WT/TPR/M/407/Add.1  
12 April 2021  
(21-3000) Page: 1/157 
Trade Policy Review Body  
3 and 5 March 2021  Original: English/anglais/inglés  
 
  
TRADE POLICY REVIEW  
THE KINGDOM OF SAUDI ARABIA 
MINUTES  OF THE MEETING  
Addendum  
Chairperson: H.E. Mr. Harald Aspelund (Iceland)  
This document contains the advance written questions  and additional questions by 
WTO Members , and replies provided by  Saudi Arabia .1 
 
 
Organe d'examen des politiques commerciales  
3 et 5 mars 2021  
EXAMEN DES POLITIQUES COMMERCIALES  
LE ROYAUME D 'ARABIE SAOUDITE  
COMPTE RENDU DE LA REUNION  
Addendum  
Président : S.E.  M. Harald Aspelund (Islande)  
Le présent document contient les questions écrites communiquées à l'avance par les 
Membres de l'OMC, leurs questions additionnelles, et les réponses  fournies par  Arabie saoudite .1 
 
 
Órgano de Examen de las Políticas Comerciales  
3 y 5 de marzo de 2021  
EXAMEN DE LAS POLÍTICAS COMERCIALES  
EL REINO DE LA ARABIA SAUDITA  
ACTA DE LA REUNIÓN  
Addendum  
Presidente: Excmo.  Sr. Harald Aspelund (Islandia)  
En el presente documento figuran las preguntas presentadas anticipadamente por escrito  y 
las preguntas adicionales de los Miembros de la OMC,  así como las respues tas facilitadas por  Arabia 
Saudita .1 
  
 
1 In English only./En anglais seulement./En inglés solamente.  WT/TPR/M/407/Add.1  
 
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  CONTENTS  
ARGENTINA  ................................ ................................ ................................ ......................  3 
BRAZIL  ................................ ................................ ................................ .............................  5 
BRAZIL – ADDITIONAL QUESTIONS  ................................ ................................ .................  8 
CANA DA ................................ ................................ ................................ .........................  16 
CANADA - FOLLOW -UP QUESTIONS  ................................ ................................ ................  27 
CHILE  ................................ ................................ ................................ .............................  28 
CHINA  ................................ ................................ ................................ ............................  33 
CHINA - ADDITIONAL QUESTIONS  ................................ ................................ .................  40 
EGYPT  ................................ ................................ ................................ ............................  48 
EUROPEAN UNION  ................................ ................................ ................................ .........  49 
EUROPEAN UNION - FOLLOW -UP QUESTIONS  ................................ ................................  72 
ICELAND  ................................ ................................ ................................ ........................  74 
INDONESIA  ................................ ................................ ................................ ....................  75 
JAPAN  ................................ ................................ ................................ ............................  80 
KAZAKHSTAN  ................................ ................................ ................................ .................  82 
KOREA  ................................ ................................ ................................ ............................  83 
MALAYSIA  ................................ ................................ ................................ ......................  87 
OMAN  ................................ ................................ ................................ .............................  98 
PHILIPPINES  ................................ ................................ ................................ .................  99 
RUSSIAN FEDERATION  ................................ ................................ ................................ . 110  
SINGAPORE  ................................ ................................ ................................ ..................  114  
SWITZERLAND  ................................ ................................ ................................ .............  116  
CHINESE TAIPEI  ................................ ................................ ................................ ..........  119  
TURKEY  ................................ ................................ ................................ ........................  120  
UKRAINE  ................................ ................................ ................................ ......................  127  
UNITED KINGDOM  ................................ ................................ ................................ ........  134  
UNITED STATES  ................................ ................................ ................................ ...........  144  
UNITED STATES - FOLLOW -UP QUESTIONS  ................................ ................................ .. 154  
  WT/TPR/M/407/Add.1  
 
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  ARGENTINA   
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
3.13. On 1 January 2018, the SCA introduced the Authorized Economic Operator (AEO) programme, 
which is based on a partnership between the SCA and businesses to strengthen the security of the 
international supply chain and provide more trade facilitation benefits.  
Could you provide more information regarding the ac tions carried out to reinforce the security of the 
international supply chain?  
 
