WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 22 
 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(1) INTRODUCTION  
1. Since 1 January 2003, Oman has been applying the GCC common external tariff (CET), 
which consists of rates of zero (9.4% of all lines) and 5% (88.8%).  On alcoholic beverages, tobacco 
and tobacco products, and pork and pork products, Oman applies a 100%  tariff (1% of lines);  and a 
minimum import price also applies to tobacco and tobacco products.  Oman's applied average MFN 
tariff rate is 5.5%, i.e. 9.9% in agriculture (WTO  definition), and 4.6% on non-agricultural products.  
Oman bound 100% of its tariff lines at rates ranging up to 200%, and averaging 13.8% (i.e. average bound rates of 28% on agricultural products, and 11. 6% on non-agricultural goods);  this leaves 
margin for applied tariff increases. 
2. The documentation for all imported products must be authenticated by the Consulate of Oman 
or representative, or any Arab Embassy in the count ry of origin.  Oman encounters some difficulties 
in implementing the provisions of the GCC cust oms law based on the WTO Agreement on Customs 
Valuation.  Non-tariff measures are maintained  on a limited number of products (imports and 
exports), mainly for health, security, moral, and re ligious reasons.  Oman is harmonizing its regime on 
standards and technical regulations at the GCC level. 
3. The Government of Oman has a strong influence on the economy, mainly through various 
state-owned companies, such as Petroleum Development Oman, Oman Telecommunications 
Company, and Oman Air.  Recognizing the need to  increase efficiency, redu ce the pressure on public 
revenue, and promote private-sector participa tion in the economy, Oman is implementing a 
privatization programme. 
4. Oman has adopted the GCC Treaty provisions  on contingency trade remedies.  Its 
government procurement regime provides for price pr eferences of 10% for local products and 5% for 
GCC products.  Oman has no competition legislation per se .  It is to enact new laws on, inter alia , 
intellectual property rights, a prerequisite for the entr y into force of its bilateral trade agreement with 
the United States. 
(2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(i) Registration and documentation 
5. All companies must be registered with th e Commercial Registration Department under the 
Ministry of Commerce and Industry (MOCI) for a fe e ranging from RO 33 to RO 1,500;  registration 
is valid for five years.  Importers and exporters  are also required to join the Oman Chamber of 
Commerce and Industry (OCCI), and pay an annual me mbership fee ranging from RO 33 to RO 625.  
In addition, there is a municipality fee of RO 25 to RO 100.1  
6. All imports into Oman, except those of low pecuniary value (up to RO 1,000) and those 
intended for own use, must be accompanied by, inter alia , a commercial invoice, a bill of lading 
(airway bill for air cargo and sea bill for sea car go), and a certificate of origin (if required).  
Commercial invoices and certificates of origin must  be authenticated by an Omani Consulate or 
representative (any Arab Embassy) in the country of  origin before the goods are exported to Oman.  
In the event that the documents are not certified,  the goods may still be cleared after inspection by 
                                                      
1 All the registration fees depend on, inter alia , the capital of the compan y (Ministry of Commerce and 
Industry, 2003). Oman WT/TPR/S/201/Rev.1 
 Page 23 
 
 
Customs, payment of duties, as assessed by the Directorate General of Customs, and a deposit of 
RO 20 in cash.  This deposit is reimbursed if the required documents are submitted within 90 days.2 
7. Product-specific documentation in the form of phy tosanitary certificates are also required for 
some imports of plants or plant origin, such as pl ywood, timber, rice, fruits, plants, and seeds;  while 
health permits are needed for so me foodstuffs (e.g. biscuits, chocolates, soft drinks, tea, coffee 
powder).  In addition, veterinary permits ar e required for all animal s and animal products 
(sections (v) and (vii)). 
(ii) Customs procedures and valuation 
8. Since the launch of the GCC customs union on 1 January 2003, Oman has been applying the 
GCC Common Customs Law, and its Rules of Implementation and Explanatory Notes, through 
Sultani Decree No. 67/2003.3  Under the "single port of entry" principle, items imported into Oman 
(or any other GCC State), and destined for anothe r GCC market, are subject to customs duty only at 
the first point of entry into the GCC.  Customs procedures and the required documentation are the same for all GCC members.
4 
9. According to the authorities, on average, cleara nce of goods takes ten minutes, regardless of 
the mode of transportation, and provided everythi ng is in order, including the documentation.  On 
average, about 2% of all imports are subject to inspection procedure.  Inspected goods are randomly 
selected on the basis of a recently established risk  management system (e.g. type, description, and 
value of goods).  Importers in Oman are not require d to use a commercial agent.  Oman has notified 
the WTO that it has no laws or regulations on preshipment inspection.5 
10. Oman is in the process of automating all local customs activities relating to the movement of 
goods from and to Oman (e.g. exports, imports, coll ection of customs duties, inspection, transit, 
warehousing, and refund), with the aim of allo wing traders to complete the necessary customs 
procedures in a few hours and effectively.  Cu rrently, almost all Customs in Oman are fully 
automated. 
11. According to the authorities, Oman is impl ementing the WTO Customs Valuation Agreement 
(CVA), on the basis of Sultani Decree No. 67/2003.  However, it has yet to make the relevant 
notification to the WTO Committee on Customs Valua tion (CCV), including its current legislation on 
customs valuation.6  Moreover, it still maintains minimum import price on products such as tobacco 
and tobacco products.  Oman notified the CCV that , as from 9 November 2000, it applies both the 
Decision on Treatment of Interest Charges in th e Customs Valuation of Imported Goods and the 
Decision on Valuation of Carrier Media Beari ng Software for Data Processing Equipment.7  Oman 
has reserved its rights under Annex III, paragraphs  3 (concerning reversal of sequential order of 
                                                      
2 Royal Police online in formation.  Viewed at:  http://www.rop.gov.om/English/dg_customs 
_importing.asp. 
3 Common Customs Law of the GCC States.  Viewed at:  http://library.gcc-sg.org/English/enew01.htm. 
4 For a description of the GCC customs procedur es, see GCC online information.  Viewed at:  
http://www.gcc-sg.org/GCC-Customs/gcc_cu01e.html.   
5 WTO document G/PSI/N/1/Add.10, 19 July 2004. 
6 Oman notified its national customs valuation law in WTO document G/VAL/N/1/OMN/1, 
25 January 2001, but has not yet notified its adoption of the GCC Common Customs Law. 
7 WTO document G/VAL/N/3/OMN/1, 19 January 2001.  On this basis, only the cost of the carrier 
medium itself is accounted for in the customs value. WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 24 
 
 
Articles 5 and 6), and 4 (to apply Article 5.2 whether or not the importer so requests).8  Customs 
tariffs are levied on the c.i.f. value of imports. 
12. To settle customs valuation and classification disputes, an operator may appeal to the 
Directorate General of Customs under the Royal Oman  Police (ROP);  then to the Inspector General 
of Police and Customs, also under the ROP;  to the Minister of Finance;  and lastly to the Omani 
Court of Arbitration.  According to the authorities, there have been no disputes recently. 
13. Oman is a member of  the World Customs Organization. 
(iii) Rules of origin 
14. Under the GCC customs union, products are generally considered as originating from the 
country where they are wholly obtained or where th ey underwent substantial transformation, with at 
least 40% of local value-added.  The country of orig in should be written clearly for import clearance.   
15. Oman's preferential rules of origin are also generally based on a value-added content 
criterion, but may vary according to  the agreement.  For products imported from the Pan Arab Free-
Trade Area (PAFTA), local value-added of at least 40% is required in order to qualify for preferential 
treatment, while under the bilateral trade agreement with the United States, local value-added of at 
least 35% will be necessary.9 
16. There have been no disputes or complaints in th e WTO regarding Oman's rules of origin.  It 
has made one notification to the WTO Committee on Rules of Origin.10  
(iv) Tariffs, other duties, and taxes 
(a) MFN applied tariffs  
17. Oman's relatively simple MFN tariff comprises 7,101 lines;  all rates are ad valorem , and 
there are no tariff quotas, or other duties and charges on imports (Table III.1).  Oman's tariff is based 
on the GCC's CET, which consists of two rates:  zero (9.4% of all lines) and 5% (88.8%) (Chart III.1).  
Oman applies a 100% tariff (1% of the lines) on im ports of alcoholic beverages, tobacco and tobacco 
products (also subject to minimum import prices) , and pork and pork products.  Duty-free items 
include agricultural raw materials and basic food  products, pharmaceutical  products, and other 
products such as certain papers, books and magazin es;  unwrought precious metals;  vessels;  and 
airplanes. 
Table III.1 
Structure of MFN tariffs, 2008 
(Per cent)  
 2008 
1.   Bound tariff lines (% of all tariff lines) 100 
2.   Duty-free tariff lines (% of all tariff lines) 9.4 
3.   Non- ad valorem  tariffs (% of all tariff lines) 0.0 
4.   Tariff quotas (% of all tariff lines) 0.0 
5.   Non- ad valorem  tariffs with no AVEs (% of all tariff lines) 0.0 
Table III.1 (cont'd) 
                                                      
