RESTRICTEDWORLD TRADE
ORGANIZATIONWT/ACC/OMN/26
28 September 2000
(00-3948)
Working Party on the
Accession of Oman
REPORT OF THE WORKING PARTY ON
 THE ACCESSION OF OMAN TO THE
 WORLD TRADE ORGANIZATION
1. The Government of the Sultanate of Oman applied for accession to the World Trade
Organization in April 1996.  At its meeting on 26 June 1996, the General Council established a
Working Party to examine the application of the Go vernment of the Sultanate of Oman to accede to
the World Trade Organization under Article XII of the Marrakesh Agreement Establishing the WTO.
The terms of reference and the membership of the Working Party are reproduced in document
WT/ACC/OMN/4/Rev.5.
2. The Working Party met on 30 April and 28 November 1997;  2 October 1998;  7 May 1999;
29 February and 6 July 2000 under the Chairmanship of H.E. Mr. Munir Akram (Pakistan).
DOCUMENTATION PROVIDED3. The Working Party had before it, to serve as a basis for its discussions, a Memorandum on the
Foreign Trade Regime of Oman (WT/ACC/OMN/2), the questions submitted by Members on the
foreign trade regime of Oman, together with the re plies thereto, and other information provided by the
authorities of Oman (WT/ACC/OMN/5 and Adde nda 1 and 2;  WT/ACC/OMN/6 and Addendum 1;
WT/ACC/OMN/9;  WT/ACC/OMN/11;  WT/ACC/OMN/12;  WT/ACC/OMN/13;
WT/ACC/OMN/14;  WT/ACC/OMN/16;  WT/ACC/OMN/18;  and WT/ACC/OMN/22), includingthe legislative texts and other documentation listed in Annex I.
INTRODUCTORY STATEMENTS4. The representative of Oman recalled that Oman was an old trading nation, having been at the
crossroads of international trade for centuries.  Aware of the importance of world trade and the
importance of rules for the conduct of world trade,  Oman was seeking Membership in the WTO
convinced that the universal rule-based system ensh rined in the WTO provided the best recipe for a
healthy and strong world economy.  His Government was looking forward to joining the WTO and
adding its voice to strengthening the multilateral trading system.  The Sultanate of Oman hadembarked upon its economic development in 1970 under the dynamic leadership and guidance of His
Majesty Sultan Qaboos bin Said.  Remarkable progress had transformed Oman from a subsistence
economy into a modern one with a sophisticated infrastructure.  Oman's road to development was
backed by sound economic policies based on free-market principles.  However, despite the progress
made, Oman  remained a developing country, dependent on a single exhaustible resource.  The shareof manufactures in total GDP was still very small and manufactures accounted for a tiny part of
Oman's total exports.
5. Oman was taking further steps to open the economy;  the privatization program was
proceeding smoothly, some laws and regulations were under revision, and institutional changes were
taking place.  His Government would be ready to offer meaningful commitments in goods andWT/ACC/OMN/26
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services and accept obligations under WTO rules, keeping in view Oman's position as a developing
country, and based on the principle of mutual advantage.  Oman was committed to pursuing its
accession to the WTO, knowing that its trade regime for the most part conformed with the provisions
of the WTO Agreements.  Customs valuation and intellectual property were two notable areas where
existing laws and regulations were not in full conformity with the provisions of theWTO Agreements.  Oman would be prepared to accept all obligations under WTO rules, but
acknowledged that it would take some time to bring laws into line with WTO requirements.
6. In their opening remarks, members of the Working Party welcomed and supported the request
from Oman to accede to the WTO.  Adherence to the multilateral rule-based system would
consolidate Oman's open and outward-looking economy, enhance the universality of the WTO, and
bring mutual benefits to Oman and Members of the WTO.  Members expected Oman's accession toproceed expeditiously.
7. The Working Party reviewed the economic policies and foreign trade regime of Oman and the
possible terms of a draft Protocol of Accession to the WTO.  The views expressed by members of the
Working Party on the various aspects of Oman's foreign trade regime and on the terms and conditionsof Oman's accession to the WTO are summarized below in paragraphs 8 to 156.
ECONOMIC POLICIESMonetary and Fiscal Policy
8. The representative of Oman said that monetary policy was implemented with two key
objectives in mind:  to steer the financial system towards medium- and long-term targets aimed at
eliminating internal and external imbalances and to smooth fluctuations in bank liquidity.  The Central
Bank of Oman did not target any specific monetary variables at present, but conducted monetarypolicy in consultation with the Government in order to contribute to the objectives envisaged in the
Five-Year Plans.  The Central Bank had the legal authority to use a broad range of monetary policy
instruments, including reserve requirements, lend ing ratios, rediscount policies, currency swaps,
treasury bills and development bond operations, and the issuance of certificates of deposit.
Commercial bank interest rates had been deregulated, and all lending rates, except those for consumer
loans not exceeding RO 9,000, were also freely determined by market forces.
9. The Government's fiscal policy was very important to the national economy as government
spending was a driving force for economic activity.  The main source of government revenue came
from the petroleum sector, and the Government's resource base was accordingly sensitive to
fluctuations in oil prices.  Among the objectiv es of the Fifth Five-Year Plan (1996-2000), Oman
aimed at achieving a balance between government revenue and expenditure.  Cuts were foreseen incurrent expenditure by civil ministries.  The Government would discontinue net borrowing from
abroad while encouraging domestic savings by issuing government development bonds.  The
Government also sought to minimize dependence on withdrawal from State funds, and would transfer
all proceeds from oil sales above US$ 17 per barrel to a State Emergency Fund.  The Government also
intended to increase the share of non-oil income in total revenue.
10. Income tax was the only tax levied in the Sultanate of Oman and it applied only to businesses.
The tax code had been revised recently.  Taxable income below RO 30,000 was exempt, and amounts
exceeding RO 30,000 were taxed at 12 per cent for wholly-owned Omani companies, Omani Public
Joint Stock Companies, and Mixed Omani-Foreign Companies in which Omanis owned 51 per cent ormore of the capital.  Income exceeding RO 30,000 in Mixed Omani-Foreign Companies in which the
Omani share was less than 51 per cent was taxed at 15 per cent up to RO 100,000, 20 per cent for
RO 100,000-150,000, and 25 per cent for amounts exceeding RO 150,000.  The tax code was
undergoing revision to reduce the discriminatory element further, and would be amended to guaranteeWT/ACC/OMN/26
Page 3
equality of treatment for companies with up to 70 per cent foreign equity by 1 January 2001.  Foreign
enterprises without permanent establishment in Oman which received royalties or fees were subject to
a 10 per cent tax on company turnover.  Oil exploration and  production companies were generally
taxed under special rules set out in the relevant concession agreements.  Income derived from the
retail sale of petrol and petroleum products was taxed at 55 per cent.  Foreign investment projectswere exempt from income tax for a period of five years and the exemption could be renewed once for
another five years.  Companies in the petrochemical sector had no special tax exemption beyond the
five- (or ten) year tax holiday.
11. In response to a question raised, the representative of Oman stated that the preferential
income tax rates for Omani businesses could not be considered a subsidy within the meaning of
paragraph (e) of the Illustrative List of Export Subsidies in the Agreement on Subsidies andCountervailing Measures as the treatment was not related to exports.
Foreign Exchange and Payments
12. The representative of Oman said that exchange control authority was vested in the Central
Bank, but Oman had no exchange control legislation.  Foreign exchange for payments abroad could
be obtained freely and no requirements were attached to receipts, or the disposal of foreign exchange
earnings, from exports or re-exports.  Payments for proceeds from invisibles were not restricted.
Travellers could bring in or take out any amount in domestic or foreign currencies.   Oman had
formally accepted the obligations of Article VIII, sections 2, 3 and 4 of the Articles of Agreement ofthe IMF on 19 June 1974.  There were no restrictions on the movement of capital.
13. The currency of Oman - the Omani Riyal - was pegged to the United States' Dollar at a rate of
US$ 2.6008 per Rial.  The Central Bank maintained fixed buying and selling rates with a narrow
margin around the peg.  Commercial bank rates for other currencies were based on market rates inLondon.  Oman maintained no taxes or subsidies on purchase or sale of foreign exchange.
Investment Regime
14. The representative of Oman said that his Go vernment promoted private sector investment,
foreign and domestic, with a view to achieving diversification by gradually reducing dependence on
oil as the dominant source of income by promoting the development of manufacturing, services,agriculture, fisheries and tourism.  Other in vestment objectives included job creation for the
expanding, well-educated local workforce; th e development of Omani management skills and
technical expertise;  gaining access to foreign markets through foreign private-sector marketing
channels;  and foreign equity participation in la rge, capital-intensive projects.  Omani legislation
stipulated that projects with foreign investment were not to be expropriated or confiscated except inthe case of public interest, e.g. State or national emergency, and against compensation.  Repatriation
of capital and profits was allowed freely.
15. The Commercial Companies Law allowed incorporation in Oman in the form of general
partnership, limited partnership, joint-venture, joint stock company, limited liability company, orholding company.  Each form was available to foreign investors subject to the Foreign Capital
Investment Law.  According to the Foreign Ca pital Investment Law, non-Omanis could conduct
business through companies licensed and registered in Oman, or by virtue of special contracts issued
by Royal Decree.
16. The representative of Oman said that Omani investors should participate adequately in the
development of the national economy.  All foreign investment required approval under the Foreign
Capital Investment Law.  The Law allowed foreign investors to own up to 49 per cent of companies
with capital of minimum RO 150,000 (US$ 390,000) and the share could increase to 65 per cent ifWT/ACC/OMN/26
Page 4
approved by the Minister of Commerce and Industry upon recommendation of the Foreign Capital
Investment Committee.  Foreign ownership of 100 per cent could be accepted in projects with total
capital exceeding RO 500,000 (US$ 1.3 million), provided the project contributed to the national
economy.  However, this level of ownership had to be approved by the Cabinet of Ministers upon
recommendation from the Minister of Commerce and I ndustry.  Projects were evaluated case-by-case.
As a general rule, investment in a strategic industry contributing to the economic development of
Oman outside the Capital area, transfer of tech nology and application of new technology improving
existing infrastructure, would be considered a contribution to the national economy.  Foreign
accounting and auditing companies were required to have a local Omani partner owning not less than
35 per cent of the total capital.  Foreign companies and individuals were generally not permitted to
own free hold land, except by Royal Decree, but land was available on 50-year extendable leases.
Foreigners could also be granted special permission to build temporary work camps.  Foreigninvestment in companies with capital of RO 150,000 or less was effectively banned.
17. A member believed conditions for foreign investment were often decided on a case-by-case
basis.  The representative of Oman did not agree with this statement.   Another member encouraged
Oman to maintain a high level of transparency  in its investment regime, for example, by due
publication of new or amended laws and regulations, allowing a reasonable interval between the
introduction and the enactment of the laws and regulations on the investment regime, and the
establishment of an inquiry point providing relevant information on investment.  Furthermore, the
Omani authorities should set down conditions in a manner as explicit as possible whether investment
was permitted or banned.  The representative of Oman replied that the Oman Centre for InvestmentPromotion and Export Development (OCIPED) served as an inquiry point for investors.
18. A member noted that Oman had revised its investment law to permit higher levels of equity
ownership in direct foreign investment in some sectors without Ministerial approval, and encouraged
Oman to expand the equity level permitted to foreig n investment even further, to permit full equity
ownership of foreign investments.  In reply, the representative of Oman said that the Foreign Capital
Investment Law would be revised by December 2000.  The representative of Oman confirmed that
Oman would adjust the amount of foreign equity to conform with the commitments in its services
schedule and investment approvals would be phased out accordingly.
State Ownership and Privatization
19. The representative of Oman said that privatiz ation was part of a government program aimed
at achieving sustainable development.  Priority was given to privatization of production services
operated on a commercial basis such as waste water,  electricity, water, telecommunications, highways
and postal services.  Private enterprises managed electricity and desalination plants under operation
and management contracts.  His Government was considering to privatize 30 per cent of the GeneralTelecommunications Organization (GTO), and postal services would be privatized after the
year 2000.  Rather than a rapid transfer of government assets, privatization would proceed in a
gradual manner.  Oman had no intention of privatizing television or radio at present.  Foreign
participation (up to 49 per cent) in privatization projects, in accordance with the 1994 Foreign Capital
Investment Law, was encouraged.  Proceeds from the sale of government assets would accrue to theState General Reserve Fund.  Some privatization projects – the Muscat and Salalah Sewage Systems,
GTO restructuring, electricity projects in Salalah, Sharqiya, Manah and Ghubra, and water projects in
Dhahira, Sharqiya and the Najd Area – were approaching their final stages.
20. The Government had also taken steps to privatize public assets in agriculture.  Two
government-owned date factories had been transferred to private ownership.  In the future, all
agricultural inputs and services were to be provided by the private sector.WT/ACC/OMN/26
Page 5
21. A member requested that Oman provide some i ndication of the relative size of the output of
State-owned firms relative to Oman's GNP and trade, both including and excluding the petroleum
sector.  The representative of Oman replied that the relative size of State-owned enterprises was
negligible, but precise data was not available at present.
Pricing Policies
22. The representative of Oman said that the Government set (maximum) prices for petroleum,
electricity, water and telecommunications, keeping in view the needs and welfare of citizens.  Oman
had no specific legislation on price controls, which were applied by the Ministry of Finance by
executive orders.  The price controls applied regardless of whether a project was operated by the
Government or by the private sector.  The tariff could not be amended without government approval.
Prices for petroleum and telecommunications services were uniform for all users.
Telecommunications charges were determined by the GTO under monopoly conditions, taking into
account ITU recommendations incorporating cost trends.  Telecommunications tariffs had been
lowered four times since 1980.  Electricity and water was subsidized, and tariffs were lower for
households than for industrial and commercial users.  Households paid Baisa 2 per gallon of water,while commercial and industrial users were charged Baisa 3 per gallon.  Households paid Baisa 10 to
30 per kWh for electricity, depending on the level of monthly consumption.  The price of electricity
for industrial and commercial users was fixed at Baisa 24 per kWh in the Summer months (May-
August), and Baisa 12 per kWh in the Winter months (September-April).
23. A member requested further clarification as to why prices for petroleum and
telecommunications charges were set above world market levels, and why water and electricity were
subsidized.  In reply, the representative of Oman said that his Government was evaluating an option to
privatize 30 per cent of the GTO as part of a comprehensive plan to restructure the GTO.  Making the
GTO a private entity in a free competitive market would lead to an overall review of the tariffs at alater stage.  Telecom prices in Oman were presently comparable to any developing and developed
country.  The Government had increased local petroleum prices for fiscal reasons and to encourage
more rational use of petroleum products.  Electricity tariffs were differentiated for social reasons and
to encourage the development of infant industries.  His authorities were studying a reform of
electricity and water charges with a view to reviewing and harmonizing the rates, as well as
privatization options.
24. In response to a question raised, the representative of Oman stated that no goods or services
other than those mentioned in paragraphs 22 and 23 were subject to price controls.  There were no
plans to liberalize price controls at this stage.
25. The representative of Oman stated that in the application of price controls or State guidance
now or in the future, Oman would apply such meas ures in a WTO-consistent fashion, and take account
of the interests of exporting WTO members as provided for in Article III:9 of the GATT 1994.  Oman
would publish the list of goods and services subject to State controls any that are introduced or re-
introduced in the future in its Official Journal, in cluding any changes in the list provided of current
requirements in place.  The Working Party took note of this commitment.
Competition Policy
26. The representative of Oman said that economic policy was based on free-market principles,
and that no specific competition law existed.  Asked whether Oman intended to introduce legislationon competition, the representative of Oman said that Oman had not experienced any particular
problems ascribed to restrictive business practices so far, but Oman was considering the option of
eventually having regulations on competition.WT/ACC/OMN/26
Page 6
FRAMEWORK FOR MAKING AND ENFORCING POLICIES
27. The representative of Oman said that His Majesty the Sultan of Oman was the Head of State
and Head of Government and was the highest and final authority.  The Cabinet, deriving its authority
from His Majesty the Sultan, was the highest executive authority.  The Cabinet considered mattersrelated to administrative functions of the State, internal policies and relations with other countries,
including the consideration of international treaties, conventions and charters.  The Cabinet submitted
its recommendations to His Majesty the Sultan for approval.  The functions and jurisdiction of
ministries were determined, or adjusted, by Royal Decree.  Each Minister, assisted by one or more
Under-Secretaries, was responsible for implementing matters within the jurisdiction of the ministry.
His Majesty had established various specialized councils, such as the Financial and Energy Resources
Council, to assist in planning, study and formulation of proposals and plans in specific areas ofdevelopment.  None of these councils addressed trade issues.  The Sultanate of Oman had no
sub-central governments.
28. The legal system was based on laws and Royal Decrees issued by His Majesty.  Oman had no
legislative body empowered to make or review laws .  International treaties, conventions and charters
were signed by His Majesty, or by a person designated by His Majesty, in which case such treaty,
convention or charter was submitted to His Majesty for ratification.  After signature or ratification,
treaties and conventions or charters became part of Oman's legal system as of the date of publication
in the Official Gazette, unless His Majesty had decided on a different date.  Laws and Royal Decrees
were also valid from the date of publication in the Official Gazette or from any other determined date.All laws, by-laws, implementing regulations and important Ministerial Decisions were published in
the Official Gazette.  Routine administrative decisions were not published.
