Investment Opportunities in the Fishing Industry

Hamed Al-Oufi, Ph.DUndersecretary for Fisheries Wealth Ministry of Agriculture and Fisheries WealthMuscat, Sultanate of Oman

Oman Economic Forum, 18-19 March 2014

Fisheries in Oman

• A centuries’ old tradition• 3165 km of pristine coastline

• Oman fisheries today— Over 191,000 tons per year— Valued at US$ 355 million (at first sale)— Employs more than 40,000 nationals

Highly valued species on the world markets including tuna, kingfish, abalone, grouper, copia, breams, shrimp, lobster and many others

The average growth rate (2009-2012)

Production (in 1000 tons)

Category2012 2011 2010 2009

12.2% 184 151 147 133 Traditional fishing

-51.3 3 6 17 26 Commercial fishing

6.3% 192 157 164 159 Total fish production

Fish Production and Growth

International Policy & Planning

National Policy & Planning

Five-Year Plan (2011-2015)

Strategic Direction

Action Plan

Fisheries Development Strategy 2013-2020

Upgrade:- - Fishing fleet

- Infrastructure

Develop fish marketing and

exports

Develop fish processing

industry

Develop aquaculture

Objectives of the Development plan

Increase contribution to the GDPEmployment creation for nationals

More investment and technology has found its way to Oman’s shores• 259 $ million in the Eighth five-year

Development Plan (2010-2015)• 1.3 $ Billion government Budget (2013-2020)• Aimed to increase fish production from

around 200,000 tons at present to 480,000 tons in 2020 and to create more than 20,000 jobs

Fisheries Development Strategy 2013-2020 Implementation

2014 2020

Public investment

Private investment

Public Private Partnership

0

100

%

Government will invest around RO 600 m ($ 1.6 b) in infrastructure, fleet development and other services to ensure accelerated growth and then privatize

Economic Return by 2020 Direct Return

Indirect Return

369.6 Million RO

Impact of the Indirect Return on the GDP (Multiplier = 2)

Contribution to GDP 739.2 Million RO

Investment opportunities

Infrastructure & Fishing ports

• 21 ports in operation• 3 under construction • 3 tendering process• 6 in design

• Wholesale fish market • Many regional fish

markets

Lima- Layout – 18 February 2014

Lima

Duqm Fisheries Industrial Zone

• 250 $ m to be invested in the Zone and a fishing port

• The largest multi-purpose fisheries facilities in the Middle East

Boost in Processing capability

• 60 processing plants,• Storage facilities, • Fishing port, • Vessel repair, • Aquaculture, • R&D and • Training facilities

Master PlanDuqm Fisheries Industrial Zone

Aquaculture Opportunities in Oman

Vision“Oman aims to be the leader in Aquaculture in the Gulf Region.”

An extra 40 million tons of fish will be needed by 2025 (World Bank, 2007)

A market led approach

World population and fishery supply trends

0

50

100

150

200

250

1970 1975 1980 1985 1990 1995 2000 2005 2010 2015 2020 2025 2030

Year

Mili

on to

nnes

01

234

567

89

Popu

latio

n (b

illio

n)

Capture Fishereis Aquaculture World population

Aquaculture in Oman to reach 200,000 tons in the next 3 decades growing @ > 15 % per annum

The Aquaculture Vision

0

50

100

150

200

250

2010 2015 2020 2025 2030 2035

prod

uctio

n in

tons

year

Oman case was based on what has been achieved in Chile, Greece,Turkey, Norway and Egypt

- Resources biodiversity along > 3000 km coastline - World class infrastructure - Excellent seafood processing sector- Strategic location close to key export markets - An investor-friendly environment with attractive

suite of incentives- Political stability and an orderly civil society- Professional, business-friendly legal and

regulatory framework

Why investing in Oman

• Ship yards• Marine construction • Fleet operators• Repair and maintenance• Fish processing/value

added• Logistics and storage

facilities • Fish trade/export• Supply of spare parts• Supply of fishing gear,

equipment• Ice production

Investment opportunities

• Fish feed for aquaculture

• Hatcheries • Supply of technology • Supply of nets, etc.• Diving companies • Fish farms operation • Consultancies • Training

Thank you for your valuable time and keen interest