8 WTO document WT/Let/3 68, 22 December 2000. 
9 The bilateral trade agreement with the United States only stipulates specific "yarn forward" rules of 
origin for textiles. 
10 WTO document G/RO/N/32, 30 April 2001. Oman WT/TPR/S/201/Rev.1 
 Page 25 
 
 
 2008 
6.   Simple average tariff rate 5.5 
Agricultural products (WTO definition)a 9.9 
Non-agricultural products (WTO definition)b 4.6 
Agriculture, hunting, forestry and fishing (ISIC 1) 3.9 
Mining and quarrying (ISIC 2) 4.9 
Manufacturing (ISIC 3) 5.6 
7   Domestic tariff "spikes" (% of all tariff lines)c 1.1 
8.   International tariff "peaks" (% of all tariff lines)d 1.1 
9.   Overall standard deviation of applied rates 9.6 
10.   "Nuisance" applied rates (% of all tariff lines)e 0.0 
a WTO Agreement on Agriculture definitions. 
b Excluding petroleum. 
c Domestic tariff spikes are defined as those exceeding three times the overall simple average applied rate (indicator 6). 
d International tariff peaks are defined as those exceeding 15%. 
e Nuisance rates are those greater than zero, but less than or equal to 2%.  
Source:   WTO Secretariat calculations, based on data provided by the Omani authorities.  
(9.4)(88.8)
(1.0)
01,0002,0003,0004,0005,0006,0007,000
Duty free 5% 100%0102030405060708090100
The figures in brackets correspond to the percentage of total lines. They do not add to 100% due to prohibited items 
for which tariff data were not provided.
WTO Secretariat calculations, based on data provided by the Omani authorities.Chart III.1
Breakdown of applied MFN tariff rates, 2008
Number of tariff lines
Note:
Sourc e:Percentage
Number of lines 
(left-hand scale)
Cumulated percentage (right-hand scale)
 
18. Oman's overall average MFN applied tariff is 5.5%.  The coefficient of variation is 1.7:  the 
modal rate is 5% and a few items are subject to the zero rate or tariffs of 100% (Tables III.2 and 
AIII.1).  On the basis of the WTO definition, tari ffs average 9.9% in agriculture, and 4.6% on non-
agricultural products.  Using ISIC (Revision 2) definition, the least tariff protected sector is agriculture with 3.9%, followed by mining and quarrying (4.9%), and manufacturing (5.6%). WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 26 
 
 
Table III.2 
Summary analysis of the applied MFN tariff, 2008  
Applied 2008 rates Analysis No. of 
lines No. of lines 
used Simple avg. 
tariff (%) Range tariff 
(%) Std-dev 
(%) CV Imports 
2006a 
(US$ million)
Total 7,101 7,076 5.5 0-100 9.6 1.7 10,897.8 
By WTO definitionb              
Agriculture 1,119 1,108 9.9 0-100 23.5 2.4 1,165.4 
Live animals and products thereof 145 145 19.5 0-100 36.9 1.9 182.5 
Dairy products 33 33 5.0 5.0 0.0 0.0 195.9 
Coffee and  tea, cocoa, sugar, etc. 250 249 5.2 0-100 10.7 2.1 254.0 
Cut flowers and plants 64 58 4.5 0-5 1.5 0.3 4.7 
Fruit and vegetables 265 265 3.5 0-5 2.3 0.7 145.2 
Grains 22 22 0.5 0-5 1.5 3.2 131.2 
Oil seeds, fats, oils and their products 90 87 9.2 0-100 20.1 2.2 90.8 
Beverages and spirits 63 63 29.0 0-100 41.7 1.4 96.6 
Tobacco 20 20 100.0 100.0 0.0 0.0 31.8 
Other agricultural products 167 166 5.1 0-100 10.7 2.0 32.8 
Non-agriculture (excl. petroleum) 5,948 5,934 4.6 0-5 1.3 0.3 9,227.7 
Fish and fishery products 165 165 3.2 0-5 2.4 0.7 20.9 
Mineral products, precious stones, and 
precious metals 461 456 4.7 0-5 1.1 0.2 387.3 
Metals 728 728 5.0 5.0 0.0 0.0 1,714.5 
Chemicals and photographic supplie s 1,249 1,248 4.5 0-5 1.5 0.3 775.2 
Leather, rubber, footwear, and travel 
goods 212 204 5.0 5.0 0.0 0.0 147.3 
Wood, pulp, paper and furniture 428 428 4.6 0-5 1.4 0.3 336.9 
Textiles and clothing 980 980 5.0 0-5 0. 3 0.1 199.9 
Transport equipment 233 233 4.4 0-5 1.6 0.4 2,847.9 
Non-electrical machinery 633 633 4.6 0-5 1.3 0.3 1,973.2 
Electrical machinery 310 310 3.8 0-5 2.1 0.6 580.3 
Non-agricultural articles n.e.s. 549 549 4.7 0-5 1.3 0.3 244.4 
By ISIC sectorc        
Agriculture, hunting, forestry and fishing 430 417 3.9 0-100 9.9 3.1 304.5 
Mining 123 121 4.9 0-5 0.8 0.2 193.8 
Manufacturing 6,547 6,487 5.6 0-100 4.9 1.0 10,224.7 
By stage of processing        
Raw materials 831 818 4.4 0-100 9.8 2.2 680.4 
Semi-processed products 2,120 2,117 4.8 0-5 1.0 0.2 1,832.5 
Fully-processed products 4,150 4,141 6.0 0-100 11.7 2.0 8,210.2 
a The total of imports is higher th an the sum of sub items as US$174.7million are not classified in the HS. 
b 34 tariff lines on petroleum products are not taken into account. 
c International Standard Industrial Classification (Rev.2).  Electricity, gas, and water are excluded (0 tariff line). 
Note: CV = coefficient of variation. 
Source : WTO Secretariat estimates, based on data provided by the Omani author ities;  and imports 2006 from UNSD, 
 Comtrade database. 
19. On aggregate, Oman's tariff displays positiv e escalation, from first-stage processed products, 
with an average tariff of 4.4%, to semi-finished goods, with an average rate of 4.8%, and fully 
processed products, on which tariffs average 6%.  This escalation stems from the lower applied tariffs (on average) on agricultural raw materials.  At a mo re disaggregate level, there are mixed results:  in 
some industries (e.g. textiles and apparel, wood pr oducts, and non-metallic mineral products) tariffs 
are uniform from the first to the final stage of pro cessing (Chart III.2);  otherwise, tariff escalation is 
mixed (negative from the first to the second stage, and then positive) in th e food, beverages, and 
tobacco industry, reflecting the high rates on tobacco and spirits.  Escalation is negative in chemicals Oman WT/TPR/S/201/Rev.1 
 Page 27 
 
 
and plastics, and in the paper, printing and publishi ng industries, and other manufacturing because of 
duty-free imports of pharmaceuticals and certain books. 
0.02.55.07.510.012.515.0Chart III.2
Tariff escalation by ISIC 2-digit industry, 2008
Per cent
Sourc e: WTO Secretariat estimates, based on data provided by the Omani authorities.
All products
Food,
beverages,
and  tobacco
Textiles,
apparel
Wood products
Paper, printing,
and publishing
Chemicals ,
plastics
Non-metalli c
minera l
products
Basic meta l
products
Fabricated meta l
products
Other
manufacturin gNOT APPLICABLEAgriculture
MiningRaw materials Semi-processed Fully processed
NOT APPLICABLE
 
(b) MFN bound tariffs 
20. Upon its accession to the WTO, Oman bound 100% of its tariff at rates ranging up to 200% 
(on animal products;  and beverages and tobacco) and averaging 13.8%, i.e. average bound rates of 
28% on agricultural products, and 11.6% on non- agricultural goods.  The overall average MFN 
applied tariff, at nine percentage points lower th an the bound rate, presents an element of uncertainty 
as it gives the authorities some margin for increasing applied MFN tariffs.   
(c) Other duties and taxes 
21. Oman does not apply other duties and taxes.  It bound other duties and taxes at zero. 
(d) Duty concessions and exemptions 
22. Oman grants tariff exemptions on raw materi als, machinery, and equipment imported for 
local factories under the Local and GCC Industri es Laws.  In addition, duty concessions may be 
granted selectively to certain industries or compan ies on imports necessary for their operational use.  WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 28 
 