29. Oman's hierarchy of laws had been established in the following order:  (i)  the Basic Law of
Oman (Constitution);  (ii)  Royal Decrees;  (iii)  By-laws and Implementing Regulations;  and(iv)  Ministerial and Administrative Decisions.  The documents constituting Oman's accession
package to the WTO would be forwarded by the Minister of Commerce and Industry to the Cabinet,
which would pass its recommendations together with the package to His Majesty the Sultan for
ratification.  A Royal Decree would be issued following ratification.  He confirmed that ratification of
Oman's accession to the WTO Agreement would be accomplished by His Majesty, the Sultan's
signature or his ratification of the signature of a pe rson designated by him.  The Majlis Ash-Shura and
the Majlis ad-Dawla would have no rôle in the approval or ratification of Oman's accession package.
30. The representative of Oman said that the juridical system of the Sultanate comprised of
(i) Sharia (religious) Courts;  (ii) Criminal (Magistrate) Courts;  and (iii) the Authority for Settlement
of Commercial Disputes, a juridical-commercial body, which had recently been replaced by the
Commercial Court.  The newly established Comm ercial Court had jurisdiction over commercial
disputes between private sector parties, government departments or authorities and general
establishments.  The Court consisted of a President and judges appointed by Royal Decree, and
included primary circuits as well as an Appellate Circuit.  Taxation decisions and labour disputes
could be appealed to the Court, which provided a mechanism for independent review of
administrative decisions.  All decisions of government departments or authorities affectinginternational trade could be appealed to the Commercial Court.
31. A member requested a definitive statement from Oman as to how importers and exporters
could exercise the right to appeal governmental decisions as provided for in WTO Agreements,
including the provision for independent rulings contained in Article X:3 of the GATT 1994.  In reply,the representative of Oman said that the Basic Law (Constitution) of Oman provided for a right of
appeal of all administrative rulings and decisions to judicial bodies.  Oman had reviewed the functions
of the Commercial Court in relation to the right of appeal provided for in WTO Agreements, and
concluded that the Commercial Court probably did not meet fully the requirements of appeal underWT/ACC/OMN/26
Page 7
the GATT and WTO.  Precise legislation dealing with the right of appeal against governmental
decisions provided for in WTO Agreements, includin g in particular Article X of the GATT 1994, had
therefore been promulgated through amendments to Royal Decree Nos. 79/81 and 32/84.
32. The representative of Oman confirmed that no later than by the date of accession, Oman’s
laws would provide for the right to appeal administrative rulings on matters subject to WTO
provisions to an independent tribunal in conform ity with WTO obligations, including but not limited
to Article X:3(b) of the GATT 1994.  The Working Party took note of this commitment.
POLICIES AFFECTING TRADE IN GOODSTrading Rights (the right to import and export)
33. Some members requested Oman to clarify the right of firms and individuals to trade, i.e., to
import and export goods, to understand better how Oman’s conditions compared with the requirement
of GATT Articles III:4 and XI.  The representative of Oman said that no specific requirements existed
for engaging in importation;  it could be undertaken by any company or individual registered with theMinistry of Commerce and Industry under the releva nt laws, i.e. the Oman Commercial Law, the
Commercial Companies Law and the Foreign Capital Investment Law.  An enterprise seeking
registration to engage in commercial activities submitted an application form together with its
Memorandum and Articles of Association, and documents identifying the partners or company
directors, to the Ministry of Commerce and Industry.  Joint-stock companies and enterprises subject tothe Foreign Capital Investment Law should complete the necessary procedures under the Commercial
Companies Law and the Foreign Capital Investment Law, respectively, before applying for
registration in the Commercial Register.  Once regi stered, an enterprise could engage in importation
or distribution of imports provided these activities were mentioned in its Memorandum and Articles
of Association.  Registered companies could amend their registration, and acquire the right to trade,by amending their Memorandum and Articles of Association prior to applying for an amendment in
their commercial registration.
34. The relationship between a principal/supplier and his commercial agent in Oman was
governed by provisions in the Law on Commercial Agencies.  A commercial agent was defined as an
individual or company selling, promoting the sale and distribution of goods, or providing services
whether in the capacity of agent, representative or intermediary of the manufacturer or supplier ofgoods.  Only Omani nationals or companies with no less than 51 per cent Omani ownership could be
appointed as commercial agents.  Foreign individuals were not eligible for commercial registration
and could therefore not engage in importation or distribution of imports in Oman.  Omani nationals
could obtain commercial registration provided they had a place of business in Oman, no criminal
record or involvement in past bankruptcy proceedings, and were minimum 18 years of age.  Citizensof other Gulf Cooperation Council countries were treated as Omani citizens in accordance with
Article 8 of the Unified Economic Agreement.  This Article, which was implemented in a progressive
manner, did not guarantee GCC nationals the right to act as commercial agents in Oman.  The
representative of Oman confirmed that commercial agents were not subject to laws or regulations
influencing the decision to import based on purely commercial considerations.
35. Importers in Oman were not required to import through a commercial agent.  Individuals and
firms could import goods for their own use without restriction, subject to payment of customs duty, if
any.  Omani domestic goods could be distributed only through individuals or companies registered in
the Commercial Register as distributors of goods.
36. A member expressed concern that since Oman’s laws and regulations do not distinguish
between importing or exporting and providing services, such as distribution, after importation, those
regulations could be considered a restriction on imports and inconsistent with Article XI ofWT/ACC/OMN/26
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GATT 1994.  In that member's view, the right to im port goods, i.e., to be the importer of record,
cannot be conditioned on investment in the importing country, as is required to distribute goods in
Oman, since such a requirement would act as a restriction on importation inconsistent with GATT
1994.  The right to import, however, did not include the right to provide any of the services
immediately associated with imports after they clear customs, such as distribution, sale, warehousingand transport.  Once imported goods enter the country, however, they must receive national treatment
pursuant to GATT Article III.  The member noted that imports must also meet WTO-consistent
requirements that Members impose at the border, such as sanitary and phytosanitary requirements and
enforcement of trademarks and copyrights.  The me mber fully recognized the legitimate purpose that
requirements, such as providing relevant authorities with a contact point in the importing country or
indicating in customs documents the further disposition of imported goods, serve in enforcing WTO-
consistent measures.
37. The representative of Oman recognized the distinction drawn in the WTO between the right
to import and export under the GATT and the right, under the GATS, to provide services such as
distribution, and transportation, with respect to imported goods.  Without prejudice to Oman’s
schedule of commitments on services, Oman would, in implementing its obligations underGATT 1994, modify the relevant laws, regulations  and requirements to permit foreign firms,
including sole proprietorships of other WTO Members, to register strictly to engage in importation
without limitation on equity or requirement to inve st in Oman.  Commercial distribution in Oman of
imports as well as domestically produced goods would remain subject to the current requirements for
commercial registration under the relevant laws, i.e. the Oman Commercial Law, the CommercialCompanies Law and the Foreign Capital Investment Law, as outlined in paragraph 33.  Moreover,
Oman maintained the right to require importers th at were not registered to engage in commercial
distribution to provide information in their customs documentation regarding the further disposition of
the goods, once they entered Oman.  Foreign individuals could import goods for their personal use
only.
38. Some members noted that alcohol and beer could be imported only by registered importers
pursuant to permission by the Royal Oman Police (Table 1), and this would appear to be a form of
activity licensing.  In reply, the representative of Oman said that only firms having included
importation of alcoholic beverages in their commercial registration were eligible to apply for a permit.
The permit, valid for one year, had to be obtained from the Royal Omani Police prior to importation.
In response to a specific question, he added that while no licenses to import beer or alcoholic spiritshad been issued in recent years, six joint ventures with foreign participation were currently registered
for this purpose.  Oman maintained no other activity licensing requirements.
39. The representative of Oman confirmed that no special or unique registration requirements
existed for foreign or domestic persons or firms engaging in importing or exporting goods except forthe activity licence specifically listed in Table 1 and except as provided in WTO Agreements.  The
activity licence listed in Table 1 did not restrict foreign participation as it applied equally to foreign
and domestic businesses.  He confirmed that individuals and firms were not restricted in their ability
to import or export goods based on the scope of business or their registration and that they could
easily change their registration to allow for trade.  He further confirmed that there were norestrictions, such as capital or nationality requirements, on firms wishing to engage in foreign trade,
and that the criteria for registration were published in the official journal and generally applicable to
all.
40. The representative of Oman confirmed that from the date of accession Oman would maintain
the right of foreign and domestic firms and individuals, as described in paragraph 37, to import and
export on a non-discriminatory basis and would ensure that its laws and regulations relating to the
right to import and export goods and all fees, charges or taxes levied on such rights would be in full
conformity with its WTO obligations, including Articles VIII:1(a), XI:1 and III:2 and 4 of theWT/ACC/OMN/26
Page 9
GATT 1994 and that it would also implement such laws, regulations and requirements in full
conformity with these obligations.  The Working Party took note of these commitments.
IMPORT REGULATION
Customs code
41. The representative of Oman said that Oman followed the 1988 version of the Harmonized
System for statistical purposes.  Oman expected to implement the Harmonized System (1996) at the
six-digit level for the classification of goods for customs purposes by the date of accession to the
WTO.
Ordinary customs duties
42. The representative of Oman said that existing applied rates had generally been in force since
1986.  The weighted average MFN tariff amounted to 2.7 per cent in 1994.  Zero tariff was applied on
seeds, fertilizer and live plants (including flower plants);  fresh fruit and vegetables;  rice, wheat,wheat flour, barley, corn and sugar;  milk, condensed and sweetened, evaporated, powdered or
sterilized, but not flavoured;  cooking oils and fats other than butter or margarine;  meat, fresh or
frozen;  tea;  cement;  printed books;  agricultural equipment;  insecticides (for agricultural use); gold
and silver bullion;  and currency, including gold sovereign.  These zero tariffs were applied on an
MFN basis.  Other products were subject to import duty of 5 per cent, with the exception of dates(20 per cent), bananas (25 per cent), tobacco and tobacco products (50 per cent), and alcoholic
beverages, pork meat and pork products (100 per cent).  All customs duties were ad valorem  rates.
There were no seasonal duties.
43. In response to a specific question, he confirmed that the rate of duty applicable to cement was
zero and that the tariff on polyurethane products, paints and pipes was 5 per cent.  Interested parties
seeking a review of tariff rates could approach the Ministry of Finance, which would make a
recommendation to the Cabinet, which had the final say.  He confirmed that the Public Authority for
Stores and Food Reserves did not qualify for a tariff exemption on its imports, but in practice the
enterprise had paid no import duties because the items imported by it were subject to zero applied
tariff rates.
44. Some members noted that Oman had raised import duties on many items (mainly luxury
goods) in early 1999 to compensate for reduced State revenue following a drop in the price of crude
oil.  Oman was requested to provide an updated list of its applied tariffs and the estimated trade
weighted applied MFN tariff resulting from the recent tariff increases.  The representative of Oman
replied that the tariff increases in early 1999 had been rescinded.  He confirmed that the currentapplied rate of duty was 5 per cent ad valorem  for most products, with duty free status for some food
products and higher duties on selected items (as indicated in paragraph 42).
Other duties and charges levied on imports but not on domestic production
45. The representative of Oman said that other than ordinary customs duties, Oman imposed no
duties and charges of any kind within the meanin g of Article II.1(b) of the GATT 1994 on or in
connection with importation.
46. The representative of Oman stated that Oman levied no duties and charges on imports other
than ordinary customs duties and charges for services rendered.  Any such charges applied to imports
after accession would be in accordance with WTO provisions.  He further confirmed that Oman
would not list any other charges in its Goods Market Access Schedule under Article II:1(b) of
GATT 1994, binding such charges at "zero".WT/ACC/OMN/26
Page 10
Tariff rate quotas, tariff exemptions
47. The representative of Oman said that there were no tariff quotas in force in Oman.  All goods
imported for government use, i.e. not for commercial resale, were exempt from import duties.Imports of rice by the Public Authority for Stores and Food Reserves were subject to the same rate of
duty as for any private importers, i.e. zero tariff.  Investment projects were exempt from customs
duties on imports of machinery, equipment and raw materials required for production.  Also exempt
were goods imported by diplomatic missions.  Goods imported as humanitarian aid were exempted
case-by-case, depending upon the need for aid and the credentials of the aid organization.
Fees and charges for services rendered
48. The representative of Oman said that the Port Services Corporation, a commercial company
with 35 per cent government ownership and part of  the Ministry of Housing and Transport, provided
quay handling, storage and demurrage services for all imported products under a contract concluded
with the Port Authority.  The Port Services Corporation was the only supplier of these services, butother enterprises would also be eligible to enter into a contract with the Port Authority.  At present,
the Port Authority did not encourage other companies to enter the market due to the small size of the
port.  The Port Services Corporation levied certain fees and charges for the services rendered.  These
fees and charges are enumerated in Table 2 (see Annex).
49. The representative of Oman confirmed that charges, including those levied by the Port
Services Corporation, and any other fees levied on imports would be applied in conformity with WTO
obligations, in particular Articles VIII and X of the GATT 1994.  Information regarding the
application and level of these fees, revenues collected and their use, would be provided to WTO
Members upon request.  The Working Party took note of these commitments.
Application of internal taxes to imports
50. The representative of Oman said that Oman levied no internal taxes such as value-added tax,
sales tax or excise duty on imported or domestically-produced goods.
51. The representative of Oman stated that, from  the date of accession, Oman would apply its
domestic taxes on products in compliance with Articles I and III of the GATT 1994.  The Working
Party took note of this commitment.
Quantitative import restrictions, including prohibitions, quotas and licensing systems
52. The representative of Oman provided a list of prohibited imports, reproduced in Table 1 (see
Annex).  None of the prohibited items were produced domestically.  Petroleum products which could
be supplied by the Oman Oil Refinery in quantities sufficient to satisfy domestic requirements were
prohibited to import.  Import quotas were established for fresh and long-validity milk (annual) and
eggs (June-September) by the Ministry of Agriculture and Fisheries.  In recent years, the Summerquota for eggs had amounted to 840 tons, and the milk quota to 204,250 tons per month.  The Public
Authority for Marketing Agricultural Produce determined annual import quotas for fruit and
vegetables.  Quota levels were based on forecasts of domestic production and demand.  Daisy plants
were considered a narcotic plant and prohibited to import for health reasons.
53. Imports of radio sets and wireless telegraphs required authorization from the Ministry of
Communications.  Type approval pending, the Ministry would issue a provisional import licence.  The
Ministry cleared the frequency used by such radio equipment.  Ministry authorization was granted on
the basis of internationally recognized standards such as those established by the ITU and CEPT.WT/ACC/OMN/26
Page 11
Telecommunications equipment interfacing with Oman Telecom (formerly GTO) network required
type approval and authorization by Oman Telecom, and clearance by the Ministry of Communications
for equipment involving radio frequency.  In cases where Oman Telecom and Ministry rulings might
conflict, the Ministry's decision would prevail.  Type approval for telecommunications equipment was
based on standards relating to frequency, radiation, signalling (where applicable), and interfaceconditions (for equipment to be interconnected).
54. The representative of Oman provided detailed information on the import licensing system in
document WT/ACC/OMN/5/Add.2.  The system was used to administer the quantitative restrictions
on imports of fresh milk and eggs.  The quantity permitted to import under these global quotas  was
published in the local press, but individual quota allocations were not published.  Quotas were
allocated to importers on the basis of their share of actual imports in the preceding year, with noarrangements for new entrants.  Unused quota entitlements were not added to a succeeding period,
and licenses were not transferable.  Licenses were issued within one or two days at a fee of RO 2,000
per licence.  The period of validity for each licence ranged from one to four months.  Oman had
drafted legislation to abolish the quantitative restrictions on fruit and vegetables, fresh and long
validity milk, and eggs.  Ministerial Decree No. 20/2000 on the cancellation of import quotas for eggsand fresh milk had been issued at the end of February 2000, and Ministerial Decision No. 38/2000 had
eliminated the remaining import bans and quantitative restrictions on agricultural products.  A draft
Decree dealing with the import prohibition on petroleum products was submitted to the Working
Party for review.
55. The representative of Oman added that Ministerial Decision No. 71/2000 on Import Licensing
Procedures will implement Oman’s obligations under the WTO Agreement.  It specifies who may
apply for import licenses to import products that require them and under what conditions.  Specific
protections include guarantees that import licenses shall not be refused for minor documentation
errors;  that there shall be no penalty for documentation errors which are without fraudulent intent orgross negligence; and that imports under licence shall not be refused for minor variations in value,
quantity or weight from the amount designated on the licence.  The Decision sets time limits for
processing import licence applications, i.e., ten days for automatic licenses and normally 30 days for
non-automatic licenses.  It also specifies that non-automatic import licenses shall be required for
goods subject to safeguard or balance-of-payments protection actions under the WTO, as well as
goods that are sensitive for reasons of national security, religion, health, safety, public order or
environment.  The list of goods under automatic and under non-automatic import licence shall bepublished in the Official Gazette.
56. For goods subject to quantitative restrictions, the amount of quotas in value and/or volume,
the opening and closing dates of quotas, and any changes thereof, shall be published in the Official
Gazette at least 30 days prior to the opening dates, as well as information on the shares in quotasallocated to WTO member countries, by quantity or value.  In case of refusal of a licence, the
applicant shall, upon request, be informed in writing of the reasons for refusal and has the right to
administrative appeal to the Minister concerned and to the Commercial Court in accordance with the
rules of procedure of the Court.  Import licenses shall be valid for a period of six months from the date
of issue.  Changes to the rules and procedures and to the lists of products subject to licensingrequirements shall take effect 30 days after publication in the Official Gazette, and WTO members
which wish to comment on these changes or discus s the comments with competent Omani authorities
will have that opportunity, and due consideration will be given to the comments and results of these
discussions.
