committee therefore founded Oman 2040 Office, run by Omani work force to offer the needed technical and administrational support to the project.


  • Education, Learning, Scientific Research and National Talents
  • Health
  • Citizenship, Identity, National Heritage and Culture
  • Welfare and Social Protection
  • Economic Leadership and Management
  • Economic Diversification and Fiscal Sustainability
  • Labor Market and Employment
  • The Private Sector, Investment and International Cooperation
  • Sustainable Development in Governorates and Cities
  • Natural Resources and Environmental Sustainability
  • Legislative, Judicial and Audit System
  • Partnership and Integration of Roles
  • Governance of the Administrative Apparatus, Resources and Projects