LOCAL CONTRACTORS
By increasing their capabilities and quality of services, local contractors will not only win more business but also help Oman reduce its reliance on international players.
What is your approach to localization and adding value to the Omani business environment?
ALI SULEYM AL JUNAIBI Al Ghalbi International seeks to capitalize on our years of experience in Oman, but also to learn from other countries. We are keen to share our knowledge with some international companies and also work for some other as an agency in Oman. Al Ghalbi started as a small company, and step by step we increased our capabilities and quality of services, positioning ourselves as a key player in the industry. In terms of capabilities, we seek to maintain all our operations in-house, including design. This localization approach will help not only our company, but also the whole country to reduce its reliance on international players and services, while at the same time raising the level of our employees. In 1998, when we started operations, there were five employees; today, we have around 760. We want everyone who works for us to feel like they are part of one team. Placing employees at the heart of our organization led to where we are today, and we plan on keeping this strategy in the future.
What is required to reach the standard where Oman is competitive and has a fully integrated supply chain from raw materials to export?
KHALID AL JASMI First, we need excellent planning and need to gather all the information required to determine what materials can be produced for multiple industries and stakeholders to save costs. This will lead to the creation of a new industry that can cater to the demands of different sectors. Then, we need a commitment from these sectors to buy from that new industry. We also need to ensure the costs are low enough to bring competitive prices. Our market is around 5%, which is low. Recently, the US-China trade war affected the price of steel, and it was being dumped in other countries, though not in Oman. That means it is reflecting back on us. Globalization makes the world like a small village because developments in other countries can affect us and we cannot do anything about it. That is where one is cornered and has to go with losses.
How is your future strategy aligned with Vision 2040?
ASAJ Oil will continue to play an important role in Oman's economy for years to come, but it will require new technologies, which we have already started adopting, such as Oxy Free, which we have brought from the UK. It decreases pipe corrosion, prolonging the lifespan of pipes by more than 20 years. We are setting up four more companies under the Al Ghalbi umbrella. One of these companies will be a global company, part of which is a big factory in Oman called Duqm Salt. We have already secured contracts until 2030 with Occidental, PDO, and Halliburton and have started production. We also established a transport company called Al Kadara. We have built two camps and a motel for the staff. We will provide everything including food, service, laundry, Wi-Fi, and TV. In 2020, we are focusing on Duqm and building a 20,000-sqm, five-star hotel there. Everything is in order; we are expecting to find suitable investors and enter the construction phase in the near future. We will later gain approval to use a 30,000-sqm space in Duqm port to build a warehouse. One of the items we plan to store there is salt. Given the scale of the project, we will employ state-of-the-art systems and technologies to ensure efficiency.
What does it mean for Triangle Engineering to be innovative and remain ahead of the curve to jump on the next economic cycle?
KAJ We have been working on an ERP system to reduce our headcount. We have also considered going into automation, as manufacturing and manpower is costly. As such, we have been approaching different companies to bring robotics. Currently, we are still not utilizing around 50% of our capacity in terms of the assets and manpower, so there is no justification to go for robotics. As for sourcing, we are looking at different markets and where we can go to the source long term. The long-term strategy would be to produce on our own instead of sourcing.
LOCAL CONTRACTORS
TABLE OF CONTENTS
Focus: Future foreign policy
Friends to all, enemy to none
In championing the late Sultan Qaboos' non-interference foreign policy, the new ruler of Oman, Sultan Haitham bin Tariq Al Said, is determined to work for friendship and peace, justice and harmony, and coexistence and positive constructive dialogue.
read articleInterview
David Kalife, CEO, Oman Oil Marketing Company (OOMCO)
Despite Oman's fuel market slowing down, OOMCO increased its sales volume of lubricants by 36% in 2019 and is constructing a greenfield bunker terminal at the Port of Duqm. The company has transformed while growing its expertise in Marketing and Digital.
read articleInterview
Azzan Al Busaidi, CEO, Ithraa
Azzan Al Busaidi is an expert in competitiveness and economic growth. He was appointed CEO of Ithraa in 2019 after 17 years spent covering managerial roles in the organization. Al Busaidi was previously Ithraa's director general of planning and studies and is a strong advocate of the potential of digitization. He holds an MBA from the University of Strathclyde and a BSc in Economics from Sultan Qaboos University.
read articleInterview
Qais bin Mohammed Al Yousef, Minister of Commerce, Industry & Investment Promotion & Former Chairman, Oman Chamber of Commerce and Industry
Private Omani companies will be able to benefit greatly from the Fourth Industrial Revolution by enhancing their local value-added strategies and upskilling the workforce.
read articleInterview
Tahir Bin Salim Bin Abdullah Al Amri, Executive President, Central Bank of Oman (CBO)
The Central Bank of Oman's job is to ensure there is adequate liquidity in the system and that banks remain robust and resilient to meet the credit requirements of all segments without undermining financial stability.
read articleB2B
Capital markets
CMA and MSM are supporting Vision 2040 by providing financing to government companies that intend to go public, financing expansion of existing and new IPOs, and widening the investors base in Oman by enhancing and developing the investment funds and insurance industries.
read articleInterview
Khalid Al Balushi, CEO, Khazaen Economic City
International investors and business owners can benefit from Khazaen Economic City's strategic location and its close proximity to the main gateways of the country to import, process, manufacture, distribute locally, and export their goods and services.
read articleFocus: Port 4.0
Destined for greatness
Investments in world-class infrastructure have generated huge rewards for Oman. The goal now is to leverage technology as a disruptive enabler, build human capacity across the public and private logistics sectors, and drive operational efficiencies to build an integrated logistics business environment that is benchmarked against the world's best.
read articleFocus: Gap in tourism services
All bases covered
An amalgamation of local companies and unique experiences in Oman has created an original flavor that is further differentiating Oman's tourism offering from other countries and in the process attracting scores of tourists from all across the world.
read articleB2B
Engineering design
Renardet Engineering Consultants and Design Unit Engineering are recognized experts in their fields. While the former is an international company strongly committed to excellent engineering consultancy services and environmental practices, the latter is an Oman-based team of architects and engineers that incorporates local culture and traditions.
read articleB2B
Construction materials
Oman's construction sector is facing a host of challenges, but Hempel Paints and Al Maha Ceramics are confident that a mix of forward-thinking business models, unique products, and strong government initiatives will help them through turbulent times and generate positive returns in the long run.
read articleInterview
Salim Razvi, CEO, Oman Academic Accreditation Authority (OAAA)
Focusing on higher education institutional accreditation, program accreditation, and the updating and maintaining of the Oman Qualifications Framework, OAAA is helping further advance higher education in the Sultanate.
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