57. The representative of Oman confirmed that, from the date of accession, Oman would not
introduce, re-introduce or apply quantitative restrictions on imports, or other non-tariff measures
such as licensing, quotas, bans and other restrictions having equivalent effect that could not be
justified under WTO provisions.   The representative of Oman stated that, upon accession, theWT/ACC/OMN/26
Page 12
prohibition on importation of petroleum products would be eliminated and quantitative restrictions
would no longer apply to fruit and vegetables, fres h and long validity milk, and eggs.  Oman would
not restrict the import of fruit and vegetables except in conformity with the provisions of the WTO
Agreements.  Oman would not introduce any other im port quotas in the future.  He confirmed that
Oman would implement the Agreement on Import Licensing Procedures upon accession.  TheWorking Party took note of these commitments.
Customs valuation
58. The representative of Oman said that the existing system of valuation in Oman was in simple
form with no written laws or regulations, or detailed rules.  The customs valuation system was based
on transaction value, including cost, insurance and freight (c.i.f.).  If the transaction value was notaccepted, the value of imported goods was determined on the basis of the invoice price of identical or
similar goods imported earlier.  Minimum prices were not used in the calculation of import value.
Oman had no written rules or regulations concerning the appeal of decisions relating to customs
classification, valuation or assessment of duty.  An  aggrieved party would first approach the customs
officer in charge of the port, airport or land border station in question and, if he remained dissatisfied,he could appeal to the Director General of Customs.
59. The representative of Oman said that Oman needed to draft new laws and regulations on
customs valuation in accordance with the Agreement on Implementation of Article VII of the General
Agreement on Tariffs and Trade 1994 (the Custom s Valuation Agreement).  Oman had approached
international organizations and WTO Members for technical assistance.  In addition, administrative
instructions, guidelines and manuals for the applicat ion of the rules would need to be prepared and
Oman would be seeking technical assistance for this purpose.  All those involved in customs
operations would need to undergo thorough training in the law, procedures and techniques.  He
therefore proposed to initiate and execute a comprehensive training program for customs officials,importers and customs brokers with assistance from the WTO Secretariat, the World Customs
Organization and WTO Members.
60. A member was concerned by indications that Oman did not expect to implement the WTO
Customs Valuation Agreement as of the date of accession as it considered full implementation of the
Customs Valuation Agreement an integral part of the WTO accession package.
61. In reply, the representative of Oman submitted an action plan for implementation of the
Agreement on Customs Valuation, circulated in document WT/ACC/OMN/13.  The Customs
Department had set up a Task Force in early 1998 to carry out an in-depth study of the Agreement on
Customs Valuation.  The members of the Task Force met monthly to study the provisions of the
Agreement and to discuss implementation, including a program to train customs officials.  Oman hadissued Royal Decree No. 21/2000 to join the Worl d Customs Organization, and would promulgate and
enforce a new customs valuation law by Royal Decree no later than upon accession.
62. Having reviewed an early draft of Oman's new customs valuation legislation, a member noted
that (i) Oman had not yet implemented paragraph 8, Note to Article 5 in the Interpretative Note inAnnex I of the Agreement (deduction for local taxes);  (ii) a provision concerning the calculation of
the amount of a royalty or licence fee was inconsistent with the Agreement.  In making an adjustment
for a royalty or licence fee, the conditions of Article 8.1(c) and the Note to Article 8 in the
Interpretative Notes in Annex I of the WTO Valuation Agreement would need to be met;  (iii) Section
15 of the Management Decree concerning an adjustment for a royalty or licence fee was alsoinconsistent with the Agreement, and this provision should be removed;  (iv) Oman did not appear to
have implemented Article 12 of the Agreement concerning transparency;  (v) the dispute settlement
provision regarding the right of appeal to a judicial body as set forth in Article 11 of the Agreement
needed clarification;  (vi) the draft legislation contained no reference to the Committee on CustomsWT/ACC/OMN/26
Page 13
Valuation Decision 4.1 concerning the "Valuation of Carrier Media Bearing Software for Data
Processing Equipment" and the Committee on Customs Valuation "Decision on the Treatment of
Interest Charges in the Customs Value of Imported Goods";  and (vii) Oman had established
procedures for the use of a value declaration form.
63. The representative of Oman provided a revised draft law on customs valuation, and assured
members of the Working Party that its new Law on Customs Valuation would be applied in full
conformity with the WTO Agreement on the Implementation of Article VII of the GATT 1994.
Oman would not have any measures regarding customs valuation in place at the time of accession
which would be inconsistent with WTO rules, nor would Oman introduce such measures in the future.
Oman did not use measures such as minimum prices, reference prices or lists of prices in order to
calculate customs value or to verify invoices.
64. The representative of Oman confirmed that, from the date of accession, Oman would apply
fully the WTO provisions concerning customs valu ation, including in addition to the Agreement on
the Implementation of Article VII of the GATT 1 994, the provisions on the Treatment of Interest
Charges in Customs Value of Imported Goods and for the Valuation of Carrier Media BearingSoftware for Data Processing Equipment.  In accordance with these latter provisions, only the cost of
the carrier medium itself would be accounted for in the customs value.  He stated that Oman would
not use any form of reference price or fixed valuation schedule for the valuation of imports or to apply
duties and taxes, and that all methods of valuation us ed were in strict conformity with those provided
for in the WTO Agreement on the Implementation of Article VII of the GATT 1994.  The WorkingParty took note of these commitments.
Rules of origin
65. The representative of Oman said that Oman had no rules of origin for non-preferential trade.
Proof of origin was required only for imports from  GCC countries, under which origin was conferred
on goods containing at least 40 per cent value added in GCC countries.  A similar rule of origin was
applied to trade with Arab League members participating in the Arab League Free Trade Area.  A
certificate of origin was considered proof of origin.
66. A member sought implementation of WTO provisions on rules of origin in the trade regime of
Oman.  The representative of Oman replied that Oman would abide by its obligations under theAgreement on Rules of Origin upon accession, implementing regulations to address the procedural
requirements of the Agreement.  A draft Ministeria l Decree on Rules of Origin was provided to the
Working Party, and the Decree was issued in February 2000.  He confirmed that the right to request a
ruling on origin was available for imports subject to both preferential and non-preferential import
regimes.  Addressing specifically the requirements of Article 2(h) and Annex II, paragraph 3(d) of theAgreement, the Decree allowed an exporter, importer or any person with a justifiable cause to request
an assessment of the origin of a product from the Minister of Commerce and Industry.  The Minister,
or an official acting on his behalf, would issue the assessment, valid for three years, within 150 days
of the date of receipt of the request.  The provisions applied for both non-preferential and preferential
rules of origin.  These provisions had been enacted in Ministerial Decree No. 21/2000.  Legislation toimplement other provisions of the WTO Agreement was in development and would be enacted soon.
67. The representative of Oman stated that the Government Regulation establishing Oman’s rules
of origin would be adopted no later than by the date of accession.  He confirmed that from the date of
accession Oman’s rules of origin would comply fu lly with the WTO Agreement on Rules of Origin.
The Working Party took note of this commitment.WT/ACC/OMN/26
Page 14
Other customs formalities
68. Regarding customs clearance, the representative of Oman said that goods could be cleared for
home consumption upon completion of documentation, examination and payment of import duty, if
applicable.  Goods could also be warehoused, in which case duty would be collected when goodswere released from the warehouse for home consumption.  An importer could have goods cleared by
customs even without the necessary documents, provided the importer paid the estimated duty and a
provisional deposit to be adjusted when documentation was presented to customs.  Customs
formalities could be completed prior to the arrival of goods at the port or airport.  Disputes relating to
decisions by customs could be appealed or taken to court.
Preshipment inspection
69. The representative of Oman said that Oman had no pre-shipment inspection requirements for
valuation or certification purposes.  He confirmed that the operation of any future preshipment
inspection system would be temporary and consistent with the provisions and requirements of the
WTO, in particular the Agreements on Preshipment Inspection and Customs Valuation.
Anti-dumping, countervailing duties, safeguard regimes
70. The representative of Oman said that at pr esent Oman had no legislation on anti-dumping,
countervailing duties or safeguard measures.  The Law on the Organization and Encouragement of
Industry contained a provision authorizing the Government to increase customs tariffs, or prohibit or
restrict importation of goods similar to domestically produced goods, but this provision was dormant
and would not be used as a safeguard measure.
71. He confirmed that Oman had no official or ministerial discretion to impose anti-dumping,
countervailing duties or safeguard measures.  Oman would not introduce laws in these areas prior
accession to the WTO.  At the appropriate time and prior to enactment, Oman would submit the
proposed legislation, to be drafted in strict conf ormity with the provisions of the relevant WTO
Agreements, to the WTO.  The Law on the Orga nization and Encouragement of Industry would be
amended to bring it into conformity with WTO rule s prior to accession.  According to a preliminary
determination, Clause 4 of Article 19 of the Law would be deleted, and other aspects of the Law were
being examined.
72. A member sought a commitment from Oman not to apply anti-dumping, countervailing duties
and safeguard measures until existing legislation had been amended to the extent necessary to bring it
into conformity with WTO requirements, new legisl ation in full conformity with these requirements
had been introduced, and, with such legislation in place, Oman should apply these measures in fullconformity with WTO requirements.
73. The representative of Oman said that Oman would not apply any anti-dumping,
countervailing or safeguard measure until it had notified and implemented appropriate laws in
conformity with the provisions of the WTO Agreements on the Implementation of Article VI, onSubsidies and Countervailing Measures and on Safeguards.  He confirmed that Oman would ensure
that any such legislation would be full conformity with the relevant WTO provisions, including
Article VI and XIX of the GATT 1994 and the Agreement on the Implementation of Article VI, the
Agreement on Subsidies and Countervailing Measures and the Agreement on Safeguards.  After such
legislation was implemented, Oman would only appl y any antidumping duties, countervailing duties
and safeguard measures in full conformity with the relevant WTO provisions.  The Working Party
took note of these commitments.WT/ACC/OMN/26
Page 15
EXPORT REGULATIONS
Customs tariffs, fees and charges for services rendered, application of internal taxes to exports
74. The representative of Oman said that Oman applied no export duties, including on petroleum.
The quay handling and other charges levied by the Port Services Corporation for services rendered are
enumerated in Table 2 (see Annex).
Export restrictions
75. The representative of Oman said that exports of antiques, ancient manuscripts, Marie Teresa
Riyals, and date seedlings were prohibited.  Export restrictions applied to three species of fish -lobster, abalone and shark - during the breeding and reproduction season, at which time no fishing
was allowed.  Scientific studies and research had indicated a considerable decline in the stocks of
lobster and abalone in recent years. Lobster, abalone and shark were thus rare species in danger of
over-exploitation in Omani waters, and the fishing season was accordingly restricted.  Permission to
export these species during the restricted period could be obtained from the Ministry of Agricultureand Fisheries provided the exporter was a registered Omani company performing fish trade and export
activity, holding a licence from the competent authority;  exportable fish had been caught before the
end of the stipulated fishing season;  and the e xported fish would comply with specifications and
conditions determined by the Ministry.  The same rule applied to domestic sales of lobster and
abalone.  No limit was set on the exported quantity.  The prohibition on exports of date seedlings hadbeen established to preserve rare local species and varieties.  Oman had no export licensing
requirements and procedures.
76. A member sought elimination of Oman's current export restrictions on date seedlings and fish
species.  Any measures necessary to regulate trade in these items should be consistent with WTOprovisions.  The representative of Oman replied that Oman would not use any export prohibitions or
export quotas inconsistent with WTO rules.
77. The representative of Oman confirmed that any export control requirements remaining in
place on the date of accession would be fully consistent with WTO provisions, including those
contained in Articles XI, XVII, XX and XXI of th e GATT 1994.  The Working Party took note of this
commitment.
Export subsidies
78. The representative of Oman said that, up to the end of 1998, the Export Guarantee and
Financing Unit (EGFU) of the Oman Development Bank had insured exporters against commercialand political risks.  EGFU had also provided e xport finance and assisted manufacturers through an
interest subsidy scheme in accordance with a Me morandum of Understanding with commercial banks.
At the end of each month the financing bank had made a claim for the appropriate subsidy which had
been credited to the customer's account.  Major Omani commercial banks had granted all credit-
insured exporters post-shipment advance at a concessional rate of 7 per cent per annum bydiscounting their export bills (for a period not exceeding 180 days).  The main criterion for obtaining
export financing support from EGFU had been a 25 per cent value-added requirement by way of
labour costs, interest, depreciation, taxes and net profit in relation to the total sale value.  In addition,
the credit would need to be insured with EGFU.  Credit insurance was provided at market rates.
79. A member said that the advances to exporters at concessional rates by commercial banks
would seem to be an export subsidy within the meaning of Article 3.1(a) of the Agreement on
Subsidies and Countervailing Measures.  The representative of Oman agreed that the operation of
EGFU through 1998 had constituted an export subsidy within the meaning of po ints (j) and (k) of theWT/ACC/OMN/26
Page 16
Illustrative List of Export Subsidies in Annex I of  the Agreement.  He confirmed, however, that since
1999, EGFU was no longer involved in financing of exports, and EGFU had changed its name to the
Export Credit Guarantee Agency (ECGA).  The ECGA ac ted as a facilitator, in that commercial banks
provided financing to exporters at commercial rates of interest, and the ECGA insured their credit-
worthiness.  This Export Credit Policy issued by the ECGA provided additional collateral andtherefore minimized the risk of non-payment from commercial banks in extending or enhancing such
export financing to the exporters.  The previous program described in paragraph 78 was no longer in
effect.  Moreover, under the newly introduced Pr e-shipment Credit Guarantee Scheme, the ECGA
issued guarantees to commercial banks for providing financing to exporters against the risk of non-
payment due to default or insolvency from them.  There was no interest subsidy involved under this
scheme.
80. The representative of Oman said that paid import duties were refunded in full on imported
goods re-exported in the same form.  Duty drawback was not available for imported goods
incorporated in other goods or transformed in some other way.  Regarding the pricing of feedstock for
export projects, he said that deliveries were based on the principle that feedstock should not be
subsidized.  Thus, the full development and delivery costs were recovered, with a margin to reflect thecost of capital, etc.  The representative of Oman could confirm that Oman did not maintain subsidies
which met the definition of a prohibited subsidy within the meaning of Article 3 of the Agreement on
Subsidies and Countervailing Measures.  Oman maintained no subsidies or incentives relating to
export performance.
81. The representative of Oman stated that from the date of accession Oman would not maintain
any export subsidies which met a definition of a prohibited subsidy within the meaning of Article 3 of
the Agreement on Subsidies and Countervailing Measures, and would not introduce such prohibited
subsidies.  The Working Party took note of this commitment.
INTERNAL POLICIES AFFECTING FOREIGN TRADE IN GOODS
Industrial policy, including subsidies
82. The representative of Oman said that Oman's industrial policy envisaged the share of
manufacturing in GDP to rise from approximately 5 per cent at present to 15 per cent of GDP by the
year 2020.  The Fifth Five Year Development Plan (1996-2000) represented the first in a series ofplans formulated and launched with a view to achieving the objectives of the Vision for Oman's
Economy 2020.  The plan emphasized the development of human resources, economic diversification
and an expanded role for the private sector.  The economic policy package comprised general macro-
economic policy measures as well as sector-specific policies at the micro-economic level.  Focus was
directed towards capital, technology and knowledge intensive industries with emphasis oninternationally competitive export-oriented industr ies.  Investment incentives provided by the
Government included free industrial investment surveys and soft loans and grants for pre-feasibility
studies;  soft loans;  and duty exemptions on imported machinery, equipment, spare parts and raw
materials.  Plots in fully-serviced industrial estate s could be rented at nominal rates, and reliable
supplies of power, water, natural gas and sewage treatment were available at reduced rates.  Exportorientation was a contributing factor in the decision to grant aid, but export performance or numerical
levels were not the qualifying criteria.  He confirmed that neither export subsidies nor import
substituting subsidies had been used to implement the Fifth Five Year Development Plan.
83. Ministerial Decision No. 49/91, under which support had been provided to industry and
tourism, had been replaced by Royal Decree No. 17/97.  The Government provided soft loans to
projects in industry, tourism, agriculture, fisheries, health, education and handicrafts.  Loans
exceeding RO 250,000 were granted on the condition that the workforce be minimum 25 per cent
Omani, and the share of foreign ownership could not exceed 49 per cent in projects with investmentWT/ACC/OMN/26
Page 17
costs exceeding RO 250,000.  Loans could equal up to 150 per cent of the equity for projects located
in the Muscat Governatorate, and 250 per cent elsewhere;  the maximum loan amounted to
RO 500,000, or RO 5 million for public joint-stock companies having offered at least 40 per cent of
their equity to the public.  Interest-free government loans were no longer available.  In response to a
specific question, the representative of Oman said that his Government was not providing any supportto proposed large projects, including the Sohar Aluminium Smelter, a petrochemical joint venture, a
fertilizer plant, and a possible new sugar factory.
84. The Oman Development Bank (51 per cent government-owned) provided soft loans to
agricultural, industrial and services projects in accordance with Royal Decree No. 17/97.  The soft
loans were made available to all industries and enterprises on the basis of objective, published criteria,
and were not sector- or enterprise-specific.
85. A special fund (Venture Capital Fund) would be established to provide capital and soft loans
to small and medium sized enterprises.  There were no export performance or domestic content
conditions attached to this financing.  The Government also intended to establish a Business Centre
providing services to small and medium sized enterprises.
86. The representative of Oman stated that Oman  maintained no subsidies within the meaning of
Article 1 of the Agreement on Subsidies and Countervailing Measures for natural gas projects,
petroleum and petrochemical sectors, or for the development of sectors dependent on gas as a major
input.  Similarly, there were no subsidies for export-oriented or import substitution industries.  He didnot consider the preferential rates of income tax for certain businesses a specific subsidy within the
meaning of Article 2.1(a) of the Agreement.
