Muscat – Public Authority for Special Economic Zones and Free Zones (OPAZ) and Mahadha Development Company, a joint Omani-Emirati venture led by DP World, have signed an agreement to develop and operate the first phase of Al Rawdah Special Economic Zone in Mahdah, Buraimi.

The signing ceremony was held in the presence of H H Sayyid Theyazin bin Haitham al Said, Minister of Culture, Sports and Youth, and Sheikh Hamdan bin Mohammed bin Rashid al Maktoum, Crown Prince of Dubai, and Deputy Prime Minister and Minister of Defence of the United Arab Emirates (UAE).

The agreement was signed by Ahmed bin Hassan al Dheeb, Vice-Chairman of OPAZ, and Sultan Ahmed bin Sulayem, Chairman and CEO of DP World.

According to Dheeb, the special economic zone (SEZ) aims to support job creation, attract advanced technologies and contribute to sustainable development. He noted that its strategic location on the Oman-UAE border provides access to the ports of Suhar and Jebel Ali, improving logistics and market reach across Gulf, Asian and African regions.

Sulayem described the project as a “new chapter” in the economic relations between Oman and the UAE. “We are committed to developing a world-class platform that will create new opportunities for growth, strengthen connectivity and bring long-term economic value to both our nations.”

Under a 50-year usufruct agreement, Mahadha Development Company will initially develop 14sqkm, with the option to expand to 25sqkm. The developer is responsible for infrastructure, public utilities, environmental studies, and master planning covering industrial, commercial and service sectors.

The first phase will target key industries including manufacturing, logistics, pharmaceuticals, mining, food processing, plastics and safety services. The SEZ will offer investment incentives including a ten-year income tax exemption, customs duty waivers on imports and exports, and 100% foreign ownership. Strategic projects will benefit from single-window approvals.

The project also aims to support tourism, enhance the region’s business environment, and create opportunities for small and medium enterprises.