Sohar Freezone announces expansion plans to meet growing demand
This expansion is expected to generate significant economic benefits, including an additional 2.5 million tons of throughput annually, over USD 5 billion in investments, and 500 hectares of leasable land. It will create 300-700 jobs and increase revenue from land leases and local trade, boosting the region's GDP. Over 85% of project components will be supplied by local contractors and suppliers, supporting in-country value. The expansion will begin with the General Design Services Package, followed by construction to deliver new leasable land for businesses and tenants.
The expansion of SOHAR Freezone gains powerful momentum with the issuance of Royal Decree No. 38/2025 by His Majesty Sultan Haitham, which enacts the Law of Special Economic Zones and Free Zones following its presentation to the Council of Oman. This new law strengthens the legal and regulatory environment, making Oman's free zones more competitive and attractive for foreign investment. As SOHAR Freezone advances its expansion, it is set to become a powerhouse of industrial growth and trade, unlocking new opportunities for manufacturing, logistics, and innovation, reinforcing Oman's role as a vital gateway to the world.
Mohamed Al Shizawi, Acting CEO SOHAR Freezone, VP People and Support Services, stated 'This expansion is a key step in enhancing our capacity to support the region's economic growth. As Oman advances towards the goals of Vision 2040, we are committed to building the infrastructure and economic zones that will attract global investments and talent. By strengthening our position as a business hub, we aim to contribute to Oman's long-term economic development and create shared opportunities for growth and prosperity.'
Strategically positioned at the crossroads of global trade routes between Asia and Europe markets, SOHAR Port and Freezone has attracted over USD 30 billion in investments to date. The freezone features a unique integrated complex with a single management structure, allowing for seamless flow of business and a bonded corridor between the port and freezone, with a transit time of only 14 minutes for goods.
SOHAR Freezone serves a diverse range of industries, providing essential services including warehousing and logistics, petrochemicals, general trading, automotive logistics, plastics, chemicals and metals. This comprehensive service positions the freezone as a vital center for both local and international businesses, fostering an environment conducive to growth across various sectors.
SOHAR Freezone is dedicated to driving economic diversification and fostering a prosperous future for the people of Oman. The expansion not only showcases a vibrant ecosystem of fully operational businesses alongside extensive construction activities but also emphasizes a commitment to sustainability and digitalization. By integrating innovative practices and
sustainable solutions, SOHAR aims to enhance supply chain efficiency and solidify its role as a key player in Oman's economic landscape, ensuring long-term benefits for local communities and businesses alike.
About SOHAR Port and Freezone
As one of the fastest-growing ports in the world, SOHAR Port and Freezone continues to leverage on its strategic location and enhance its services, positioning itself as a key logistics hub within the region and across the world boasting container, liquids, dry and break-bulk terminals. A powerful combination of the expertise of the Port of Rotterdam and ASYAD Group, it is earmarked as one of the Sultanate's mega-projects, home to logistics, petrochemicals, and metal clusters, as well as the region's first dedicated agri terminal. Today, after 20 years of operation, it serves as the main gateway for import and export in Oman, directly contributing 2.1% of the country's GDP and almost 36,000 direct and indirect employment opportunities. With a focus on sustainable development and cutting-edge technology, it is leading the development and modernization of the Sultanate's logistics infrastructure and supporting the economic diversification objectives of Oman's 2040 Vision.
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