Free Zones are an eye-catching factor for investors to start a business in GCC countries. These zones bring international business to certain areas and countries as they’re tax free zones.

It’s the perfect spot to start a business in Oman for international investors due to the availability of free zones. If you plan to expand Oman’s business then opt for the free zones of Oman. Follow this guide to give an overall idea related to the company formation in Oman’s free zone.

The Sultanate has four free zones focusing on the growth of different activities and business sectors. This zone imports raw materials, assembling, processing, storing, packaging, exporting finished products and warehousing products. Oman’s free zones are:

• Salalah Free Zone
• Al Mazunah Free Zone
• Sohar Free Zone
• Duqm SEZ

These Free Zones are categorised based on business support and sectors. One must select a zone as per their business and industry needs. Here are four free zones in Oman:

Al Mazunah Free Zone

Founded in 1999 and located close to the Yemeni border, making the Gulf gateway to enter East African countries and the Republic of Yemen. This zone is usually a hub to service, commercial and industrial sectors.

Salalah Free Zone

Generally, this free zone provides solutions to businesses to expand their business into Africa, Middle East, Asia and Southern Europe. This location is an attractive destination because of low cost in utilities, labor and infrastructure.

Sohar Free Zone

This has the 4,500 hectare deep-sea port attracting US$26 billion and is the fastest growing port of the world. It has the responsibility to manage Oman’s National Food Reserve.

Duqm SEZ

Future’s biggest economic zones lay in Duqm SEZ. The area has 1,745 sq.km with the zone divided into eight sub-zones with different grounds of investments like sea-port, industries, dry-dock, fisheries and tourism.

Take a look at the benefits you avail by starting a company in Oman.

• 100% ownership
• No minimum requirements of share capital
• No corporate tax for ten years
• No duties gets imposed on export and import procedures
• At least 5 years of lease
• Trade starts at Oman without any local agent

The investor must follow these process to incorporate a business in Oman’s free zone:

• Application form
• Submit the Plot
• Get agreement on Commercial terms
• No Objection Letter submission – at Ministry of Environment and Climate Affairs
• Clearing due diligence process
• Choose a plot and get its approval
• Pay the license fee, incorporation fee and lease
• Certificate of Incorporation has to be collected
• Signing the lease agreement

• Investors’ name along with the country of origin
• Plot size to set up a business
• Business Plan with Capital Investment
• Figurative representation of complete employee generation
• Electricity and Water requirements (totally)
• Contact details of Investor
• Projected cargo volume

• Activities Fee

Business Registration- OMR 1,050-1,550

Logistics or Commercial License- OMR 385 (annually)

Manufacturing Or Industrial License- OMR 385 (annual)

Two-Year Visa – OMR 201

Note : Cost listed above are approximate cost which may change time to time To summarize the overall information, we may say that Oman free zones head towards progress and are a great platform for investors to invest their money in. These locations can be established for start-ups to expand their business to nearby countries.

You can talk with business consultants who are well-versed with Oman’s legal regulations and business setup processes. This can incorporate an entity at a hassle-free way and faster pace.