Freezone Sohar signed an Agreement on 16^th November with a consortia comprising of leading South African and Omani companies (Al Nur, Riospan and GWK) to set up a Food Hub in the Logistics Park of the Zone.  

The Agreement was signed on behalf of Freezone Sohar by HE Sheikh Sa’ad bin Mohammed Al Mardhouf Al Sa’adi, Minister of Commerce and Industry and Chairman of the Board, and Mr. Jamal T. Aziz, CEO and for the consortia Mr. James Nelson, CEO of Riospan and GWK and Mr. Mohammed Dhagmoush the Chairman of Al Nur.

The Food Hub in the Freezone Sohar is aimed to grow into a facility to position Oman as a regional food consolidation and distribution centre in the GCC Region and beyond. The geographical location of Sohar positions The Food Hub with a logistics advantage to cater for regional demand and exploit the seasonal differences between the Gulf/ Middle East Region and South Africa for reverse trade.

The Consortium plans to build reefer and temperature controlled warehousing facilities in a phased manner. The project cost – Phase 1 is approximately RO 7 million (USD 18 million). The facility is expected to be operational, by Q1 2013. The project will train and employ local Omani staff.

The Consortium intends to embark on agricultural enhancement programs to uplift agricultural and processing practices in the Batinah Region to world-class standards. In conjunction, agricultural training and educational programs are being planned. Such programs aim to deliver significant knowledge transfer, job creation, balance of trade improvements and food security to Oman, as well as enhancing the value proposition of the Food Hub.

Freezone Sohar Logistics Park is in the heart of the Greater Sohar Industrial Zone (So called Gateway Sohar) encompassing the Port of Sohar, Sohar Airport, Freezone Sohar, Industrial Estates, rail and expressways. Gateway Sohar is strategically located outside the State of Hormuz with modern road and (future) rail connections into major industrial/ commercial centers in the Upper Gulf Region. Specifically the Port of Sohar is characterized by terminals managed by world renowned operators such as Hutchison Wampoa of Hong Kong for container handling.

This development will also create new jobs in the agro processing and logistics section for previously disadvantage upcoming farmers in South Africa

About Sohar Free Zone LLC: Sohar Free Zone LLC (SFZ); a duly incorporated legal entity under Commercial Companies Law of sultanate of Oman has been authorized for the development, operation & maintenance of 4500 hectares of earmarked Free zone area. Sohar Free Zone LLC is incorporated by Sohar International Development Company LLC (a joint venture between the Government of Oman, The Port of Rotterdam of The Netherlands) and SKIL Infrastructure of India.

The zone is being developed in phases as a multi-product zone. To date a number of international, GCC and local clients have already signed up or reserved land to establish various projects in the Freezone.