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Country Trading Profiles Market Information Assistance

COUNTRY TRADING PROFILES

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Market access

Distributing a product | Market access procedures | Organizing goods transport | Identifying a supplier | Standards | Intellectual Property

Distributing a product

Evolution of the sector

Saudi Arabia is the largest consumer market in the GGC countries, characterized with high disposable income. The large percentage of the population aged under 25 increases the demand for a wide range of consumer goods and products.

Primarily there are three main commercially active regions in the Kingdom: the Western Region, with the city of Jeddah as the main commercial centre; the Central Region with the capital, Riyadh; and the Eastern Province, where the oil and gas industry is concentrated.

Although there is no requirement for exclusive distributorships, Saudi Ministry of Commerce policy is that all such arrangements be exclusive with respect to either geographic region or product line. Many Saudi companies are active in numerous product lines.
Market shares

Organizations in the retail sector


We can identify professional tradeshows on your sector.

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Market access procedures

International Conventions
Member of World Trade Organisation
Party to the Kyoto protocol
Party to the Washington convention on International trade in endangered species of wild fauna and flora
Party to the Basel convention on the Control of Transboundary Movements of Hazardous Wastes and their disposal
Party to the Montreal protocol on Substances that deplete the Ozone Layer
Main International economic cooperation
Member of the Arab League.

Member of the Cooperation Council for the Arab States of the Gulf . The country is also part of the Greater Arab Free Trade Area (GAFTA), a pact of the Arab League entered into force in January 2005 which aims to form an Arabic free trade area.

Non tariff barriers

Only Saudi Arabian companies, 100% owned by Saudi Arabian are authorized to import. Importers should obtain a licence from the Department of Trade and Industry and consult the appropriate Ministry according to the nature of the goods to be imported.

The documentary regulation, required for the expedition of goods in Saudi Arabia is very strict: commercial invoice, certificate of origin, B/L (or airway bill), certificate of assurance (if CIF sale), SASO compliance certificate when applicable. These documents should be stamped by the following organizations: Chamber of Commerce and Industry of the exporter country, "bilateral" Chamber of Commerce, Consulate of Saudi Arabia from the exporter country.
For fruits, vegetables and semen, a phytosanitary certificate is required. For meats, a sanitary certificate is required, and should be delivered by the veterinarian services of the exporter country, as well as a slaughter certificate according to the Islamic rites, which is delivered by the Competent Islamic Authority of the exporter country. These documents should be signed either by the "bilateral" Chamber of Commerce or by the Ministry of Foreign Affairs.
Any kind of business with Israel or with companies having commercial links with Israel is prohibited.

Customs duties and taxes on imports
4.85%
Customs classification
Saudi Arabia applies the Harmonized Customs System.
Import procedures
Visit the website Saudi Arabia to consult all import procedures and regulations.
Importing samples

Samples for display in shows/exhibitions are exempt from Saudi labeling and shelf life regulations, but are subject to inspection at ports of entry.

Samples must contain a commercial invoice specifying that the product is not for sale and has no commercial value.
For further information
Saudi Arabia Department of Customs
Ministry of Commerce & Industry

We can indicate you which are the customs duties applied to your product.

Find out the local taxes that apply to your product.

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Organizing goods transport

Main useful means of transport

Saudi Arabia has a well-developed transport infrastructure, which mainly includes airways, roadways and maritime transport.

However because of the large distances that separate Saudi Arabia's main cities, air travel is the preferred method of travel within the Kingdom. There are three major, modern international airports in the Kingdom: King Khalid International Airport in Riyadh, King Abdulaziz International Airport in Jeddah, and King Fahd International Airport in the Eastern Province. A large number of international airlines operate from these airports. In addition, there are 22 regional and local airports. Taxis, rental cars, and limousines are all readily available at airports.

Saudi Arabia also has an impressive and expanding network of highways which connect the country's major regions and cities. Driving is done on the right side of the road.

There are seven modern major ports in the cities of Jeddah, Yanbu, Dammam, Jubail, Jizan, Rabigh, and Dhiba, some with their own separate commercial and industrial facilities. The Jeddah and Dammam ports are state-of-the-art commercial ports. The Yanbu and Jubail ports are state-of-the-art major industrial ports with modern bulk cargo and container handling capabilities. Ras Tanura, an oil super-terminal on the Gulf, is one of the largest in the world.

Railway network in the Kingdom is not so well developed and is going through an expansion programme.

Ports
Visit : List of Ports, 'Saudi Ports Autority'
Airports
King Khalid International Airport in Riyadh
King Abdul Aziz International Airport in Jeddah
King Fahd International Airport in the Eastern Province
Sea transport organizations
Saudi Ports Authority
Air transport organizations
General Authority of Civil Aviation (GACA)
Ministry of Transportation
Road transport organizations
Ministry of Transportation
Rail transport organizations
Ministry of Transportation


Get a ballpark figure for transportation costs for your product in this country through a shipping estimate.

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Identifying a supplier

Type of production
Saudi Arabia is the largest exporter of oil in the world, contributing 20% to the global petroleum production. The petroleum sector accounts for 45% of the Kingdom's GDP and 90% of its export revenues. The government is encouraging private sector growth - especially in power generation, telecommunications, natural gas exploration, and petrochemicals. The private sector contributes 40% to the country's GDP.
Business directories
Saudi Arabia Directory
Saudi Business Directories
Middle East Business Information
Saudi-pages.com
Manufacturers associations of the main industries
Saudi Arabian oil company
National Shipping Company of Saudi Arabia
Trade Agencies and their representations abroad
Saudi Chamber of Commerce and Industry
Chamber of Commerce and Industry in Riyadh
Chamber of Commerce and Industry in Jeddah
Enterprises federation

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Standards

National standards organizations
Saudi Arabian Standards Organization (SASO)
Integration in the international standards network
Saudi Arabia is a member of:

 

International Standard organization (ISO)

International Electrotechnical Commission (IEC)

International Telecommunication Union (ITU)

Classification of standards
The products covered in list of standards are classified as: toys, automotive, chemicals and electrical and electronics. Where no applicable Saudi standard exists, an acceptable international standard is approved by the SASO.
Online consultation of standards

Oum Al-Qura is the official gazette in which the regulations are published. For details, visit SASO website.

Certification organizations
Saudi Arabian Standards Organization (SASO)
The International Laboratory Accreditation Cooperation


Find out the standards and labelling requirements that apply to your products.

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Intellectual Property

National organizations
Industrial Property Office (Patents): Directorate of Patents at King Abdul-Aziz City of Science and Technology is deemed as the "Patent Office" of the Kingdom.

Industrial Property Office (Marks): Ministry of Commerce and Industry - Trade Mark Section

Copyright Office: Ministry of Information - General Administration of Copyright.

Regional organizations

Arab Society for Intellectual Property (ASIP)

Arab Intellectual Property Mediation and Arbitration Society (AIPMAS)
International membership
Member of the WIPO (World Intellectual Property Organization)
Signatory to the Paris Convention for the Protection of Intellectual Property
Membership to the TRIPS agreement - Trade-Related Aspects of Intellectual Property Rights (TRIPS)

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Last updates: February 2012

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