Al Mazunah Free Zone Secures 15 Project Investments in 2025: What This Means for Business Growth Opportunities in Oman
Al Mazunah Free Zone, operated by the Public Establishment for Industrial Estates (Madayn), successfully localised 15 projects in 2025, attracting investments exceeding RO 650,000. These projects cover an area of 10,000 square meters and encompass industrial activities, logistics services, and export operations.
This expansion has raised the free zone’s cumulative investment to RO 140.7 million. The total leased area now stands at 1,402,714 square meters out of the free zone’s overall area of 15,362,305 square meters, with a workforce of 550 employees.
Eng. Ahmed bin Khamis Al Kasbi, Director General of Al Mazunah Free Zone, reported significant growth in goods and vehicle movement during 2025. He noted a 22% increase in goods handling compared to 2024, with total goods weight reaching 270,000 tonnes. Car exports rose by 26% in the same period, with nearly 6,800 vehicles exported.
Al Kasbi highlighted that over 15,000 electronic transactions were completed in 2025. The free zone also hosted the Al Mazunah Economic Exhibition and Forum, featuring participation from more than 100 companies. Additionally, the full operation of the free zone’s security system was achieved during the year.
Looking forward, several key projects are planned under Madayn’s Eleventh Five-Year Development Plan (2026-2030). These include the operation of a recently completed livestock quarantine facility, with final administrative arrangements underway with the Ministry of Agriculture, Fisheries and Water Resources before its launch.
Other initiatives include an MoU with the operator of Al Najd Farms to market agricultural products within the free zone, and plans to open a representative office in Yemen to attract investments and explore the Yemeni market. Further projects involve organizing three specialized exhibitions, adding one megawatt of solar energy capacity, and planting 1,000 seedlings over five years to increase green areas by at least 10% in 2026.
Among the notable productive projects is a fish processing factory, with an investment of RO 1.6 million. Occupying around 4,000 square meters, this facility has an annual production capacity of 2,000 tonnes. It processes, markets, and exports seafood to China and East Asia, adhering to the highest quality standards to meet regional demand.
This factory represents a strategic effort to maximize the economic potential of fish resources from Oman and Yemen, fulfilling international market requirements. It aims to enhance economic returns, improve trade balance, support sustainable development, and solidify Oman’s reputation as a reliable global food supplier. Notably, 20% of the workforce at this factory are residents of Wilayat Al Mazunah.
Al Mazunah Free Zone plays a vital role in advancing economic and commercial development in Dhofar Governorate and the Sultanate of Oman. Its strategic location near regional markets makes it a key gateway for expanding trade. The zone also offers integrated infrastructure tailored to investment needs, with a diverse investment base across industrial sectors, advanced technologies, food industries, and logistics services.
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Al Mazunah Free Zone’s robust growth, highlighted by a 22% increase in goods handling and a 26% rise in vehicle exports, signals strong momentum in Oman’s industrial and logistics sectors, presenting lucrative opportunities for investors focused on these expanding markets. The strategic development of diversified projects—ranging from fish processing for export to green energy initiatives—positions the free zone as a critical hub for sustainable economic growth and regional trade expansion. Smart investors and entrepreneurs should consider leveraging this momentum by aligning with ongoing infrastructure enhancements and the free zone’s increasing connectivity to regional markets.
