Oman: Agribusiness at the Heart of the Indian Ocean

The Sultanate of Oman is a mid-sized monarchy located on the southeast corner of the Arabian Peninsula at the heart of the Indian Ocean. Having a long history as the home to prosperous Arab merchants within the region, Oman’s cultural heritage and influence extends as far south as Mozambique throughout the Swahili coast as well as east towards India and Indochina. Similarly, during much of the 19th and 20th centuries, the Sultanate of Oman lived under a heavy political and economic influence from the British Empire. Since 1970, Oman has been ruled by Sultan Qaboos, a moderate and reformist leader that has made his country one of the most prosperous and developed in the Persian Gulf region. Alongside five neighboring nations, Oman is a member of the Gulf Cooperation Council (GCC), which was established in 1981. However, Oman has never belonged to the Organization of Petroleum Exporting Countries (OPEC).

Oman has a total territory of almost 310.000 square kilometers, which is somewhat smaller than Kansas. Furthermore, geographically, a large desert plain, some mountainous regions, and a long coastline of over 2.000 kilometers dominate the country. Oman has a total population of approximately 3.4 million citizens, a large amount of which are immigrants. Likewise, more than 70% of the Omani population lives in an urban setting, notably the capital city of Muscat, which has about 900.000 inhabitants. Currently, the Omani annual gross domestic product (GDP) is approximately US$170 billion. Similarly, its national economy has experienced positive growth upwards of 1.5% in recent years. Oman’s national economy is divided into 2% agriculture, 45% manufacturing, and 53% services. Meanwhile, the agriculture industry utilizes some 5% of the national territory.

In terms of natural resources, Oman has petroleum & natural gas, copper, asbestos, marble, limestone, chromium, and gypsum. Within manufacturing, the national industry is focused on oil extraction & refining, natural & liquefied natural gas production, construction, cement, copper, steel, and chemicals. Meanwhile, the country’s agricultural industry has as main products dates, limes, bananas, alfalfa, vegetables, camels, cattle, and fish. In terms of trade, Oman’s main partners are China, the United Arab Emirates, Japan, and the United States, amongst others.

Oman: Agribusiness at the Heart of the Indian Ocean

In Oman, unfortunately, some 200.000 people suffer from undernourishment. Similarly, in recent years, the average per capita protein intake of animal origin amongst the Omani population has been about 46 grams daily. Meanwhile, cereals, roots, and tubers supply approximately 38% of the average food energy intake in the country. Simultaneously, land distribution and agricultural output in Oman have evolved slightly throughout the last half century. Back in 1961, permanent pastures and meadows in the country covered about 1 million hectares, while arable land covered another 20.000 hectares and permanent crops accounted for 15.000 hectares. More recently, by 2014, permanent pastures and meadows had increased to account for 1.4 million hectares, while arable land represented 38.000 hectares and permanent crops covered some 31.000 hectares. Finally, in 1961, the cereals market in Oman utilized 2.600 hectares of land and yielded 2.900 metric tons annually. Meanwhile, in 2014, the country devoted almost 71.000 hectares of land to cereals production and yielded over 40.000 metric tons.

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