Analytix has come up with this blog to benefit businesses and individuals wishing to start their import business in Saudi Arabia and give guidance on importing goods to the kingdom. We are going to talk about most of the regulations set by the Department of Customs of Saudi Arabia(SADC), the documents that have to be submitted such as SASO conformity certificates based upon the product’s compliance, and why following Saudi standards is very important. Of course, it wouldn’t be complete without knowing something about the custom clearing process, tariff systems, and how initiatives by MISA (formerly SAGIA) are creating fertile ground for the growth of importing businesses in the Kingdom. You will walk out of this guide feeling entirely satisfied with all the information you need to be equipped with the key requisites and best practices for successful imports to Saudi Arabia.
How to Get an Import License in Saudi Arabia?
Foreign investors and businesses need to obtain an import license to be allowed to import goods to Saudi Arabia as the imposition of the kingdom’s regulations is crucial. This process involves some stages, as well as specific documents need to be signed and approved by the responsible authorities. Below are the key steps to follow when applying for an import license:
- Register with the Ministry of Commerce and Investment (MCI): Primarily, the importer should first sign up or register with the MCI to obtain the import license
- Certificate of Origin: This document, certified by a local chamber of commerce, should be translated into Arabic language.
- Customs Invoice: These should be provided in triplicate, as it is required for all imports except those with no significant value.
- Commercial Invoice: This document must also be lodged in three original copies, which contain the country of origin, name of the carrier, brand name, quantity, specification, weight, and value of the goods.
- Shipping or Airway Bill: This must be clean and accurate:
- Insurance Documents: In cases of CIF (Cost, Insurance, and Freight) contracts, insurance obligations precede the shipment to ensure the protection and safety of goods. These should be accompanied by translations into the Arabic language.
- SASO Certificate of Compliance: All import goods must be tested for conformity with the standards set by the Saudi Arabian Standards Organization (SASO) and this certificate is released by the concerned authority in the country of origin.
- Halal Certificate for Meat Products: Meat imports can only be allowed if the importer provides a Halal certificate to ensure that the slaughtering processes are conducted in compliance with regulations that operate within Saudi Arabia.
- Special Permissions for Specific Goods: Goods like agricultural seeds, live animals, books, chemicals, and pharmaceuticals require some special kind of permission from the Saudi government.
- Prohibited Goods: Weapons, adult magazines, alcoholic products, pork products, fur, certain sculptures, and other restricted items may not be imported.
- Samples for Exhibitions: Trade show and exhibition samples do not require Saudi labeling and shelf-life standards, but will be checked or inspected on arrival.
What Are The Important Documents Required For Import License in KSA?
There are some essential documents that must be submitted and enclosed with the application for an import license where all commercial shipments are concerned. Such exhibits need to go through the right certification procedure to meet the acceptable standards and regulations of Saudi Arabian customs. Below is a list of the key documents required and the steps to properly authenticate them:
- Commercial Invoice: Shows the value of the goods, description, and where it is made.
- Certificate of Origin*: We can confirm the country in which the goods were produced.
- Clean Bill of Lading or Airway Bill: Has to present proof of shipment and cannot contain any errors.
- Insurance Certificate: Protects the goods during transportation through shipment.
- Packing List: Describes the items, mass/weight, and size/length along with the shipment.
Certification Process:
- The documents should be notarized by a Notary Public and certified by the local Exporting Country Chamber of Commerce.
- They have to be certified by the Exporting Country-Saudi Arabian Business Council.
- Last but not the least: the documents require attestation from the Saudi Embassy or any Saudi Consulate in the exporting country.
Conclusion
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We’re so glad to have you here!
How did it feel reading our blog? We hope it was informative.
The Saudi import market has huge potential for international companies wishing to extend their presence in the Saudi Arabian economy. With proper regulations and necessary documents followed and trustable partners in hand, you can establish a perfect business environment for an effective import business.
In fact, this guide is a nice starting point, but it takes special expertise to navigate the complexity of the Saudi market. Association with a professional business consultancy like Analytix will ensure smooth and hassle-free operation and establishment of your import business in the kingdom. With seasoned guidance, Analytix would make your venture bloom in the Saudi Arabian market with an efficient and well-structured approach.
Happy Reading!
- FAQs
Frequently Asked Questions
If your question is not addressed here, please feel free to reach out to us. We value your inquiry.
How much is import duty in Saudi Arabia?
Saudi Arabia charges import duty on articles and goods based on CIF (Cost, Insurance, and Freight) values. Tariffs for customs are usually between 5% and 12% depending on various product categories. All non-document express shipments not documents will attract 5% VAT on it. The goods are exempted from paying the customs duty if the shipment value is less than SAR 1,000 (equivalent to USD 270). Qualified products will have reduced customs charges under some of the preferential trade agreements, such as those under the Arab League or the Gulf Cooperation Council (GCC).
What are the 3 major imports of Saudi Arabia?
The three major imports of Saudi Arabia are machinery, mechanical appliances, and electrical equipment (27 percent of total imports), transport equipment and parts (16 percent), and base metals (13 percent). Other major imports include chemicals and related products (9 percent) and vegetables (6 percent). The Kingdom mainly imports its goods from countries such as China (13 percent of total imports), the United States (12.6 percent), Germany (7 percent), and Japan (6 percent), with other flows from South Korea, the UAE, France, and Italy.