Strategic gateway to GCC and Indian Ocean unlocked
New trade and tourism opportunities for coastal communities
Project completion expected by 2027
A major shipbuilding and marine repair facility is set to transform the remote but strategically located town of Musandam into a regional maritime hub. The project will not only strengthen Oman’s position along key shipping routes but also breathe new life into the livelihoods of local farmers and fishermen.
The facility is being developed by Musandam Global Investment Company (MGIC) — a joint venture between Turkish and Omani investors. Construction is scheduled to be completed by Q2 2027.
The project will be implemented in two phases:
Phase 1 ($15 million): Focused on building fishing vessels.
Phase 2 ($20 million): Will include cargo ship construction and marine repair infrastructure.
“This development will allow local farmers and fishermen to transport their goods to GCC markets more quickly and at lower cost, bypassing the limitations of land transport,” said Dr. Saud bin Hamoud al Habsi, Oman’s Minister of Agriculture, Fisheries and Water Resources, in an interview with Oman TV.
Located 20 km from the port of Khasab, which is operated by the state-owned Asyad Shipping Company, the new dry dock will face the Strait of Hormuz, offering direct access to both the Arabian Gulf and the Gulf of Oman.
Analysts note that the project has broader significance beyond supporting agriculture and fisheries.
“The once-isolated Musandam Peninsula is now gaining traction as a strategic economic zone,” said Saud Al-Hashmi, Managing Director of Muscat-based Capital Investments. “Its location offers a maritime gateway not just to the GCC, but to global trade routes including the Indian Ocean.”
In parallel, Oman’s Ministry of Heritage and Tourism has announced the development of 450 residential properties and a 200-room hotel along the Musandam beachfront, aiming to attract both domestic and international investment into the area.
Source: agbi.com