87. The representative of Oman confirmed that Oman would not implement the Fifth Five Year
Development Plan (1996-2000) using export subsidies prohibited by the Agreement on Subsidies andCountervailing Measures.  He further confirmed that prohibited export subsidies would not be granted
under the long-term finance plan or the venture capital fund.
88. The representative of Oman confirmed that any subsidy programmes would be administered
in conformity with the Agreement on Subsidies and Countervailing Measures and that all necessary
information on notifiable programmes would be  notified to the Committee on Subsidies and
Countervailing Measures in accordance with Article 25 of the Agreement upon entry into force ofOman’s Protocol of Accession.  The Working Party took note of this commitment.
Technical barriers to trade, standards and certification
89. A member noted that Oman’s present regulato ry system was not consistent with WTO TBT
or SPS requirements.  In particular, Oman’s legal and administrative provisions did not adequately
address fundamental obligations such as transpar ency, non-discrimination and national treatment, and
the prohibition against unnecessary barriers to trade.  In the area of transparency, Oman did not
formally publish a public notice that draft standards, technical regulations or conformity assessment
procedures were being considered, Oman did not appear to provide proper opportunity for all partiesto comment on draft procedures, and final standards were not published promptly.  Omani
administrative decrees did not appear to address explicitly the fundamental obligations of non-
discrimination and national treatment for imported products, and it was not clear how Oman ensured
that its standards-related measures were no more trade-restrictive than necessary.  Oman was
requested to provide a list of imports subject to approval or mandatory certification on the basis oftechnical or sanitary/phytosanitary requirements.  This member looked forward to working with
Oman in developing the necessary implementation procedures for the Agreement.WT/ACC/OMN/26
Page 18
90. The representative of Oman said that GCC countries developed joint standards which as such
were considered Omani standards.  In areas with no GCC standards, Oman would adopt national
standards based on international standards, except where these were found unsuitable due to climatic
or cultural conditions.  The Directorate General for Specifications and Measurements (DGSM) within
the Ministry of Commerce and Industry was respon sible for the formulation, adoption, publication
and dissemination of standards in Oman.  DGSM was the only National Standards Body in Oman.
DGSM, which was a correspondent member of the ISO, was also responsible for testing and
certification of conformity with existing standard s.  More than 1,000 standards had been issued by
September 1998.  Omani standards covered foodstuffs, chemical products, building materials, textiles,
electrical and electronic products, mechanical and metallic products, motor vehicles and industrial
safety and health regulations.  A listing of products subject to mandatory Omani standards is
reproduced in Table 3.
91. A member requested a specific timetable from Oman for the conversion of its mandatory
standards to a system of voluntary standards or technical regulations, with a priority list of standards
to be addressed on an accelerated basis.  This member suggested a phased conversion process to be
completed within two years of the date of Oman's accession.  In reply, the representative of Omansaid that a work program had been established for the mandatory standards to be reviewed and
replaced, as necessary, by voluntary standards or technical regulations.  The time-frame for this
review is reflected in Table 3.  He confirmed that the standards relating to shelf life would be among
the first to be reviewed.
92. Draft standards were circulated to all concerned parties for comment prior to finalization.
Normally, no less than one year elapsed between the publication of a draft standard and the issuance
of a final standard and the corresponding Ministerial Decree.  However, with regard to the Code of
Good Practice, procedures for the preparation, adoption and application of standards had been wholly
or partly different from the procedures laid down in Annex 3, paragraphs J, K, L, M and O of theAgreement on Technical Barriers to Trade.  Omani standards had not been published promptly, the
DGSM had not published a work program once every six months, and a notice inviting comments on
draft standards had also not been published.  However, these deficiencies would be removed with
Oman's implementation of the Agreement on Technica l Barriers to Trade.  According to Ministerial
Decree No. 72/2000, Oman's procedures for the pr eparation, adoption and application of standards
and technical regulations would be in accordance with the Code of Good Practice (Annex 3) and
Article 2.9 of the TBT Agreement.
93. The representative of Oman submitted an action plan for implementing the TBT Agreement
to the Working Party, circulated in document  WT/ACC/OMN/12.  The Ministerial Decree (72/2000)
implementing the provisions of the TBT Agreement had been issued and the TBT Enquiry Point had
been established within DGSM.
94. Accepting test results and conformity assessments managed by accredited laboratories, Oman
followed ISO/IEC Guides 23, 28 and 38.  The DGSM accepted third-party certification systems for
products according to the principles and rules of ISO/IEC Guides Nos. 16-1978(E) and 28-1982(E),
and manufactures' declaration of conformity according to ISO/IEC Guide 22-1982(E).  The DGSMplanned to introduce Omani Quality Marks, as an indication of product quality and safety and
compliance with Omani standards.  Regulations for Omani Quality Marks were about to be issued,
and draft regulations had been submitted to the Working Party for review (document
WT/ACC/OMN/25/Add.1).  Omani Quality Marks coul d be awarded to manufacturers in foreign
countries on the same terms and conditions as those applied to local producers, including payment fortesting and inspection.  In selecting the "competent body" in the manufacturer's country of origin, the
DGSM would follow ISO/IEC Guide 39 – General requirements for the acceptance of inspection
bodies.  The activities of the competent body woul d be overseen by DGSM, and it would have to
abide by the same standards and testing procedures as those followed by DGSM in Oman.WT/ACC/OMN/26
Page 19
95. The representative of Oman confirmed that Oman would follow the requirements and
procedures of Article 5 of the Agreement on Technical Barriers to Trade in authorizing imports of
telecommunications equipment.  Medicines and medical equipment were regulated by the Ministry of
Health.  A certificate from the Ministry was required to sell such products in the Sultanate of Oman.
96. The representative of Oman confirmed that a work programme had been established to review
and replace existing mandatory standards by voluntary standards or technical regulations within the
time-frame reflected in Table 3.  He confirmed that the standards relating to shelf life would be
among the first to be reviewed and that from the date of accession all new standards implemented in
Oman would be subject to such a review prior to  their implementation.  The Working Party took note
of these commitments.
97. The representative of Oman confirmed that Om an would apply all obligations under the WTO
Agreement on Technical Barriers to Trade from the date of accession without recourse to any
transition period.  The Working Party took note of this commitment.
Sanitary and phytosanitary measures
98. The representative of Oman said that the Sultanate was an active member of the FAO, the
WHO and Office International des Epizooties (OIE).  Oman had also joined the International Plant
Protection Convention (IPPC), and was a corres pondent member of Codex Alimentarius.  Oman
applied sanitary and phytosanitary measures based on scientific principles to plants, foodstuff,
animals and animal products.  All consignments of livestock, animal products, fish, veterinary drugs
and animal feed were subject to veterinary inspection and quarantine.  Imports were subject to
examination by inspectors from the Ministry of Agriculture (crop protection department or quarantine
section), while municipal officials were responsible for the inspection of domestic products.  Whereno specific standards existed, imported food products would be subject to safety tests - based on
specific Codex Alimentarius standards - with respec t to veterinary drugs and pesticide residues, food
additives, levels of radio-nuclide, micro-biological testing, and labelling.  Labelling requirements for
pre-packaged foods had been established in accordance with Omani Standard No. 58/1984.  All
prepared, pre-packaged foodstuffs were subject to labelling requirements according to GCC Standard
for Labelling of Pre-packaged Foods.
99. Some members were concerned about the implementation of GCC Standards for Labelling of
Pre-Packaged Foods (GS-150/1993), in particular with regard to shelf-life requirements which did not
appear to be based on scientific evidence.  In their view, these requirements imposed unreasonable
import barriers for table eggs, stained baby food, cookies, canned soup, peanut butter and certain fruit
juices.  The representative of Oman replied that the shelf-life standards were scientifically based,taking into account the conditions in Oman regarding climate, transportation, storage and handling
methods.  A detailed explanation of the basis for the shelf-life requirements was provided in
document WT/ACC/OMN/14, pp. 23-24.  Inspections to verify compliance with the requirements
were expeditious and at no cost.
100. Some members said that the information provided by Oman did not address the issue whether
current regulations on shelf life were consistent with the provisions of the SPS and TBT Agreements
stipulating the use of sound science to establish such requirements.  In their view, shelf life
requirements established a barrier to imports not consistent with WTO provisions.  Oman was
requested to indicate how it intended to revise the shelf life requirements program to meet the
substantive requirements of the SPS Agreement.
101. Some members observed that Oman's regulations on shelf life did not conform with
international norms and are inconsistent with the provisions of the SPS and TBT Agreements thatWT/ACC/OMN/26
Page 20
require the use of sound science to establish such requirements.  The food safety risk that can be
prevented with mandatory shelf life dates has not been specified, nor has it been demonstrated what
impact non-fulfilment, i.e. the ab sence of a shelf-life date, would have.  The practice of mandatory
shelf life dates has been defended as helping government authorities to prescribe maximum storage
periods for food products, and to inform the consumer when key quality attributes are at theiroptimum levels in the product (i.e., nutritional values and product characteristics).  SPS Agreement
provisions, however, pertain to the protection of human, animal or plant life or health, not quality or
consumer information requirements.
102. These members also maintained that the imposition of mandatory shelf-life terms on an
arbitrary, across the board basis on numerous products is not an appropriate solution to the concerns
expressed, and emphasized that it is in the interest of both the exporter and importer to assure thatthere is sufficient shelf life-remaining on imported products so that they may be purchased and
consumed within the optimum quality period.  These members expressed the view that an arbitrary
requirement for half the shelf life, enforced by the Government, was not a useful way to address this
concern.  They suggested that mandatory shelf-life dating should be eliminated for "shelf-stable
foods", in the context of adopting the Ministerial Decrees that will implement the WTO TBT and SPSAgreements in Oman, and that regulations and procedures be established in line with international
norms for "highly perishable refrigerated" food products to gradually replace these requirements with
a scientific regulatory framework, e.g., within a year.
103. In response to these suggestions, the representative of Oman confirmed his Government’s
intention to eliminate mandatory shelf-life standards for "shelf-stable foods" upon accession.  He
added that Oman would establish within one year regulations and procedures in line with international
norms for "highly perishable refrigerated" food products and to gradually replace remaining shelf life
requirements on these products with a scientific regulatory framework by 31 December 2000.  The
Working Party took note of these commitments.
104. The representative of Oman said that Oman was proceeding to implement the SPS Agreement
in accordance with an established plan of action.  The action plan is reproduced in document
WT/ACC/OMN/16.  In reviewing its legislation, Oman had been addressing specific aspects of the
SPS Agreement, notably with respect to its disciplines in the areas of transparency, MFN treatment,
national treatment and the appropriate use of international standards.  Oman's SPS legislation fell into
three basic categories;  (i) food safety, which had been addressed in Ministerial Decree No. 74/2000
on "Food Labelling and Safety", and quarantine requirements which were regulated by the (ii) Royal
Decree for Plant Quarantine and (iii) Royal Decree for Veterinary Quarantine.  He confirmed that
Ministerial Decree No. 72/2000 on standards and its annexes were also relevant to Oman's SPS
obligations.
105. The representative of Oman said that Oman would apply the Agreement on the Application of
Sanitary and Phytosanitary Measures from the date of accession without recourse to any transition
period.  The Working Party took note of this commitment.
Trade-related investment measures
106. The representative of Oman said that Oman applied no trade-related investment measures.
107. The representative of Oman said that Oman would not maintain any measures inconsistent
with the TRIMs Agreement and would apply the TRIMs Agreement from the date of accessionwithout recourse to any transition period.  The Working Party took note of this commitment.WT/ACC/OMN/26
Page 21
State-trading entities
108. The representative of Oman provided detailed information on the Public Authority for Stores
and Food Reserves in document  WT/ACC/OMN/5/Add.2 and on Petroleum Development Oman and
the Oman Refinery Company in document WT/ACC/OMN/6/Add.1, Annex 6, without prejudice toOman's position regarding the status of these enterprises.  He stated that the Public Authority for
Marketing Agricultural Produce (PAMAP) and the Public Authority for Stores and Food Reserves
were State-owned enterprises engaging in importation and exportation.  However, these two
enterprises had not been granted any exclusive or special rights or privileges and therefore did not
meet the definition of State-trading enterprises of GATT Article XVII and the Understanding on the
Interpretation of Article XVII of the GATT 1994.  The companies competed on equal terms with
private importers and exporters and conducted their business in accordance with commercialconsiderations.
109. He added that his Government intended to privatize PAMAP in early 2000, and as such it
would no longer be a Public Authority with rights and privileges, but a normal commercial company.
The Public Authority for Stores and Food Reserves conducted purchases and sales in connection withthe stocking of strategic food reserves of rice, sugar, tea, milk powder and edible oils.  The Authority
imported only rice, on the basis of open tender and in competition with private importers.  The
Authority was self-financed, but received a modest grant from the Government for storage space,
costs and establishment expenses.  No firms other than the Authority purchased commodities for
Oman's strategic reserves.
110. Crude oil and its derivatives were wholly-owned by the Government.  As operator in the
production of crude oil and natural gas, Petroleum Development Oman (PDO) exported crude oil on
behalf of the Government.  Processing into refined products was undertaken by Oman Refinery
Company (ORC).  The only product exported by O RC was long residue (fuel oil).  ORC was a
Government Commercial Limited Liability Company and the Government held a 60 per cent stake in
PDO.
111. Notwithstanding Oman’s contention otherwise, a member considered Oman's large State-
owned firms engaging in trade in agricultural and petroleum commodities to be operating as State
trading enterprises within the meaning of Article XVII and the Understanding, and sought information
to evaluate this issue and Oman’s pledge to supply information on the trade operations of theseagencies.  This member also noted a reluctance to permit competition in the provision of port services,
and therefore suggested that the Port Authority be considered a State-trading enterprise.
112. The representative of Oman replied that Oman would notify the Public Authority for Stores
and Food Reserves, Petroleum Development Oman  (PDO) and the Oman Refinery Company (ORC)
as State-trading enterprises in terms of Article XVII of the GATT 1994.  Oman would not notify the
Port Authority as the Port Authority did not engage  in importation or exportation of goods.  However,
Oman would agree to apply the provisions of Article VIII of the GATS to the Port Authority.
113. A member sought a statement from Oman regarding the status of PAMAP, and Oman's
agreement that PAMAP be notified as a State-trading enterprise if PAMAP continued to operate at the
time of conclusion of Oman's accession negotiations.  In reply, the representative of Oman confirmed
that his Government had identified the trading ac tivities of PAMAP as subject to the provisions of
Article XVII of the GATT 1994.  PAMAP was slated for privatization, and in the event that PAMAP
remain in operation when Oman joins the WTO, Oman will notify it as a State trading enterprise.  Healso confirmed that Oman will eliminate any trade restrictions or other measures inconsistent with the
WTO managed by PAMAP and other State-owned trading companies.WT/ACC/OMN/26
Page 22
114. The representative of Oman confirmed that it was the intent of his Government to eventually
eliminate its State trading rôle.  He further conf irmed that after accession to the WTO, Oman would
observe the provisions of Article XVII of the GATT 1994, the WTO Understanding on that Article,
and Article VIII of the GATS regarding State trading, in particular abiding by the provisions for
notification, non-discrimination, and the application of commercial considerations for tradetransactions.  The Working Party took note of these commitments.
Free zones, special economic areas
115. The representative of Oman said that the Sultanate had no free zones or free economic zones.
116. The representative of Oman confirmed that if Oman established any free zones or special
economic areas, it would administer any such areas in compliance with WTO provisions, including
those addressing subsidies, TRIMs and TRIPS, and that goods produced in these zones under tax and
tariff provisions that exempt imports and imported inputs from tariffs and certain taxes would be
subject to normal customs formalities when entering the rest of Oman including the application of
tariffs and taxes.  The Working Party took note of this commitment.
Government procurement
117. The representative of Oman said that the main legal instruments relating to government
procurement were the Government Tender Regulations issued by Royal Decree No. 86/84 of28 October 1984, and the Unified Rules Granting Preferences in Government Purchases to the
National Products and the Products of GCC Origin (Ministerial Decision No. 18/87).  Public
tendering was required for all purchases exceeding RO 10,000 by Ministries, Government
Departments and Agencies, Public Corporations, and companies in which the Government held not
less than 51 per cent of the shares (except by Ministry of Defence and Defence Forces).  Governmentprocurement was supervised by a high-level Tender Board, an independent authority not attached to
any Ministry or Department.  The Board announc ed, processed and awarded all contracts worth
RO 250,000 or more.  The Tender Board was assisted by various tender committees.  Contracts for
government purchases of less than RO 250,000 were announced, examined and awarded by internal
tender committees within Ministries.  Local government agencies fell within the jurisdiction of the
Tender Board, while State enterprises and utilities - except for electricity, water and transportation
enterprises - had their own procedures and tender committees.  Oman did not collect statistics ongovernment procurement.
118. He recalled that four categories of tender procedures had been established;  limited tenders,
local tenders, international tenders and general tenders.  Limited tenders were applied for goods or
works of highly specialized nature, and were open to participation by companies pre-qualified by theconcerned Ministry or Department.  Important pre-selection criteria were past performance and
experience, competent staff, and the financial standing of the company.  Local tenders were open to
bidders and companies enrolled in the Commercial Register and listed by the Tender Board.
International tenders were subject to world-wide bi dding.  Successful bidders were required to enrol
in the Commercial Register within one month of the award of the contract.  General tenders wereannounced with the objective of soliciting the best offer, and could be advertised nationally or
internationally.  Rules required tender notices to be published in local newspapers and in the Official
Gazette, and they were also announced on radio and television.  Tender opportunities were published
in Arabic and English.  Contract award notices were not published.  Procedures for appeal were
specified in the Tender Law and regulations.