Answer  
The authorized economic operator programme aims to enhance the security of the international 
supply chain through scrutiny and verification of companies that have applie d for the programme in 
order to ensure that they meet standards and comply with the supply chain security standards 
framework. As of February 2021, there are more than 190 companies registered by General Customs 
Authority as authorized economic operator an d classified as low -risk business partners after formal 
scrutiny by General Customs Authority to ensure that they meet compliance and security standards 
(e.g., trade partners) . 
 
Question  2 
3.21. During the review period, the main changes introduced regarding customs valuation refer to 
publishing customs valuation rules on the SCA website, and applying the importer's right to appeal 
without penalty before the Customs Valuation Committee. The Customs Valuation Committee 
handles the settlement of disputes arising between importers and the SCA over valuation. Its 
decisions are issued and shall be endorsed by the Governor of the SCA.  
Could you elaborate on the characteristics of the valuation disp ute settlement process between 
importers and SCA?  
 
Answer  
Since KSA 's accession to WTO, customs evaluation legislation and rules have been published in 
official gazette and the website of General Customs Authority, including references to the importer's 
right to appeal without penalty before the Customs Valuation Committee and before the judiciary. 
Pursuant to this legislation, the Customs Valuation Committee is responsible for the settlement of 
disputes between importers and customs and issues its resoluti ons having approved by the Governor 
of General Customs Authority. The working mechanism is as follows:  
 
1. If an objection made by the importer to the valuation resolution at the customs port, the 
transaction shall be submitted to the Valuation Committee.  
2. The Committee's secretariat communicates with the importer to request the grounds of 
objection, purchase documents and other costs paid.  
3. The members of the Committee shall meet to examine the facts and the grounds and 
determine the appropriate c ustoms value in order to settle the existing dispute and make a 
decision accordingly.  
4. His Excellency the Governor of Customs ratifies the resolutions made by Valuation 
Committee on the basis of majority vote.  
5. The importer shall be informed of the contents  of the resolution in writing and has the right 
to appeal against the resolution of the Valuation Committee before court with no penalty or 
fine applied.  
 
Question  3 
3.79. The Saudi Export Program (SEP) is the official national export credit agency, with t he objective 
of div ersifying non -oil exports through the provision of financing to Saudi exporters or importers in 
other countries of non -oil goods from Sa udi Arabia.  
For better understanding the mechanism to access the Program, could you provide more details on 
how operators from other countries can have access to this program?  
 
Answer  
Operators from other countries can access SEP 's services by applying directly to the program through 
different means such as: website: www.sfd.gov.sa E -mail: info@sep.gov.sa Fax: +966114659699 
Phone NO: +966112794000 They can also access SEP 's services by applying to accredited banks 
abroad, the list of such banks can be found on SEP 's website.  WT/TPR/M/407/Add.1  
 
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  Question  4 
3.93. The SIDF extends loans to eligible Saudi and forei gn companies/firms that are registered in 
the commercial registries. An SIDF loan provides a maximum term of 15 years, covering up to 50% 
of the fixed assets, pre -operating expenses, and start -up working capital; for projects in less 
developed or remote ci ties, the term may be extended to 20 years, and the loan may be increased 
up to 75%.  
Could you indicate what are the necessary conditions that foreign companies / firms must meet to 
obtain the above -mentioned loans?  
 
Answer  
Foreign companies are granted the same treatment as national companies. Foreign companies / 
firms, as well as national companies/firms, are eligible for SIDF Loans on the basis of the 
creditworthiness of the applicant, the technical qualities of the projec t and commercial viability of 
the project.  
 
Question  5 
3.137. The new Competition Law aims to protect and encourage fair competition and to combat and 
prevent monopolistic practices that affect lawful competition or consumer interest, leading to 
improved m arket environment and economic development. It applies to all firms in Saudi Arabia, 
regardless of their nationality or headquarters. Table 3.10 summarizes some of the most important 
differences between the old and the new competition laws.  
Could you expla in in more details what are the aspects of the new Competition Law that aim at 
achieving these above -mentioned objectives?  
 