 
Duty-free imports are also allowed for, inter alia , international organizations , diplomatic missions, the 
armed forces, police, and charity institutions.11 
23. Duty concessions are also granted to  exporters (section (3)(iv) below). 
24. Tariff concessions and exemptions are specific to each GCC member and may therefore differ 
from one State to another. 
(e) Tariff preferences 
25. In principle, all products from GCC members circulate free of duty across the customs union.  
With the exception of tobacco and alcoholic produc ts, which are excluded from Oman's preferential 
arrangements, imports originating from the other members of PAFTA enter Oman duty-free, provided 
that the goods meet the respective origin criteria.  Preferential treatment will apply to products from 
the United States once the bilateral trade agreemen t enters into force (section (2)(iii) above). 
(v) Import prohibitions, restrictions, and licensing 
26. Under the GCC Common Customs Law, each GCC state determines its own list of prohibited 
or restricted products, although members are developi ng a common list.  Imports that are prohibited in 
some GCC member states and permitted in others must  not transit through the states in which they are 
prohibited. 
27. In Oman, absolute import prohibitions are maintained for various reasons, including 
international conventions, security, health and safet y, moral, and religious considerations.  They 
cover, inter alia , narcotics, weapons, media products, and food products containing alcohol, pork, 
lard, and their derivatives (Table III.3). 
Table III.3 
Prohibited imports, 2008 
HS code Product description Justification Institution 
01066910 Camels To preserve Omani camel breed (camels 
entering for race purposes excepted) MOCI 
06022010 Date seedlings Article 22 of the Unified Agriculture 
Quarantine Law.  Prohibit the import of 
plants that may contain agricultural pests 
(i.e. dates red mite) Ministry of Agriculture 
10063000 Rice carrying the trade ma rk (Jibal Dhorfar) Utilization of the brand Jibal Dhorfar 
without the corresponding licence MOCI 
19011000 Infant milk Polluted with botulism Ministry of Health  
20082005 Food stuffs with no indication in Arab ic Not conforming with Oman standards MOCI 
65059060 Omani Kumma (with Royal emblem) The Royal emblem, the State emblem, and 
pictures of the Sultan are prohibited on any local or imported products Sultani Decree 
No. 53/2004 
84212300 Oil filters not conforming with Omani 
standards Health reasons DG on Specification and 
Measurements 
84213100 Air filters not conforming with Omani 
standards Health reasons DG on Specification and 
Measurements 
85161000 Water heaters not conforming with Omani 
standards Health reasons DG on Specification and 
Measurements 
Table III.3 (cont'd) 
                                                      
 11 Section VIII of the Common Customs Law of GCC States specifies the agencies and goods exempt 
from duty, such as the diplomatic corps, military forces , personal effects, imports by charitable societies, and 
returned goods. Oman WT/TPR/S/201/Rev.1 
 Page 29 
 
 
HS code Product description Justification Institution 
95030000 Ornaments and toys  containing inflammable 
liquids Health reasons MOCI 
.. Any product carrying the name of God, 
Koranic verses or any religious expression Religious reasons MOCI 
.. Ben material (lambool) Pollutes the environment and destroy 
landscape MOCI 
.. Used tyres and retreated Health reasons DG on Specification and 
Measurements 
.. Weapons, and fireworks and explosives Security reasons MOCI and Royal Oman 
Police 
.. Toy arms and other devices the Inspector 
General of Customs deems easily transformable into fatal arms Health reasons MOCI and Royal Oman 
Police 
.. Rhinoceros horn Conserve world environment (international 
prohibition) MOCI 
.. Vehicles with steering wheels removed from 
the right to the left side Security reasons Royal Oman Police 
.. Aromatic cosmetics mainly composed of 
ethanol Not conforming with Oman standards MOCI 
.. Raw organic and natural fertilizers Hea lth reasons Ministry  of Agriculture  
.. Any drugs or substances or articles or 
preparations declared harmful by the International Conference on Opium and 
Drugs Health reasons Ministry of Health 
.. Any newspaper, pamphlet, notice, book or 
photography containing materials meant to 
arouse violence against the government and 
against moral and public principles Health reasons Royal Oman Police 
.. Food products containi ng alcohol, pork, lard, 
and their derivatives  Religious reasons Royal Oman Police 
.. Not available. 
Source: Information provided by the Omani authorities. 
28. Oman notified the WTO Committee on Impor t Licensing Procedures that it was 
implementing the WTO Agreement on Import Licens ing Procedures through Ministerial Decision 
No. 71/2000.12 Oman also notified that it maintains no import licence requirements.13 Most import 
restrictions maintained by Oman are on safety, health, religious or moral grounds, and apply to, inter 
alia, beer and alcohol products, tobacco, and organic fertilizers (Table III.4).  Goods subject to these 
restrictions must be accompanied by cer tificates from the relevant authorities. 
Table III.4 
Restricted imports, 2008 
HS code Product description Justification Institution 
12110000 Herbal products imported from Indonesia Contain harmful substances, such as phynel 
biltason Ministry of Health 
2203 and 
2208 Beer and alcohol products:  may only be 
imported by registered importers with a permit from the Royal Oman Police Religious reasons Royal Oman Police 
24030000 Tobacco  Religious reasons Royal Oman Police 
30020000 Serums, genetical ly modified immune 
products, vaccines Health reasons Ministry of Health 
Table III.4 (cont'd) 
                                                      
12 WTO document G/LIC/N/1/OMN/1, 20 February 2001.    
13 WTO document G/LIC/N/3/OMN/2, 1 April 2005.    WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 30 
 
 
HS code Product description Justification Institution 
31010000 Organic fertilizers,  mixed or chemically 
treated Could contain pests, such as snake eggs Ministry of Agriculture  
35030010 Animal gelatinous gel Health reasons Ministry of Agriculture  
580790000 Chevrons and military decorations  Security reasons Royal Oman Police 
61010000 Military uniforms and suits Security reasons Royal Oman Police 
65037000 Remote controlled aircraft Security reasons Royal Oman Police 
90220000 X-Ray (alpha/beta/gama) instruments even 
if for medical and veterinary purposes Environment protection and combating 
pollution Ministry of Environment 
90221990 Other sources of rays Environment protection and combating 
pollution Ministry of Environment 
95081000 Moving-circus animals Health reasons Ministry of Agriculture  
.. Laser pointers Security reasons MOCI 
.. Fishing boats Security reasons Ministry of Fisheries  
.. Radio transmitting and receiving sets and 
wireless telegraph devices:  may be imported with approval from the 
Telecommunications Regulatory Authority Security reasons Ministry of Transportation 
and Communication 
.. Not available. 
Source: Information provided by the Omani authorities. 
29. Food, plant, and animal imports that are restricted for health reasons must be accompanied by 
sanitary and phytosanitary certificates from the expor ting country.  Imports of food products must be 
accompanied by a certificate declaring them to be free of radiation and dioxin (section (vii)(b) below).  In addition, pharmaceutical products must be imported directly from manufacturers with research 
departments, and the products must be licensed in the country of manufacture and in at least two GCC 
countries other than Oman, one of which must be Saudi Arabia. 
(vi) Contingency trade remedies 
30. Oman notified the WTO that it has no national laws or regulations relevant to the WTO 
Agreements on Anti-dumping, on Subsidi es and Countervailing, and on Safeguards.
14 However, it 
adopted the provisions on contingency trade remedi es contained in the GCC Treaty through Sultani 
Decree No. 39/2006;  the implementing regulations ha ve yet to be finalized.  Oman has never taken 
anti-dumping, countervailing or safeguard measures. 
(vii) Standards and other technical requirements 
(a) Standards, metrology, testing, and certification 
31. Oman accepted the TBT Code of Good Practice on 18 December 2000.15  The National 
Enquiry Point and Information Centre (NEPIC), under  the Directorate General for Specifications and 
Measurements (DGSM) of the MOCI, is the enquiry point.16  The DGSM is responsible for 
standardization, metrology, testing, quality cont rol and quality assurance, conformity assessment and 
certification, and accreditation activities.17 
                                                      
14 WTO document G/ADP/N/1/OMN/1, G/SCM/N/ 1/OMN/1, G/SG/N/1/OMN/1, 10 April 2001. 
15 WTO document G/TBT/CS/2/Rev.12, 17 February 2006. 
16 WTO document G/TBT/ENQ/30, 22 June 2007. 
17 The DGSM was established under Sultani Decree No. 39/1976;  its duties and functions were defined 
by Sultani Decree No. 1/1978. Oman WT/TPR/S/201/Rev.1 
 Page 31 
 
