UN Applauds Oman’s High-Tech Industrial Strategy: How It Impacts Investment Opportunities for Businesses
VIENNA: The Sultanate of Oman has gained significant international acclaim for its rapid advancement in the localization of high-tech industries and the enhancement of its manufacturing sector. This recognition comes from the United Nations Industrial Development Organisation (UNIDO), which, in its 2026 report, identifies Oman as one of the emerging industrial economies worldwide. The report emphasizes the country’s swift development, particularly given its relatively recent foray into advanced industrial production.
UNIDO highlights Oman’s considerable progress in establishing integrated industrial value chains linked to cutting-edge technologies, especially in renewable energy manufacturing. The nation has laid a robust industrial foundation for its photovoltaic sector by attracting high-quality investments, implementing incentive-driven government procurement policies, and nurturing a business environment conducive to modern technologies.
One of the key projects mentioned is the United Solar Polysilicon facility currently under construction at SOHAR Port and Freezone. Recognized as one of the most significant industrial initiatives in the region, this plant aims to produce 100,000 tonnes of polysilicon annually, addressing the increasing regional demand for solar energy solutions and strengthening Oman’s position in global supply chains.
The report further underscores Oman’s structural advantages, including a wealth of high-quality silica sand, abundant solar and wind resources year-round, and a strategic location along major international shipping routes. These elements, along with government incentives such as tax exemptions and full foreign ownership, make Oman an appealing destination for advanced manufacturing investments.
In this context, Sheida Industries has commenced construction of its inaugural solar panel factory, spanning 11,250 square meters. The company has partnered with China’s JA Solar to develop a manufacturing complex capable of producing 6 gigawatts of solar cells and 3 gigawatts of solar panels. This $564 million investment is expected to serve primarily the Gulf and African markets. Additionally, Sheida has announced plans for the Mawarid Turbine Company project in Al Duqm to manufacture wind turbines, with an estimated investment of $181.8 million, as well as an electrolyser assembly plant for green hydrogen technologies in collaboration with China’s Sungrow.
Engineer Khalid bin Salim al Qasabi, Director General of Industry at the Ministry of Commerce, Industry and Investment Promotion, stated that this progress reflects the implementation of proactive industrial policies and targeted initiatives aimed at attracting high-quality, technology-driven industries. He emphasized the ministry’s efforts to streamline investor procedures, enhance the readiness of free and economic zones, and provide incentives such as flexible regulations, tax and customs exemptions, and simplified licensing to boost local added value.
Engineer Jassim bin Saif al Jadidi, Technical Director at the Office of the Undersecretary of the ministry, noted that integrated industrial complexes—especially in Suhar—are emerging, combining polysilicon, solar cell, and solar panel factories with supporting industries. He remarked that the growing global interest in investment signals confidence in Oman’s infrastructure, government support, and industrial ecosystem, further underscoring the country’s transformation into a regional hub for advanced manufacturing in alignment with the Industrial Strategy 2040 and Oman Vision 2040. — ONA
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Oman’s recognition in the Unido report as a burgeoning player in advanced manufacturing signals significant opportunities for businesses seeking to invest in high-tech industries, particularly in renewable energy. This environment of government incentives and support creates a compelling landscape for savvy investors and entrepreneurs to capitalize on the growing demand for sustainable technologies. However, they should also be cautious of rapidly evolving market dynamics and ensure alignment with Oman’s long-term vision for industrial development.