Answer  
The new Competition Law implements important measures that focus on the inclusion of state -
owned enterprises to ensure the im plementation of fair competitive practices and guarantee clarity 
in the prerequisites for notification in economic concentrations for all entities that bear an effect on 
the market competition landscape of the Kingdom. These clarifications will enhance the  effectiveness 
of the Competition Authority in implementing its laws and pave opportunities to conduct industry 
studies with greater due diligence.   
 
Question  6 
3.83. A key element under Vision 2030 and the National Industrial Development and Logistics 
Program (NIDLP) is the creation of special economic zones (SEZs). SEZs form part of a larger effort 
by Saudi Arabia to attract foreign investment and diversify the economy away from oil and gas.  
Could you comment on the effects of such measures on FDI? Likewise, it is interesting to know the 
measures undertaken by the Saudi authorities that aim at enabling the installation of foreign 
investment facilities in Saudi A rabia, the requirements that these investors must meet for this 
purpose?  
 
Answer  
These zones ' main purpose is to create an attractive business environment to attract FDIs, which 
will in turn create jobs and contribute to the country 's GDP. Each of the laun ched zones will be 
focusing on certain sectors that requires specific amendments to the current regulations, and/or 
certain incentives that should be granted. Thus, these zones will develop sector specific regulations 
along with the general business regula tions, which will be amended to create an attractive and 
competitive environment.  
  WT/TPR/M/407/Add.1  
 
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  BRAZIL  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
Page 10: Paragraph 17 recalls that "as part of its accession commitments, Saudi Arabia agreed to 
start negotiations to join the Government Procurement Agreement (GPA) at a future date".  
Could the Saudi delegation be so kind as to elaborate on how the recently anno unced decision, as 
reported by several news outlets, to "cease contracting with companies and commercial institutions 
whose regional headquarters are not located in the Kingdom in a move aimed at encouraging foreign 
firms to open a permanent, in -country pr esence that would help create local jobs" (Reuters, 
"International companies without headquarters in Saudi 'will have to make a choice' to land 
government contracts in 2024 - finance minister", 16 February 2021) reconciles with Saudi  Arabia's 
commitment to  join the GPA?  
 
Answer  
At the time of Saudi Arabia 's accession to the WTO and its confirmation to initiate negotiations for 
the membership in the Agreement on Government Procurement by tabling an entity offer and the 
condition that if the results of the ne gotiations were satisfactory to the interests of Saudi Arabia and 
the other Parties to the Agreement, Saudi Arabia would complete negotiations for membership in 
the Agreement. It is worth mentioning that the said confirmation by Saudi representative at tha t 
time pertains and was specific to a previous version of the Agreement.  
 
Question  2 
Pages 31 -32 Paragraph 2.43 states that among all the free trade agreements negotiations in which 
the Gulf Cooperation Council (GCC) has engaged since the late 2000's only the one with China is 
currently ongoing and that the GCC is now reviewing its positio ns regarding all its FTA negotiations. 
Could the Saudi delegation indicate when it expects the GCC will conclude its positions reviewing 
regarding the FTA negotiations previously launched?  
 
Answer  
GCC members have finalized reviewing their position regardi ng FTA negotiations. Currently, the GCC 
is preparing their priority list of potential FTA partners to initiate and/or resume negotiations with.  
 
Question  3 
Likewise, paragraph 2.44 states that "the GAFT is currently assessing the potential to expand the 
Kingdom's network of FTAs in light of the Vision 2030 goals".  
Could the Saudi delegation elaborate on the prospects for the country's engagement in additional 
negotiations?  
 
Answer  
Saudi Arabia, jointly along with other GCC member states, plan to increase th eir share in 
international trade through expanding their network of preferential trade agreements.  
 
Question  4 
Page 58 Paragraph 3.109   
TRADE policies and practices by measure: Standards and technical Requirements  
Regarding Halal requirements for importing of food products of animal origin, Saudi Arabia 
announced in  November 2019 the National System for Halal Products, in which the Saudi S tandards, 
Metrology and Quality Organization (SASO) would be responsible for the accreditation of Halal 
certification bodies and SFDA would be responsible for issuing Halal standards. Since November 
2020, SFDA is requesting Halal certification bodies to register with the SFDA Halal Center and is 
charging fees for Halal certification of food products of animal origi n exported to Saudi Arabia. In 
light of the concerns that Halal requirements could create obstacles to trade, could Saudi Arabia 
clarify the Halal certification process for food products of animal origin exported to the Kingdom and 
the responsibilities of each Saudi  authority involved?  
 