 
32. Oman is harmonizing its technical regulations and standards at the GCC level.  GCC-wide 
standards may be proposed/initiated by a body in a member country, and are processed through the 
technical committees of the Gulf Standards Organi zation (GSO), which is based in Riyadh, Saudi 
Arabia.  The proposal requires support from most member countries in order to be included in the 
GSO work programme.18 Once approved, GSO standards are circulated to all GCC member states for 
adoption.  In general, GCC and Omani standards ar e based on international standards.  According to 
the authorities, Oman develops technical regulations and standards at the national level only if there is 
a pressing need.  All standards and most technical  regulations are processed by the DGSM;  any 
proposed technical regulation or standard is exam ined by one of the seven technical committees under 
the DGSM19, which has nine months to approve, finali ze, and adopt it.  All draft standards and 
technical regulations are made available for public comments for at least 60 days20, before they are 
adopted.  A Ministerial Decision is required for a standard to become compulsory (technical 
regulation).  Technical regulations are published in the Official Gazette .  Technical regulations and 
standards normally enter into effect after six m onths, unless an emergency situation requires this 
period to be reduced.   
33. As of February 2008, Oman had 3,178 sta ndards in place, of which 3,120 based on GCC 
standards as formulated by GSO;  72 were compulsory standards (e.g. on cars, tyres, toys, food items, construction materials, and electrical appliances).   
34. All mandatory standards in Oman apply equa lly to locally produced and imported products 
(Table AIII.2).  Non-food products are given au tomatic entry to Oman on the basis of a 
Manufacturer's Declaration of Conformity Assessment Certificate, supported by a test report verified 
by the DGSM;  in parallel, some samples are co llected unless a mutual recognition agreement is in 
place.  Imported products that are not covered by certificates are released temporarily and their samples tested.  Oman has concluded mutual rec ognition agreements with Egypt, Jordan, Syria, 
Turkey, and Yemen. 
35. Under Oman's product certification scheme
21, manufacturers may apply to use the Omani 
quality certification mark on one or mo re of their products.  The one-year renewable licence to use the 
mark is granted by DGSM, after inspection and t esting to verify that the product complies with 
applicable Omani/GCC/international or other approved standards.  Licensees are subject to periodic 
inspection and assessment by DGSM during the period of  the licence.  Up to 2006, 6,401 conformity 
certificates had been issued (e.g. on food products, cars, tyres, cement, tooth brushes);  nine product 
certification mark licences were granted in 2006.  DGSM has five laboratories for testing products 
related to physical and construction materials, gene ral chemicals, food chemicals, microbiology, and 
domestic electrical appliances.  In addition, the DGSM manages the national metrology laboratory for 
legal and industrial metrology activities22;  7,488 samples were calibrated by this laboratory in 2006. 
                                                      
18 Draft standards are circulated to  the technical committee members an d other stakeholders in the GCC 
countries. 
19 These are:  Omani Codex Committee for Food;  Technical Committee for Building Materials and 
Construction;  Technical Committee for Oil and Gas;   Technical Committee for Mechanical and Metallic 
Products;  Technical Committee for Electrical and Electronic Products;  Technical Committee for Chemical 
Products and Textiles;  and Technical Committee for Metrology. 
20 In case of urgency, the period of sixty days may be reduced. 
21 Ministerial Decision No. 130/2001. 
22 Sultani Decree No. 38/1974 for replacing all mass measuring units used in Oman with kilograms and 
its multiples/submultiples;  Sultani Decree No. 15/1975 for replacing all measurement units in Oman;  and Sultani Decrees Nos. 74/1990 and 34/1995 on the National Law for Measurement System and Legal Metrology. WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 32 
 
 
36. In 2004, the accreditation section was set up at the DGSM with the aim of formulating and 
operating internationally accepted accreditation system s for:  testing and calibration laboratories, 
certification bodies, inspection bodies, and certificati on and inspection of personnel.  GSO, together 
with national standardization bodies of the G CC, is in the process of establishing a Regional 
Conformity Assessment System (RCAS), which w ould also cover accreditation, with the support of 
the Joint Accreditation System of Australia and New Zealand. 
37. In addition to standards, all precious metals, jewellery, and gemstones, whether imported or 
locally produced, must be hallmarked under Sulta ni Decree No. 109/2000.  The gold hallmarking 
scheme is operated by the DGSM's precious metal assaying laboratory. 
38. Oman has made 32 TBT notifications since becoming a WTO Member.  The most recent 
notification relates to draft technical regulations  on legal metrology requirements for pre-packaged 
products.23  
39. Oman is a member of the Arab Centre for Standardization and Metrology in the Arab 
Organization for Industrial Development and Mini ng (AIDMO);  and is a full member of the 
International Organization for Standardization (IS O), and the Internationa l Organization of Legal 
Metrology (OIML).  Oman has also signed MOUs  on technical cooperation in standardization, 
quality, and metrology with Egypt, Jordan, Syria, Turkey, and Yemen. 
(b) Sanitary and phytosanitary measures 40. The national enquiry point under the WTO SPS Agreement is the NEPIC.
24  The Directorate 
General of Animal Wealth (DGAW) and the Directorate General of Agricultural Development 
(DGAD), under the Ministry of Agriculture (MA), are the authorities on SPS matters, including food 
safety, and plant and animal health. 
41. Since 2004, Oman has been applying the GCC Laws on Veterinary Quarantine and Plant 
Quarantine.25  Imports, exports, and dom estic production of plants and animals are subject to 
inspection by the quarantine section of the MA, wh ich also examines and issues SPS certificates for 
all agricultural products prior to their export.  All imports of plants must be accompanied by 
agricultural clearance certificates issu ed by the appropriate authorities in the country of export.  
Phytosanitary certificates are also required for imports  of agricultural seeds, plants, plant parts, and 
plant products. 
42. A health certificate and prior permission from the DGAW are required to import live animals 
from all countries, including GCC countries.  Health  certificates are required for all birds;  cats and 
dogs may be imported from all countries, but must be accompanied by a health certificate from the 
competent authority stating that the animal is free from rabies. 
43. Imports of foodstuffs of animal origin, includi ng milk and milk products, are inspected by the 
DGAW to ensure that they are free from physical or  visible contaminants, and must be accompanied 
by a certificate declaring them free of radiation and dioxin.  Municipal officials are responsible for the 
inspection of domestic products.  All consignments that are imported for the first time are analysed 
before release.  Results are assessed against GCC and Codex Alimentarius standards to ensure that 
imported food items are safe for hum an consumption.  Unfit foodstuffs are rejected at the port of 
                                                      
23 WTO document G/TBT/N/OMN/32, 20 March 2008. 
24 WTO document G/SPS/ENQ/22, 9 October 2007. 
25 Sultani Decrees Nos. 45/2004 and 47/2004.  The Regulations of the Plant Quarantine Law were 
issued through Ministerial Decision No. 32/2006. Oman WT/TPR/S/201/Rev.1 
 Page 33 
 
 
entry;  they are either destroyed or returned to the country of origin (the decision is left to the 
importer).  According to the authorities, the same treatment applies to locally produced foodstuffs. 
44. Poultry and poultry products from countries affected by Avian Flu are prohibited.26  Bovine 
imports from Europe and Japan are prohibited on grounds of bovine spongiform encephalopathy 
(BSE).  Imports of wild and ornamental birds are prohibited from all countries.  Oman also currently 
has a ban on imports of live animals from certain countries due to Rift Valley Fever.27 
45. Oman has made 26 SPS notifications since becoming a WTO Member.  The most recent 
notification refers to a draft technical regula tion on "fortification" of  foodstuffs in Oman.28  All SPS 
measures are published in the Official Gazette .   
46. Oman is a member of the World Organization for Animal Health (OIE), the International 
Plant Protection Convention (IPPC), and Codex Alimentarius.29 
(c) Marking, labelling, and packaging requirements 47. Oman is updating its packaging and product la belling standards on the GSO norms.  Some 
GCC standards, in particular shelf-life standards,  have been criticized for being too restrictive.
30  In its 
accession to the WTO, Oman committed to eliminate mandatory shelf-life standards for "shelf-stable 
foods", establish regulations and procedures in line with international norms for highly perishable 
refrigerated food products, and re place remaining shelf-life requirements with a science-based 
regulatory framework.31  Recently, shelf-life standards were updated at the GCC level.  As a result, 
mandatory shelf-life is now stipulated only for perishable food products and baby food, while voluntary shelf-life standards apply to other food products. 
48. Labels must be in Arabic and in any other language (in addition), although a small number of 
products with labels only in E nglish may be approved, on a case-by-case basis, for marketing test 
purposes.  Food labels must contain product names, production and expiry dates, country of origin, 
name and address of the manufacturer, net contents in  metric units, list of ingredients and additives in 
descending order of importance, lot identification,  and instructions for storage and use (where 
applicable).
32 
49. As an Islamic country, Oman has strict ma rking and labelling requirements for meat and 
poultry products, including that the product was sla ughtered according to Islamic halal procedures, if 
so required.  Packaged fresh or frozen meat and poultry must also carry the following information:  
bilingual labelling, of which one language must  be Arabic;  country of origin;  production 
(slaughtering or freezing) and expiry dates, including th e name of the month;  shelf life of the product;  
metric net weight;  and product identification.  Pr e-packaged processed meat and poultry must be 
accompanied by production and expiry dates as well as the net weight of the product. 
                                                      