119. The representative of Oman said that various methods were used in the evaluation of bids,
and price was not the only criterion.  Royal Decree No. 64/84 and the Unified Rules required
preference to be given to products of Omani origin.  The preference margin amounted to 10 per centWT/ACC/OMN/26
Page 23
compared to the price of similar foreign products.  If products of Omani origin were unavailable, or
did not conform to technical specifications, produc ts of GCC origin would be preferred to foreign
products.  In this case, the preference margin amounted to 5 per cent.
120. Referring to on-going work in the WTO to identify elements of discipline to ensure
transparency in government procurement, some members asked Oman to explain how it ensured the
transparency of procedures and government pr ocurement practices such as the publication of
opportunities and procedures for participation in procurement, qualification of suppliers, conditions to
gain contracts and the procedures enabling suppliers to challenge the Government's decision.  A
member sought Oman's accession to the Agreement on Government Procurement and encouraged
Oman to present an initial offer for an entity list upon accession to the WTO.
121. The representative of Oman confirmed that, upon accession to the WTO, Oman would initiate
negotiations for membership in the Agreement on Government Procurement by tabling an entity offer.
He also confirmed that, if the results of the negotiations were satisfactory to the interests of Oman and
the other members of the Agreement, Oman would complete negotiations for membership in the
Agreement within a year of accession.  The Working Party took note of these commitments.
Transit
122. The representative of Oman said that transit of goods through the territory of the Sultanate of
Oman was allowed without any discrimination as to the origin of the goods.  However, customs hadthe right to inspect goods to ensure that arms, ammunition and narcotics would not be transported
through Oman.  Goods in transit were not subject to any duty.
Agricultural policies
123. The representative of Oman said that during the period 1994 to 1996 his Government had not
maintained direct or indirect import substitution policies with respect to agricultural products.  Oman
encouraged the agricultural sector by providing infrastructure facilities such as irrigation and
agricultural extension services.  Extension services were only for experimental and demonstration
purposes, and commodities produced under such programmes were not marketed commercially.  The
Government undertook pest and disease control measures, including aerial spraying and plant
quarantine.  The Ministry of Agriculture offered guidance and consultancy services to the privatesector, and aimed at enhancing product quality and modernizing agricultural research and extension
services.  The Government provided technical and economic feasibility studies for agro-industry,
poultry, date processing and other projects.  No subsidies were granted to farmers, but the
Government supported the introduction of innovations in all aspects of agricultural work.  Selected
farms, comprising no more than 1 per cent of the total number of farms and 0.9 per cent of the totalacreage, received inputs such as new seed varieties, fertilizers and chemicals free of charge, served as
examples for other farmers to improve crop prod uction.  Oman did not provide specific export
subsidies on agricultural products.  As with other sectors, agriculture was no longer eligible for export
insurance and export financing due to the abolishment of the Export Guarantee and Financing Unit
(EGFU).
124. As regards domestic support reduction commitments, the Working Party agreed that Oman
could have recourse to Article 6.2 and Article 6.4(b) of the Agreement on Agriculture upon accession.
As regards export subsidies, the representative of Oman confirmed that Oman would not introduce
any export subsidies within the context of Part V of the Agreement on Agriculture after accession.
125. The representative of Oman confirmed that Oman had eliminated all import bans and
quantitative restrictions on agricultural products (such as on eggs, milk, fruit and vegetables) through
Ministerial Decree No. 20/2000 and Ministerial Decision No. 38/2000.WT/ACC/OMN/26
Page 24
126. Oman's commitments on market access, domestic support and export subsidies for
agricultural products are in the Schedule of Concessions and Commitments on Goods annexed to
Oman's Protocol of Accession to the WTO.
Trade in civil aircraft
127. A member requested Oman to adhere to the WTO Agreement on Trade in Civil Aircraft and
adopt the zero level tariffs on civil aircraft and parts of civil aircraft provided for in the Agreement
from the date of accession.
128. The representative of Oman stated that, in order to become acquainted with the agreement,
Oman will become an observer in the agreement upon accession and will join within three years of
accession, or at the time it eliminates tariff duties on imports of aircraft or aircraft parts for any
member of the Agreement on a preferential basis, which ever comes first.  The Working Party took
note of these commitments.
Textiles regime
129. The representative of Oman said that certain textile and clothing items were subject to
voluntary export restraints under bilateral agreements with the United States and Canada.
130. The representative of Oman stated that the quantitative restrictions on imports of textiles and
clothing products originating in Oman between Oman and WTO members that were in force on the
date prior to the date of accession of Oman to the WTO should be notified to the Textiles Monitoring
Body (TMB) by the Members maintaining such restrictions and would be applied for the purposes of
Article 2 of the Agreement on Textile and Clothing.  He said that the provisions of that Article, in
particular paragraphs 13 and 14 thereof, would apply in stages in respect of base levels and growth
rates from the date of Oman's accession.  The Working Party took note of this commitment.
TRADE-RELATED INTELLECTUAL PROPERTY REGIME131. The representative of Oman said that his Gove rnment was determined to protect intellectual
property rights within its jurisdiction and meet its international obligations.  Oman had becomemember of the World Intellectual Property Orga nization in February 1997.  Oman had ratified its
accession to the Paris and Berne Conventions in September 1998 (by Royal Decree No. 63/98), and
would consider joining the Patent Co-operation Treaty.  The Ministry of Commerce and Industry was
responsible for policy formulation and implementation in respect of trademarks, patents and
copyrights and related rights.  The Ministry cooperated with other relevant Ministries such as theMinistry of the National Heritage and Culture and the Ministry of Information in the implementation
of copyright legislation.  Oman extended national treatment and MFN treatment to foreign nationals
in these areas.  Oman did not grant preferential treatment to any country in the area of intellectual
property.  Fees were charged equally for equal work.  Members of the Working Party provided
comments on Oman's draft legislation implementing its WTO obligations under theTRIPS Agreement, and Oman pledged to incorporate these comments in the final enacted legislation.
132. The representative of Oman said that copyright and related rights were protected under the
Law for the Protection of Copyrights, issued by  Royal Decree No. 47/96.  The Copyright Law
provided the rights for financial utilisation of the material up to 50 years after the death of the author.The period was also applicable to joint authorship material.  For films, applied art works,
photographs, publication under pseudonym and compilations by juristic persons the copyright
protection period ended 25 years after the first date of publication.  Article 8 of the Law would be
revised to extend the term of protection for copyrighted works owned by legal entities to 50 years.WT/ACC/OMN/26
Page 25
Article 2 of the Law covered protection of the rights of performers, producers of phonograms and
broadcasting organizations, but the Law would be suitably amended for this purpose.  Sound
recordings, data base compilations and computer programs were protected as literary works.  The Law
contained no provision on compulsory licensing.  In the public interest and against fair compensation,
the Government could decide or publish a compilation not published by the heirs or successors of theauthor within six months following an official request.  The Law contained a general provision on
rental rights, but no detailed provision on rental rights for computer programs and cinematographic
works.  A Copyright Office was under establishment in the Ministry of Commerce and Industry.
133. The representative of Oman added that Oman was amending its Copyright Law.  Revisions
included inter alia  providing a period of protection of 50 years for films, and radio and television
broadcasts, and national treatment for foreign works.  A revised and amended draft Copyright Lawwas provided to the Working Party for review  (documents WT/ACC/OMN/ 24 and 25), and was
promulgated by Royal Decree No. 37/2000.
134. The Trademarks Law of 1987 governed the registration and protection of trademarks.  The
owner of a trademark applied to the Ministry of Commerce and Industry for registration.  The periodof protection was ten years, and a registration could be renewed indefinitely.  Registration was
sufficient to notify potential infringers of the owner's exclusive right.  The Law contained no
provision protecting well-known marks, but its Article 2 would be amended to provide such
protection.  In the interim, a well-known mark was refused registration if another party wanted to
register the same mark in its name, and the owner of a well-known mark could stop the use of such amark by an infringing person pursuant to Articles 31 to 34 of the Trademarks Law.  The owner of a
well-known mark could prevent the entry into Oman  of infringing goods provided the mark was
registered in Oman.  The Trademarks Law would be amended to provide for civil remedies against
infringement and counterfeit use to owners of un registered well-known marks.  A registration could
be cancelled for trademarks not used for five consecutive years, unless the trademark owner submitteda justification, such as reasons beyond his control, for not using it.  The application for registration of
a trademark cost RO 25.  The owner of a registered trademark had the sole right to produce, import or
distribute the trade-marked goods and the right to prevent any other person from using the trade mark
without permission.  The holder had the right to assign or licence a trademark;  such assignment
would need to be recorded.  Amendments to the Trademarks Law to bring the Law into full
conformity with the TRIPS Agreement were subm itted to the Working Party for review (documents
WT/ACC/OMN/24 and 25), and was promulgated by Royal Decree No. 38/2000.
135. The representative of Oman said that Oman participated in the Unified Patent System of the
Gulf Cooperation Council.  The GCC Secretariat had examined the conformity of the GCC patent
regulations with the provisions of the TRIPS Agreement in consultation with WIPO and WTO and
had taken note of deficiencies with regard to compliance with the WTO Agreement on TRIPS.  TheGCC Patent Law had subsequently been approved by the 20
th Session of the Supreme Council of the
GCC in November 1999 and would be revised to meet WTO norms.  A joint Patent Office of the
GCC countries had been located in Riyadh (Saudi Ar abia) and had been accepting patent applications
since 1 October 1998.  Oman intended to use the GCC Patent Office and the GCC Unified Patent
System to provide patent protection in accordance with the WTO Agreement on TRIPS after the GCCsystem fully adopted provisions consistent with the requirements of the WTO Agreement on TRIPS.
The GCC Patent Protection system in its current form had been formally recognized as Oman's patent
Law by Ministerial Decision 14/2000 on Patent Protection, which also included provisions to ensure
Oman's full compliance with the TRIPS Agreement,  including eliminating any discrimination in the
enjoyment of patent rights against imported products.  Subsequently, Oman issued Royal DecreeNo. 82/2000 implementing its own patent law and esta blishing a Patent Office administered by the
Ministry of Commerce and Industry.  Oman would esta blish a patent confirmation system to assist the
development of TRIPS-consistent patent protection in Oman and, consistent with its membership in
the Paris Convention, intended to join the internat ional Patent Cooperation Treaty operated under theWT/ACC/OMN/26
Page 26
auspices of WIPO by 31 December 2000.  Patentability would be extended to new inventions and
innovative ideas that could be manufactured and were  not contradictory to the provisions of Islamic
Law or the rules of conduct.  Excluded from patentability were discoveries, scientific theories, and
mathematical methods;  performing purely mental acts;  and methods of surgical or therapeutic
treatment or diagnosis applied to human or animal body with the exception of products used in any of
these methods.  Patent protection to pharmaceutical products, agricultural chemicals and other
inventions would be provided in accordance with Ar ticle 2 and Article 3 of Oman's Patent Law and in
full conformity with Oman's obligations under the WTO Agreement on TRIPS from the date of
accession.
136. The terms of a patent would be valid for at least 20 years from the date of grant.  Normally, a
patent would need to be exploited on a sufficient industrial scale in the GCC States within two years
from the date of grant.  The Royal Decree establishing Oman's patent regime confirms that
importation could meet the working requirement.  It also provides that decisions taken on patents by
Oman are subject to administrative review and right of appeal within provisions already established
for the Commercial Courts.  Requests for a compul sory licence for an unworked patented invention
would be granted by the Ministry of Commerce a nd Industry provided the applicant could prove his
ability to use the invention industrially, and against fair compensation to be paid for the patent.  The
Government could also authorize one of its agencies, in the public interest and against payment of fair
compensation, to exploit a patent without the consent of the patent owner, based on the same criteria.
Such a decision could be appealed.  The patent owner could only assign or transfer a patent right to a
third party in conjunction with all the elements of the business.  A licence to perform all or some of
the acts of exploitation of a patent should be made in  writing, signed by both parties, approved by the
official authority in a GCC country and register ed within the Ministry of Commerce and Industry
against payment of the prescribed fee.  Oman had also promulgated domestic laws for enforcement of
patents recognized by Oman, as provided for in Royal Decree No. 82/2000.
137. The representative of Oman said that Oman was preparing laws on the protection of
trademarks;  geographical indications;  industrial designs;  undisclosed information, including trade
secrets and test data;  and layout-designs of integrated circuits.  Draft laws were submitted to the
Working Party for review (documents WT/ACC/O MN/24 and 25) and subsequently promulgated by
Royal Decree – Royal Decree No. 39/2000 issuing the Law on Industrial Designs, Royal
Decree No. 40 promulgating the Law on the Protec tion of Geographical Indications, and Royal
Decree No. 41/2000 issuing the Law on Layout-Desig ns (Topographies) of Integrated Circuits.
Control of abuse of anti-competitive practices was ensured through Royal Decree No. 38/2000
promulgating the Law on Trade Marks, Trade Info rmation, Trade Secrets and Protection of Trade
against Illegal Competition.
138. Regarding enforcement, the representative of Oman said that copyright violations were
punishable by imprisonment up to two years and/or  a fine not exceeding RO 3,000, but the Copyright
Law and other Omani legislation contained no detailed provisions on enforcement.  Intellectual
property owners could initiate complaints of infringement directly with judicial authorities according
to Articles 18 and 32 of the Trademarks Law and Article 15 of the Copyright Law.  The courts could
order confiscation of pirated copies and materials as well as closure of the premises of the offenders.Violation of a trademark was punishable by imprisonment up to three years or a fine not exceeding
RO 500.  The Registrar had no role in infringement actions.  Goods in violation of a trade mark could
be confiscated and destroyed, and preventive measures against importation and distribution of such
goods were laid down in the Trademarks Law (Articles 32-34).  Civil judicial procedures were not
elaborated in detail in the intellectual property laws of Oman.  Aggrieved parties in intellectual
property right disputes had recourse to the Commercial Court.  At present, judicial authorities did not
have the authority to impose provisional measures.  He confirmed that Customs had the legal
authority to detain and/or seize suspect goods at ports of entry, suspend the release of imported
counterfeit and pirated goods and confiscate and destroy infringing goods.  Oman had receivedWT/ACC/OMN/26
Page 27
comments from the Working Party on the consistenc y of its enforcement provisions with TRIPS
requirements, and proposed a new Law on Enforcement, including border measures, to bring its
practice into line with the requirements of the WTO Agreement on TRIPS.  As necessary, Oman
would promulgate additional revised legislation prior to accession to ensure full consistency with
WTO.
139. An overview of Oman's intellectual property legislation, ongoing work and planned activities
is reproduced in Table 4.
140. The representative of Oman stated that Oman would apply fully all the provisions of the
Agreement on Trade-Related Aspects of Intellectual Property Rights from the date of accession to the
WTO, without recourse to any transitional period.  The Working Party took note of this commitment.
POLICIES AFFECTING TRADE IN SERVICES141. The representative of Oman said that the Ministry of Commerce was responsible for matters
related to most business services and professional services, insurance, tourism and travel andengineering and had jurisdiction over matters relating to commercial presence and foreign investment
in services enterprises.  Other institutions with re sponsibilities related to services included the Central
Bank of Oman and the Ministry of Finance (financial services), the Ministry of Communications
(telecommunication services), the Ministry of Housing and Transport (civil aviation and land and sea
transportation), the Ministry of Health (medical services), the Ministry of Education (educationalservices) and the Ministry of Social Affairs, Labour and Vocational Training (movement of natural
persons).  Major legislation in the services area included the Banking Law, the Insurance Law, the
Law on Organization of Engineering Consultanc y Offices and the Commercial Agency Law.
142. Oman maintained no restrictions on internat ional transfers and payments for current
services-related transactions, or capital receipts or payments by residents and non-residents, and had
not established any special aids, grants, subsidies, tax incentives or promotion schemes directly
affecting trade in services.  No specific safeguard measures applied to trade in services.  There were
no limitations on the number of foreign service suppliers, on the total value of service transactions or
assets, or on the total number of service operations or total quantity of service output, except for
services sectors reserved for the State.  The Government was the exclusive supplier of air transport,
television and radio, postal services, basic telecommunications and public utilities such as water andelectricity.
143. Oman maintained no restrictions on cross-border supply and consumption abroad, but all
business services were subject to limitations on commercial presence and movement of natural
persons.  MFN treatment applied to services prov iders from all countries, except for GCC companies,
which were treated on par with Omani companies, per the description of the GCC regional trading
arrangement.  Foreign workers obtained work permits from the Ministry of Social Affairs, Labour and
Vocational Training.  The Labour Law of 1973 stipulated that priority be given to Omani labour in
employment.  The Ministry  had set targets for Omanization to be achieved in certain services sectors
by the end of 1997, notably in banking (85 per cent);  transportation, storage and communication (60per cent);  finance, insurance and real estate (45 per cent);  hotels and restaurants (30 per cent);
wholesale and retail trade (20 per cent);  and construction services (15 per cent).  Work permits for
foreign nationals were issued to companies making satisfactory progress in achieving the required
targets.  A foreign worker also needed to obta in a residence permit from the Royal Oman Police.
Oman confirmed that these commitments will be implemented in accordance with Oman's services
schedule.
