In the bustling streets of Salalah, amidst the vibrant Khareef festivities, a curious phenomenon unfolds. The focus of this article is on the intriguing question of business ownership and the scrutiny it faces during this seasonal event.
The Madhbi Mystery
At Nashib, where temporary kiosks serve the traditional Omani grilled meat, madhbi, a deeper inquiry is warranted. While the permit holder's name is a legal requirement, the real question is who is behind the scenes, making the crucial business decisions?
An anonymous Omani job-seeker, who has been part of the Khareef scene since 2022, sheds light on this. He estimates that only a handful of the madhbi kiosks are directly managed by their Omani permit holders. The rest, he believes, are managed by expatriates, raising concerns about the nature of these arrangements.
Beyond the Surface
The presence of expatriates is not inherently problematic. However, when permit holders relinquish control over management, financial risks, and returns, it becomes a matter of concern. This practice, often referred to as 'hidden trade,' allows individuals to operate businesses they are not legally permitted to run.
As an investor puts it, inspections should go beyond a single visit. A thorough investigation of purchase invoices, meat supply records, and banking transactions can reveal the true nature of these businesses.
A Historical Perspective
This issue is not new; it has been a concern for authorities. In 2025, Dhofar Municipality took action against unlicensed kiosks, emphasizing the need for citizen supervision. An Omani investor, with a decade of experience, highlights the financial allure of such arrangements. He describes how activity licenses can become a source of passive income, detracting from genuine entrepreneurship.
Strengthening Enforcement
Oman has taken steps to address hidden trade. Ministerial Decision 412/2023 provides a legal framework to tackle these practices. The Ministry of Commerce, Industry, and Investment Promotion has conducted campaigns, verifying commercial registrations and taking action against non-compliant businesses.
The Impact of Consumer Inspections
Consumer protection authorities play a crucial role during Khareef. In 2026, they deployed a significant number of inspectors to ensure compliance with pricing, product quality, and commercial information. However, these inspections may not always reveal who is in effective control of a business.
The Significance of Seasonal Licensing
Seasonal licensing provides an opportunity for Omani entrepreneurs to gain experience and test their business ideas. However, when effective control shifts to others, this opportunity is undermined. The success of such initiatives should be measured not only by the number of permits issued but also by the genuine owner-management and compliance of these businesses.
A Call for Action
An Omani investor emphasizes that hidden trade will persist unless project owners actively participate in their businesses. He argues that enforcement efforts will be limited if citizens continue to accept passive income through fixed payments.
Conclusion
The scrutiny of business ownership during Khareef highlights the importance of genuine entrepreneurship and the need for active participation by permit holders. It raises questions about the role of seasonal licensing and the impact it has on the local economy and entrepreneurial spirit. As we delve deeper into these issues, we uncover the complexities of ensuring fair and transparent business practices.