Answer  
There is no change regarding halal standards, halal certification bodies shall apply the GSO halal 
standards, to ensure that any HCBs follow the GSO halal standards can get the recognition.  
 WT/TPR/M/407/Add.1  
 
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  Question  5 
Considering the WTO principle of national treatment ( Article 3 of the GATT), could Saudi Arabia 
clarify if local producers of food products of animal origin are subject to the payment of fees for Halal 
certification?  
 
Answer  
Local producers also apply for halal certificate for their products and pay the relevant fees  to issue 
the halal certificate.  
 
Question  6 
Page 60 Paragraph 3.124 The SFDA implemented a non -automatic import licensing system for 
poultry meat and its products, eggs and its products and fisheries in which importers must present, 
among oth er documents, an import plan including the required quantity to be imported to the 
Kingdom every six  months, the monthly production capacity of the exporting establishment, the 
percentage of its production to be destined to the Saudi market, and the quanti ty expected to be 
imported every month. According to article 4 of the WTO Uruguay Round Agriculture Agreement the 
access to Members' markets can only be regulated through customs duties (tariffs or tariff quotas). 
Measures such as quantitative restrictions  and discretionary import licensing are required to be 
converted into ordinary customs duties. Also, the WTO Agreement on Import Licensing Procedures 
states: (i) in Article 1.2, that members shall ensure that the administrative procedures used to 
implement  import licensing regimes are in conformity with the provisions of GATT including its 
annexes and protocols, with a view to preventing trade distortions; (ii) in Article 1.3, that the rules 
for import licensing procedures shall be neutral in application an d administered in a fair and equitable 
manner; and (iv)  in Article 3.2, that non -automatic licensing shall not have trade -restrictive or 
distortive effects on imports additional to those caused by the imposition of the restriction. In light 
of the above, c ould Saudi Arabia clarify the objectives of this new import licensing system?  
 
Answer  
The import license is not intended to restrict the quantity or value of imports. The purpose of 
licensing is to ensure that goods that do not meet the requirements of dif ferent laws, regulations or 
decisions are not imported.   
 
Question  7 
Page 61 Paragraph 3.125  On 10 February 2020, the SFDA suspended the imports of two major 
Brazilian poultry -producing plants, SIF 1985  and SIF 2518. One of them was responsible for over 
20% of Brazilian poultry exports to Saudi Arabia. The Brazilian government took note of the measure 
adopted by SFDA with great surprise as no previous  consultations on the matter were made by the 
Saudi sa nitary authority. Brazil noted Saudi Arabia's reference to media reports on an investigation 
conducted in Brazil regarding an alleged fraud scheme in the production of animal feed but no clear 
technical reasons for the suspension have been provided by the Saudi authorities. Brazil clarified 
that neither of the plants affected by the suspension of imports was involved in the investiga tion 
and provided all necessary technical information to Saudi Arabia. Article 2.2 of the WTO SPS 
Agreement sates that "Member s shall ensure that any sanitary or phytosanitary measure is applied 
only to the extent necessary to protect human, animal or plant life or health, is based on scientific 
principles and is not maintained without suffici ent scientific evidence". Could Saudi  Arabia explain 
the technical reasons for maintaining the suspension applied to the establishments SIF 1985 and  
SIF 2518 and inform on the revision of the documents and information provided by Brazil with a 
view to reconsider its restrictive measures as ur ged by the SPS Committee in its summary reports 
concerning STC Number 486?  
 
Answer  
SFDA previously clarified the technical reasons for applying these measures. In addition, SFDA would 
like to highlight that it will reconsider lifting the suspension based on a technical team visit, which 
will be carried out after the outbreak.  
 
Question  8 
On August 2019, SFDA suspended the imports of meat products from a processing plant located in 
UAE that belongs to a Brazilian company. According to the B razilian company, all adjustments 
requested by SFDA have been made and all technical information requested has been provided. 
Could Saudi Arabia explain the reasons for maintaining the suspension applied to this facility?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
SFDA previously clarified the technical reasons for applying these measures. In addition, SFDA would 
like to highlight that it will reconsider lifting the suspension based on a technical team visit, which 
will be carried out after the outbreak.  
 
