Empowering Omani Frankincense Producers

In Oman, producers have for centuries tapped trees to produce the scented resin that becomes Frankincense – a cherished incense whose essential oils are also used as aromas in other products sold worldwide.

In the souks of Muscat and in markets across the country, Frankincense can be found in bags crowding market stalls and in derivative products in shops, like Maryam Balhaf’s “Samahram” perfume sold from her storefront in Oman’s Dhofar region.

Now, Omani Frankincense producers are working, with WIPO’s support, to raise their industry’s organizational efforts for quality assurance through a “geographical indication,” while looking to better brand their individual products and increase sales at home and abroad.

“My family’s livelihood has relied on Frankincense for many generations. Our community already has high-quality products, but now we want to add more value by highlighting the authenticity and particular benefits of Omani Frankincense while creating branding and packaging that will attract new customers here in Oman but also around the world,” says Ms. Balhaf.

Omani frankincense is already an export product according to official statistics: in 2021, exporters sent overseas RO 239,100 (about USD 622,000), an increase of 148 per cent compared to the year 2020.  

But this is a tiny fraction of Oman’s total exports, which according to the World Bank was US$ 33,479 million in 2020. By one estimation, the market for Frankincense essential oils could more than double from 2022 to USD456 million in 2030.

Oman is now seeking to better distinguish the country’s quality Frankincense products to better compete in this growing market. 

In collaboration with the Oman Ministry of Commerce, Industry, and Investment Promotion, WIPO has launched a new project that aims to elevate the value of Omani frankincense products for over 40 producers.

This initiative involves establishing a geographical indication (GI) - a sign of specific geographical origin signifying the unique qualities, reputation, and characteristics inherent to that place of origin and by fostering cooperation through GI branding and strategic commercialization.

At the heart of this practice are figures like Musallam Bin Hbais, widely known as al Shaikh Musalam, who continue to play a pivotal role in this trade. With a wealth of experience spanning generations, Musallam and his sons have not only upheld the time-honored tradition but have also ventured into modernizing their enterprise.

Producers like Musallam Bin Hbais have been pivotal in this ender. Through the implementation of a GI, supported by WIPO, Musallam and his sons are poised to take their enterprise to new heights. This GI will serve as a mark of authenticity, ensuring that products bearing their name are recognized as genuine Omani frankincense.

“I see a lot of young people looking for work,' says Mr Bin Hbais. 'They have the will, all they need is guidance, training, and opportunities. The implementation of a strong recognizable brand in Omani Frankincense will play a pivotal role in providing just that, opening doors for positive impacts on their prospects.’’

As they embrace this step forward, Musallam and his sons remain rooted in their establishment at the historic "Hoson Market," also known as "al Haffa Market." This union of tradition and progress, supported by the backing of WIPO and the GI, sets the stage for an exciting new chapter in their journey.

Geographical Indications (GIs) and other origin-based branding have proven useful to develop fledgling industries and differentiate specialty products. It contributes to local and regional development, facilitates the development of local entrepreneurship, and helps provide access to regional, national, or international markets.

“Branding in the Omani Frankincense was not a widespread practice at the time, but now, with the shift happening with branding, we are aware of its importance and the value it brings to propel producers like us to new levels”, says Mr. Al Kathiri.

Mohammad Al Kathiri embarked on a journey that would alter the course of his trade. The decision to brand his products marked a turning point. With deliberate thought, he chose the name "Al Khanjar," deeply rooted in Omani identity.

Already, these 40 producers have identified challenges and are actively developing solutions for product enhancement and branding. As of October 2023, they've begun receiving training on how Intellectual Property (IP) and GIs, in particular, can bolster product commercialization.

Empowering Growth, Together

These three entrepreneurs represent a broader movement within the Omani frankincense industry, one that WIPO and the Oman Ministry of Commerce, Industry, and Investment Promotion are actively championing.

Through collaborative efforts, they aim to not only enhance the value of Omani frankincense products but also provide vital guidance, training, and opportunities for the younger generation eager to partake in this age-old trade. With branding, intellectual property rights, and strategic expansion at the forefront, this initiative aims to propel the Omani frankincense industry into a new era of growth and development.

Background

The Regional and National Development Sector (RNDS) Projects Team, in collaboration with the Oman Ministry of Commerce, Industry, and Investment Promotion, initiated the project entitled " Empowering Omani Frankincense Producers: Enhancing GI-Protected Products Branding and Commercialization." The project was launched between May and June 2023 and aims to support Omani frankincense producers to improve the packaging and branding of their products through IP and GI, with the goal of opening avenues for higher sales, including in overseas markets.