Muscat: The Sultanate of Oman, led by His Majesty Sultan Haitham bin Tarik, is committed to fostering communication, friendship, and cooperation with countries around the world.
His Majesty the Sultan's upcoming state visit to Singapore this Wednesday, as the first country in Southeast Asia to be visited by His Majesty, clearly demonstrates this commitment.
Oman and Singapore aim to maximize the benefits of their close relations and longstanding friendship. The initiatives undertaken by both sides in various economic, political, and cultural domains reflect their shared desire to expand their collaborative efforts.
As of the end of 2022, bilateral trade between the Sultanate of Oman and the Republic of Singapore accounted for approximately 3 percent of Oman's total foreign trade. Preliminary data from the National Centre for Statistics and Information (NCSI) indicates that the trade volume until the end of September 2023 amounted to around OMR576.4 million.
Statistics reveal that Omani exports to Singapore reached approximately OMR521.7 million by the end of last September, while imports from Singapore to Oman totaled OMR54.6 million.
Key Omani exports to Singapore include oil and gas products, methanol, primary polypropylene materials, certain iron products, perfumes, and various food products. On the other hand, notable imports from Singapore consist of vehicle spare parts, fuel oils for engines and ships, lubricating oils, aluminum oxide, and other commodities.
By the end of 2022, the total number of Singaporean companies registered in Oman exceeded 24, with a combined invested capital surpassing OMR55.8 million. These companies operate across multiple sectors, including construction, trade, industry, mining, services, tourism, education, oil and gas, transportation, and communications.
Anwar Ahmed Muqaibal, the Charge d'affaires of the Oman Embassy in Singapore, stated that the upcoming visit of His Majesty to Singapore is a testament to his recognition of Oman's relations with Singapore. He emphasized that this visit will strengthen cooperation in the diplomatic, economic, and cultural spheres.
According to Oman News Agency (ONA), Muqaibal mentioned that the visit also signifies Singapore's appreciation for the Sultanate of Oman, as His Majesty the Sultan is the first leader to be hosted by the Singaporean President since winning the presidential elections in September.
Furthermore, Muqaibal highlighted that the discussions between the two leaders during the visit will mark a new era of bilateral cooperation, particularly in areas such as renewable energy, food security, digital economy, e-commerce, education technology, smart training, logistics industries, and maritime transport. He also mentioned that several memoranda of understanding (MoUs) will be signed between the two countries.
Muqaibal explained that the Omani-Singaporean relations have experienced a significant advancement this year, with both countries elevating their bilateral relations to the strategic level. This decision was announced during the first strategic dialogue held in Singapore, which also led to the upgrade of the general consulates in both countries to embassies, effective from January 1st of this year. He further stated that recent official Omani delegations visiting Singapore have contributed to an 80 percent growth in trade exchange between the two nations.
Lastly, Muqaibal highlighted the strong evidence of Omani-Singaporean relations, such as the historic Muscat Street located in the heart of Singapore and the Jewel of Muscat ship, currently docked at the Maritime Experiential Museum in Santosa.
Syed Noureddin Bin Syed Hassim, the Chargé d’Affaires of Singapore’s embassy in Oman, stated that the recent visit of His Majesty Sultan Haitham bin Tarik to Singapore and the East Asia region is a significant milestone. This visit not only marks the first time His Majesty has visited Singapore but also the first state visit hosted by President Tharman Shanmugaratnam, who assumed office in September 2023.
According to Syed Noureddin, this visit highlights the strong and advanced relations between Oman and Singapore. Diplomatic relations between the two countries were established in February 1985 and have witnessed significant progress over the years. Notably, in 2023, the diplomatic representation was elevated from general consulates to embassies.
The Chargé d’Affaires emphasized that Oman and Singapore regularly engage in bilateral consultations and hold meetings of the joint Oman-Singapore committee. Additionally, the two countries share close economic and cultural ties.
Furthermore, Syed Noureddin mentioned that Oman and Singapore have signed several important agreements. These include a bilateral investment agreement that came into effect in August 2009 and an agreement on avoiding double taxation that became effective in April 2006.
Syed Noureddin, the Chargé d’Affaires of Singapore’s embassy in Oman, emphasized that Oman holds the position of being Singapore's 7th largest trade partner in the Middle East and North Africa (MENA) region in 2022. On an international scale, Oman ranks as Singapore's 55th largest trade partner, with a total bilateral trade value of 1.36 billion Singapore Dollars.
Noureddin highlighted that Singaporean companies in Oman primarily engage in various sectors such as transportation, construction, vocational services, oil and gas, logistics, cargo handling, shipping, financial services, clean energy projects, fish farming, and Information and Communications Technology (ICT).
The Singaporean official stressed the significance of exploring opportunities for collaboration in renewable energy projects, with a specific focus on low-carbon alternatives and energy efficiency solutions. This includes initiatives related to green hydrogen, ammonia, solar energy, and wind energy, aiming to achieve net zero carbon emissions and enhance energy security.
Meanwhile, Faisal Abdullah Al Rowas, Chairman of Oman Chamber of Commerce and Industry (OCCI), stated that the strong bilateral relations between the two countries contribute to the growth of trade and investment cooperation.
Al Rowas mentioned that both sides are committed to understanding challenges, identifying opportunities, and prioritizing strategic and developmental planning in the trade and investment sphere. This cooperation enables both countries to access promising markets in the Gulf and East Africa region.
The Chairman of OCCI also highlighted the importance for businesspeople from Oman and Singapore to take advantage of the free trade agreement between the Gulf Cooperation Council (GCC) and Singapore.
Dr. Khalid Said Al Amri, Chairman of the Board of Directors of Oman Economic Association, added that Singaporean companies operating in Oman play a significant role in fostering economic relations between the two countries.
ONA was informed by Al Amri that Omani imports from Singapore in 2022 amounted to OMR186.7 million, while exports from Oman to Singapore reached OMR794.5 million during the same period. He further stated that the trade exchange between the two countries has experienced significant growth over the past two years, surpassing OMR1 billion by the end of 2022, compared to OMR553 million in 2021.
Oman's exports to Singapore have shown an upward trend since 2018, reaching OMR834 million by December 2022, compared to OMR258 million in 2018. On the other hand, Singaporean imports to the Omani markets reached OMR186.7 million by the end of 2022.
The Chairman of the Board of Directors of Oman Economic Association highlighted that Oman has achieved a trade surplus between the two countries, amounting to OMR653 million in 2022, compared to OMR329 million in 2021.
