# Ibri Industrial City: Land Rent, Sectors & Setup Steps in Al Dhahirah

> Ibri Industrial City is a 10 million m2 Madayn estate in Al Dhahirah, on the road to the Empty Quarter border crossing with Saudi Arabia. It suits oil and gas services, mineral processing, food and light industry, and had attracted about OMR 25 million by mid-2026.

URL: https://omanregister.com/industrial-cities/ibri-industrial-city/
Updated: 2026-10-24
Publisher: Oman Register (omanregister.com) — company registration and residency services in Oman. Contact: +968 7733 3556, info@omanregister.com

## At a glance

- **Operator:** Madayn (Public Establishment for Industrial Estates)
- **Governorate:** Al Dhahirah
- **Established:** 2020 (construction started July 2020)
- **Area:** 10 million m2; over 2.6 million m2 developed (2026)
- **Focus sectors:** Oil & gas services, minerals, food, light and medium industry, warehousing
- **Industrial rent:** OMR 1 per m2 per year (Madayn, 2026)
- **Border access:** About 130 km to the Empty Quarter (Rub' al Khali) crossing
- **Investment:** About OMR 25 million, 17 agreements (H1 2026)

Ibri Industrial City is a Madayn industrial estate of about 10 million m2 in Al Dhahirah Governorate. It sits on the route to Oman's Empty Quarter land crossing with Saudi Arabia and leases industrial land at OMR 1 per m2 per year. By mid-2026 it had 17 investment agreements worth about OMR 25 million, mainly in oil and gas services, food, manufacturing and light industry.

## Where is Ibri Industrial City?

The city is in the Wilayat of Ibri, about 20 km from Ibri's town centre, on the road leading to the Oman–Saudi border crossing at the Empty Quarter (Rub' al Khali). It is about 130 km from that land port. It is also within reach of the UAE border via Al Buraimi and of the oil and gas concession areas of western Oman.

Muscat is roughly three hours away by road. Sohar Port, via the Ibri–Sohar road, and Muscat-area ports serve as sea gateways. The location suits businesses that trade overland with Saudi Arabia or serve oilfield operators.

## Facts and development status

- **Construction started:** July 2020 (Madayn lists 2020 as the inauguration year)
- **Total area:** 10 million m2, with **over 2.6 million m2 developed** by mid-2026
- **Investments:** 17 agreements covering more than 250,000 m2 and about **OMR 25 million** (H1 2026)
- **Phase 1 works:** roads, water and sewage networks, stormwater drainage, wadi flood protection and solar-powered street lighting
- **Planned for 2026–2030:** a security fence, an administration building, a Madayn Entrepreneurial Complex for SMEs, and more green areas

Ibri is operational with live projects, but it is still small compared with Rusayl or Sohar. Expect a limited local supplier and service base.

## Which industries does Ibri target?

Madayn lists light and medium industries, commercial zones, administrative offices, workshops and warehouses. The most promising sectors in practice are:

- oil and gas services and equipment maintenance
- mineral processing, using the region's marble and chromite deposits
- building materials
- food processing (Madayn promoted 11 food and organic fertiliser opportunities in 2026)
- warehousing and logistics for the Saudi corridor

## Incentives and ownership rules

- **Up to 100% foreign ownership** in Madayn industrial cities.
- **Leases of up to 30 years**, renewable, with the right to sell, mortgage or sublease buildings and admit partners.
- **Customs exemption on production inputs** for licensed industrial projects, on approval.
- **Industrial rent of OMR 1 per m2** per year (2026).
- **Corporate tax** at the standard 15%. Historic five-year tax holidays should not be assumed; check with an adviser.

## How to set up in Ibri Industrial City

1. **Register the company** on the [Oman Business Platform](https://www.business.gov.om/) with the right activity codes ([step-by-step guide](https://omanregister.com/how-to-register-a-company-online/)).
2. **Prepare a project profile** covering products, process, plot size, power and water needs, staffing and environmental impact.
3. **Apply to Madayn** through the [e-Masar portal](https://eservices.emassar.om/e-services) or a Masar service centre.
4. **Plot allocation**: Madayn reviews and notifies you.
5. **Sign the usufruct agreement** and pay the initial rent and any guarantee.
6. **Permits**: a Madayn building permit, Environment Authority approval and industrial registration (for factories).
7. **Build and staff the site**, then apply for [work permits](https://omanregister.com/work-permit-oman/) and residence visas.

