Tuesday 07 / October / 2025
Amid the major economic transformations unfolding across the region, the Omani–Saudi partnership stands out as a leading model of Gulf industrial integration, one that combines the effective utilisation of natural resources, advanced infrastructure, and ambitious development visions in both nations. This cooperation builds on the deep-rooted historical relations between the Sultanate of Oman and the Kingdom of Saudi Arabia and reflects the wise leaderships’ shared commitment to building a diversified and sustainable economy founded on industry and joint investment.
The mutual recognition of certificates of origin has played a vital role in facilitating the smooth flow of national goods between the two countries, allowing Omani products easier access to the Saudi market, one of the largest regional markets. This milestone opens broad prospects for the Omani industrial sector to expand, grow and strengthen its competitiveness both regionally and internationally.
This industrial integration also complements a series of joint initiatives and programmes in the fields of industry, investment, and trade, positioning itself as a central pillar that empowers the private sector to develop value-added chains, deepen industrial cooperation, and reinforce the two nations’ status as dynamic economic and industrial hubs in the region.
The Sultanate of Oman and the Kingdom of Saudi Arabia enjoy strategic geographic locations that offer integrated opportunities, combining raw materials, advanced logistics infrastructure, and investment capital. As the Kingdom of Saudi Arabia pursues economic diversification beyond oil under Vision 2030, the Sultanate of Oman emerges as a reliable industrial ally and a key supplier to KSA’s industrial sector.
Industrial cooperation between the two countries is driven by several key factors: simplifying customs procedures to reduce time and logistics costs, signing memoranda of understanding to strengthen partnerships in vital sectors, and building regional value chains that ensure the local and regional supply of manufacturing inputs. Together, these measures enhance economic integration and bolster the competitiveness of industrial products.
Engineer Khalid bin Salim Al Qasabi, Director General of Industry at MoCIIP, stated that the ministry is working to enhance industrial ties with Saudi Arabia through strategic partnerships focused on technology transfer and joint supply chains, contributing to growing ICV for both economies and sustainable job creation for citizens. He added that the ministry’s efforts centre on supporting joint projects and facilitating industrial integration between the two nations.
These efforts have materialised through a series of joint initiatives and events aimed at strengthening industrial and trade cooperation between the Sultanate of Oman and the Kingdom of Saudi Arabia. They include a specialised workshop held in December 2024 to address challenges facing Omani exports to the Saudi market, followed by the Omani–Saudi Business Forum in February 2025, which sought to enhance collaboration between business communities in both countries. In May 2025, the fifth meeting of the Omani–Saudi Coordination Council discussed programmes of economic integration, while July witnessed the launch of Phase II of industrial integration in Riyadh. Subsequently, the Saudi trade exports campaign was organised in Oman in August 2025, and virtual meetings between companies took place in September. The sequence of activities culminated in the Omani–Saudi Franchise Exhibition, held from 30 September to 2 October 2025, which served as a key platform to expand joint investment opportunities and foster long-term partnerships.
Continuous coordination also took place with the Kingdom of Saudi Arabia authorities to amend relevant legislation. The Saudi Council of Ministers was briefed on the matter, leading to the issuance of Decision No. (1447-99-303) dated 4 September 2025, by the Governor of the Zakat, Tax and Customs Authority. The decision allows the acceptance of certificates of origin, localisation certificates, and supporting invoices as sufficient documentation, replacing prior requirements under the former rules, based on an agreement between the competent authorities of both countries. It further stipulates that the originating country’s authority must retain all supporting documents in line with national origin regulations.
Recent data from the National Centre for Statistics and Information (NCSI) revealed that Omani industrial exports grew by 39% by the end of July 2025, reaching OMR 733 million, compared to OMR 526 million in the same period of 2024. Meanwhile, the Kingdom of Saudi Arabia exports to the Sultanate of Oman increased by 10% to OMR 762 million by the end of July 2025. Consequently, the total trade volume between the two countries rose by 20%, reaching OMR 1.575 billion, underscoring the strength of bilateral economic ties and the growing demand for Omani products in the Saudi market. This growth also reflects the depth of the strategic partnership and the success of joint initiatives in promoting industrial and trade integration.
Engineer Jassim bin Saif Al Jadidi, Technical Director at the Office of the MoCIIP Undersecretary for Commerce and Industry, stated that adopting national certificates of origin by Omani manufacturers represents a strategic step to strengthen commercial and industrial integration between the two countries.
He explained that this move would facilitate the cross-border movement of goods by reducing re-inspection requirements and eliminating lengthy secondary procedures—thereby cutting time and costs for exporters. It will also help Omani exporters expand their presence in Saudi supply chains, encourage joint investments, and enhance cooperation between the public and private sectors.
Al Jadidi added that the next phase will intensify efforts to implement Phase II of the industrial integration programme, which includes listing products manufactured in both countries under approved industrial capacity registers, ensuring equal treatment for Omani and Saudi companies in government tenders and procurement, and streamlining product registration procedures with regulatory authorities. A fast-track conformity assessment system is also being introduced.