26 Some of these countries are:  Bangladesh, Croa tia, Czech Republic, Germany, Ghana, Greece, Korea 
(Rep. of), Macedonia (FYR of), Malaysia, Romania, Saudi Arabia, Togo, and Turkey. 
27 These countries are:  Burundi, Congo, Eritr ea, Ethiopia, Kenya, Malawi, Mozambique, Rwanda, 
Somalia, Saudi Arabia, South Africa, Sudan, Tanzania, Uganda, Yemen, Zambia, and Zimbabwe. 
28 WTO document G/SPS/N/OMN/26, 22 February 2008. 
29 WTO document, G/SPS/GEN/49/Rev.8, 9 October 2007.    
30 WTO (2007). 
31 WTO document WT/ACC/OMN/26, 28 September 2000. 
32 GCC Technical Regulation No. 9 of 1995. WT/TPR/S/201/Rev.1 Trade Policy Review 
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(viii) Government procurement 
50. The main legal instruments relating to govern ment procurement are the Government Tender 
Regulations33, and the Unified Rules Granting Preferen ces in Government Purchases to National 
Products and Products of GCC Origin.34  Tendering is required for all purchases by ministries, 
government departments/agencies, and fully-state-owned companies, with the following exceptions:  
(i) purchases by the Royal Court35, Royal Oman Police, Ministry of Defence and Defence Forces;  
(ii) emergency situations for up to RO 10,000, s ubject to approval by the Chair of the procurement 
unit in the Ministry/Department in charge36;  and (iii) extreme cases for up to RO 25,000, subject to 
approval by the relevant Minister.   
51. Government procurement is supervised by a high-level Tender Board (TB), an independent 
authority not attached to any ministry or depart ment.  The TB announces, processes, and awards all 
contracts over RO 250,000;  it is assisted by va rious tender committees.  Contracts for government 
purchases of up to RO 250,000 are announced, examin ed, and awarded by internal tender committees 
within ministries.  However, they must inform the TB in advance. 
52. There are two categories of tender procedures:   local tenders or international tenders 
depending on the type of goods and services.  In ternational tenders are used whenever goods and 
services are not available locally or are available but under limited competition.  Local or international tenders may be with  or without prequalification.  The prequalification selection is 
undertaken by ministries through open tendering proce dures, subject to approval by the TB.  Local 
tenders are open to bidders and companies regi stered with the MOCI, the Oman Chamber of 
Commerce and Industry, and with the TB.  Successful international bidders ar e required to enrol in 
the Commercial Registration Department of the MO CI and become members of the OCCI within 
30 days of the award of the contract. 
53. In general, tender notices must be published in  well-spread local newspapers, and in the 
Official Gazette  for purchases of at least RO 500,000.  No tices may also be announced on radio and 
television, and on the TB's website.
37  Bidders are requested to be present at the opening of bids, and 
interested parties may view the process on the TB 's website.  Tender oppor tunities are published in 
Arabic and English.  Contract award notices are published online.  Successful bidders are required to 
provide a performance bond (5% of the va lue of the contract) as a guarantee.38  Unsuccessful bidders 
are not informed;  they may appeal to th e TB, and ultimately to the Omani courts. 
54. Sultani Decree No. 64/1984 and the Unified Rul es provide for price preferences of 10% to 
products of Omani origin, and of 5% to those originating from other GCC states. 
55. The TB awarded over 2,000 tenders during 2003- 07, mostly related to the construction of 
schools, health centres, medical care, electricity, water, water treatment, pavements, and landscapes. 
56. Oman is an observer to the WTO Plurilate ral Agreement on Government Procurement. 
                                                      
33 Sultani Decree No. 86/1984, 28 October 1984. 
34 Ministerial Decision No. 18/1987. 
35 The municipality of Muscat falls under the Royal Court.  All other municipalities are under the 
Ministry of Regional Municipalities and Water Resources. 
36 In emergency cases, quotation by at least three supp liers is required.  Direct purchases are allowed 
when quotation is not possible. 
37 The TB's website address is:  www.tenderboard.gov.om. 
38 A bid bond of 2% of the value of the contract is compulsory;  it is reimbursed. Oman WT/TPR/S/201/Rev.1 
 Page 35 
 
 
(ix) Local-content requirements 
57. Oman has not notified any trade-related inv estment measures (TRIMs) to the WTO.  
According to the authorities, Oman does not apply any local-content requirements. 
(x) Other measures 
58. Oman does not apply any sanctions apart from t hose adopted by the United Nations Security 
Council, or regional organizations of which it is member.  No official countertrade or offsetting 
arrangements, or agreements designed to influe nce the quantity or value of goods and services 
imported by Oman are currently in force.  The authorities indicate that no agreements have ever been concluded with foreign governments or foreign firm s to restrict exports to Oman.  Oman does not 
maintain any compulsory reserve stocks, and has never taken any measures for balance-of-payment 
purposes. 
(3) M
EASURES DIRECTLY AFFECTING EXPORTS  
(i) Registration and documentation 
59. Exports (like imports) may only be carried out by companies or individuals who are 
registered with the Commercial Registration Department of the MOCI, and are members of the OCCI.  
Documents required for exports include the commercia l invoice and a certificate of origin stamped by 
the OCCI.  Additional documentation may be requi red by the Directorate General of Customs for 
exports of products that are restricted, e.g. if they  are subject to permits from the relevant ministries. 
(ii) Export duties and taxes 
60. According to the authorities, Oman does not apply any export duties and taxes. 
(iii) Export prohibitions and restrictions 
61. Oman prohibits exports of antiques, ancient manuscripts, and Marie Theresa rials.  Export 
restrictions apply to date seedlings39, and to  three species of fish (lobster, abalone, and shark) during 
the breeding and reproduction seasons when fish ing is not allowed (Chapter IV(2)(iii)).40  In addition, 
export permits are needed for locally mined or quarried products (Chapter IV(3)(i)). 
(iv) Export subsidies, finance, insurance, and assistance 
62. Oman has notified the WTO that it does not grant or maintain any subsidy within the meaning 
of Articles 1:1 (definition of a subsidy) and 2 (specificity) of the Agreement on Subsidies and 
Countervailing Measures, nor any subsidy that operated directly or indirectly to increase exports from 
or reduce imports into its territory within the me aning of Article XVI:1 (subsidies in general) of 
GATT 1994.41 
                                                      
39 Importation and exportation of date seedlings are subject to control (risk analysis). 
40 Lobster, abalone, and shark are species in danger  of over-exploitation in Omani waters.  Permission 
to export these species during the restricted period may be obtained from the Ministry of Fisheries provided the 
exporter is a registered Omani comp any performing fish trade, and ho lding a licence from the competent 
authority. 
41 WTO document G/SCM/N/123/OMN, 8 March 2005. WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 36 
 
