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the same geographical advantages. What Oman brings, however, is an uncongested airport with more modern equipment, which can provide faster processing.”


THE MIDDLE EAST LOOKS TO DIVERSIFY


BY Edward HARDY


WITH global supply chains shifting and e-commerce volumes continuing to grow, the Middle East is seeing rising competition. Demand for integrated logistics platforms—linking


air, sea and road—remains a major driver of strategy across the Gulf. Cold chain capability for perishables, streamlined customs processes, and the ability to manage seasonal peaks are all becoming decisive factors in determining which airports attract freight flows. At the same time, carriers face mounting pressure to diversify away from oil-dependent economies, with


non-oil exports such as seafood, pharmaceuticals and perishables increasingly shaping cargo priorities. As larger hubs in Dubai and Doha grapple with and


congestion capacity pressures, alternative


gateways across the region are seizing the chance to highlight their smaller scale, faster processing times and tailored approach to customer needs. Against this backdrop, Oman is positioning itself as a nimble competitor, leveraging its geography. “Oman does have an advantageous geographical


position, sitting at this crossroads and having easy access to Europe and Asia,” Michael Duggan, Head of Cargo at Oman Air, explains. “This does allow us to act as a gateway for the region. But to be honest, we all have


Building integrated supply chains Like many of its Gulf neighbours, Oman has invested heavily in logistics free zones such as Salalah and Khazaen, designed to integrate air, sea and road flows. Duggan notes that this is still a work in progress but says momentum is building. “The government is investing in trade and pushing to diversify Oman’s exports, the international free zones being part of this. Regarding the airport we are connected to these zones but in the early stages of full integration. It’s a process.” One area where Oman has made rapid strides is in


cold chain handling. Duggan points out that Muscat’s cargo facility is fully air conditioned, covering 22,780 sq m, alongside 305 sq m of bulk cold storage dedicated to perishables and pharmaceuticals. “We are CEIV Fresh and pharma certified,” he says, a capability that is crucial for fresh produce from the Indian subcontinent. “Our freighter operations allow us to access a section


of the market we can’t with our narrow-body passenger planes, whilst also allowing flexibility with timings,” Duggan continues. “We have scheduled the flights to line up with European flights from Muscat and have three units from India to Europe, all of which enable a quick transit with limited need for breakdowns.” With


fishing, pharmaceuticals and


AIR CARG O WEEK


notes. “Last year we did this for the Dhakar market, adding more freighter services in order to match the increased demand coming from Dhakar.”


e-commerce and regional cooperation Looking to the future, Duggan identifies e-commerce, regional cooperation and shifts in global supply chains as the key factors that will shape Oman’s position in the market. “Consumers want to consume, so e-commerce remains a variable to consider, even with tariffs and the geopolitical situation calling that into question. We monitor the shifts in supply chain as well. These are manageable, and we can adapt accordingly.” Technology is also playing a role, with Oman Air Cargo


adopting this SmartKargo, a system compatible with international platforms, and Muscat airport investing in interoperable systems. Partnerships with other carriers are helping to extend Oman’s reach, including potential new links into Central Asia. But challenges remain, particularly in scaling up


perishables


forming a growing share of Oman’s non-oil economy, these improvements are central to supporting the government’s diversification drive. Seasonal peaks— whether during harvests in India and Bangladesh or religious periods such as Ramadan and Hajj—are met with flexible capacity planning. “When the demand arises, we match that with increased services,” Duggan


exports from small and medium-sized Omani businesses. “A challenge we face is that local yields don’t necessarily fill the space,” Duggan admits. “However, we do ensure that any available space is made available for local goods and partner with other nations when demand is high. An example being Japan—we partner with them during tuna season, using the Asia gateway.” Ultimately, Duggan sees Oman’s role as


complementing, rather than competing head-on with, larger Gulf hubs. “Positioning ourselves as a transit hub has helped us to manage any changes in the market as and when they come,” he says. “Oman Air is keen to serve the domestic export market as best as we can in the fluctuating market, and air cargo continues to play a key role in enabling this for the country.”


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ACW 13 OCTOBER 2025


www.aircargoweek.com


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