144. The Central Bank of Oman had imposed conditions on the opening of bank branches in its
Circular BM/748 of 8 January 1995, but Oman agreed to eliminate several of these as part of itsWT/ACC/OMN/26
Page 28
accession to the WTO.  Upon accession to the WTO, a foreign bank will have the right to open up to
four branches in the Governatorate of Muscat without restriction.  The restriction applied to both
Omani and foreign banks.  Subject to relevant prudential regulations, all banks, foreign or Omani, will
be allowed complete freedom to establish branch offices in other localities.  New insurance companies
should be established in the form of a joint-stock company with at least 51 per cent Omani ownership.Foreign firms could broker, deal and underwrite securities and manage assets provided they were
licensed by the Muscat Securities Market.  Licenses were issued within two months upon receipt of a
completed application.  Applications would only be accepted from commercial companies confining
their activity to securities business.  In addition, conditions had been stipulated in relation to the
capital of the company, competence and experience of the company's management, and its founders
and the board of directors (criminal record/bankruptcy proceedings).  No foreign securities firm had
obtained a licence thus far.
145. Foreign lawyers could provide consultancy services on home country law, third country law
and international law in Oman only by establishing  a joint-venture company with an Omani partner.
Foreign participation in the venture could not exceed 49 per cent.  A foreign lawyer could provide all
types of legal services relating to practice of home country law and international law, but he could notappear in an Omani court.
146. The representative of Oman stated that Oman may require companies with more than
70 per cent foreign equity to pay a higher rate of income tax than wholly Omani-owned companies.
Members of the Working Party expressed deep concern regarding this limitation.  The representativeof Oman confirmed that Oman was studying its ta x code to further narrow discrimination against
foreign services suppliers with a view to eliminating it by 1 January 2003.
147. Asked whether the GCC could be considered a full-fledged free trade area in services, the
representative of Oman said that GCC countries were working towards an Economic IntegrationAgreement on Services.  The GCC Agreement provided the framework for liberalization of trade in
services taking into account the general requirements of Article V of the GATS.  Currently, the
sectors of banking, health, education, professional services, computer and related services,
construction and related engineering services, tourism and travel-related services were under the
process of liberalization among the members of the GCC.  Oman and the other GCC members
intended to bring many other service sectors under  the GCC framework within a reasonable period of
time.
148. Oman's Schedule of Specific Commitments on Services is annexed to its draft Protocol of
Accession reproduced in the Appendix to this Report (see paragraph 158 below).  This Schedule of
Specific Commitments on Services contains the legally binding market access commitments of Oman
in respect of services.
Transparency
Publication of information on trade
149. A member requested that Oman describe Oman’s legislative basis for meeting the
transparency requirements of Article X of the GA TT and other provisions of the WTO, including
reference to legal requirements that all laws and other acts related to trade would be published in the
Official Journal promptly and no law, rule, etc. related to international trade would become effective
prior to such publication.  In reply, the representative of Oman said that he saw no impediment to thefulfilment of WTO obligations, including Article X, on transparency.
150. The representative of Oman confirmed that  Oman would implement fully Article X of
GATT 1994, Article III of the GATS and other transparency requirements in WTO AgreementsWT/ACC/OMN/26
Page 29
requiring notification and publication.  Oman's legal basis for meeting the transparency requirements
of the WTO was Article 74, Chapter Seven of Sultani Decree No. 101/96, promulgating the Basic
Statute of the State, which stipulated that Laws be published in the official gazette within two weeks
of their issue.  Laws entered into force on the date of their publication, unless another date was
specified in the Law.  He confirmed that all laws, regulations, judicial decisions and administrativerulings of general application, and agreements affecting international trade policy were published in
the Official Gazette.  The Working Party took note of this commitment.
Notifications
151. The representative of Oman said that Oman would submit all initial notifications required by
any Agreement constituting part of the WTO Agreem ent according to the schedule in Table 5 attached
to this report.  Any regulations subsequently enacted by Oman which gave effect to the laws enacted
to implement any Agreement constituting part of  the WTO Agreement would also conform to the
requirements of that Agreement.  The Working Party took note of this commitment.
TRADE AGREEMENTS152. The representative of Oman said that Oman maintained bilateral trade and economic
agreements with many Arab and non-Arab countries.  These agreements were of general goodwill
nature, based on MFN treatment.  Oman did not participate in the Convention for Facilitating and
Developing Trade Exchanges Among Arab States, but Oman had joined the decision of the Arab
League of 19 February 1997 to establish an Arab Free Trade Area within ten years starting from
1 January 1998.  Oman was reducing its tariff vis-à-vis  other members of the Arab Free Trade Area in
accordance with the Decision, and had accordingly reduced its tariffs by an additional 10 per cent on
1 January 1999, and a further 10 per cent on 1 January 2000.
153. Together with Saudi-Arabia, Bahrain, Kuwait , Qatar and the United Arab Emirates, the
Sultanate of Oman had formed the Gulf Cooperation Council.  The GCC countries had signed a
Unified Economic Agreement in November 1981 and established a free-trade area among themselves
in 1983.  The GCC Free Trade Area Agreement had been notified to the GATT by Kuwait in 1982.
154. All imports from Gulf Cooperation Council c ountries were exempt from duty within the
framework of the GCC free trade area.  Goods of GCC origin circulated free of tariffs and otherrestrictions among GCC members.  The Unified Economic Agreement encouraged joint-venture
projects, and aimed at harmonized development plans, a common investment policy, coordinated
financial and monetary policies and labour market integration.  Negotiations on the establishment of a
common external tariff among GCC countries were well advanced.  In November 1999, the
20
th Session of the Supreme Council of the GCC had de cided that a customs union be established by
2005 with tariff rates at 5.5 per cent for basic commodities and 7.5 per cent for other commodities.
However, several ancillary issues, most notably how the GCC states will apportion the tariff revenues,
remain to be resolved.  Article 8 of the Agreement, which stipulated that member countries agree on
rules ensuring national treatment for GCC nationals regarding freedom of movement, work and
residence, right of ownership and freedom to exercise economic activity, also concerned servicesactivities, but did not, in his view, constitute a full-fledged free trade area in services.
155. Referring to the Unified Economic Agreement between GCC countries, a member noted that
GATT Article XXIV provided that customs unions or a free trade should be used to facilitate trade
between constituent territories and not to raise barriers to the trade of the other contracting partieswith such territories and that Article XXIV required customs unions and free trade areas to eliminate
duties and other restrictive regulations of commerce on substantially all trade.  In reply, the
representative of Oman said that Oman would notify the Arab League Free Trade Area  and the GCC
Customs Union to the respective Councils on Trade in Goods and Trade in Services.WT/ACC/OMN/26
Page 30
156. The representative of Oman stated that his Government would observe the provisions of
Article XXIV of the GATT 1994 and Article V of the GATS in its trade agreements, and would
ensure that the provisions of these WTO Agreements for notification, consultation and other
requirements concerning free trade areas and customs unions of which Oman was a member were metfrom the date of accession.  The Working Party took note of these commitments.
CONCLUSIONS157. The Working Party took note of the explanati ons and statements of Oman concerning its
foreign trade regime, as reflected in this Report.   The Working Party took note of the commitments
given by Oman in relation to certain specific matters which are reproduced in paragraphs 25, 32, 40,49, 51, 57, 64, 67, 73, 77, 81, 88, 96, 97, 103, 105, 107, 114, 116, 121, 128, 130, 140, 150, 151 and
156 of this Report.  The Working Party took note that these commitments had been incorporated in
paragraph 2 of the Protocol of Accession of Oman to the WTO.
158. Having carried out the examination of the foreign trade regime of Oman and in the light of the
explanations, commitments and concessions made by the representative of Oman, the Working Party
reached the conclusion that Oman be invited to accede to the Marrakesh Agreement Establishing the
WTO under the provisions of Article XII.  For this purpose, the Working Party has prepared the draft
Decision and Protocol of Accessi on reproduced in the Appendix to this Report, and takes note of
Oman's Schedule of Specific Commitments on Services (document WT/ACC/OMN/26/Add.2) and itsSchedule of Concessions and Commitments on Goods (document WT/ACC/OMN/26/Add.1) that are
annexed to the Protocol.  It is proposed that these texts be adopted by the General Council when it
adopts the Report.  When the Decision is adopte d, the Protocol of Acces sion would be open for
acceptance by Oman which would become a Member thirty days after it accepts the said Protocol.
The Working Party agreed, therefore, that it had completed its work concerning the negotiations forthe accession of Oman to the Marrakesh Agreement Establishing the WTO.WT/ACC/OMN/26
Page 31
ANNEXES
ANNEX 1
Laws, Regulations and Other Information Provided  to the Working Party by the Sultanate of Oman
- Basic Components and Main Indicators of the Fifth Five-Year Plan (1996-2000);
- Commercial Business Laws of Oman (Ministry of Commerce and Industry);
- Royal Decree No. 55/90 of 18 Dhu al-Hijja  1410 A.H. (11 July 1990) Commercial Law;
- Royal Decree No. 102/94 of 11 Jumada 1, 1415 A.H. (16 October 1994) Foreign Capital 
Investment Law;
- Customs Management Decree of 1978 (Directorate General of Customs, Royal Oman Police);
- Import Regulations Effective in the Sultanate of Oman;
- Draft Ministerial Decision Abolishing th e Import Quotas on Eggs, Milk, Fruit and
Vegetables;
- Draft Ministerial Decision on Import Licensing Procedures;
- Draft Ministerial Decision No. 99 on Import Regulations;
- Law on Customs Valuation;
- Rules on Customs Valuation;- Draft Rules on Customs Valuation;
- Ministerial Decree on Rules of Origin;
- Draft Decree Cancelling Article 76 of the Customs Law (formerly Clause 4 of Article 19 of
the Law on Establishment and Encouragement of Industry);
- A guide to the Financial Support for the Private Sector in the Fields of Industry and Tourism 
by the Directorate General of Industry, Ministry of Commerce and Industry;
- Royal Decree No. 1/79 of 4 January 1979 La w for the Organization and Encouragement of 
Industry;
- Principles and Procedures of Implementing the Agreement on Technical Barriers to Trade;
- Royal Decree No. 39/96 of 20 October 1976 incorporating the Directorate General for 
Specifications and Measurements (DGSM);
- Royal Decree No. 1/78 of 3 January 1978 On th e Jurisdiction of the Directorate General for 
Specifications and Measurements (DGSM);
- Draft Ministerial Decree No. 99 establishing the Directorate General for Specifications and
Measurements within the Ministry of Commerce and Industry;
- Code of Good Practice for the Preparation, Adoption and Application of Standards;
- Omani Quality Mark and Certificate of Conformity Regulations 2000;- Royal Decree No. 74/90 of 29 September 1990 On the Calibration of Measuring Instruments;
- Ministerial Decree for the Establishment of an Enquiry Point at the Directorate General for
Specifications and Measurements within the Ministry of Commerce & Industry;
- Framework for Updating Omani Standards Foodstuff;
- Ministerial Decree on Labelling Requirements on imported food and food products;- Draft Ministerial Decree on Food Labelling and Safety;
- Draft Law for Plant Quarantine;
- Draft Decree Concerning the Law for Plant Quarantine;
- Draft Ministerial Decree on Animal Quarantine (SPS measure);
- Draft Decree Concerning the Law for Veterinary Quarantine;- List of prohibited pesticides;
- Draft Decree Repealing Article 7 of the Royal Decree No. 7/82 Establishing Oman Refinery
Company LLC;
- Directory of Preferential Treatment to National Industries - Products in Government 
Purchases;WT/ACC/OMN/26
Page 32
- Royal Decree No. 47/96 of 21 Moharram, 1417 A.H. (8 June 1996) promulgating the 
Copyright Law;
- Draft Law on Copyright and Related Rights;
- Copyright Law and Related Rights;
- Royal Decree No. 86/87 of 12 Safar 1408 H. (5 October 1987) Law of Trademarks and Data;- Draft Law on Trademarks and Registration Procedures;
- Patent Regulation of the Cooperation Council St ates (1993), Cooperation Council for the 
Arab States of the Gulf, Secretariat General;
- Draft Patent Law for Arab Gulf Cooperation Council (unofficial translation);
- Draft Ministerial Decision on Patent Protection;
- Draft Patents Law for the Sultanate of Oman;
- Draft Industrial Design and Patterns Law;- Draft Law for the Protection of Integrated Circuits (Topographic) Designs;
- Draft Law for the Protection of Topographic Rights for Integrated Circuits;
- Draft Law for the Protection of Geographical Indications;
- Draft Law on the Protection of New Plant Varieties;
- Draft Law for Trade Marks and Trade Secrets and Protection from Illegal Competition;- Draft Law on the Enforcement of Intellectual Property Rights including Border Measures for
the Sultanate of Oman;
- The Banking Law of 1974;
- Royal Decree No. 12/79 of 22 Rabi al-Thani 1399 A.H. (21 March 1979) Insurance 
Companies Law;
- Royal Decree No. 53/88 of 6 Zu Qaida 1408 H.  (21 June 1988) Law of Muscat Securities 
Market;
- Royal Decree No. 120/94 of 7 Rajab 1415 (1994) Law on Organization of Engineering 
Consultancy Offices;  and
- Extract of Sultani Decree No. 101/96 Pr omulgating the Basic Statute of the State.WT/ACC/OMN/26
Page 33
Table 1:  List of Prohibited and Restricted Imports According to Schedule (1) of the Customs Law
HS Code Description WTO Justification
9301 Arms and Ammunitions:  importation of arms and ammunitions shall be restricted
to the Ministry of Defence and Royal Oman Police (ROP).  No other party shall
import the said items except after obtaining the prior permission of the ROP.Article XX(b) of the
GATT 1994 and XXI
9501 Toy arms and other devices which the Inspector General of Customs deems easily
transformable into fatal arms shall not be imported without a prior licence from
the ROP and provided that they shall not be turned into fatal arms.Article XX(b) of the
GATT 1994
3601 Fireworks and Explosives containing quantities of explosive substances deemed
dangerous by the Inspector General of Customs shall be imported only subject to
the consent of the ROP.Article XX(b) and
XXI(b)(i) of the
GATT 1994
2208
2203Alcohol and Beer:  may be imported by the registered importers pursuant to the
permit of the ROPArticle XX(a) of the
GATT 1994
8526 Radio transmitting and receiving sets and wireless telegraph devices:  may be
imported after obtaining the approval of the General Telecommunications
OrganizationArticle XX(b) of the
GATT 1994 and XXI
4911 Pornography:  import is prohibited Article XX(a) of the
GATT 1994
4902 Any newspaper, pamphlet, notice, book or photography containing materials
meant to arouse violence against the Government:  import is prohibitedArticle XXI of the
GATT 1994
4911 Receipts, counterfoils or any similar blank or incomplete documents:  import is
prohibitedArticle XX(d) of the
GATT 1994
7118 Paper money or forged currencies:  import is prohibited Article XX(d) of the
GATT 1994
5907 Colour or silk fabrics or any other fabrics printed with imitations of paper money
or promissory notes or securities of the Government of the Sultanate of Oman orany other country:  import is prohibitedArticle XX(d) of the
GATT 1994
9307 Weapons (cold steel) or other tools designed or made in a way that con ceals their
reality and the possibility of using them or  transforming them into knives, swords
or other injurious tools:  their importation  is prohibitedArticle XXI of the
GATT 1994
6602 Sticks, guns (rifles) and any tool designed  in a way that conceals its reality:  their
importation is prohibitedArticle XX(b), XX(d)
and XXI of theGATT 1994
1302 Any drugs or substances or articles or preparations declared harmful by the
International Conference on Opium and Drugs:  their importation is prohibitedArticle XX(b) of the
GATT 1994
1302 Hemp, its leaves, flowers, seeds, stems and any part thereof:  their importation is
prohibitedArticle XX(b) of the
GATT 1994
1302 Raw or processed opium:  its importation is prohibited Article XX(b) of the
GATT 1994
1302 Daisy plant, its leaves, flowers, stems, seeds or any part thereof:  its importation
is prohibitedArticle XX(b) of the
GATT 1994WT/ACC/OMN/26
Page 34
Table 2:  Fees and Charges for Services Rendered by the Port Services Corporation
(a) Quay handling and storage charges:
(i) General cargo including bagged cargo other than
foodstuff, medicines and animal feed.RO 1,500 per Freight Ton (Freight Ton will be
determined by weight or measurement which ever
is higher).
(ii) Foodstuff, medicines and animal feed RO 1,000 per Freight Ton
(iii) Iron and steel bars, pipes, tubes, channels, mesh, girders,
sheets and anglesRO 2,000 per Freight Ton
(iv) Plywood, hardboard, chipboard, blockboard, laminated
board and other similar laminated wood products in
cratesRO 2,000 per Freight Ton
(v) Loose plywood RO 3.000 per Freight Ton
(vi) Packed timber RO 2,000 per Freight Ton
(vii) Loose timber RO 3,000 per Freight Ton
(viii) Unpacked vehicles, mechanical equipment, trailers and
caravans
- under 2.5 tons, per unit RO 10,000
- 2.5 tons to under 5.0 tons, per unit RO 20,000
- 5 tons and over, per unit RO 25,000
(ix) Heavy lifts (5 tons and over, excluding vehicles and
mechanical equipment)RO 2,000 per Freight Ton
(x) Bagged cement and hydrated lime RO 1,200 per Freight Ton
(b) Demurrage (for import and export cargo);
(i) For the first 10 days after final discharge or before
loading - for general cargo, foodstuff, medicines, iron andsteel, timber and plywood.Free
(ii) For the first 7 days after final discharge or before loading
- for cargo other than that in (i) above.Free
(iii)  For 21 days after the free period:
- General cargo, foodstuff, medicines, iron and
steel, timber and plywoodRO 0.300 per Freight Ton
- Unpacked vehicles, mechanical 
equipment, trailers and caravans:
- under 5 tons, per unit RO 4,900
- 5 tons and over, per unit RO 9,900
- Bagged cement and hydrated lime RO 0.200 per Freight Ton
(iv) After 21 days of the free period:
- General cargo, foodstuff, medicines iron 
and steel, timber and plywoodRO 1,200 per Freight Ton
- Unpacked vehicles, mechanical 
equipment, trailers and caravans:
- under 5 tons, per unit RO 15,000
- 5 tons and over, per unit RO 30,000
- Bagged cement and hydrated lime RO 1,000 per Freight Ton
Note:
There are no overtime charges - for cargo deliveries or receipt of export cargo after the normal working hours,
provided an advanced notice of 24 hours is given for this purpose.If an advance notice of 24 hours is not given then overtime is charged at the rate of RO 0.500 for the servicesof one person per hour (or part thereof) subject to a minimum of 2 hours.WT/ACC/OMN/26
Page 35
Table 3:  List of Mandatory Omani Standards, to be reviewed during 2000-2003
Std. No. Date of
issueNo. of Min.
