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Export import business with Saudi Arabia – 3 things to be aware of

    Home Before the move Export import business with Saudi Arabia – 3 things to be aware of
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    Export import business with Saudi Arabia – 3 things to be aware of

    By Bailey N. | Before the move, Specialty moving, Storage solutions | 0 comment | 15 October, 2021 | 0

    The mean goal, when you are having a business is, being successful and expanding and growing. The greatest thing you can do for your company is expanding on new market and if that is on the new continent, even better. One of the largest and most profitable markets is the one in Saudi Arabia. Their economy is the largest economy in the Middle East and among the largest in the world. When planning to do business with them there are some things you should be aware of. Export-import business with Saudi Arabia will require a little research from you.

    Economical force

    This economical giant is famous for many things, but among the first ones is the export of energy power. Saudi Arabia has one of the world’s largest petroleum reserves and natural gas reserves, and accordingly, it is the largest exporter. With import, it is just a slightly different situation. Saudi Arabia tends to import machinery, mechanical appliances, and electrical equipment, also base metals chemicals, and related products and vegetables. Both, export and import business with Saudi Arabia are influenced by existing natural factors. It is one of the best places, besides others in the world, to start your business.

    Business culture

    In Saudi Arabia business culture is unique, and business etiquette is different from anywhere else on earth. Besides the cultural differences, you will have to adjust to many other things. When trying to start an export-import business with Saudi Arabia there are 3 basic things to be aware of:

    • Trade barriers
    • Trading agents
    • Necessary documets

    The easiest way to start or expand your business in Saudi Arabia is to establish an incorporated entity, or branch office and find a partner and start a partnership. The easiest way to do it is to move there for a certain period of time. It will be easier to make some foundations if you are there. Four Winds KSA can be a great partner on this quest. Moving to Saudi Arabia, from anywhere in the world can be easy with the right partner.

    Conference room
    Respect the business culture

    Study them well

    Saudi Arabia has trade barriers and you should be aware of them when starting a business there.  When planing an import or export, you should follow simple rules and procedures, and watch on barriers. Those barriers restrict the level of trade and investment and there are three types. Tariffs are taxes imposed by the government and they used to protect local industries. Those duties are applied to goods or services and affect the price level. Non-tariffs barriers restrict trade through measures such as quality and content requirements. Quotas are the least barrier and they include limits in the quantity or monetary value. Specific goods or services could be imported over a certain period of time in a specific amount or value.

    A real representative

    If you are not able to be present and have no possibility to move to Saudi Arabia during your business journey, the best option is an agent. Appoint an agent on time and he will conduct trading activities. This could be just a simple obstacle or it may become a problem if you do not approach this seriously. It is a rule that you have to be physically present in Saudi Arabia if you want to be directly involved in the buying and selling of goods.

    Signing the document
    Have a trustful person by your side

    Paperwork

    Face the fact that you are going to need a whole bunch of documents if you are planning to start an export-import business with Saudi Arabia or to move your office there. For export, you are going to need an original certificate of origin legalized by the chamber of commerce of the exporting country, certificate of conformity with applicable Saudi standards. Import to Saudi Arabia will require your possession of import documents notarized by a notary public and certified by a local exporting country chamber of commerce. Your goods should be certified by the exporting country-Saudi Arabian business council and legalized by the Saudi Embassy.

    Starting an export-import business with Saudi Arabia will be the start of something new and a step into the unknown. Keep your dream always in your sight. This is not going to be an easy step but once you succeed, it will be worth it every struggle. Good luck and be brave.

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    Bailey N.

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