Oman’s Trade Surplus Rises to $18.5 Billion Amid Strong Oil and Gas Exports

Oman’s trade surplus grew by 2 percent year-on-year by the end of November, reaching 7.14 billion Omani rials ($18.5 billion), up from 6.99 billion rials in the same period of 2023. The rise was driven by a surge in oil and gas exports, which helped push total merchandise exports up by 7.7 percent to 22.23 billion rials, according to preliminary data from the National Center for Statistics and Information.

Oil and Gas Exports Fuel Growth

Oman’s oil and gas exports saw a significant increase of 19.7 percent, reaching 14.99 billion rials compared to 12.53 billion rials in the same period last year. Crude oil exports rose by 2.5 percent to 9.13 billion rials, while refined oil exports saw an impressive 174.9 percent jump to 3.57 billion rials. However, liquefied natural gas (LNG) exports slightly declined by 1.1 percent to 2.30 billion rials.

The country’s crude oil exports totaled approximately 308.42 million barrels by the end of December, with an average price of $81.2 per barrel. Oil exports accounted for 84.9 percent of Oman’s total oil production, which stood at 363.29 million barrels for the year. Despite the strong figures, total oil exports recorded a slight decline of 0.6 percent compared to the previous year.

Key Trade Partners

The UAE remained Oman’s top trade partner for non-oil exports, recording an 8.1 percent year-on-year increase to 935 million rials. The UAE was also the leading re-export destination at 526 million rials and the top exporter to Oman, supplying goods worth 3.60 billion rials.

Saudi Arabia ranked second in non-oil exports from Oman at 764 million rials, followed by South Korea with 611 million rials. Iran was the second-largest re-export destination at 335 million rials, while Kuwait followed at 110 million rials. Among exporters to Oman, China was the second-largest supplier with 1.62 billion rials in goods, followed by Kuwait at 1.49 billion rials.

Decline in Non-Oil Exports

Despite the overall trade surplus, Oman’s non-oil merchandise exports declined by 16.6 percent to 5.64 billion rials in November, down from 6.77 billion rials a year earlier. Mineral products remained the top non-oil export category at 1.62 billion rials, though they dropped 35.2 percent.

Base metals and related products saw a slight decrease of 1.1 percent to 1.20 billion rials, while plastics and rubber products increased by 10.1 percent to 896 million rials. Chemical industry product exports dropped 22 percent to 725 million rials, and live animals and animal products declined by 12.3 percent to 320 million rials.

Re-Exports and Imports See Growth

Re-exports from Oman grew by 18.3 percent to 1.59 billion rials. Transport equipment re-exports rose by 2.1 percent to 385 million rials, while mineral product re-exports surged 43.1 percent to 119 million rials. However, re-exports of live animals and animal products fell by 13.3 percent to 89 million rials.

Imports also saw significant growth, rising 10.6 percent year-on-year to 15.09 billion rials. Mineral products accounted for the largest share at 4.21 billion rials, up 9.5 percent. Imports of electrical machinery and equipment surged 26 percent to 2.61 billion rials, while base metals and related products dipped slightly by 1.2 percent to 1.45 billion rials. Chemical industry imports rose 2.7 percent to 1.40 billion rials, and transport equipment imports increased 13.1 percent to 1.35 billion rials.

GCC Trade Trends

Oman’s trade surplus is in line with a broader regional trend, as the Gulf Cooperation Council (GCC) continues to strengthen its role in global trade. Recent data indicates that the GCC achieved a total trade volume of $1.5 trillion, making it the world’s sixth-largest trading bloc and accounting for 3.4 percent of global trade in 2023.

With oil and gas exports driving Oman’s economic performance and regional trade connections strengthening, the country is poised to maintain its positive trade balance in the coming years. However, the decline in non-oil exports highlights the need for economic diversification to sustain long-term growth.