Non-Oil GDP Share: 70.5% ▲ +9.5pp vs 2017 | QS Ranking — SQU: #334 ▲ ↑28 places | Fiscal Balance: +2.8% GDP ▲ 3rd surplus year | CPI Rank: 50th ▲ +20 places | Global Innovation Index: 69th ▲ +10 vs 2022 | Green H₂ Pipeline: $30B+ ▲ 2 new deals 2025 | Gross Public Debt: ~35% GDP ▲ ↓ from 44% | Digitalised Procedures: 2,680 ▲ of 2,869 target | Non-Oil GDP Share: 70.5% ▲ +9.5pp vs 2017 | QS Ranking — SQU: #334 ▲ ↑28 places | Fiscal Balance: +2.8% GDP ▲ 3rd surplus year | CPI Rank: 50th ▲ +20 places | Global Innovation Index: 69th ▲ +10 vs 2022 | Green H₂ Pipeline: $30B+ ▲ 2 new deals 2025 | Gross Public Debt: ~35% GDP ▲ ↓ from 44% | Digitalised Procedures: 2,680 ▲ of 2,869 target |
Encyclopedia

Invest in Oman Agriculture Sector - Food Security and Agribusiness

Investment guide to Oman's agriculture sector covering food production, agritech, irrigation, and food security investment opportunities.

Overview

Oman’s agriculture sector is a focus of national food security strategy, with the government promoting investment in domestic food production, agricultural technology, and supply chain development. Despite challenging climatic conditions, the Sultanate has developed productive agricultural areas in regions including Al Batinah, Al Sharqiyah, Al Dhahirah, and Dhofar. The Ministry of Agriculture, Fisheries Wealth, and Water Resources supports sector development through research, extension services, and investment incentives. Priority areas include date palm cultivation, greenhouse horticulture, livestock production, poultry farming, and agricultural processing. Investment in agricultural technology, efficient irrigation, and post-harvest processing can significantly enhance the sector’s productivity and economic contribution.

Key Facts

Agriculture accounts for a modest but strategically important share of Oman’s GDP. Date palms are the most widely cultivated crop, with Oman producing several premium varieties for domestic consumption and export. Greenhouse and controlled environment agriculture is expanding to produce vegetables, fruits, and herbs year-round. Poultry and dairy production have grown significantly through modern farming operations. Water management is the primary constraint, with most agricultural water sourced from groundwater and increasingly supplemented by treated wastewater. The government provides subsidised agricultural inputs including seeds, fertilisers, and irrigation equipment.

Regulatory Framework

Agricultural activities are regulated by the Ministry of Agriculture, which issues licences and sets standards for food safety and quality. Water extraction permits are required for agricultural irrigation, with allocations managed to prevent aquifer depletion. Agricultural land ownership is restricted to Omani nationals, though leasing arrangements are available for commercial farming operations. Organic farming certification follows international standards and is supported by government programmes. Import regulations for agricultural inputs including seeds, fertilisers, and animal feed ensure biosecurity and quality control.

Opportunities

Controlled environment agriculture using greenhouse and hydroponic technologies offers high-value production in arid conditions. Food processing and packaging facilities add value to domestic agricultural output and extend shelf life. Agricultural technology including precision irrigation, drone monitoring, and data analytics improves resource efficiency. Organic and specialty food production targets premium domestic and export market segments. Aquaculture-agriculture integration creates efficient circular production systems.

Considerations

Water scarcity is the primary constraint on agricultural expansion and requires efficient irrigation technology. Climatic extremes including high temperatures and low rainfall limit the range of viable crop species. Labour availability for agricultural work may require mechanisation and technology investment. Market competition from lower-cost agricultural exporters in the region and globally should be assessed. Government subsidy programmes and support mechanisms should be factored into investment feasibility assessments.