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Oman Vision - Advanced Logistics Services

Oman Vision 2040 — Logistics Transformation

Oman’s Vision 2040 aims to transform the logistics sector into a major economic contributor and global hub through infrastructure development, increased employment, and the adoption of technology. The strategy includes becoming a key logistical link between Asia, Africa, and Europe, creating up to 300,000 jobs, and increasing the sector’s GDP contribution significantly. Key initiatives involve enhancing sea, air, and land transport markets, improving trade facilitation at ports, and promoting the use of advanced technologies.

Key Goals and Strategies

Trade Facilitation

Improve cargo processing systems across land, sea, and air ports to ensure a seamless, technology-driven logistics chain.

Global Logistics Hub

Leverage Oman’s strategic location to serve as a major trade corridor connecting Asia, Africa, and Europe.

Economic Contribution

Raise the logistics sector’s contribution to GDP to become the second-largest contributor after hydrocarbons.

Job Creation

Create up to 300,000 new jobs in the logistics sector by 2040, empowering national talent and reducing unemployment.

Infrastructure Enhancement

Develop and improve national infrastructure, including ports like Duqm and Salalah, and new facilities such as the Khazaen dry cargo port.

Boost Air Cargo

Increase air cargo throughput to 780,000 metric tons by 2030 and 1.5 million metric tons by 2040.

Technological Adoption

Encourage the use of advanced technologies to enhance efficiency, competitiveness, and sustainability in logistics operations.

Examples of Ongoing Initiatives

Port Development

Expansion and modernization of ports such as Salalah and Khazaen Economic City to handle higher cargo volumes and provide new services.

National Transport Strategy

Investment in national highways, freight rail, and public transport to build an integrated, sustainable, and green transport ecosystem.

Oman Rail — National Railway Network

Regional Connectivity & Economic Impact

Oman Rail aims to create an interoperable rail network across the six GCC countries. The network will reduce transport times, create jobs, and support the logistics and industrial sectors as part of the broader Vision 2040 strategy.

Overview

The Oman Rail project is a national railway network connecting key ports, industrial zones and population centres across Oman and linking into the wider GCC network. It is designed for both passenger and freight services and will improve supply chain efficiency, stimulate economic diversification, and support tourism growth.

Dual-purpose Network

Lines are being planned to accommodate both high-speed passenger trains and freight operations, providing flexibility for mixed-traffic corridors.

Technical Features:

  1. Passenger speeds planned up to 200 km/h (120 mph).
  2. Freight speeds planned up to 120 km/h (75 mph).
  3. Double-track design to allow future electrification.
  4. Advanced signalling and modern safety systems.

The Hafeet Rail Project (Oman–UAE)

The Hafeet Rail is a joint venture between Oman Rail and Etihad Rail (UAE). It will build an approximately 303 km link between Sohar (Oman) and Abu Dhabi (UAE). Construction commenced in early 2024, with earthworks and track foundation works underway. The link is expected to significantly reduce travel and freight transit times between the two countries and strengthen regional trade corridors.

  1. Length: ~303 km linking Sohar with Abu Dhabi.
  2. Purpose: Both passenger and freight services to boost trade and tourism.
  3. Status: Construction started in early 2024 (earthworks and foundations progressing). 
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