Oman envoy regrets drop in trade

Says Muscat has introduced new laws, privileges and facilities for foreign investors

KARACHI:

The trade volume between Pakistan and Oman has descended from $650 million to $250 million due to Covid-19, lamented Oman Consul General Muhammad Nasser Hamed Al Mabsali.

Speaking to businessmen during his visit to the Karachi Chamber of Commerce and Industry (KCCI) on Friday, he termed it necessary for the two Muslim countries to make collective efforts to boost their economies by exploring bilateral trade opportunities.

“We need to explore business and investment opportunities in both countries to meet the desired goals and achieve economic growth by promoting trade and investment in the agriculture, industrial, technological, real estate and tourism sectors,” he said.

Urging the business community to invest in Oman, the consul general informed the participants that new laws, privileges and facilities had been introduced for foreign investors.

The most important one is the grant of investor visa to businessmen for a period of five to 10 years.

He called it a suitable time for investors to fully benefit from the incentives as the ports of Sohar and Duqm were ready. Investors of both countries should contact each other and join hands to utilise and link those ports to the Gwadar Port, he emphasised.

The consul general pointed out that 11 industrial estates, four economic zones and two technological parks were available for foreign investment in Oman.

“Gwadar Port is undoubtedly a game changer and it can play a vital role in strengthening ties between the two countries when it is linked with the ports in Oman,” he said, adding that Oman planned to become the global logistics hub by 2040.

Speaking on the occasion, KCCI President Muhammad Idrees stated that the existing bilateral trade volume needed to be enhanced by exploring new avenues of trade and investment cooperation.

“There are a number of commodities in which the two countries can increase trade,” he said.

He cited that in 2020 Oman imported $1.13 billion worth of telephone sets from other countries whereas Pakistan exported around $16.73 million worth of such products to different countries.

“Trade between Pakistan and Oman in these products does not exist,” he lamented.

Iron ore and concentrates, turbo jets, propellers and other gas turbines, pumps for liquids, polymers of ethylene, electric generating sets and rotary converters and curtains are some of the commodities that are not being traded by the two countries.

Idrees stressed the need for establishing Oman-Pakistan Joint Business Council (JBC) in order to step up trade and economic relations between the two countries.

A memorandum of understanding (MoU) had been signed in that regard, but there had been little progress, he said.

“Moreover, Special Economic Zones being set up under the China-Pakistan Economic Corridor (CPEC) can provide an ideal opportunity for Omani investors to consider Pakistan for investment and joint ventures, particularly in the food sector,” he said.

“Oman can enhance economic cooperation with Pakistan as there are bright prospects for investment in the industrial, livestock, energy, agriculture and information technology sectors.”

The KCCI president urged the two nations to cooperate in the blue economy and promote tourism through a ferry service.

“Poultry is a market that Pakistan can tap as the country produces surplus poultry products,” he said.

Idrees believed that Pakistan could benefit tremendously from Oman’s technological advancement in the oil sector.

“Pakistan is constantly upgrading its infrastructure to increase LNG imports in a bid to alleviate its energy shortage. Oman can capitalise on this opportunity to increase its energy exports,” he suggested.

Private sectors of both countries must work in tandem to exploit the untapped potential for mutual benefit. For that purpose, there should be frequent exchange of trade delegations, he added.

Published in The Express Tribune, March 5^th, 2022.

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