Duqm’s trade, green energy ambitions put Oman Vision 2040 in focus

Duqm’s position outside the Strait of Hormuz, combined with investment in shipping, industry and green energy, is giving Oman another route to expand trade and reduce its dependence on oil revenues.

The port’s role in Oman Vision 2040 will be among the subjects discussed at the Inspire Oman Summit on October 14 at The St. Regis Al Mouj Muscat. The gathering will examine opportunities across Duqm, Sohar and Salalah, with ministers from Oman and India, GCC business leaders and major companies expected to attend. 

Located in Al Wusta Governorate on the Arabian Sea, Duqm provides access to international shipping lanes linking Asian markets with Europe and Africa. Ships can reach the port without passing through either the Strait of Hormuz or Bab al-Mandab, giving businesses an alternative entry point when those routes face disruption.

That position strengthens its appeal to companies seeking to reduce transport risks and maintain supply chains during regional tensions. It does not remove all exposure to maritime disruption, but allows cargo destined for Duqm to avoid two important shipping bottlenecks.

The port forms part of the Special Economic Zone at Duqm, which combines a deep-water commercial harbour, ship repair facilities, industrial areas, logistics services and energy infrastructure. The development supports Oman’s plans to attract investment and broaden its sources of income under Vision 2040.

Duqm’s international partnerships also reflect Oman’s policy of maintaining relations with a range of countries rather than relying on a single partner.

The port is operated by a joint venture between ASYAD Group and Belgium’s Consortium Antwerp Port, which brings together Port of Antwerp-Bruges International and DEME Concessions. 

Chinese investment interests sit alongside partnerships with European and Asian companies. Duqm also hosts a British military logistics base, provides access for the Indian Navy and forms part of Oman’s defence cooperation with the United States. The British facilities give the UK a maritime support base outside the Gulf.

These relationships broaden Duqm’s commercial and strategic importance. International operating standards and regulatory compliance remain central to maintaining investor confidence as businesses assess the effects of regional tensions.

Green hydrogen, ammonia and lower-carbon manufacturing are another major part of Duqm’s development. The projects are intended to support Oman’s ambition to become a significant clean-energy producer and exporter while creating industries beyond petroleum refining.

Japan’s Mitsui and Kobe Steel have proposed a low-carbon iron production project in Duqm. Their announced plans set a target of beginning production by 2027, subject to detailed studies and project development. 

South Korea’s LUPRO has also outlined plans for green ammonia production in Oman, with supplies intended for Thailand and South Korea. Its Duqm proposal includes an ammonia production base beside the port, connecting manufacturing with export facilities. 

The wider development agenda extends to space, artificial intelligence and other technology businesses. Etlaq Spaceport’s proximity to Duqm’s port, airport and economic zone is intended to support launch operations and related logistics.

Duqm’s transport infrastructure also fits into Oman’s broader efforts to expand aviation and commercial connections with East Africa and Southeast Asia, including markets such as Rwanda and Singapore. Oman’s agreements with Rwanda cover aviation and digital cooperation, although these are national initiatives rather than projects operated by Duqm Port.

For a place once known as a small coastal settlement, the combination of shipping, manufacturing, energy and technology represents a substantial change in its economic role.

The Inspire Oman Summit will consider how that development can translate into further business opportunities. Discussions will also cover Sohar and Salalah and their role in providing alternative cargo routes for GCC markets during disruption around the Strait of Hormuz.

Registration and event information are available at www.inspireoman.com.