MUSCAT: The government, in a ministerial decision on Sunday, laid out regulations for the establishment of duty-free shops.
The regulations include procedures to be followed while setting up warehouses and facilities for customs.
The license to start a free market will be issued for two years at a fee of RO5, 000, renewable for another two years for a similar fee if the request is made 30 days before the expiry of the initial license.
The applicant should also submit a copy of the commercial register, a feasibility study conducted for the establishment of a duty-free market and a relevant certificate from the Oman Chamber of Commerce and Industry (OCCI).
The companies will comply with the provisions of the regulations within a period not exceeding six months from the date of its implementation.
The regulation has specified the procedures for obtaining a license to establish a free market, including referral to the competent authorities requesting the establishment of the free market - within its jurisdiction - to the administration to give its initial opinion to approve or not.
As per the regulations, the warehouse shall be equipped with offices, facilities for customs inspections and special places to store all types of goods, including perishable items.
The applicant will be required to provide the necessary equipment to maintain the safety of the goods fire and theft.
Cameras and surveillance devices shall be installed in the free market warehouse and other places in accordance with the specifications of the Royal Oman Police. The warehouse must be sealed from all sides, with main entrances under the control of the customs office. The warehouse must be designed to enable customs officers to check the goods.
All types of goods can be displayed at the duty-free and the warehouse, except for prohibited goods in accordance with the law and regulations of the Sultanate.
The licensee can transfer the goods imported to the warehouse from the duty-free shop as per the transit procedures stipulated in the relevant laws.
The licensee or his delegate shall have the right to withdraw the samples of the goods, carry out the necessary work to preserve the goods, as well as carry out the necessary operations to improve the packaging of the goods, to improve their marketing quality, or to prepare them for shipping such as parcels.
If the licensee wants to export goods or re-export permanently outside the Sultanate, he should submit a request to the customs office to withdraw the goods from the free market or the warehouse, together with the necessary documents for export or re-export.
The goods stored in the warehouse shall be deemed damaged if it is proved to the customs department from the competent laboratory report that the goods are prohibited or invalid, or any damage caused to the goods during storage or sale, or the expiry of the expiry date of the goods.
The destruction process, and coordination with the concerned authorities according to the procedures followed, provided that the notification of destruction of all information for the goods to be destroyed in terms of quantity, weight and type.
Duty-Free at airports
According to the new rules, departing passengers and transit passengers on international flights and departing aircrew members, who do purchases at the duty-free shop submit their passports and boarding pass at the duty-free sales counters.
“The staff are required to report transactions in the register and provide a receipt to the buyer”, stipulates the decision.
The receipt will include the number of units sold, their inventory number, the type of item, the name of the airport sold, and the price of the item.
The duty-free sales staff are prohibited from selling products if the flight is delayed, as a result, passengers cannot stay in departure lounges or the trip is cancelled or the passenger is not able to make a journey.
If the flight is cancelled, the staff at the duty-free shop will cancel the sale transaction and notify the customs department.
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