Question  9 
Page 61 Paragra ph 3.127  Could Saudi Arabia clarify the procedures adopted by Saudi Customs and 
SFDA for rejected food shipments and the process for notifying rejections to exporting countries?  
 
Answer  
When a shipment is rejected, the SFDA notifies the SCA with the list of reasons why it was rejected 
and the SCA contacts the importer to notify them, the importer is the point of contact between the 
exporting country and the SFDA when it comes to rejecting shipments.  
 
Question  10 
Page 83 Paragraph 4.18 The Secretariat report states on paragraph 4.18 that "In January 2020, the 
Ministry of Environment, Water and Agriculture issued a new animal feed policy, replacing most 
subsidies to poultry farmers for imported feed (of corn and soybeans) with direct support to licensed 
(small) poultry farmers".  
Could Saudi Arabia provide further details about this program and the eligibility criteria of the 
beneficiaries?  
 
Answer  
The new agricultural support policy aims to redirect agriculture subsidies, by providing direct support 
(paym ents) to small livestock producers and farmers, only beneficiaries who are eligible for support, 
according to eligibility criteria such as income, livestock head numbers … etc, will be granted these 
subsidies, under the new agricultural subsidy program.  
 
Question  11 
Page 84  Paragraph 4.19 of the Secretariat states: "4.19. The ADF provides interest -free loans, 
including repayment subsidies: (i) to small farmers and medium -sized enterprises growing specialty 
products; (ii) to importers of products related to food security through the Agricultural Products 
Import Finance Program; and (iii) for Saudi investments in priority crops abroad under the 
Agricultural Investment Abroad (AIA) Program. Loans cover investment costs to varying degrees, 
depending on the size of the investment and with projects using modern technologies or those 
implemented by joint -stock companies being eligible for a higher financing share. As a result of the 
COVID -19 pandemic, additional funds were allocated to  food-security -related import p rogrammes, 
to support SMEs with working capital loans, and to reschedule existing loans  to SMEs to alleviate 
liquidity issues. The number and value of ADF loans have dec lined since 2015, while overall subsidies 
increased and approved loans in 2019 increase d sharply (Table 4.5).  
 
Answer  
Under COVID -19 relieve fund ADF 's has divided the funds to assists SME and Micro business in loan 
repayment up to 6 months and for large companies to import necessity foods under food security 
program. ADF categorize its customers under large companies, SME and Micro businesses. SME are 
companies or individual business with turnover between SAR3 million and SAR40 million and the 
exposure to ADF loans should not exceed SAR6 million. Micro businesses are companies or individual 
business with revenue not exceeding SAR3 million with exposure to ADF loans should not exceed 
SAR0.5 million. Currently, to assists both Micro and SMEs, ADF did not charge any rates for any 
loans on Micro and for SME, a minimal fee of 2.0% per annum which will only become effective after 
2 years of grace period 2 year s of grace period. Specialty product are products deemed to be 
necessity under Food Security program and has been classified under primary products and 
secondary products. The primary products include all products produces from 3 sectors locally such 
as Gr eenhouses, Poultry and Aquaculture. In addition to that, primary products that being imported 
are alfalfa, wheat, maize and red meat. The secondary products that being imported are rice, soya, 
barley, and edible oils. The choice of these crops is basically  due to the high demand and with some 
crops such as alfalfa, wheat and maize, which consume high amount of water. In the effort to 
conserve scarce water resources, the Kingdom has shifted towards becoming a net importer for 
these crops. As part of the mand ate, ADF give preference to modern and high technology in farming 
by giving higher lending margin.  
 WT/TPR/M/407/Add.1  
 
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  Question  12 
Page 84  Paragraph 4.21 of the Secretariat's report states that "the most recent notification to the 
WTO on agriculture support is for calendar y ear 2017" and that "important changes to support 
programmes since 2018 are therefore not yet covered".  
Could the Saudi delegation please inform the reasons for this delay in notification and when Saudi 
Arabia intends to submit updated information on domes tic support in agriculture?  
 
