Sea Logistics

How SMEs are Driving Growth in the Logistics Sector of Oman?


Logistics is a prominent business sector that gains prolific profits. While considering the business hike of Oman, logistics play a vital role in fostering the country’s economy. The geographical peculiarities of Oman stimulate the smooth running of the logistics business. The extensive coastlines and the location of Oman stand out as an adequate destination for shipments and transportation. Oman became a bridge between Asia, the Indian Subcontinent, and the Arab world and fixes the active movement of trade between these countries.

While tracing the historical phase of Oman, the Sultanate of Oman gave priority to trade and exploration. From ancient times Oman has had a stronger association with the United Kingdom and still, it continues. With the aid of the United Kingdom, the late Majesty Sultan Qaboos Bin Said Bin Taimur Al Said enthroned into power in the 1970s, and later it was succeeded to his successor Majesty Sultan Haitham bin Tariq Al Said. Back from the ancient time the commercial interest of the UK was rooted in Oman, particularly oil and gas. The growth of GDP witnessed immense broadening during this time by the active exchange of petroleum products, gas products(Khazzan). The ties between these two countries become stronger and healthier by the influence of the ruling regime of Oman. 

For stabilizing and escalating the economy of Oman, the Sultanate emphasized the logistics sector. They provide huge investments in the logistics industry and they tried to mold Oman as the hub of the logistics sector. According to the report of the Central Bank of Oman, the logistics sector is traced as the major contributor to the country’s total GDP (4%). By the investing of local and foreign investors and competitions between logistics companies turned Oman into the hub of logistics. The mission of the country (logistic mission 2040) is to open thousands of job vacancies in logistic services and to grade up the economy. After hydrocarbons logistics became the second benefactor of Oman’s wealth.

By the initiation of ICV or In-Country Value program, the Omani government promotes the blooming and expansion of small scale business or Small Medium Enterprises (SME).

Through nourishing SMEs the government can attain the goal of creating jobs, stimulating skills, and empower local distributors for the roundabout progress of the local economy of the country. The ICV is the total spend held in-country for the upliftment of business, investing in human resources, and nourishing the economy of Oman.

For supporting Oman’s local SMEs and business, international companies particularly UK-based companies show priorities to blend with the opportunities that arise from SMEs. A major share of the projects and contracts are dispersed to SMEs, especially to logistics and chain supply management systems.

Oman witnessed the growth and development of Omani SMEs logistics companies that effectively handle end to end logistics and supply demands of customers. With highly equipped infrastructure and skilled employees, the Omani logistics providers are excelled in their field. Most of the (SME) logistics companies in Oman can provide all the necessities to their client with customer retention. Cheap expenditure and cost-effective features, flexible and timely deliveries, tailor-made solutions, and service make the considerable growth of the logistics sector. SMEs rooted their presence in the world markets by cooperating with foreign companies, through swift responses and direct responsibility. Altogether logistics SMEs are perfectly relevant and pertinent for meeting any customer need, with skillful approaches and experience to handle distribution of packages, Customs clearance and transiting of bulk, oversized cargoes.

ALSI for Marine Services LLC is one such Omani SME logistics company offering customs clearance and logistics services. As an…



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