weighted score 3.8 · nine dimensions
Country Risk Profile
Oman
Sourcing risk, regulatory exposure and audit intelligence for Oman-origin supply chains.
Forced & child labour
3
No UFLPA listings. Kafala reforms underway but sponsorship system persists for migrant workers. Lower forced labour risk than some Gulf peers but structural vulnerabilities remain.
Worker rights & FOA
4
Independent trade unions not permitted. Labour committees exist but lack collective bargaining power. ILO C087 and C098 not ratified.
OHS & audit transparency
3
Occupational health and safety standards adequate in oil & gas sector. Broader industrial and construction sectors less consistently monitored. Third-party audit access generally available.
Food & product safety
3
Limited food export volumes to EU. Domestic food safety standards functional. Low RASFF alert frequency for Omani-origin products.
Environmental & regulatory
3
Low EUDR commodity exposure. No IUU card. Environmental regulation improving but enforcement capacity limited outside oil & gas sector.
Governance & anti-corruption
4
TI CPI approximately 44/100. Sultan Haitham succession was stable and orderly. Institutional transparency improving but press freedom and judicial independence remain constrained.
Tariff & preferential access
7
No EU FTA — GCC-EU negotiations stalled. MFN tariffs apply to all Omani exports entering the EU. Same non-preferential position as Saudi Arabia and UAE.
Non-tariff barriers
3
Limited product categories under enhanced EU controls. CBAM exposure limited to aluminium exports from Sohar. Low regulatory friction relative to larger exporters.
Supply chain traceability
4
Oil & gas supply chains have reasonable traceability. Broader manufacturing and construction sectors have limited multi-tier visibility. Traceability frameworks developing.
Labour & Social Risk
Labour & Social Risk
- Kafala reform
- Oman has undertaken partial kafala system reforms, allowing some worker mobility between employers. However, the sponsorship system still applies to most migrant workers, creating structural dependency on employers and limiting freedom of movement.
- Worker rights
- Independent trade unions are not permitted in Oman. Workers may form labour committees within enterprises, but collective bargaining rights are severely constrained. ILO C087 (Freedom of Association) and C098 (Right to Organise) are not ratified.
- Migrant workforce
- Expatriate workers — primarily from South Asia — constitute roughly 40% of the population and the majority of private sector labour. Migrant workers in construction, domestic service, and industrial sectors face documented risks of wage theft and contract substitution.
Governance & Regulatory Environment
Governance & Regulatory Environment
- Corruption perception
- Transparency International CPI score approximately 44/100 — moderate governance quality. Institutional transparency improving under Sultan Haitham but judicial independence and press freedom remain limited.
- Political stability
- Sultan Haitham bin Tariq assumed power in January 2020 following the death of Sultan Qaboos, in a smooth and orderly succession. Political environment is stable with no significant opposition movements or civil unrest.
- Tariff access
- No EU-Oman FTA in force — GCC-EU negotiations have stalled. MFN tariffs apply. Tariff score of 7 reflects the same non-preferential access as Saudi Arabia and UAE for EU-bound goods.
- Hydrogen strategy
- Oman has announced significant green hydrogen investment plans under Vision 2040, positioning for future clean energy exports. Regulatory frameworks for hydrogen production and export are under development.