DecreeOS No. GS No. Name of Standard Review
 1. 2/3/1978 6/99 1/1977 - Precast concrete blocks 31 Dec. 2001
 2. 2/3/1978 6/99 2/1982 - Aggregates from natural
sources for concrete31 Dec. 2000
 3. 2/3/1978 6/99 3/1977 777/1997 Cement flooring tiles and wood
base materials31 Dec. 2001
 4. 2/3/1978 6/99 4/1978 - Building sands from natural
sources.31 Dec. 2001
 5. 26/10/1978 33/78 5/1978 - Wheat flour 1* 31 Dec. 2000
 6. 26/10/1978 33/78 6/1978 - Methods of testing Wheat flour 31 Dec. 2000
 7. 26/3/1980 20/80 7/1979 - Ordinary Portland Cement. 31 Dec. 2000
 8. 8/10/1984 47/84 44/1990 115/1989 Edible Soybean Oil  1* 31 Dec. 2000
 9. 8/10/1984 48/84 43/1990 114/1989 Edible maize oil. 1* 31 Dec. 2000
 10. 8/10/1984 49/84 46/1984 - Compound animal feed. 2* 31 Dec. 2000
 11. 8/10/1984 51/84 45/1984 19/1984 Permitted food additives in
edible oils and fats31 Dec. 2000
 12. 8/10/1984 52/84 42/1984 - High Calcium quicklime and
hydrated line.31 Dec. 2001
 13. 19/1/1985 25/85 64/1984 24/1984 Trimmed sizes of writing paper
and certain classes of printed
matter.31 Dec. 2001
 14. 19/1/1985 25/85 65/1984 25/1984 Sizes of folders and files
manufactured from paper and
board31 Dec. 2001
 15. 19/1/1985 25/85 66/1984 26/1984 Designation of primary and
supplementary ranges for
untrimmed sizes of paper31 Dec. 2001
 16. 19/1/1985 25/85 67/1984 27/1984 Methods of expression of
dimensions of processed writing
paper and certain classes ofprinted matter31 Dec. 2001
 17. 19/1/1985 25/85 68/1984 28/1984 Sizes of correspondence
envelopes and pockets31 Dec. 2001
 18. 19/1/1985 25/85 69/1986 34/1984 Lead acid starter batteries used
for motor cars and internal
combustion engines31 Dec. 2002
 19. 19/11/1985 3/85 59/11984 10/1984 Dried milk 3* 31 Dec. 2000
 20. 20/2/1999 21/99 63/1984 23/1984 Colouring matter used in
foodstuffs31 Dec. 2000
 21. 19/1/1985 4/85 55/1984 6/1984 Commercial weights of medium
precision from 1 gram to 50kilograms.31 Dec. 2001
 22. 19/1/1985 4/85 57/1984 8/1984 Commercial weights of
ordinary precision from 1 gramto 50 kilograms.31 Dec. 2001
 23. 19/1/1985 5/85 9/1984 18/1984 Non-alcoholic carbonated
beverages31 Dec. 2000
 24. 19/1/1985 6/85 54/1984 5/1984 Self and semi-self indicating
commercial balances of
medium precision General
safety requirements.31 Dec. 2002
 25. 19/1/1985 7/85 76/1986 41/1984 Motor vehicles-front and rear
exterior protection device  for
passenger cars (bumpers...etc)and its method of test.31 Dec. 2002
 26. 19/1/1985 7/85 77/1986 42/1984 Motor vehicle – General safety
requirements.31 Dec. 2002
 27. 19/1/1985 7/85 78/1986 48/1984 Motor vehicles – conformity
certificates31 Dec. 2002WT/ACC/OMN/26
Page 36
Std. No. Date of
issueNo. of Min.
DecreeOS No. GS No. Name of Standard Review
 28. 19/1/1985 8/85 51/1990 1/1990 The international system of
units (SI) part 1: quantities andbase, supplementary andderived units31 Dec. 2001
 29. 19/1/1985 8/85 52/1990 3/1990 The international system of
units - part 3: selected examplesof decimal multiples and sub-multiples of SI units and some
of the units which may be used.31 Dec. 2001
 30. 19/11/1985 9/85 58/1984
(94)9/1995 Labeling of prepackaged
foodstuffs31 Dec. 2000
 31. 19/11/1985 9/85 61/1984 21/1984 Hygienic regulations for food
plants and their personnel.31 Dec. 2001
 32. 12/2/1985 25/85 27/1984 11/1984 Non-alcoholic carbonated
beverages –preliminaryexamination and determinationof total acidity and sodium
carbonate contents.31 Dec. 2001
 33. 12/2/1985 25/85 28/1984 12/1984 Non-alcoholic carbonated
beverages-determination of
carbon dioxide content.31 Dec. 2000
 34. 12/2/1985 25/85 33/1980 14/1984 Non-alcoholic carbonated
beverages determination of
phosphoric acid content.31 Dec. 2000
 35. 12/2/1985 25/85 53/1984 4/1984 Calibration methods for self and
semi-self indicating commercial
balances of medium precision31 Dec. 2000
 36. 12/2/1985 25/85 56/1984 7/1984 Calibration method for
commercial weights of medium
and ordinary precision31 Dec. 2000
 37. 12/2/1985 25/85 60/1984 16/1984 Physical and chemical methods
for testing edible vegetable oils.31 Dec. 2000
 38. 12/2/1985 25/85 62/1984 22/1984 Method of test for colouring
matter used in foodstuffs.31 Dec. 2000
 39. 12/2/1985 25/85 70/1986 35/1984 Methods of tests for lead acid
batteries used for motor carsand internal combustionengines.31 Dec. 2002
 40. 12/2/1985 25/85 71/1986 36/1984 Motor vehicle -methods of test
for passenger cars impactstrength-part1: Frontal impact31 Dec. 2002
 41. 12/2/1985 25/85 72/1986 37/1984 Motor vehicles -method of test
for passenger cars impactstrength - part 2: moving barrierrear impact.31 Dec. 2002
 42. 12/2/1985 25/85 73/1986 38/1984 Motor vehicles -method of test
for passenger cars impactstrength - part 3: Side impact31 Dec. 2002
 43. 12/2/1985 25/85 74/1986 39/1984 Motor vehicle-method of test
for passenger cars impactstrength – part 4: Roof strength31 Dec. 2002
 44. 14/4/1986 30/86 83/1985 - Storage type electric water
heaters for household use31 Dec. 2002
 45. 20/2/1999 21/99 243/1984 - Honey 31 Dec. 2000
 46. 20/2/1999 21/99 79/1998 - Pasteurized milk and
pasteurized recombined milk 3*31 Dec. 2000
 47. 20/2/1999 21/99 80/1997 - Blended edible vegetable oils.
1*31 Dec. 2000
 48. 20/2/1999 21/99 81/1997 - Vegetable gee 1* 31 Dec. 2000WT/ACC/OMN/26
Page 37
Std. No. Date of
issueNo. of Min.
DecreeOS No. GS No. Name of Standard Review
 49. 20/2/1999 21/99 86/1998 - Bottled natural mineral water
1*31 Dec. 2000
 50. 20/2/1999 21/99 88/1998 - Dates 1* 31 Dec. 2001
 51. 3/8/1986 68/86 85/1985 - Unplasticized plastic pipes for
drinking water (polyvinylchloride), "UPVC")31 Dec. 2001
 52. 3/8/1986 68/86 91/1985 - Safety matches GS 151 31 Dec. 2001
 53. 3/8/1986 68/86 247/1985 151 Powder detergent 31 Dec. 2001
 54. 3/8/1986 68/86 93/1994 - Polyethylene bags for general
purposes.31 Dec. 2001
 55. 31/8/1986 83/86 90/1985 - Refined white sugar and white
sugar    3*31 Dec. 2000
 56. 31/8/1986 83/86 95/1985 442/1994 Green coffee beans 31 Dec. 2000
 57. 27/11/1986 113/86 101/1990
(94)2/1990 The international system of
units (SI) - part 2: Decimalmultiples and sub-multiples ofthe SI units and rules for the use
and writing their symbols31 Dec. 2000
 58. 27/11/1986 114/86 29/1984 13/1984 Non-alcoholic carbonated
beverages – Determination of
sulphur dioxide content.31 Dec. 2000
 59. 27/11/1986 114/86 102/1984 15/1984 Methods of sampling for edible
oils and fats.31 Dec. 2000
 60. 27/11/1986 114/86 103/1984 17/1984 Methods of test for permitted
additives in edible oils and fats-part 1.31 Dec. 2000
 61. 27/11/1986 114/86 104/1984 20/1984 Methods for the determination
of contaminating metallicelements in foodstuffs31 Dec. 2000
 62. 27/11/1986 115/86 108/1986 32/1984 Methods of testing plastic
conduits and fittings forelectrical installations31 Dec. 2000
 63. 27/11/1986 115/86 109/1986 33/1984 Plastic conduits and fittings for
electrical installations31 Dec. 2001
 64. 27/11/1986 116/86 110/1986 43/1984 Motor vehicles - Methods of
test for gaseous pollutantsemitted from gasoline enginedvehicles- part 1: Determinationof exhaust gaseous pollutants
after gaseous pollutants after a
cold start31 Dec. 2002
 65. 27/11/1986 116/86 111/1986 44/1984 Motor Vehicles - Method of test
for gaseous pollutants emitted
from gasoline engined vehiclesPart 2: Determination ofexhaust carbon monoxide at the
idle speed31 Dec. 2002
 66. 27/11/1986 116/86 112/1986 45/1984 Motor vehicle-method of test
for gaseous pollutants - part 3:
Determination of evaporative
emissions (hydrocarbons) fromthe fuel system using the trapmethod.31 Dec. 2002
 67. 27/11/1986 116/86 113/1986 46/1984 Motor vehicle-method of test
for gaseous pollutants - part 4:Determination of evaporative
emissions (hydrocarbons) from
the fuel system using theenclosure method.31 Dec. 2003WT/ACC/OMN/26
Page 38
Std. No. Date of
issueNo. of Min.
DecreeOS No. GS No. Name of Standard Review
 68. 27/11/1986 116/86 114/1986 47/1984 Motor vehicle-allowable limits
of gaseous pollutants emitted tothe atmosphere from gasolineengined vehicle.31 Dec. 2003
 69. 14/12/1986 119/86 89/1995
(85)588/1995 Household water storage tanks
made from galvanized mildsteel sheets31 Dec. 2003
 70. 20/2/1999 21/99 118/1998 989/1998 Biscuits 1* 31 Dec. 2000
 71. 20/2/1999 21/99 119/1998 - Method of test for biscuits 31 Dec. 2000
 72. 28/1/1987 11/87 123/1986 51/1986 Passenger car tyres-part 1:
Nomenclature designation,marking , dimensions, loadcapacity and inflation pressure.31 Dec. 2003
 73. 28/1/1987 11/87 124/1986 52/1986 Passenger car tyres-part2:
General requirements31 Dec. 2003
 74. 28/1/1987 11/87 125/1986 53/1986 Passenger car tyres-part 3:
Method of test.31 Dec. 2003
 75. 2/2/1986 12/87 120/1986 - Liquefied petroleum gas
cylinders of capacities 48 and
108 litres31 Dec. 2003
 76. 26/3/1987 28/87 121/1995 585/1994 Ready-mixed concrete 31 Dec. 2002
 77. 2/5/1988 32/88 147/1994 575/1995 Facial tissue – paper 31 Dec. 2002
 78. 31/7/1988 55/88 149/1988
(94)- Refined palm Olein 3* 31 Dec. 2000
 79. 29/1/1990 7/90 181/1989 - Milk and water ices    1* 31 Dec. 2000
 80. 13/8/1990 55/90 172/1989 96/1988 Motor vehicles-Method of
testing safety belts31 Dec. 2003
 81. 13/8/1990 55/90 173/1989 97/1988 Motor vehicles – safety belts 31 Dec. 2002
 82. 13/8/1990 55/90 174/1989 98/1988 Motor vehicles-flammability of
interior materials and theirtesting methods31 Dec. 2003
 83. 13/8/1990 55/90 175/1989 99/1988 Road vehicles-sound signaling
devices-technical specifications31 Dec. 2003
 84. 20/2/1999 21/98 198/1998 - Chicken eggs 1* 31 Dec. 2000
 85. 28/10/1990 78/90 192/1989 - Steel nails for use in wood and
wood base materials31 Dec. 2003
 86. 28/10/1990 78/90 193/1989 - Methods of test for steel nails
for use in wood and wood basematerials31 Dec. 2003
 87. 28/11/1990 89/90 194/1990 - Paints and varnishes – sampling 31 Dec. 2002
 88. 28/11/1990 89/90 195/1994 443/1994 Paints and varnishes-supplying
equipment.31 Dec. 2002
 89. 28/11/1990 89/90 196/1990 - Paints and varnishes-
Examination and preparation ofsamples for testing31 Dec. 2002
 90. 28/11/1990 89/90 197/1990 - Paints and varnishes - Emulsion
paints31 Dec. 2002
 91. 2/10/1991 110/91 161/1988
(96)- Fermented milks (Yoghurt-
laban-labneh)31 Dec. 2000
 92. 24/11/1991 146/91 201/1990 118/1989 Requirements for filling,
transport , handling and storage
of liquefied petroleum gascylinders.31 Dec. 2002
 93. 22/7/1992 111/92 222/1991 - Steel wires for fences 31 Dec. 2002
 94. 22/7/1992 111/92 223/1991 - Barbed wires 31 Dec. 2002
 95. 24/11/1991 146/91 224/1994 444/1994 Chain link fences-part 1:
Requirements for materials,workmanship and erection31 Dec. 2002WT/ACC/OMN/26
Page 39
Std. No. Date of
issueNo. of Min.
DecreeOS No. GS No. Name of Standard Review
 96. 25/9/1992 155/92 235/1992 145/1991 Motor vehicles-Methods of
testing for pollutants emittedfrom heavy duty diesel enginevehicles part 1: Determinationof exhaust gaseous pollutants31 Dec. 2002
 97. 14/7/1993 172/93 220/1991 - Synthetic detergent, hand
dishwashing liquid31 Dec. 2002
 98. 14/11/1993 253/93 255/1993 - Liquid fuel dispensing pump
and its verification31 Dec. 2003
 99. 13/1/1999 6/99 713/1994 522/1994 Toys-General safety
requirements31 Dec. 2002
 100. 13/1/1999 6/99 767/1995 576/1995 Safety requirements of
household and similar electrical
appliances-Part 1: General
requirementsAdoption of
IEC 335-1
 101. 13/1/1999 6/99 768/1995 577/1995 Toys - General safety
requirements31 Dec. 2002
 102. 13/1/1999 6/99 769/1995 578/1995 Methods of testing toys - Part 2:
Flammability test31 Dec. 2000
 103. 13/1/1999 6/99 771/1995 580/1995 Cotton sewing threads 31 Dec. 2002
 104. 13/1/1999 6/99 179/1996 103/1996 Routine analytical cigarette
smoking machine --Definitions
and standard conditions.31 Dec. 2000
 105. 13/1/1999 6/99 610/1996 636/1996 Portable fire extinguishers-Part
3: Foam fire extinguisher31 Dec. 2002
 106. 13/1/1999 6/99 611/1996 637/1996 Portable fire extinguishers -
Part4: Dry powder fire
extinguishers31 Dec. 2002
 107. 13/1/1999 6/99 612/1996 638/1996 Methods of testing absorbent
medical cotton wool31 Dec. 2000
 108. 13/1/1999 6/99 613/1996 639/1996 Absorbent medical cotton wool 31 Dec. 2002
 109. 13/1/1999 6/99 614/1996 640/1996 Jams, jellies and marmalade 1* 31 Dec. 2000
 110. 13/1/1999 6/99 615/1996 643/1996 Whole and ground niger needs
2*31 Dec. 2001
 111. 13/1/1999 6/99 616/1996 644/1996 Cigarette determination of total
nicotine -free dry particulatematter using a routine analyticalsmoking machine.31 Dec. 2000
 112. 13/1/1999 6/99 617/1996 645/1996 Multi-purpose vehicles, trucks,
buses and trailers tyres- Part1:Nomenclature, designation,dimensions, load capabilities
and inflation pressures.31 Dec. 2003
 113. 13/1/1999 6/99 618/1996 646/1996 Multi-purpose vehicles, trucks,
buses and trailers tyres-Part2:
Testing methods31 Dec. 2003
 114. 13/1/1999 6/99 619/1996 647/1996 Multi-purpose vehicles, trucks ,
buses and trailers tyres-Part 3:
General requirements31 Dec. 2003
 115. 13/1/1999 6/99 620/1996 648/1996 Polyester cotton fabric (65/35) 31 Dec. 2002
 116. 13/1/1999 6/99 621/1996 649/1996 Methods of testing polyester
cotton fabric 65/3531 Dec. 2000
 117. 13/1/1999 6/99 622/96 650/1996 Length measures for general
use31 Dec. 2003
 118. 13/1/1999 6/99 639/1996 665/1995 Verification of medical
thermometers with max.
temperature device31 Dec. 2002
 119. 13/1/1999 6/99 117/1997 - Methods of test for whole dates 31 Dec. 2000
 120. 13/1/1999 6/99 221/1997 - Methods of test for tea 31 Dec. 2000
 121. 13/1/1999 6/99 633/1997 659/1997 Aerosol air freshener 31 Dec. 2002WT/ACC/OMN/26
Page 40
Std. No. Date of
issueNo. of Min.
