Al Mawaleh Central Market to Move to Khazaen Central Market, In Khazaen Economy City

Muscat (ONA): The Al Mawaleh Central Market in the Wilayat of Seeb will soon be shifting to the Khazaen Central Market, In Khazaen Economy City in the Wilayat of Barka. As part of the efforts focused on relocation the fruits and vegetable storage and wholesale activities from A’Seeb to Barka, the project financing agreements were signed on Wednesday and its financial closure was completed.

The first agreement was about the shareholders’ capital subscription while the second was the bank financing agreement with Sohar Islamic Bank singed under the patronage of His Excellency Eng. Issam Saud Al Zadjali, Chairman of Muscat Municipality, and in the presence of a host of local dignitaries, government officials and representative of private agencies and companies engaged in the import and trade of fruit and vegetables in AL Mawaleh Fruit and Vegetable Central Market.

The agreement were signed in pursuance of the Royal Directives that called on the aviate sector and businessmen to invest in local opportunities in all sectors to boost Oman’s position as an attractive and leading investment destination.

The first agreement was concluded to complete the equity subscription with Oman infrastructure Fund – (Rakiza) Salim and partners, Al Kalbani Group and Khazaen Development and Investment Company as shareholding partners in Khazaen Frit and Vegetable Central Market, which will fund, develop and manage the new market in Khazaen Economic City.

Al Zadjali disclosed that the intention was to shift wholesale activities to Khazaen Central Market, while the retail activities will continue at Al Mawaleh. “We plan to expand the retail activities and give operations to the private sector, Zadjali added.

The bank financing agreement was signed between Sohar Islamic Bank and Khazaen Fruits and Vegetable Central Market to provide financing facilities for the new market project.

Eng. Kalat Ghulam Al Balushi, Board Chairman of Khazaen Economic City, Said, “The signing of both agreements marks the completion of the project capital subscription and total financing amounting to about RO 40mn, which will be allocated to the development, establishment and operation of the Khazaen Central Market.”

“We are happy with this strategic partnerships with major partners from the private sector, and we highly value and appreciate the trust of the government, represented by the Muscat Municipality, and its support in enabling the private sector to play its part in the development of quality and national project that contribute significantly to achieving food security and an economic revenues for the country,” Eng. Kalat added

He said that the project proves to be relevant to the main pillars of Oman Vision 2040 as to its empowerment of the private sector to be a major driver of the national economy.

“As soon as we signed the agreement with Muscat Municipality to relocate the fruit and vegetable warehousing and wholesale activities from Al Mawaleh fruit and Vegetable Central Market to Khazaen Fruit and Vegetable Central Market, in May 2021, we immediately proceeded to the appointment of a consultant of prepare the engineering drawings and tender documents for the construction works,” he added.

He said in November 2021, local companies were invited to participate in the construction works tender and as per the project’s timeline, the implementation tender will be awarded in the first quarter of this year”.

Eng.Kalat al Bulushi affirmed, “the main objective of relocating the fruit and vegetable warehousing and wholesale activities to the new market is to improve the performance and quality of work in the fruit and vegetables sector and provide new modern and advanced integrated logistics facilities, including an air-conditioned wholesale and retail market and the centralized cold and dry storage of various fruit and vegetable products to serve the growing consumer demand for fresh fruits and vegetables in the Sultanate of Oman, which is increasing at more than 10 per cent year.

The new market will serve as a marketing and logistics platform that attracts investors and local, regional and international companies operating in the fruit and vegetable sector. The new central market is one of the main components of Khazaen Food City, which contributes to strengthening Oman’s food security system in line with the national strategy for food security”. Kalat said.

“This financial closure confirms the significant role of the private sector investment companies in creating opportunities, studying their economic feasibility and structuring them as investment products that attract investors and businessmen, and endeavoring to complete the capital subscription and provide bank financing to develop and operate these project,” Balushi added.

The new fruit and vegetable market in Khazaen Economic City consists of high quality logistics facilities and services, such as air-conditioned wholesale market and trading floor, the cold storage facilities, truck sales area, onion and potato sorting and selling sheds, dry warehouses agricultural products reception building, fork flit operation station, ten gates for customs inspection and plant quarantine, administration offices for the companies working in the market, agriculture samples examination laboratory under the supervision of the Ministry of Agriculture, Fisheries and water resources , seven gates from entry of trucks, in addition to public services that includes banking services, truck parking and a mosques. The market will also include retail outlets to cover the incoming demand from the surrounding areas of the city.

The new market area is significantly larger than the areas of the current market in the Wilayat of Seeb and can be extended in the future to cater for the expected growth, In addition to the market connection to a 100,000 square meters truck rest area, its location on the expressway in proximity to A’Suwaiq and Sohart ports and Khazaen land port, is one of its success factors. The market will be a nucleus for establishment of an integrated city for food industries that includes the manufacturing, packaging and preservation of foodstuffs.

The new market will also contribute to attracting international companies specialized in food supply chain, which will enhance Oman’s position as a regional and international foodstuffs manufacture and distribution hub, by leveraging Oman’s strategic location and robust logistics structure in Oman, in general and Khazaen economic city in particular.