The Ministry of Commerce, Industry and Investment Promotion today issued a ministerial decision regulating the business of activity of consumer cooperatives. The decision seeks to achieve a set of goals. It aims at legalizing the practice of this activity, promoting Omani products, establishing new supply chains, supporting national industries, developing governorates and providing new investment opportunities in this sector.
The regulation consummates the “National Product Support Initiative”, designed to raise the contribution of the converting industries sector to the national economy.
The ministry pointed out that ‘consumer cooperatives activity’ is a legal framework that is established in various economic activities to provide and sell consumer goods through the contribution of a group of people to its capital. This is made in exchange for the profits that the shareholders receive, which leads to improving their economic and social conditions. Thus, it realizes the common aspirations of all.
A license to practice consumer cooperatives activity must be obtained from the Ministry, provided that the phrase ‘consumer cooperative’ is attached to the company’s trade name, the ministry explained.
The decision states thatthe license period does not exceed three years, renewable for a similar duration based on an application to be submitted to the Ministry through the prescribed form, within a maximum period of 60 days prior the expiration of the license period. All conditions and requirements must be met for the license to be obtained.
Source: Oman News Agency