 
63. Duty concessions are granted under the re-export or transit regimes.42  Importers using the 
import for re-export regime make a deposit or provi de a bank guarantee in lieu of the payable duty;  
the guarantee is refunded/released on proof of re-e xport.  Goods that can be re-exported are:  
(i) imports not withdrawn from customs warehouses (at air and sea custom offices only);  (ii) imports 
to be exported that have been granted a temporary release, for up to six months, against a bank or cash 
guarantee;  (iii) imports under the temporary entry sch eme to be re-exported;  and (iv) goods put in 
warehouses.  If the goods are sold in Oman instead of being re-exported, th e appropriate duties are 
levied.43 
64. Duty refund is allowed under Article 16 of th e Executive Supplementary Notes to the GCC 
Customs Law.  It permits exporters to recover the duty paid on their imported products once the 
product is re-exported from Oman.  Th e qualifying conditions include:  that the exporter is also the 
original importer of the product;  that the original c. i.f. value of the re-exported goods is not less than 
RO 5,000;  that the goods are re-exported within one year of payment of the import duty, in the same 
condition as when they were imported;  and that the exports are not restricted under Omani Law, 
unless prior permission is obtained from the relevant au thority.  Proof is required that the goods being 
exported are identical to the goods that were imported. 
65. The Export Credit Guarantee Agency (ECGA)  promotes Omani exports mainly through44:  
Export Credit Insurance (ECI), Pre-shipment Export Credit Guarantee (PECG), Post-shipment Financing (PF), and Domestic Credit Insurance (D CI).  In 2007, ECGA's export credits totalled 
RO 236.7 million, up from RO 208.2 million in 2006 .  Exports of consumer  products received over 
one third of ECGA's total credit insurance suppor t, followed by industrial products (35.7%), 
construction (13.1%), fisheries (13.1%), and agriculture (2.3%). 
66. The ECI offers shipment and contract polici es to cover risks of non-payment by foreign 
buyers (e.g. insolvency of the buyer, non-paymen t of goods accepted by the buyer, and the buyer's 
failure to accept the goods), and political risks, su ch as changes in the trad e policies in the buyer's 
country, and war and other disturbances that could aff ect the settlement of debts.  Under the shipment 
policy, credit insurance is effective once the goods  are shipped;  the contract policy applies to 
specially designed goods made at the request of the buyer.
45  In both cases, Omani exporters are 
covered for up to 80% of loss from commercial risk s and 85% from political risks;  where the buyer 
fails to accept the goods, the exporter bears the firs t 20% and ECGA pays the remaining 80%.  ECGA 
also advises exporters on credit worthiness of oversea s buyers, and guides the exporters on their credit 
collection and recovery of bad debts.46  The PECG, mainly aimed at small-sized exporters, issues pre-
shipment credit guarantees to commercial banks on behalf  of exporters with insured credit in order to 
assist them in obtaining pre-shipment fina ncing facilities to purchase raw materials, 
process/manufacture, and pack goods to be exporte d.  Under the PF, commercial banks grant post-
shipment advances at a reduced interest rate of  7% maximum per year to  exporters for up to 
                                                      
42 Merchandise received on a "through-bill-of-lading" , for a destination outside Oman and dispatched 
overland, is cleared on a "transit bill".  A deposit or guarantee is required by the Directorate General of 
Customs, and is refunded on proof of exit of the goods from Oman.  If the consignment is dispatched by sea, 
directly from the port (ship-shore-ship or ship-to- ship), the goods are cleared on a transhipment bill. 
43 Royal Police online information.  Viewed at:  http://www.rop.gov.om/english/dg_customs 
_rexporting.asp. 
44 The Export Guarantee and Financing Unit (EGFU) became the ECGA in 1999.  In June 2002, the 
ECGA was transformed into a joint-stock company under the supervision of the Ministry of Finance. 
45 Under the shipment policy, goods are standard, easily marketable.  Under the contract policy, goods 
are catered for a specific market, with co ver commencing from the date of contract. 
46 Export Credit Guarantee Agency (2007). Oman WT/TPR/S/201/Rev.1 
 Page 37 
 
 
180 days.47  The PECG and the PF are available only to  ECI holders.  The DCI, introduced in 
September 2003, and available to exporters with in sured credit, provides additional protection against 
the risk of protracted default and insolvency of  domestic buyers, and to ease exporters' cash flow 
constraints and liquidity problems.48  
(v) Free zones  
67. Oman has two free zones:  the Al Mazuna free zone (AMFZ) inaugurated on 
24 November 199949, and the Salalah free zone (SFZ) est ablished under Sultani Decree 62/2006.50 
Under the Free Zones Law and its rules and regulations51, the incentives provided include:  a lease for 
30 years (renewable for another 30 years);  100% fo reign ownership;  duty-free imports of all raw 
materials and capital goods;  no minimum capital i nvestment requirement;  no taxes on profits or 
dividends for 30 years;  no tax on personal income ;  minimum Omanization requirement level of 10% 
instead of the standard level of 35% for industrial projects;  and flexible customs procedures.  Bonded 
warehouses may also be used for storage, provi ded certain customs procedures are fulfilled.  
According to the authorities, no distinction is made  between locally and foreign-owned companies in 
respect of access to the free zones or bonded warehou ses.  The relevant customs duties must be paid 
on sales of products from the free zones on the GCC market (including Oman).  Up to 30% of free-
zone production can be sold on the domestic market , i.e. at least 70% must be exported.   
68. The SFZ issues five types of licences:  (i) general trading licences allow holders to import, 
export, distribute, and store all items as provide d for by the free zone rules and regulations;  
(ii) trading licences permit holders to import, e xport, distribute, and store items specified on the 
licence;  (iii) industrial licences allow holders to import raw materials, carry out the manufacture of 
specified products, and export the finished product;  (iv) service licences permit holders to carry out 
the services specified in the licence, within the free zone52;  and (v) national licences are designed for 
manufacturing companies with at least 51% GCC ownership or shareholding, and minimum value-
added of 40%.53 Goods produced by companies that meet both the 51% GCC ownership and 40% 
value-added criteria are considered as Omani and ar e not subject to the 30% limitation and their sales 
on the domestic market are not treated as imports.  In all cases, sales in Oman must be carried out 
through a distributor or any company based in Oman  that holds a valid trade licence with the same 
business activity. 
                                                      
47 Exporters are required to meet the value-added re quirement of at least 40% for exports to GCC and 
GAFTA countries, and 25% for exports to other countries (Ministry of Commerce and Industry online information.  Viewed at: http://w ww.brunet.bn/php/kharti/invest1.htm). 
48 The DCI is considered as an extension of ECI b ecause the benefits the exporters derive apply to 
domestic sales as it provides protection against risks of non-payment from domestic buyers against goods supplied on credit. 
49 The AMFZ, located about 260 km from the Salalah Port and near the Yemen border, is not very 
active given its land-locked situation, but it is the most important trade access between Oman and Yemen.  The AMFZ is managed by the Public Establishment for Industrial Estates (PEIE), and contains 22 businesses and an 
exhibition area over 450 ha (Ministry of Commerce and Industry, 2005b). 
50 The SFZ is at the port of Salalah, 18 km south of Salalah city.  The SFZ is being developed in 
various phases over an area of 2,000 ha and, when completed, will have up to 4.4 million twenty foot equivalent 
unit (TEU) per year capacity.  It will provide a mix of i ndustrial, warehousing, logistics, office facilities, retail 
outlets, resort, and residential space.  Operations permitte d in the SFZ are:  trading, distribution, warehousing, 
assembling, processing/packaging, logistics, and services  (Salalah Free Zone online information.  Viewed at:  
http://www.sfzco.com;  and Ministry of Commerce and Industry, 2003). 
51 Sultani Decree No. 56/2002. 
52 The type of service must conform to the pa rent company's licence issued by the economic 
department or municipality of the relevant region in Oman. 
53 National licences allow the holder the same status as a local GCC company inside Oman. WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 38 
 
 
(4) MEASURES AFFECTING PRODUCTION AND TRADE  
(i) Incentives 
69. Oman offers various investment incentives to national and foreign investors.   Their purpose 
is to encourage investments, in order to promot e the country's development objectives, including the 
regional development programme;  and introdu ce new industries, products, and technologies.54 
70. In addition to import duty concessions (section (2)(iv)(d) above), other general incentives 
available, to national and foreign investors include :  exemption from tax on profits for five years 
(renewable for another five years);  long- term use of land at favourable rates55;  subsidized electricity, 
water, and natural gas for production56;  and soft loans for up to ten years, with a moratorium period 
of up to three years, at a subsidized interest rate .  Both new and expansion projects in manufacturing, 
agriculture, fisheries, tourism, education, and health  are eligible for soft loans provided by the Oman 
Development Bank (ODB). 
71. The ODB, 100% government-owned, is Oman's primary financial development institution.57  
It grants soft loans to all projects.  The loans must not exceed 100% of the paid-up capital of the 
project if it is located in the Muscat area (except Qu riyat), and 130% of the capital if it is outside.  In 
all cases, the maximum loan is RO 1 million, for a peri od of up to ten years.  ODB charges an interest 
rate of 9% per year (6% is subsidized by the gove rnment and 3% is payable by the borrower), with 
flexible grace periods (of up to two years)  and repayment terms (of up to ten years). 
(ii) Competition policy and price controls 
72. Oman has no competition legislation per se , but Article 33 of Sultani Decree No. 38/2000 
gives protection against unfair competition. 
73. Oman has no specific legislation on price contro ls.  Nonetheless, certain products, such as 
gas, petroleum, electricity, and water, as well as some services (e.g. telecommunications), are subject to price controls (Chapter IV(3) and (5)).  In ge neral, the Government sets maximum prices for these 
goods and services and the companies ad just their prices accordingly. 
                                                     