## Documents usually required

- Commercial Registration and company documents
- Owner and signatory passport or ID copies
- Project description or feasibility study and a site layout
- Utility and environmental data
- Power of attorney if an agent applies for you

## What does it cost?

The published industrial rent is **OMR 1 per m2 per year** (Madayn, 2026). As an illustration, a 5,000 m2 plot would cost about OMR 5,000 a year in rent alone. Other components:

- the common area maintenance (service) charge
- Madayn application, allocation and permit fees, according to its current schedule
- utility connection and consumption charges
- construction, fit-out and equipment
- company registration, chamber and labour costs

## Timelines

Company registration can be completed within days once documents are ready. A Madayn plot allocation typically takes a few weeks. Building and environmental permits follow, and the overall time to start operations depends mostly on your construction schedule.

## Pros and limitations

| Pros | Limitations |
|---|---|
| On the overland route to Saudi Arabia | Far from Muscat and from seaports |
| Low rent and a large land bank | Smaller supplier and labour pool |
| Close to oilfields and mineral deposits | Some planned facilities still to be built |
| Operational, with signed projects | Summer heat and logistics costs for some sectors |

## Nearby alternatives

- [Al Dhahirah Special Economic Zone](https://omanregister.com/free-zones/al-dhahirah-special-economic-zone/): in Ibri, with SEZ incentives for border trade.
- [Al Buraimi Industrial City](https://omanregister.com/industrial-cities/al-buraimi-industrial-city/): next to the UAE border.
- [Nizwa Industrial City](https://omanregister.com/industrial-cities/nizwa-industrial-city/): central Oman, closer to Muscat.
- [Sohar Industrial City](https://omanregister.com/industrial-cities/sohar-industrial-city/): if you need a port next door.

See the [industrial cities hub](https://omanregister.com/industrial-cities/) and the [free zones hub](https://omanregister.com/free-zones/) for a wider comparison.

## How Oman Register helps

Oman Register helps you decide between Ibri Industrial City and the Al Dhahirah SEZ, registers your company and prepares the Madayn application. We then follow the lease, permits, work permits and visas through to completion.

## FAQ

**What is the rent in Ibri Industrial City?**

Madayn lists industrial land at OMR 1 per m2 per year (2026). Earlier promotions gave rent-free periods and fee discounts for contracts signed in 2021–2024, so check whether any current offer applies.

**How far is Ibri Industrial City from the Saudi border?**

The city lies on the road towards the Oman–Saudi crossing at the Empty Quarter, about 130 km from the land port. It is also about 20 km from the centre of Ibri.

**Is Ibri Industrial City the same as the Al Dhahirah Special Economic Zone?**

No. Ibri Industrial City is run by Madayn as an industrial estate. The Al Dhahirah SEZ is a separate zone with its own regulator and incentive package.

**Which sectors suit Ibri Industrial City?**

Oil and gas services, food processing, building materials, warehousing, and light and medium manufacturing. The region's marble and chromite deposits support mineral processing.

**Can a foreign company lease land in Ibri Industrial City?**

Yes. A company registered in Oman, including one that is 100% foreign-owned, can apply to Madayn for a lease of up to 30 years, renewable.

## Sources

- [Madayn — Ibri Industrial City](https://madayn.om/ibri-industrial-city/)
- [OPAZ — Industrial Estates (Madayn)](https://opaz.gov.om/en/zones/industrial-estates-madayn)
- [Oman Observer — Ibri Industrial City draws RO 25 million in investment (August 2026)](https://www.omanobserver.om/article/1193786/business/ibri-industrial-city-draws-ro-25-million-in-investment)
- [Times of Oman — Ibri Industrial City: opportunities in 10 million sqm (2022)](https://timesofoman.com/article/123826-nasser-al-mabsali-ibri-industrial-city-promising-investment-opportunities-spread-out-in-10-million-sqm)