$105m fertiliser and chemicals complex planned in Salalah

MUSCAT: Salalah Free Zone (SFZ) has signed a usufruct agreement with DuroMENA LLC, a subsidiary of Omani business group Badr Investment Group, for the development of an integrated fertiliser and chemicals complex with an investment of around $105 million.
The project will produce 100,000 tonnes per year of Sulphate of Potash (SOP) and 100,000 tonnes per year of Granular Calcium Carbonate, alongside a range of other chemical products.
SOP is a premium, low-chloride potassium fertiliser widely used for high-value crops such as fruits, vegetables and nuts, supplying potassium and sulphur to support plant growth, crop quality and resilience to environmental stress. GCC is used as a calcium source in agriculture and soil conditioning, as well as an industrial mineral and filler in products including plastics, paints, coatings, paper, rubber and construction materials.
The complex will target export markets across the Gulf Cooperation Council (GCC), India, Southeast Asia and East Africa, supporting Oman’s ambitions to expand non-oil exports and strengthen its position as a regional manufacturing and logistics hub.
Commenting on the agreement, Dr Ali Tabouk, CEO of Salalah Free Zone, said the project represents an important step in strengthening the zone’s position as a destination for high-value industries.
“It supports our efforts to build integrated industrial value chains and develop a chemicals and fertilisers cluster, while enhancing exports and reinforcing the Sultanate of Oman’s competitiveness as a regional industrial hub”, he said.
Mohammed al Habsi, Group HR & Compliance Manager at Badr Investment Group, said DuroMENA represents the shareholders’ strategic direction towards investing in sustainable, value-adding industrial projects that contribute to Oman’s long-term economic growth.
Beyond the investment itself, the project is expected to generate wider economic benefits through employment and skills-development opportunities for Omanis, increased In-Country Value (ICV) and participation by local SMEs and suppliers; and the transfer of technical expertise and industrial capabilities.
It is also expected to support downstream and ancillary industries, increase non-oil exports, diversify Oman’s industrial and manufacturing base; and further strengthen Salalah’s role as a regional industrial and logistics hub.
The investment aligns with the objectives of Oman Vision 2040, particularly economic diversification, private-sector development, industrial growth, localisation of value chains, job creation and increasing the contribution of non-oil sectors to the national economy, Al Habsi added.
Muscat-headquartered Badr Group, formerly known as Ali & Abdul Karim Group, has more than 35 years of experience across manufacturing, trading and services. Its diversified portfolio covers premium real estate development and leasing, FMCG, food and beverages, mining, construction materials, oilfield services and enhanced oil recovery technologies, as well as Montessori education and training.