Saudi Arabia

Saudi Arabia Eliminates Export Customs Fees, Reduces Import Charges

Saudi Arabia will abolish all customs service fees related to exports and reduce import service fees to 0.15% of the goods’ value, effective from October 6, 2024, according to an announcement from the Zakat, Tax, and Customs Authority (ZATCA). This move is part of the Kingdom’s efforts to simplify trade processes, boost business activities, and enhance economic competitiveness. 

Under the new structure, a flat SR15 ($4) fee will be charged for customs declaration processing on individual shipments from online stores valued up to SR1,000. This change marks a significant reduction from the previous fee structure, which included SR100 for X-ray inspections per container, SR100 for information exchange services, and SR20 for customs declaration processing. Import fees will now be capped at SR500, with a minimum charge of SR15. 

The revised system aims to alleviate financial pressure on exporters, particularly small and medium-sized enterprises (SMEs), and standardize costs across land, sea, and air transport. ZATCA expects these adjustments to streamline trade procedures, lower costs for importers and exporters, and boost the growth of e-commerce in Saudi Arabia. 

The introduction of a flat SR15 charge for online shipments highlights ZATCA’s commitment to supporting the Kingdom’s expanding e-commerce sector. By reducing costs for cross-border online shopping, this measure will increase consumer access to global goods and make online shopping more affordable for Saudis. 

This policy shift is aligned with Saudi Arabia’s Vision 2030 initiative, which aims to enhance economic diversification and promote trade. Recent ZATCA initiatives include the Saudi Authorized Economic Operator Program, which simplifies customs clearance for trusted businesses by offering faster processing, fewer inspections, and priority handling at customs ports. 

Additionally, ZATCA has launched the National Single Window for Trade, known as FASAH, a digital platform that consolidates all trade-related operations. This system enables businesses to manage import and export procedures electronically, improving transparency and reducing delays in trade operations. 

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