The growth in UAE-Oman non-oil trade relationship nears 100% increase compared to last year, reaching a total profit of more than 100 billion euros in the last decade.
Year-on-year, non-oil commercial exports increased, from 23.4 billion Emirati dirhams in 2012 to 46.5 billion in 2021, according to data from the Federal Center for Competitiveness and Statistics (FCSC). These non-oil export movements accounted for about 33% of total non-oil trade over the past 10 years, while re-exports were 45.5% and imports more than 21%.
According to data from the volume report, already in 2013, trade between the two countries increased by 23% compared to the volume of 2012. The year 2019 saw the highest rate of trade between the Sultanate of Oman and the government of the United Arab Emirates. In 2020, Oman accounted for 20% of the total foreign trade of the Emirates. “We are working to strengthen investment in Oman in specific sectors,” said Redha al-Saleh, president of the Oman Chamber of Commerce. In addition, he added, Oman is working to create potential and assets to encourage domestic and foreign investment in sectors aimed at logistics diversification and tourism. The volume of trade between the two countries amounted to 24.2 billion dirhams in the first half of 2022, according to the WAM news agency.
Among the most imported products are petroleum oils and mineral oils, which topped the list of the five most traded products between the two countries. worth 1.49 billion dirhams. The products ending the list are iron ore concentrates (1.45 billion), iron or steel bars (1.36 billion), semi-finished iron or steel products (830 million) and insulated wires and cables (370 million dirhams).
The list of the most exported products to Oman are dominated by raw gold in semi-finished and powder form (2.41 billion dirhams). The top five exported products are copper cables (1.31 billion), followed by petroleum and mineral oils (916 million), cigarettes (889 million) and finally steel products worth 765 million Emirati dirhams.
In the list of top commodities re-exported in 2021 (export of foreign goods in the same condition in which they were previously imported), we see that automobiles were the most re-exported commodity (3.47 billion), followed by automotive parts and supplies (631 million)mobile phones with one (1.84 billion), computer machines (625 million), soaps and detergents for 584 million dirhams.
Meanwhile, the Sultanate recorded a budget surplus of $2 billion in the first half of the year on the back of rising oil and natural gas sales, as reported by the country’s finance ministry. This represents a growth of 54% over the previous year, while expenditure increased by 8.6%. Rising oil demand and prices in the wake of the Ukraine crisis have pushed crude oil above the break-even point for almost all producers in the Middle East, raising the possibility of large budget surpluses even for the lowest economies. if prices remain high. The good economic relations between the two countries are fostered by the intention of the two countries to cooperate. This reciprocity is seen in meetings like the one on Tuesday where, according to the Muscat Daily, “the two countries seek economic integration by strengthening financial and investment opportunities”.