MUSCAT: Salalah Free Zone (SFZ) on Monday signed a usufruct agreement with Advanced Packaging Company, affiliated with Alesayi Holding Company of the Kingdom of Saudi Arabia, to establish an industrial project specialising in the production of carbonated beverages, juices and energy drinks, with an investment volume of RO 3.85 million ($10 million).
The agreement was signed on behalf of Salalah Free Zone by Dr Ali bin Mohammed Tabuk, Chief Executive Officer of the Zone, and on behalf of Advanced Packaging Company by Mohammed Ali Alesayi, Chairman of the Board of Alesayi Holding Company. The agreement was signed at the headquarters of the Public Authority for Special Economic Zones and Free Zones (OPAZ) in Airport Heights in Muscat Governorate, in the presence of Qais bin Mohammed al Yousef, Chairman of the Public Authority for Special Economic Zones and Free Zones (OPAZ), and a number of officials and representatives of Salalah Free Zone and the investing company.
The project will be established in Salalah Free Zone on a total area of approximately 25,500 square metres, including the acquisition of an existing facility built on land with an area of 15,505 square metres, alongside the allocation of additional land with an area of 10,000 square metres to support the project’s operations and its future expansion plans. The project represents a new addition to the food and beverage industry sector in Salalah Free Zone. The project reflects the interest of Saudi investors in the industrial and logistical opportunities the Zone provides, contributing to enhancing economic and investment cooperation between the Sultanate of Oman and the Kingdom of Saudi Arabia.
Tabuk said that the signing of the agreement comes within the continuous efforts exerted by the Zone to attract quality industrial investments, diversify the base of economic activities, and enhance the contribution of non-oil sectors to the national economy, in line with the targets of Oman Vision 2040. He explained that the strategic location of Salalah Free Zone and its integration with the Port of Salalah and transport and logistics networks provide the project with a competitive platform for production, distribution and export, and enhance its ability to efficiently reach local markets and the markets of the GCC states, East Africa, Asia and other regional and global markets.
Alesayi explained that, through its factory in Salalah Free Zone, Advanced Packaging Company, affiliated with the Group, targets the Omani market and exports to markets in Yemen and Africa. He noted that this factory is the company’s third after the two existing factories in the Kingdom of Saudi Arabia. He said that the company is working swiftly towards production at the factory, which is expected to begin six months from now, noting that there are direct and indirect job opportunities the project will provide. He affirmed that the company is studying the establishment of another factory in Muscat specialising in the manufacture of cardboard boxes, alongside transferring a third production line in the beverages field to the Sultanate of Oman. — ONA
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