The Ministry of Commerce, Industry, and Investment Promotion announced an initiative to support local products and services yesterday in Muscat in collaboration with the General Secretariat of the Tender Board.
The “mandatory products list”, will oblige government contractors to purchase products and utilise services from national factories, local suppliers and local providers. The list will be included in all government tenders and procurements.
Dr Saleh bin Saeed Masan, Under-Secretary of the Ministry of Commerce, Industry, and Investment Promotion for Commerce and Industry, highlighted the importance of the initiative in his keynote speech.
“In order to prioritise national products in government tenders, the mandatory list initiative was launched as part of the supportive measures for the industrial sector. This initiative is a collaboration with our partners in both the public and private sectors, aiming to enhance local content in national industries.“ “This is achieved by allocating a significant portion of government procurement and tenders, subject to the government tendering system, to industrial establishments. This initiative will encourage existing industries, focusing on the local market and enhancing the quality of products, potentially expanding production lines.” “ Furthermore, it aims to encourage investors, whether local or foreign, to establish other industries that cater to the local market's needs. The list will be periodically reviewed to ensure industrial establishments benefit from government procurement.” According to Sultan bin Saeed al Khudhuri, Head of the Local Value Added and Local Content Office at the Ministry, the initial phase of the mandatory list contains 9 product categories amounting to a total of 57 items, whereas the services lists contains 11 categories with a total of 96 services.
Products include building materials, electrical materials, petroleum equipment, iron materials, food products, plastic products, paper supplies, furniture, petroleum and chemical products. Services include electrical work, civil and construction work, traffic safety, general building maintenance, primary equipment on-site, engineering and professional design, information technology, labour force services, equipment supply, cable provision and transformation, as well as general services.
Furthermore, the Tender Board's General Secretariat launched "Ma'een", a program that aims to support SMES by offering continual training and education to business owners through a mentoring program that directly connects specialists with business owners.
In addition, the Tender Board's General Secretariat signed a collaboration agreement with the "Invest in Oman" platform to localize investment opportunities and promote local enterprises. The agreement aims to foster effective collaboration and integrated coordination between both parties in terms of data exchange, information sharing, and investment expertise, according to an ONA report.
In a statement, the Secretary-General of the Tender Board, Engineer Badr bin Salem al Maamari, affirmed that through launching these initiatives and programs, the Board hopes to boost local products and services in the Sultanate of Oman and support small and medium-sized businesses in government procurements and tenders.
The Ministry of Commerce, Industry, and Investment Promotion previously established, the National Product Competitiveness Enhancement Committee, to enhance the competitiveness of national products and services.
Earlier this year, Oman Investment Authority - the investment arm of the Government - launched its own local products and service mandatory list in aim to creating in-country value and supporting SMEs.
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