The fruit and vegetable sector in the Sultanate of Oman has developed remarkably in the last two decades. It has undergone technological changes that have resulted in an upward trend in cultivated areas, yields and total production. Furthermore, it is widely recognized that the sector has moved from the subsistence status to a more market- oriented system. For all of the Sultanate's fruit and vegetable production, the domestic market is by far the most important outlet. The present paper explores market dimension and identifies opportunities and constraints of these production and marketing systems. Results indicate that development in this sector faces serious market constraints. Studying current structures reveals a lack of market arbitrage and vertical coordination. The pricing mechanisms are tilted to the advantage of merchants and market dealers. Marketing of fresh produce can be improved by the enhancement of facilitating functions.