Saudi, Oman ties open door for businesses to explore opportunities

Web Desk BOL News

20th Sep, 2021. 01:12 pm

JEDDAH: More Saudi businesses are actively exploring investment opportunities in Oman; following the recent reciprocal visits of Saudi and Omani top officials, Arab News reported.

The visits have given a new impetus to the bilateral ties and slammed open doors of new opportunities for both countries in various sectors.

Among a long list of such businesses are Al Sayadiyah United Co. and Luberex Co. for Trade and Industry, which are reportedly in talks with their Omani counterparts to expand into the sultanate.

Marwan Raffa, CEO of the Kingdom-based Al Sayadiyah United Co., said the company has been operating for about 40 years. It trades in fish and seafood items from different Gulf Cooperation Council countries and expects a very good experience in trade operations with Oman.

The CEO is in touch with Oman’s counterparts to expand business operations in the country.

He said the Kingdom’s relationship with other countries, of course, would affect his line of work. “Good relationships open up more opportunities,” he said.

Oman’s coasts and beaches are no less than 3,000 km long. He said it is a great and fruitful place for his business.

“The location of the Sultanate of Oman in the south of the Arabian Peninsula and its coasts overlooking the Indian Ocean in the south and the Arabian Sea in the east, with a length of more than 3,000km, makes it a treasure trove of marine life and an excellent and rich source of seafood,” he said.

Al Sayadiyah has 12 restaurant branches in the kingdom, 10 in Jeddah and two in Riyadh. Ali Al-Attas, CEO of Luberex Co. for Trade and Industry. His company makes car oil in Oman.

“We want to open a market in Oman and neighboring countries,” Al-Attas told Arab News.

He said manufacturing in Oman has high-quality outcomes. “Oman’s manufacturing quality is well known, just as Saudi Arabia’s industrial manufacturing.”

“Its process for investment is easy as well,” he added. Luberex was established in 2016 and manufactures all types of car oils in Oman, and manufactures more items such as paint spray and rust remover in Riyadh.

Their annual turnover is $3 million-$5 million, and they are looking to be listed on Tadawul. Oman’s Sultan Haitham bin Tariq recently visited Saudi Arabia during which the two sides agreed on several initiatives including boosting Saudi investments in Oman’s Duqm region, cooperation in the energy, food, culture, sports, and tourism sectors.

Saudi and Omani businessmen are also considering setting up a joint venture specialised in petrochemicals and chemicals, Argaam reported recently.

The report quoted Nasser Al-Hajri, chairman of the Saudi-Oman Joint Business Council as saying, “Saudi businessmen are looking for major investments in Oman’s industrial, petrochemical, chemical manufacturing, fish farming, mining, food, animal feed, tourism and real estate sectors.

The proposed name of the joint venture is “Gulf Company.”

Saudi businessmen are keen on investing in Oman, provided they get better incentives and facilities, Al-Hajri said.

The trade volume between the two countries amounted to more than SR2 billion ($533 million) in the first quarter of 2021.

The number of Saudi investors in Oman has reached 1,235 whereas 320 Oman companies have so far invested in various sectors in the kingdom.

Currently, the total Saudi investments in Oman amount to nearly SR24 billion and Omani investments have reached over SR4 billion.

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