Saudi Calls for Including Promising Sectors in Mandatory List of Local Products

Local goods accounted for 69% of total purchases by Saudi companies in 2021 (Asharq Al-Awsat)
Local goods accounted for 69% of total purchases by Saudi companies in 2021 (Asharq Al-Awsat)
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Saudi Calls for Including Promising Sectors in Mandatory List of Local Products

Local goods accounted for 69% of total purchases by Saudi companies in 2021 (Asharq Al-Awsat)
Local goods accounted for 69% of total purchases by Saudi companies in 2021 (Asharq Al-Awsat)

The Saudi Shura Council has urged the exploration of incentives and facilitations based on establishments’ contributions to local content. This includes support for obtaining certified credentials and the inclusion of promising sectors in the mandatory list of local products for government procurement.

Saudi Arabia’s Local Content and Government Procurement Authority is updating the mandatory list by adding new products and services.

The latest additions include eight products in the cybersecurity sector, such as encrypted portable memory, external hard drives, computer network encryption devices, network-encrypted storage devices, and encrypted email systems.

The Commerce and Investment Committee of the Shura Council held a meeting on Sunday to discuss the annual report of the Local Content and Government Procurement Authority, with the aim of enhancing the agency’s performance in increasing the percentage of local content in government procurements.

The Council emphasized the importance of supporting promising and new activities to align with the second phase of Vision 2030.

This includes studying the increase in preferential pricing for government procurements in these sectors, incorporating them into the mandatory list of national products, and imposing these requirements on companies fully owned by the state or with more than 51% state ownership, as well as their government entities.

The Council proposed the implementation of annual performance indicators to measure compliance levels.

During the meeting, Commerce and Investment Committee members discussed mechanisms that enable establishments to enhance local content in their products and services.

This involves studying the possibility of providing incentives and facilitations that align with the contribution ratio of products and services to local content.

These incentives include support and empowerment for obtaining certified credentials for local content, enabling such establishments to participate in government procurements.



Russia Hikes Import Tariffs for Consumer Goods from 'Unfriendly Countries'

A Russian national tricolor flag flutters on a tourist boat as another boat passes by along the Moskva river in central Moscow on July 18, 2024. (Photo by Natalia KOLESNIKOVA / AFP)
A Russian national tricolor flag flutters on a tourist boat as another boat passes by along the Moskva river in central Moscow on July 18, 2024. (Photo by Natalia KOLESNIKOVA / AFP)
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Russia Hikes Import Tariffs for Consumer Goods from 'Unfriendly Countries'

A Russian national tricolor flag flutters on a tourist boat as another boat passes by along the Moskva river in central Moscow on July 18, 2024. (Photo by Natalia KOLESNIKOVA / AFP)
A Russian national tricolor flag flutters on a tourist boat as another boat passes by along the Moskva river in central Moscow on July 18, 2024. (Photo by Natalia KOLESNIKOVA / AFP)

Russia increased imports tariffs for consumer goods, including candies, biscuits and shampoo, produced in countries that support sanctions against Moscow, according to a government order published late on Friday.

Russian imports from nations that imposed sanctions against Moscow over its military conflict with Ukraine slumped in 2022.

Some Western producers stopped selling to Russia, but Moscow has found roundabout ways to keep goods coming, including a grey imports scheme, and plenty of foreign goods remain on store shelves.

According to the order, the tariffs for perfume, cosmetics and shampoo from Poland, for example, will amount to 35% of the customs value. Duties for wallpapers from Lithuania, Latvia and Estonia will rise to 50%.

The new tariffs will be in place until and including Dec. 31 2024 and take effect seven days after publication.