DecreeOS No. GS No. Name of Standard Review
 122. 13/1/1999 6/99 634/1997 660/1997 Methods of testing aerosol air
freshener31 Dec. 2000
 123. 13/1/1999 6/99 635/1997 - Methods of test for cream 31 Dec. 2000
 124. 13/1/1999 6/99 636/1997 662/1997 Fabrics for civilian tents. 31 Dec. 2002
 125. 13/1/1999 6/99 637/1997 663/1997 Methods of testing fabrics for
civilian tents.31 Dec. 2000
 126. 13/1/1999 6/99 638/1997 664/1997 Clinical thermometers
“Mercury-in-glass, withmaximum device”.31 Dec. 2002
Shelf Life:
1* Specified in G S 150.
2* Specified in the same standard.3* Product should have production and expiry dates.WT/ACC/OMN/26
Page 41
Table 4:  Status of Legislation on Intellectual Property in Oman (June 2000)
Area of TRIPS Present Position and On-going Program Future Programme
1 Trademarks Trademark Law is in place since 1987
and is being implemented.
Points of conformity and non-conformity
of the existing law w ith the provisions of
the TRIPS Agreement have beenidentified.
Draft amended law has been prepared in
consultation with WIPO.  It has beenexamined, translated into English andsubmitted to WTO for comment.Amendments to the Trademarks Law were
promulgated by Royal Decree 38/2000, to
bring the Law into full conformity with the
provisions of the TRIPS Agreement.
2 Copyright and related
rightsCopyright Law of Oman is in force since
1996 and is being implemented.  Pointsof conformity and non-conformity of the
existing law with the provisions of the
TRIPS Agreement have been identified.Draft amended law has been prepared inconsultation with WIPO and submitted
to WTO for comment.Amendments to the Copyright Law were
promulgated by Royal Decree 37/2000, tobring the Law into full conformity with the
provisions of the TRIPS Agreement.
3 Patents Draft Ministerial Decree adopting the
revised GCC Unified Patent System as
the law of Oman together with the
amendments bringing it into fullconformity with the provisions of theTRIPS Agreement have been submitted
to WTO for comment.Ministerial Decree 14/2000 adopting the
GCC Unified Patent System as the Law of
Oman was issued on 23 February 2000.
4 Geographical Indications Draft law on geographical indications of
origin has been translated into English
and submitted to WTO for comment.A new law was promulgated by Royal
Decree 40/2000.
5 Industrial Designs. There is no law at present on industrial
designs.  A draft law prepared by WIPO
has been examined, translated into
English and submitted to WTO forcomment.A law on industrial designs in conformity
with the provisions of the TRIPS
Agreement was promulgated by Royal
Decree 41/2000.
6 Plant Varieties There is no law at present.  A draft law
has been prepared and submitted toWTO for comment.A new law on protection of plant varieties
will be promulgated by September 2000.
7 Layout Design of
Integrated CircuitsThere is no law at present.
WIPO has provided a draft law whichhas been examined.  It has beentranslated into English and submitted to
WTO for comment.A new law was promulgated by Royal
Decree 41/2000.
8 Trade Secrets No law at present.  A draft addition to
the Trademark Law has been prepared in
consultation with WIPO.A law was promulgated by Royal Decree
38/2000.
9 Abuse of Anti-Competitive
Practices.No law at present.  A draft addition to
the Trademark Law has been prepared in
consultation with WIPO.A law was promulgated by Royal Decree
38/2000.WT/ACC/OMN/26
Page 42
Area of TRIPS Present Position and On-going Program Future Programme
10 Enforcement The existing Trade Mark Law and the
Copyright Law contain provisions on
penalties for violation of the two Laws.Imprisonment up to two years and a finenot exceeding RO 3,000 for violations ofTrade Marks Law.  Also provisions to
restrain the import and circulation of
counterfeit goods, and for theirconfiscation and destruction.Imprisonment for two years and fine not
exceeding RO 3,000 for Copyright
piracy.Enforcement action against video piracystepped up by conducting raids and
closing establishments.Amendments to the Civil and Criminal
codes and to the Customs Law, in line with
Articles 41 to 61 of the TRIPS Agreementwill be promulgated in 2000.Training of staff responsible foradministration and enforcement of IP laws
will be undertaken in 1999 and 2000.
Fuller implementation of Part III of theTRIPS Agreement will be ensured withinthe year 2000.WT/ACC/OMN/26
Page 43Table 5:  Notification Obligations of the Sultanate of Oman under the WTO Agreements
Sr. No Notification Requirement Type of Measure Deadline Format
1 Agreement on Implementation of Article VII of GATT 1994,
Article 22.2Changes in its laws/regulations and administrative
arrangements (Concerning the languages of notificationwith respect to Article 22: Document to be issued by
Committee on Customs Valuation).One month after
accessionNo
2 Agreement on Implementation of Article VII of GATT 1994,
Article 22Notification of national legislationOne month after
accessionNo
3 Agreement on Implementation of Article VII of GATT 1994
Decision on checklist of issues(taken by the WTO Committeeon 12 May 1995 and 25 April 1996)Responses to the checklist of issuesOne month after
accessionNo
4 Agreement on Implementation of Article VII of GATT 1994
Decision on the treatment of interest charges in the customsvalue of imported goods (G/VAL/5 para.A.3 adopted by the
WTO Committee on 12 May 1995)Date from which the Member will apply the DecisionOne month after
accessionNo
5 Agreement on Implementation of Article VII of GATT 1994
Decision on the valuation of carrier media bearing software for
data processing equipment (G/VAL/5 para.A.4 - adopted by the
WTO Committee on 12 May 1996)Date of application of the practice referred to in
paragraph 2 of the DecisionOne month after
accessionNo
6 Agreement on Agriculture, Article 18.2 - domestic support Domestic support - Total Aggregate Measurement of
SupportUpon accessionDS:1 and Appropriate
Support Tables DS:
7 Agreement on Agriculture Article I 8.3 - domestic support Domestic support - new or modified exempt domestic
support measuresUpon accession Dome
8 Agreement on Agriculture Article I 8.2 – export su bsidies Export subsidies-budgetary outlay and quantity
reduction commitments; total exportsUpon accessionExport Subs Commit Tables
ESES:2Supporting
9 Agreement on Implementation of Article VI of the GATT
1994, Article 16.5Investigations: authorities competent to initiate and
conduct investigations referred to in AIA VI Article I6.5and domestic procedures governing the initiationand conduct of such investigationsSix months after
accessionG/ADP/
10 Agreement on Implementation of Article VI of the GATT
1994, Article 18.5Laws/regulations and changes thereto, including
changes in the administration of such laws (concerningthe languages of notification under Article 18 5 see
document G/ADP/N/I)Six months after
accessionG/ADP/Nsu ppl
11 Agreement on Preshipment Inspection, Article 5 - first time Laws/regulations by which the Agreement is put into
force for the Member concerned, as  well as any otherlaws/ regulations relating to preshipment inspectionUpon accession NoWT/ACC/OMN/26
Page 44
Sr. No Notification Requirement Type of Measure Deadline Format
12 Agreement on Subsidies and Countervailing Measures, Article
25.1 annual; GATT 1994, Article XVI: 1/ annualAny subsidy as defined in ASCM Article 1:1 which is
specific within the meaning of ASCM Article 2 as
well as any other subsidy which causes increased
exports or decreased imports within the meaning ofGATT 1994, Article XVI:1Two months after
accessionG/SC
13 Agreement on Subsidies and Countervailing Measures, Article
25.12Authorities competent to initiate and conduct
countervailing duty investigations referred to in ASCMArticle I and domestic procedures governing theinitiation and conduct of such investigations.Six months after
accessionG/SCM/
14 Agreement on Subsidies and Countervailing Measures, Article
28.1Subsidy programmes which are inconsistent with the
provisions of the ASCMOne month after
accessionPC/IP/Annex
15 Agreement on Subsidies and Countervailing Measures, Article
29.3Subsidy programmes falling within the scope of ASCM
Article 3One month after
accessionPC/IP
Annex
16 Agreement on Subsidies and Countervailing Measures, Article
32.6Laws/regulations and changes thereto, including
changes in the administration of such laws (concerning
the languages of notification for Article 32.6, seedocument G/SCM/N/I)6 months after
accessionPC/IP/Annex
17 Understanding on Balance-of-Payments Provisions of the
GATT 1994Balance-of-payment restrictions; consolidated
notification of laws/regulations, including all changesin laws, regulations, policy statements or publicnotices, for examination by Members.Upon accession Under consideration the Com
18 Agreement on Trade-Related Investment Measures, Article 5.1 Trade-related investment measures (TRIMs) introduced
180 days or more before the date of entry into force ofthe WTO Agreement which are inconsistent with the
provisions of Article III or Article XI of GATT 1994
and not justified under exceptions to GATTUpon accession G/TRI
19 Agreement on Import Licensing Procedures, Article 1.4(a) Names of publications in which rules and information
relevant to the ILP Agreement are published; copies of
publicationsOne month after
accessionNo
20 Agreement on Import Licensing import licensing Procedures,
Article 7.3Replies to questionnaire on proceduresTwo months after
accessionNo
21 Agreement on Import Licensing Procedures, Article 8.2(b) Laws/regulations and administrative procedures and
changes theretoOne month after
accessionNo
22 GATS, Article III.4References of enquiry pointOne month after
accessionFree
23 GATS, Article IV.2References of contact pointOne month after
accessionFree
24 GATS, Article V:7 Existing or new recognition measures and their
modifications. Opening of negotiations on recognitionOne month after
accessionS/L/WT/ACC/OMN/26
Page 45Sr. No Notification Requirement Type of Measure Deadline Format
25 GATS, Article VII:4 Existing or new recognition measures and their
modifications. Opening of negotiation on recognitionOne month after
accessionS/L/
26 GATS, Article XXVIII(k):(ii):2 Treatment of permanent residents as nationals for
GATS purposesOne month after
accessionS/L/
27 TRIPS Agreement, Article 14.6 [Article 17 of the “Rome
Convention”]Protection of producers of phonograms solely on the
basis of the criterion of fixation3 months after
accessionIP/C/(guideline)
28 TRIPS Agreement, Article 63.2 Laws/regulations made effective by the notifying
Member (pertaining to the availability, scope,
acquisition, enforcement and prevention of the abuse ofintellectual property rights)One month after
accessionIPC/IPC/IPC/
29 TRIPS Agreement, Article 69 Specification of contact points (in Members'
administrations for, among other things,
exchanging information on trade in goods
infringing intellectual property rights)One month after
accessionWTO/AI
30 Agreement on Technical Barriers to Trade, Article 15.2 Administrative arrangements; laws/regulations
measures in existence or taken to ensure theimplementation and administration of the TBT
AgreementOne month after
accessionG/TBT/1/
31 Agreement on Technical Barriers to Trade, Annex 3 paragraph
CAcceptance of/withdrawal from a code (Code of Good
Practice for the Preparation, Adoption and Application
of Standards)One month after
accessionG/TBT/Rev. Forms A
32 Agreement on Technical Barriers to Trade, Annex 3 paragraph
J Work programmes on standardisation activities One month after
accessionG/TBT/Rev. Forms
33 Agreement on the Application of Sanitary and Phytosanitary
Measures, Annex B, paragraph 3Enquiry Point Upon accession No
34 Agreement on the Application of Sanitary and Phytosanitary
Measures, Annex B, paragraph 10Notification AuthorityTwo  months after
accessionNo
35 Agreement on Rules of Origin, Article 5:1 Existing non-preferential rules of origin: judicial
decisions and administrative rulings of generalapplication relating to non-preferential rules of origin2 months after
accessionNo
36 Agreement on Rules of Origin, Annex II, paragraph 4 – first
timeExisting non-preferential rules of origin: judicial
decisions and administrative rulings of generalapplication relating to preferential rules of origin2 months after
accessionNo
37 Regional arrangements Understanding on the Interpretation of
Article XXIV of the GATT 1994, paragraph 11Customs Unions and Free Trade Areas3 months after
accessionNo
38 Regional arrangements Decisions of the CONTRACTING
PARTIES (BISD 18s/37,38 paragraph 4)Examination every two years of reports on the
preferential agreements3 months after
accessionNoWT/ACC/OMN/26
Page 46
Sr. No Notification Requirement Type of Measure Deadline Format
39 State trading GATT 1994, Article XVII:4(a) and notification)
paragraph 1 of the Understanding on the Interpretation of
Article XVII of GATT 1994 – annualState trading activities (new and full2 months after
accessionG/STR/
40 State trading GATT 1994, Article XVII:4(a) and notification)
paragraph 1 of the Understanding on the Interpretation of
Article XVII of GATT 1994 – annualState trading activities (changes)2 months after
accessionG/STR/
41 Decisions on Notification Procedures for Quantitative
RestrictionsQuantitative Restriction measures and other non-tariff3 months after
accessionNoWT/ACC/OMN/26
Page 47
APPENDIX
ACCESSION OF THE SULTANATE OF OMAN
Draft Decision
The General Council,Having regard to the results of the negotiati ons directed towards the establishment of the
terms of accession of the Sultanate of Oman to the Marrakesh Agreement Establishing the World
Trade Organization and having prepared a Protocol for the Accession of Oman,
Decides, in accordance with Article XII of the Marrakesh Agreement Establishing the World
Trade Organization, that the Sultanate of Oman may accede to the Marrakesh Agreement Establishing
the World Trade Organization on the terms set out in the said Protocol.WT/ACC/OMN/26
Page 48
PROTOCOL OF ACCESSION OF THE SULTANATE OF OMAN
TO THE MARRAKESH AGREEMENT ESTABLISHING THE
WORLD TRADE ORGANIZATION
Draft
The World Trade Organization (hereinafter referred to as the "WTO"), pursuant to the
approval of the General Council of the WTO accorded under Article XII of the Marrakesh AgreementEstablishing the World Trade Organization (hereinafter referred to as "WTO Agreement"), and theSultanate of Oman (hereinafter referred to as "Oman"),
Taking note of the Report of the Working Party on the Accession of Oman to the WTO in
document WT/ACC/OMN/26 (hereinafter referred to as the "Working Party Report"),
Having regard to the results of the negotiations on the accession of Oman to the WTO,
Agree as follows:
Part I - General
1. Upon entry into force of this Protocol, Oman accedes to the WTO Agreement pursuant to
Article XII of that Agreement and thereby becomes a Member of the WTO.
2. The WTO Agreement to which Oman accedes shall be the WTO Agreement as rectified,
amended or otherwise modified by such legal instru ments as may have entered into force before the
date of entry into force of this Protocol.  This Protocol, which shall include the commitments referredto in paragraph 157 of the Working Party Report, shall be an integral part of the WTO Agreement.
3. Except as otherwise provided for in the paragraphs referred to in paragraph 157 of the
Working Party Report, those obligations in the Mu ltilateral Trade Agreements annexed to the WTO
Agreement that are to be implemented over a period of time starting with the entry into force of that
Agreement shall be implemented by Oman as if it had accepted that Agreement on the date of itsentry into force.
4. Oman may maintain a measure inconsistent with paragraph 1 of Article II of the GATS
provided that such a measure is recorded in the list  of Article II Exemptions annexed to this Protocol
and meets the conditions of the Annex to the GATS on Article II Exemptions.WT/ACC/OMN/26
Page 49
Part II - Schedules
5. The Schedules annexed to this Protocol shall become the schedule of Concessions and
Commitments annexed to the General Agreement on Tariffs and Trade 1994 (hereinafter referred toas the "GATT 1994") and the Schedule of Specific Commitments annexed to the General Agreement
on Trade in Services (hereinafter referred to as "GATS") relating to Oman.  The staging of
concessions and commitments listed in the Schedules shall be implemented as specified in therelevant parts of the respective Schedules.
6. For the purpose of the reference in paragraph 6(a) of Article II of the GATT 1994 to the date
of that Agreement, the applicable date in respect of the Schedules of Concessions and Commitmentsannexed to this Protocol shall be the date of entry into force of this Protocol.
Part III - Final Provisions
7. This Protocol shall be open for acceptance,  by signature or otherwise, by Oman until
31 October 2000.
8. This Protocol shall enter into force on the thirtieth day following the day of its acceptance.
9. This Protocol shall be deposited with the Director-General of the WTO.  The Director-
General of the WTO shall promptly furnish a certified copy of this Protocol and a notification ofacceptance thereto pursuant to paragraph 7 to each member of the WTO and Oman.
10. This Protocol shall be registered in accordance with the provisions of Article 102 of the
Charter of the United Nations.
Done at Geneva this ... day of .... two thousand ….., in a single copy in the English, French
and Spanish languages each text being authentic, except that a Schedule annexed hereto may specify
that it is authentic in only one or more of these languages.WT/ACC/OMN/26
Page 50
ANNEX
SCHEDULE- SULTANATE OF OMAN
Part I - Goods
Circulated in docume nt WT/ACC/O MN/26/Add.1
Part II - Services
Circulated in docume nt WT/ACC/O MN/26/Add.2
__________