30 November 2017
Muscat (WAF)- The Omani-Qatari bus assembly plant broke ground today in the newly developing Special Economic Zone in Duqm, a statement issued by the Special Economic Zone Authority of Duqm (SEZAD) said.
Karwa Motors is a partnership between the national transport company of Qatar (Mowasalat) holding 70 percent of the joint venture, and Oman Investment Fund, a sovereign wealth fund of the Sultanate of Oman holding the remaining 30 percent. “The two parties will invest about $90mn in the first phase of the project”, SEZAD said in the statement.
An official at OIF told WAF that the size of the investments for the following phases “will depend on the demand in the targeted markets”, adding that Oman and Qatar will be targeted in the first phase. And the rest of the Gulf region and the Middle East at a later stage.
The source said that the first phase is to be completed by end of 2019, and the production will start early 2020.
The first phase of the project will be built on an area of 220,000 square meters, with an annual capacity of 1000 busses. The production line will include coach, city buses, and school buses “to meet the local and regional market needs”.
A source close to the project told WAF that Karwa Motors has assigned the Chinese Higer as a technical partner and a supplier for assembly requirements. While MMI planning & engineering institute from China is the consultant of the factory’s design and operations.