Article 118 provides a 5-year tax holiday for Omani establishments and companies engaged in the industrial sector, as defined by the GCC Unified Industrial Organization Law. This exemption applies to main industrial activities but excludes project execution (construction) contracts. The 5-year period begins from the date production starts. To qualify, taxpayers must adhere to conditions set by the Minister of Finance and the Council of Financial Affairs and Energy Resources. This incentive is a primary tool for industrial diversification, encouraging the establishment of manufacturing and production facilities within the Sultanate.