Saudi Arabia amends import rules from 5 GCC nations
Saudi Arabia has amended its rules on imports from five Gulf Cooperation Council (GCC) countries to exclude goods made in free zones or using Israeli inputs from preferential tariff concessions, Reuters reported.
The Kingdom aims to diversify its economy and reduce its dependence on oil, while providing more jobs for its own citizens.
The country will henceforth exclude from the GCC tariff agreement goods made by companies with a workforce made up of less than 25% of local people and industrial products with less than 40% of added value after their transformation process.
The ministerial decree published in Umm Al Qura said all goods made in free zones in the region will not be considered as locally made.
Free zones are areas in which foreign companies can operate under light regulation, and where foreign investors are allowed to take 100% ownership in companies.
The Kingdom has announced the latest rule changes based on recent Saudi trade data.