 
54 Ministry of Commerce and Industry online info rmation.  Viewed at:  http://www.brunet.bn/php/ 
kharti/invest1.htm. 
55 Oman offers land in the four industrial estates of Rusayl, Raysut, Sohar, and Nizwa at RO 0.25 per 
square meter/year for the first five y ears, and thereafter at RO 0.5 per squa re meter/year.  The land is initially 
leased for 25 years, renewable up to 99 years on comple tion of the initial lease period.  The maximum size of a 
plot in the industrial estates is 4,500 square meters.  If a bigger area is required, adjoining plots can be leased 
together (Ministry of Commerce and Industry online inform ation.  Viewed at:  http://www.brunet.bn/php/kharti/ 
invest2.htm). 
56 Electricity for industrial purposes is charged at RO 0.024 per kWh from May to August, and 
RO 0.012 per kWh from September to April;  water costs RO 0.003 per gallon;  and the price of natural gas is 
RO 0.0205 per cubic meter (Ministry of Commerce and Industry online inform ation.  Viewed at:  
http://www.brunet.bn/php/kharti/invest2.htm). 
57 The ODB was established in April 1997 as a public joint-stock company by merging the 
Development Bank of Oman (founded in 1979), and Oman Agriculture and Fisheries Bank (founded in 1981).  
In March 2006, ODB became a Société Anonyme  through Sultani Decree No. 18/2006 (ODB online information.  
Viewed at:  http://www.odboman.net/history.htm). Oman WT/TPR/S/201/Rev.1 
 Page 39 
 
 
(iii) State trading, state-owned enterprises, and privatization 
74. The public sector is one of the largest empl oyers in Oman and has a direct and strong 
influence on the economy, mainly through the Government, municipalities, and state-owned 
enterprises (SOEs).  The State still fully owns companies such as Oman Refinery Company, 
Electricity Holding Company, and Oman Development Bank, while it has substantial shares in others 
(e.g. Petroleum Development Oman, Oman Tele communications Company, and Oman Cement 
Company).   
75. Privatization is part of the government progr amme aimed at:  diversifying the economy and 
expanding the production base;  boosting the role of  the private sector;  promoting competition;  
enhancing the efficient use of resources;  re ducing public liabilities;  increasing employment 
opportunities for Omanis;  encouraging foreign invest ment;  and attracting new technologies.  Oman's 
privatization programme, which started in 1988, has been cautious, and there have been a few 
setbacks.58  As a result, Oman enacted a new Privatiz ation Law in July 2004 to better manage the 
privatization process.59  The privatization programme has recen tly focused on services, in particular:  
telecommunications, transport, electricity  and water, ports, and airport services.60 
76. The 2004 Privatization Law established two entities responsible for implementing the 
privatization programme:  the Ministerial Committee for Privatization (MCP) and the Technical Secretariat of the MCP.
61 The Council of Ministers delegates to the MCP, in coordination with the 
ministries concerned, the administrative and t echnical preparations needed to implement the 
privatizations.  Decisions to privatize, liquidate, or commercialize SOEs are made on a case-by-case 
basis.  The revenue from the privatizations is deposit ed in the general reserve of the State and spent, 
on a discretionary basis, on, inter alia , restructuring operations needed for privatization and to cancel 
any due debts, and to finance retraining of  the staff of the privatized companies. 
77. The privatization programme in Oman involves not only the sale of the companies but also 
their ex ante  restructuring.  The privatization methods s tipulated in the 2004 Law are:  (i) granting the 
right of building, ownership, and management;  or concession rights;  or building permit, 
management, or leasing of the SOEs;  (ii) di rect sale of government shares and assets;  
(iii) concluding contracts for participation in capita l and management, or either;  and (iv) any other 
method deemed appropriate by the MCP.62 
78. Some of the most important SOEs privatized /concessioned in Oman, since 2000, include the 
port of Sohar63;  Al Maha Petroleum Products Marketing Company;  30% of the government shares in 
Oman Telecommunications Company (Omantel)64;  Oman Cement Company (government shares 
were reduced from 63.5% to 51%);  Oman Flour  Mills Company (government shares went from 
                                                      
58 In 2004, for example, the Government had to take back control from the consortium responsible for 
the management of passenger and baggage services at Mu scat and Salalah airports, which had been privatized 
two years earlier (Economist Intelligence Unit, 2007). 
59 Sultani Decree No. 77/2004, 17 July 2004. 
60 Ministry of National Economy (2005). 
61 Articles 4 to 10 of Sultani Decree No. 77/2004.  Th e Directorate General of Private Sector Affairs of 
the Ministry of National Economy discharges the functio ns of the Technical Secret ariat of the MCP.  It, inter 
alia, conducts studies and submits recommendations and proposals to the MCP for approval. 
62 More than one of the methods may be used wher e situations so require.  Article 3 of Sultani 
Decree No. 77/2004. 
63 The port of Salalah is state-owned but the Government has given a 30-year concession to Salalah 
Port Services Company to manage and operate the facility. 
64 Some 21% of shares were sold to the public, and 9% reserved for various pension funds and 
charities.  The Government owns the other 70% of Omantel (Economist Intelligence Unit, 2007). WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 40 
 
 
59.5% to 51%);  and several SOEs in  the electricity and water subsector.65  M o r e  
privatizations/concessions are expected, including the Oman Electricity Transmission Company;  
National Transport Company;  the Oman Postal Co mpany;  the remaining 51% of the government 
shares in both Oman Cement Company and Oman Flour Mills Company;  Oman Fisheries Company;  
Oman Chromite Company;  National Medical Industries;  Oman Mining Company;  and some hotels.  
The five-year Development Plan 2006-10 expects private-sector investments to reach about 
RO 6 billion by 2010, i.e. 42% of the Plan's total investments.  The most important of these projects are in:  gas (RO 1.7 billion);  oil (RO 1.4 billion);  tourism (RO 0.6 billion);  and residential and other 
projects (RO 2.4 billion).
66 
79. Oman notified the WTO Working Party on State Trading Enterprises that the Public 
Authority for Stores and Food Reserves (PASFR), PDO, and ORC are not state-trading enterprises within the meaning of Article XVII:4(a) of the GATT 1994 and paragraph 1 of the Understanding on 
the Interpretation of Article XVII, as they have not  been granted any exclusive rights or privileges in 
their purchases or sales involving either imports or exports.
67 
(iv) Intellectual property rights 
(a) Overview 
80. Most of Oman's legislation on intellectua l property rights (IPRs) was enacted in 2000 
(Table III.5).68  It is to enact new IPRs laws soon, as a prerequisite for the entry into force of its 
bilateral trade agreement with the United States.   
Table III.5 
Summary of IPR legislation, 2008 
IPR Main legislation Duration of  protection Minimum duration of 
protection under TRIPS 
Copyright Sultani Decree No. 37 of 2000 on 
Copyright and Neighbouring Rights Life of author plus 50 years Life of author plus 50 years 
Patents Sultani Decree No. 82 of 2000 on 
Patents 20 years from the date of filing 
for patents 20 years from date of filing 
Trade marks and 
trade secrets Sultani Decree No. 38 of 2000 on 
Trademarks, Trade Secrets, and 
Protection from Unfair Competition Trade marks:  10 years, 
renewable indefinitely for periods 
of 10 years Trade secrets:  not specified Trade marks:  at least 7 years;   
renewable indefinitely 
Trade secrets:   no specific period 
Geographical 
indications Sultani Decree No. 40 of 2000 on 
Protection of Geographical Indications Not specified Unlimited 
Integrated 
circuits  Sultani Decree No. 41 of 2000 on the 
Protection of Topographies Rights of 
Integrated Circuits 10 years from the date of filing 10 years from first commercial 
exploitation 
Industrial designs Sultani Decree No. 39 of 2000 on the 
Protection of Industrial Designs 10 years, renewable for 10 years At least 10 years 
Source:  Information provided by the Omani authorities. 
81. The MOCI, through its Patent Office, Copyri ght Office, and Department of Intellectual 
Property, is responsible for policy formulation and implementation in respect of patents, copyrights 
                                                      
