Food Factory Opens in Khazaen Economic City Worth RO 25 Million Investment

Food
Factory Opens in Khazaen Economic City Worth RO 25 Million Investment

Barka,
14 Jan 2026 (ONA) — The Food Development Company, a subsidiary of Salalah
Mills Company, celebrated today the opening of its bakery products
manufacturing plant in Khazaen Economic City, located in the Wilayat of Barka,
South Al Batinah Governorate.

The
opening ceremony was held under the auspices of Eng. Masoud Said Al Hashmi,
Governor of South Al Batinah, in the presence of Dr. Ahmed Nasser Al Bakri,
Undersecretary of the Ministry of Agriculture, Fisheries and Water Resources
for Agriculture.

The
inauguration of the factory is part of ongoing efforts to bolster the food
industries sector in the Sultanate of Oman, support the food security system,
and meet the needs of local and regional markets according to the highest
international standards.

Strategically
located within Khazaen Economic City, the facility is considered one of the
most advanced industrial projects in the field of integrated fresh and frozen
bakery solutions. It aims to supply hotels, restaurants, retail outlets,
catering companies, and airlines in Oman, the GCC countries, and several
international markets.

The
project represents an investment value of approximately RO 25 million and is
built on an area exceeding 20,000 square meters. It features 10 modern
production lines with a daily capacity of 80 tons, complemented by a
refrigerated storage capacity of 1,836 pallets, equivalent to approximately
2,000 tons.

Eng.
Ali Bakheet Kashob, CEO of Salalah Mills Group, stated that the opening of the
factory marks a strategic step toward building a world-class manufacturing
platform in Oman that combines expertise with innovation while adhering to the
highest international standards for quality and food safety. He emphasized that
the project aims to enhance local manufacturing, support the food security
framework, and efficiently meet regional market demands.

He
added that the factory is among the most modern frozen bakery facilities in
Oman and the region, supported by advanced production lines and large storage
capacities to ensure a continuous supply to the hospitality, retail, catering,
and aviation sectors.

Kashob
further noted the factory’s commitment to implementing approved international
standards, including the Hazard Analysis and Critical Control Points (HACCP)
system, Quality and Halal certifications, and the “Made in Oman”
mark. He explained that advanced baking technologies have been introduced,
including modern fermentation methods and long-term processes, to enhance the
competitiveness of Omani products in the rapidly growing Gulf bakery market.

He
also highlighted that integration with the Salalah Mills Group forms a core
pillar of the business model through an integrated value chain that begins with
wheat procurement and ends with final product distribution.

For
his part, Eng. Salim Suleiman Al Thuhli, CEO of Khazaen Economic City, said
that the opening of the factory within Khazaen’s “Food City”
represents a qualitative addition to Oman’s industrial infrastructure. He noted
that it reflects the city’s commitment to supporting projects that strengthen
food security, contribute to economic diversification, and support local and
regional supply chains in line with Oman Vision 2040.

The
project is expected to stimulate economic activity in South Al Batinah
Governorate by supporting local value chains, creating direct and indirect
employment opportunities, and revitalizing the services, transport, and
logistics sectors. It further enhances the governorate’s competitiveness as an
attractive hub for industrial and food investments, supporting balanced and
comprehensive development across Oman.

—Ends/AG