He noted that ongoing efforts are directed toward promoting joint industrial investments, exchange of investment opportunities, and integration across value chains, particularly those tied to free trade agreements and targeted African markets, expanding prospects for bilateral industrial cooperation.
The Omani Industrialists Association welcomed the agreement on mutual recognition of certificates of origin between the Sultanate of Oman and the Kingdom of Saudi Arabia, describing it as a strategic turning point in Gulf industrial cooperation.
Sheikh Dr. Hilal bin Abdullah Al Hinai, Chairman of the Board at Oman Manufacturers Association, said the Omani industrial sector views the Saudi market as a strategic partner and a key export destination. The agreement, he noted, would facilitate smoother product flows and strengthen trade exchange between the two countries.
He added that the agreement will improve trade systems, simplify customs procedures, stimulate local industries and encourage joint investments, especially in supply-chain and industrial integration projects.
Al Hinai emphasised that the agreement aligns with Oman Vision 2040 and Saudi Vision 2030, supporting economic diversification and the establishment of an advanced industrial base. It will also enhance the competitiveness of Omani and Saudi products and create quality employment opportunities within a more integrated Gulf economic framework.
Sheikh Ali bin Hamad Al Kalbani, Head of the Omani side of the Omani–Saudi Business Council, affirmed that the mutual recognition of certificates of origin marks a historic milestone in deepening economic integration between the Sultanate of Oman and the Kingdom of Saudi Arabia. It opens broader heights for national products to access GCC markets more confidently and seamlessly, reflecting the high level of coordination between the competent authorities of both countries and the commitment of their leaderships to creating an integrated economic environment that strengthens competitiveness and supports diversification goals.
He added that the step will simplify administrative procedures, reduce challenges for exporters and manufacturers, and stimulate joint industrial investments in strategic sectors such as manufacturing and supply chains.
Al Kalbani further noted that the coming period will witness tangible growth in trade volumes and investment partnerships, as both countries’ ambitious economic visions are translated into concrete opportunities.
Engineer Dawood bin Salim Al Hadhabi, CEO of the Public Establishment for Industrial Estates (Madayn), stated that the mutual recognition of certificates and rules of origin represents a qualitative leap in industrial and trade cooperation between the Sultanate of Oman and the Kingdom of Saudi Arabia. He noted that the agreement goes beyond simplifying customs procedures,!it provides a strategic framework for building complementary industries that leverage mutual advantages: Oman’s geographical position and major ports complement Saudi Arabia’s market strength and regional scale.
He explained that economic relations have evolved from bilateral coordination to a higher level of production and investment integration, through the inclusion of jointly manufactured products in approved industrial lists and equal treatment in government tenders and procurement. This, he added, enhances investor confidence and opens the door for new industrial partnerships.
Al Hadhabi emphasised that the certificate of origin has transformed from a procedural document into an economic instrument, as its mutual recognition reduces time and costs while improving the competitiveness of national products in regional and global markets.
Sohar Aluminium
Engineer Saeed bin Mohammed Al Masoudi, CEO of Sohar Aluminium, stated that the company is strengthening its partnership with Saudi counterparts by developing low-emission manufacturing technologies and establishing strategic recycling projects, which enhance the sustainability of industrial value chains. He added that mutual recognition of certificates of origin between the two countries marks a qualitative leap that will raise the efficiency of industrial product exchange and ease supply movement, positively impacting both economic and environmental costs while advancing regional industrial integration goals.
Areej Vegetable Oils and Derivatives SAOC
Engineer Salim bin Nasser Al Bartamani, CEO of Areej Vegetable Oils and Derivatives SAOC and a member of the Omani–Saudi Business Council, stressed that mutual recognition of certificates of origin constitutes a strategic step toward strengthening economic and industrial cooperation between the two nations.
He noted that this recognition will directly facilitate the flow of industrial products, expand trade openness, and broaden the base of commercial exchange by streamlining customs and technical procedures, thereby improving supply-chain efficiency and lowering operational costs.
“As industrialists, and particularly in the food manufacturing sector—we see this step as a promising opportunity to increase our exports to the Saudi market and consolidate our presence in regional markets,” Al Bartamani said. He also highlighted the importance of continued joint efforts between the relevant authorities in both countries to sustain these achievements and bolster private-sector confidence in the investment and trade environment. He expressed appreciation to MoCIIP and especially to the Minister for his personal attention in overseeing and implementing the mutual recognition mechanism.
The collaboration between the Sultanate of Oman and the Kingdom of Saudi Arabia demonstrates how strategic partnerships can drive sustainable economic growth through strengthened industrial and trade integration.
The achievements realised in simplifying procedures, improving the flow of goods, expanding trade volumes, and advancing joint public–private initiatives affirm both countries’ capacity to transform economic visions into tangible outcomes.
With continued efforts to enhance industrial integration and develop joint value chains, this partnership stands as a regional model, one that boosts competitiveness, supports investments, and solidifies the Sultanate of Oman and the Kingdom of Saudi Arabia’s position as leading economic and industrial powers in the region.
