Oman Aviation, DHL Oman sign air cargo agreement

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The Oman Aviation Group and DHL Oman announced a strategic partnership on Tuesday that will strengthen air logistics at Muscat Airport City.

This was announced at a press meet held at the Kempinski Hotel Muscat.

Speaking during the event, Mustafa al Hinai, Group CEO at Oman Aviation Group, said, “Aligned fully with the National Aviation Strategy 2030 and the Oman Vision 2040 strategy to diversify the economy and develop world-class infrastructure, this partnership will surely help us achieve the vision. Our air cargo ecosystem has been identified in Oman’s National Aviation Strategy as holding the promise of significant economic potential.”

The partnership agreement comes as part of a joint understanding of the companies’ mutual investment in air cargo as an essential building block for the future. With COVID-19 underscoring the importance of air cargo in recent months, especially for the movement of essential goods and specialised medical equipment, the agreement further strengthens Oman’s attractiveness as a hub on strategic East-West trade corridors.

Moustafa Osman, country manager of DHL Oman, said, “The strategic partnership to strengthen air logistics at Muscat Airport City will be attracting international investors and leading logistics players to Oman. It will be a key component of Oman’s National Aviation Strategy 2030.”

Since its founding in 2018, Oman Aviation Group has developed a series of key economic strategies designed to empower Oman’s aviation sector and enable economic diversification across several adjacent sectors.

‘Cargo industry will see a huge jump after crisis’ 

Globally there has been an increase of over 300 per cent in e-commerce shopping and shipment which is a positive step for an increase in cargo in Oman too after the pandemic.

Moustafa Osman, country manager of DHL Oman, said, “During the pandemic it must be noted that there has not been a problem in growth for our cargo. There is no supply crisis as there has been a global increase of over 300 per cent e-commence and shipping during this period.

“Oman is a growing market in e-commerce and as we see more upcoming projects, investments, diversification and new initiatives as part of economic recovery coming up soon after the virus is over, the cargo industry will definitely see a huge jump.”

The main challenge in this time was not the supply but the duration. It took more days for essentials to arrive in Oman.

Mustafa al Hinai, Group CEO of Oman Aviation Group, added, “We have tried our best to provide our services for air cargo in bringing back essentials to sustain the country, in terms of food, medical supplies, and other shipments. However, with COVID-19 the main challenge was the delay. Some goods that needed to come in two or three days would take up to five or six days to come. It was hard for countries where we have no direct links, like the US.

“Hence the goods were routed through other destinations. There were additional paper works as well as sanitation and screening which added more days.”

He added that there is ample potential to grow market share in world markets, including the GCC, and expand to new secondary markets in Asia, Africa and Europe.

“Until the global pandemic, Oman regularly reported cargo growth of ten per cent or more compared to the same period the year before, bucking industry trends and proving that increased air cargo in the country is on an upward trend.”

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