Freezone Sohar is spearheaded by Sohar Industrial Development Company, a joint venture between the Government of Oman, the Port of Rotterdam in The Netherlands and SKIL Infrastructure in India.

Freezone Sohar, along with other initiatives, such as the expansion of the Port of Sohar and investments in a deepwater jetty to support a huge iron ore pelletising plant by Brazilian giant Vale, will further accentuate the industrial port's importance as a driver of economic growth in the Batinah region.

Development of the 4,500-hectare zone is planned in four phases. Envisaged in the first phase, covering an area of 500 hectares, are a number of downstream industrial and petrochemical ventures, warehousing and logistics services, and so-called 'soft' investments, such as educational, medical and other service-related amenities. A master-plan drawn up for Phase 1 of the Freezone Sohar project envisions investments organised into the following clusters: Trading & Logistics (121 hectares), Light Manufacturing (68 hectares), Petrochemicals (26 hectares), Aluminium activities (18 hectares), Iron & Steel (100 hectares), Cement grinding (7 hectares), and Education & Services (20 hectares).

Operating from a strategic location on the Arabian Peninsula, Freezone Sohar offers an ideal environment for business growth. The combination of wide market access, sound global logistics and attractive business incentives ensure that your company will enjoy the ultimate freedom to do business.

Please click here to download Freezone Sohar map phase 1.

Incentives for Business

Attractive incentives ensure that doing business at Freezone Sohar is both investor friendly and lucrative.

This includes

• 100% foreign ownership
• Free repatriation of capital and profits
• Corporate Tax Holiday for 10 years, with possibility to extend this period depending upon criteria based extension (e.g. level of Omanisation)
• No personal income tax
• No currency restrictions
• No duty on imports and exports
• Sales to Omani market allowed on payment of 5% duty
• No minimum capital requirements
• All permits and consents to be granted by One-Stop-Shop operated by the Freezone Sohar authority
• Relaxation in level of Omanisation (“Omanisation” refers to the induction of local Omani population in the workforce).
• Extension of the corporate tax holiday period may be considered for increased Omanisation levels as an additional incentive. Therefore education and training schemes are encouraged.

Making Business Easy

The One Stop Shop (OSS)takes care of major administrative obligations related to the start-up of your company at the Freezone Sohar.  Offering ease, speed and transparency, the OSS serves as a pivotal intermediary between yourself and government agencies.  The services include:

• Organising the legalities of company establishment and arranging the specific permits required
• Identifying, planing and executing the relevant important governmental obligations so that set-up can proceed smoothly.
• Arranging joint meetings with utility and service providers

The Expression of interest helps us to better understand your business and evaluate your project proposal. Please click here to download the form.

Please click here to download Freezone Sohar information and benefits.

Vale and the Deep Water Jetty

Vale Industrial Complex at Port of Sohar

The Port of Sohar is now entering into the next phase of expansion. During this phase, a pelletizing plant and iron ore distribution centre will be built by the Brazilian mining giant Vale. A large deep-water jetty will be constructed capable of receiving the next generation of Very Large Ore Carriers of 400.000 dwt.

Berge Stahl (currently the largest Bulk Carrier in the world, 364.000 DWT)

The Largest Iron Ore Company in the World
VALE will bring iron ore from their ports in Brazil to Sohar and in Sohar steel pellets will be produced for the region.  In addition, Sohar will also function as the distribution centre for iron ore to be exported to the Middle East, India and Africa.

The strategic location outside the Strait of Hormuz and near emerging markets combined with the fact that Oman is a country with a stable and advantageous environment to develop business are the main reasons for Vale to choose the Port of Sohar for its expansion in the Middle East.

A Bulk Jetty for the future
The Port of Sohar’s access to deep water means that the pelletizing plant and distribution centre can connected with the rest of the world by a large deep water jetty. Related marine infrastructure will be provided by the Government of the Sultanate of Oman and the Port of Rotterdam.

The 600 metre long jetty platform is connected to the shore by way of a 700 metre long trestle. The jetty platform consists of a import location of 400 metres and two export locations with a total length of 600 metres. In addition the depth of the existing approach channel will increase from 18,5 metre to a depth of 23 metres and a new harbour basin with a berthing pocket of 25 metres in front of the jetty.
Vale’s presence will further boost the development of the bulk and steel cluster in the port, next to the petrochemical and logistical cluster.

Location of Deep Water Jetty at Port of Sohar

Facts and Figures