65 The Al-Kamil and Salalah power companies were divested on BOOT (build, own, operate, and 
transfer) basis. 
66 Ministry of National Economy (2007). 
67 WTO document G/STR/N/9/OMN, 29 January 2004. 
68 The proposed Plant Variety Bill grants breeders protection on new plant varieties.   It is based on the 
UPOV Model.  Oman WT/TPR/S/201/Rev.1 
 Page 41 
 
 
and related rights, and trade marks, respectivel y.  The MOCI cooperates with other relevant 
ministries, such as the Ministry of the National Her itage and Culture and the Ministry of Information, 
in the implementation of IPRs legislation.  Othe r institutions responsible for intellectual property 
matters are:  the Directorate General of Customs for matters related to border measures;  courts of law 
for enforcement issues;  and the GCC Patent  Office (based in Riyadh, Saudi Arabia). 
82. Oman is party to various international in tellectual property treaties and conventions 
(Table III.6).  Its intellectual property legisla tion was reviewed by the WTO TRIPS Council in 
June 2001.69 
Table III.6 
Participation in international IPR agreements, 2008 
Treaty or convention Entry into force 
WIPO 19/02/1997 
Berne Convention for the Protection of Literary and Artistic Work 14/07/1997 
Paris Convention for the Protection of Industrial Property 14/07/1997 
Patent Cooperation Treaty  26/10/2001 
WIPO Performances and Phonograms Treaty 20/09/2005 
WIPO Copyright Treaty  20/09/2005 
Budapest Treaty on the International Recognition of the Deposit of Microorganisms for the Purposes of Patent 
Procedure and Regulations  16/10/2007 
Protocol relating to the Madrid Agreement concerning the In ternational Registration of Ma rks (Madrid Protocol) 16/10/2007 
Patent Law Treaty 16/10/2007 
Trade Mark Law Treaty  16/10/2007 
Source:  Information provided by the Omani authorities. 
(b) Patents 
83. Under Sultani Decree No. 82 of 23 September 2000, patentability includes new inventions 
and innovative ideas that could be manufactured and ar e not contradictory to th e provisions of Islamic 
Law or the rules of conduct.  Excluded from pate ntability are discoveries, scientific theories, and 
mathematical methods;  pure mental activities;  and methods of surgical or therapeutic treatment or 
diagnosis applied to human or animal bodies with the exception of products used in any of these 
methods.  Patent protection on pharmaceutical product s, agricultural chemicals, and other inventions 
is also provided under the law. 
84. Patents are valid for at least 20 years from the date  of grant.  Normally, a patent needs to be 
exploited on a sufficient industrial scale in the GCC States within two years from the date of grant.  
Decisions taken on patents by Oman are subject to ad ministrative review and to right of appeal within 
provisions already established for the Commercial Courts. 
85. Requests for a compulsory licence for an unworked patented invention are granted by the 
MOCI provided the applicant proves their ability to use the invention industrially, and against fair 
compensation to be paid for the patent.  The Govern ment may also authorize one of its agencies, in 
the public interest and against payment of fair compen sation, to exploit a patent without the consent of 
the patent owner, based on the same criteria.  Su ch a decision may be appealed.  The patent owner 
may only assign or transfer a patent right to a third party in conjunction with all the elements of the 
business.  A licence to perform all or some of the act s of exploitation of a patent should be made in 
writing, signed by both parties, approved by the official authority in a GCC country and registered 
                                                      
69 WTO document IP/Q-Q4/OMN/1, 24 March 2003, contains the introductory statement by Oman, as 
well as the questions posed and answers given during the review. WT/TPR/S/201/Rev.1 Trade Policy Review 
Page 42 
 
 
within the MOCI against payment of the prescribed fee (ranging from RO 50  for individuals, and    
RO 100  for companies). 
(c) Copyright and related rights 
86. Under Sultani Decree No. 37 of 21 May 2000, the term of copyright protection is the author's 
lifetime plus 50 years.  It covers books, computer programs and other writings;  oral works, such as 
lectures, speeches, and sermons;  dramatic works;  musical works;  choreographic works;  aural and 
audiovisual works;  drawings, paintings, engraving,  works of architecture, and ornamental works;  
works of applied art;  illustrations, maps, plans, sket ches and three-dimensional works;  folklore;  and 
title of the work, provided it is creative and is not a common term identifying the subject of the work.  
The related rights covered concern performers, producers of sound recordings, and broadcasting 
organizations. 
87. The Decree gives authors and their successors in title the right to authorize or prohibit the 
commercial rental to the public of originals or c opies of their copyright works within the limits 
allowed under Article 11 of the TRIPS Agreement.  It also provides for moral rights, and regulates 
acts permitted without the authorization of the right holder, such that those acts, whenever allowed, 
are within the limits stipulated under the Berne Co nvention and the TRIPS Agreement.  In order to 
ensure protection and deter possible violations, penalties for copyright infringements have been 
stiffened (section (g) below). 
(d) Trade marks 
88. Sultani Decree No. 38 of 21 May 2000 regulates the procedures for application, publication, 
registration, and protection of trade marks, trad e indications, and trade secrets.  The period of 
protection for trade marks is ten years, and registra tion can be renewed indefinitely.  Registration is 
sufficient to notify potential infringers of the owne r's exclusive right.  It is also required for the 
protection of well-known marks in Oman.  Registra tion could be cancelled for trade marks not used 
for five consecutive years, unless the trade mark owne r submits a justification, such as reasons beyond 
their control, for not using it.  The application fo r registration of a trade mark costs RO 25.4.  The 
owner of a registered trade mark has the sole right  to produce, import or distribute the trade-marked 
goods and the right to prevent any other person from using the trade mark without permission.  The 
holder has the right to assign or license a trade mark;  assignment must be recorded. 
(e) Layout-designs (topographies) of integrated circuits, and industrial designs 
89. Sultani Decree No. 41 of 21 May 2000 specifies requirements for the registration, renewal, 
ownership transfer, and licensing of integrated circ uits.  Protection of industrial designs and of 
integrated circuits is for ten years from the date of filing the application.  The application fee for 
registration of integrated circuits is still to be defined.  The protection is renewable for ten-year 
periods. 
90. Under Sultani Decree No. 39 of 21 May 2000, an industrial design is protected only upon 
registration in the MOCI's Industrial Design Register.  It also incorporates the priority right for 
registration as provided under the Paris Convention.  Protection of industrial de signs is for ten years 
from the filing date, renewable for another ten years.  The application fee for registration of industrial 
designs is still to be set. Oman WT/TPR/S/201/Rev.1 
 Page 43 
 
 
(f) Geographical indications 
91. Under Sultani Decree No. 40 of 21 May 2000, a geographical indication identifies a good as 
to its origin and geographical environment in any country, region or locality, including natural and/or 
human factors.  Agricultural, industrial or handicr aft products having a distinctive characteristic or 
reputation attributable to their geographical origin  are protected (the time frame for protection is 
unspecified), whether registered or not.  Protection is not available for geographical indications that are contrary to public order or morality, that are not or cease to be protected in their country of origin, or that have fallen into disuse in that country. 
(g) Enforcement 
92. According to Article 24 of Sultani Decree No . 82/2000 on Patents, any person who commits 
an offence shall be penalized by imprisonment fo r not more than two years and/or a fine not 
exceeding RO 2,000.  The Court may order the seizure of  items, or their destruction, together with the 
machinery and equipment used in the forgery. 
93. Under Article 23 of Sultani Decree No. 37/2000 on Copyright and Related Rights, copyright 
violators are subject to imprisonment for up to two years, and a maximum fine of RO 2,000, or both.  
According to the authorities, most cases of copyright  infringement in Oman relate to DVDs and CDs.  
The same penalties are provided for infringements under Article 35 of Sultani Decree No. 38/2000 on 
Trademarks, Trade Secrets, and Protection of Unfa ir Competition;  Article 11 of Sultani Decree 
No. 40/2000 on Geographical Indications;  Article 12 of Sultani Decree No. 39/2000 on Industrial 
Designs;  and Article 11 of Sultani Decr ee No. 41/2000 on Integrated Circuits. 
94. During the last few years, Oman has made signi ficant progress in enforcing IPRs protection:  
once-plentiful pirated video, audiotapes, and comput er software have largely disappeared from local 
vendor's shelves.  Over 40 companies have signed the Business Software Alliance Code of Ethics 
since October 2003.  The Code declares that the signatories would neither commit nor tolerate the manufacture, use, or distribution of unlicensed so ftware, and would supply only licensed software to 
customers.  Moreover, the MOCI conducts periodic raids on unlicensed distributors of pirated satellite 
signals in response to industry complaints.  Nonetheless, under-the-counter sales of unauthorized 
software and DVDs are reported to persist in some locations.
70 
                                                      
70 USTR (2007).