Oman’s Logistics Reforms: Key Changes That Could Enhance Foreign Investment Opportunities for Your Business
MUSCAT: Oman is intensifying its reforms in the logistics sector to enhance its attractiveness to foreign investors. Key elements of this strategy include expedited clearance processes, port expansions, and increased digital integration.
In an interview featured in the Oxford Business Group (OBG) MoTCIT/MoCIIP Advisory Report, Eng Khamis bin Mohammed al Shammakhi, Under-Secretary of the Ministry of Transport, Communications, and Information Technology for Transport (MoTCIT), revealed that the sector has already drawn approximately RO 961.2 million ($2.5 billion) in foreign direct investment.
Al Shammakhi explained that the approach to investor engagement has evolved from mere promotion to proactive problem-solving. “We are organizing workshops every six months, both domestically and internationally, to tackle challenges such as cold storage and cold chain issues,” he noted, adding that these workshops are complemented by clinics designed to identify and resolve specific investor challenges.
A focus on speed has become a critical differentiator in the sector. “The Royal Oman Police has implemented new directives mandating that goods must be cleared within two hours of entering the country,” Al Shammakhi said. He mentioned that the introduction of a port community system has drastically reduced operational times from two days to just two hours.
To accommodate increasing trade volumes, key ports such as Suhar and Salalah are expanding their infrastructure and services. Al Shammakhi highlighted the strategic partnerships with global operators like Hutchison Ports, which are instrumental in driving economic activity and enhancing trade capacity.
These reforms are already yielding impressive results. According to figures shared during the MoTCIT’s 13th Media Meeting on January 12, 2026, investments in the logistics sector during the Tenth Five-Year Plan reached approximately RO 3.4 billion. Revenues increased by 17.4% in ports, 9.4% in maritime affairs, and 18% in land transport.
Port throughput also showed significant growth, with over 143 million tonnes of cargo handled in 2025, container volumes surpassing 5.1 million TEUs, and more than 13,000 vessels visiting Omani ports.
Efforts are now focusing on the final leg of the supply chain. “Oman is enhancing last-mile logistics through the introduction of supportive technologies and regulations,” Al Shammakhi stated. “These initiatives are aimed at creating delivery solutions that are both reliable and scalable.”
Looking to the future, the ministry anticipates that the implementation of the Port Community System in 2026 will signify a significant advancement, integrating ports, airports, free zones, and border points into a unified digital logistics framework aligned with Oman Vision 2040.
Special Analysis by Omanet | Navigate Oman’s Market
Oman’s accelerated reforms in the logistics sector present significant opportunities for businesses looking to enter or expand in the market, especially in areas leveraging digital integration and faster clearance times. However, these changes also pose risks for companies that may struggle to adapt to the new, streamlined processes or fail to engage with government initiatives aimed at problem-solving. Smart investors and entrepreneurs should focus on aligning their strategies with the Omani government’s vision, particularly by investing in technologies that address last-mile logistics and collaborating with local partners to enhance operational efficiencies.
