Recent efforts by the Oman Ministry of Commerce and Industry (MoCI) aim to promote the local production of goods, in an attempt to improve
the national economy.
A Sept. 19 announcement of a study program by the agency
describes its purpose as such: “to reduce import (sic) and boost local production.”
The ministry undertakes this effort in partnership with the Gulf
Organization for Industrial Consulting.
In the study, which is titled “Domestic Resources of the Sultanate of Oman,” analysts consider how
to identify existing natural resources and raw materials in Oman, and how to
use these raw materials for domestic production, instead of exporting them. In
general, the study will look at investment opportunity in the country. It will
also evaluate efforts to create trade balances and raise the standard of living
for residents, providing more jobs for Oman’s citizens.
“The
MoCI states that the thrust is on the status of the transformative industries
for which there is a list of factories, their cumulative investments and
workforce and commodity composition,” according to a news release on the MoCI web site. “Besides a general analysis of the economy,
the study looks at the contribution of the transformative industries to
national income.”
In short, this study sounds much like an ideal project to
revive a national economy by keeping more production within its borders,
striving for domestic controls in a very globalized world.
Speaking to Gulf News Journal, Kalpana Krishnadas, a senior research analyst of Investment Research
and Analtyics at Aranca, explained more about what officials in
Oman are doing.
“The Oman Ministry of Commerce and Industry’s detailed study
and findings on the country’s industrial sector are expected to aid the
government in addressing key issues or challenges faced by the various
industries in the country,” Krishnadas said. “Moreover, constant efforts by
MoCI and the government to increase domestic production would not only make the
country more resilient to global downturn, but also present investment
opportunities for other GCC countries.”
Not forgotten, Krishnadas
said, are the individual citizens and families trying to make a living in Oman’s
economy.
“The broad-based study would help in key economic areas,
such as improving the balance of trade, raise the citizens’ standard of living …
and widen the technological base,” Krishnadas said.
Krishnadas
also pointed to longer term economic effects.
“We believe such studies by MoCI will help the government
identify areas of economic growth, and thereby also help in acute issues such
as controlling the country’s deficit, which increased 82.6 percent year over year to
OMR 3.5 billion in 1H2016, as per Oman’s National Center for Statistics and
Information,” Krishnadas
said.
Further MoCI details on the study cite an “analytic
deductive style” used to accomplish the above goals and objectives, while also
identifying any deficiencies that could be hampering efforts to ramp up
domestic production of goods.