Answer  
To ensure updated information of the agricultural support policy will be covered in the Kingdom's 
domestic support notifications, as appropriate, and will be notified to the WTO upon the completion 
of all relevant data , in consistent with the WTO rules.  
 
II. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  13 
The Brazilian government would like to commend Saudi Arabia for its determination to ensure 
harmonization among several different policy strategies. Within Saudi Arabia's food security 
strategy, MEWA ha s set goals for self -sufficiency in local agricultural production (e.g. poultry). Could 
the Saudi delegation clarify what are the Kingdom's agricultural self -sufficiency goals and the 
strategy for achieving them?  
 
Answer  
According to the Kingdom's National Agriculture Strategy, self -sufficiency in agricultural products 
will be enhanced depending on the comparative advantage of production in the Kingdom's regions. 
Furthermore, KSA 's Infrastructure capability building program aims to develop the requi red 
capabilities to support implementation of FS strategy, the program consists of nine key initiatives. 
of it: Develop KSA agriculture infrastructure development plan through design KSA agriculture 
infrastructure development plan and design public and pri vate sector roles for different infrastructure 
projects. Develop KSA agriculture infrastructure projects through Incentivize private sector to 
develop agriculture infrastructure projects.  
 
Question  14 
Could the Saudi delegation explain how the Kingdom sees  the potential to increase cooperation with 
food producing and exporting countries to achieve food security objectives through international 
trade?  
 
Answer  
Increased cooperation with food producing and exporting countries will reduce exposure to market 
volatility, The Kingdom is looking forward to strengthening and enhancing its trade relations with its 
main trading partners.  
 
BRAZIL – ADDITIONAL QUESTIONS  
QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 I.  
1. ECONOMIC DEVELOPMENT: MONETARY AND EXCHANGE RATE POLICY  
 
Page 16 (Para 1.13)  
On 24 November 2020, the Council of Ministers approved a new law changing the name of 
Saudi  Arabian Monetary Authority (SAMA) to the Saudi Central Bank, but keeping the SAMA 
abbreviation. Under the new law, SAMA is  linked directly to the King of Saudi Arabia and will enjoy 
full financial and managerial independence. Also, under the new law, SAMA updated its mandate to 
include supporting economic growth as one of its prime objectives, formally changing its operating 
principles for the first time in more than 60 years. SAMA is vested with the conduct of monetary 
policy, and its key monetary policy objective remains the stability of the Saudi riyal (SAR) exchange 
rate in local and global markets, complemented by protect ing the stability and resilience of the 
financial system, expanding and deepening the financial sector, and contributing to the economic 
development of the country. Saudi Arabia accepted the obligations of Article VIII of the IMF WT/TPR/M/407/Add.1  
 
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  Agreement in the early 196 0s. It has no restrictions on capital receipts or payments by residents or 
non-residents.  
 
Is there a fixed mandate for the direction of the new Saudi Central Bank? If so, is there a limit to 
the number of possible renewals?  
 
Answer  
Article (3) stipulated the objectives of the Saudi Central Bank as follows: 1 - Maintaining monetary 
stability. 2 - Supporting financial sector stability, and promoting confidence in it. 3 - Supporting 
economic growth. In this regard, Article (4) provided tha t The central bank has all necessary powers 
to achieve its objectives mentioned on Article (3). There is no limit for this mandate. The central 
bank is authorized to suggest any amendment to the Law based on the approved procedures for 
amending laws in the  Kingdom.  
 
Question  2 
Page 17 (Para 1.16)  
Based in Riyadh, the Gulf Monetary Council (GMCO) was founded in March 2010 as a regional 
economic organization. GMCO's membership is open only to countries of the Gulf Cooperation Council 
(GCC). In June 2009, the  current GMCO members (the Kingdom of Bahrain, the State of Kuwait, 
Qatar, and Saudi Arabia) signed an agreement to form a monetary union; the agreement was ratified 
and entered into force in March 2010; however, the date for adoption of a single currency is yet to 
be determined.  
 
What are the practical effects hitherto of this monetary union and what are the prospects of the 
monetary union until the next TPR?  
 
Answer  
The Gulf Monetary Council GMCO member states continue to achieve and perform the primary 
objectives and tasks set for the establishment of monetary union. The meetings of the GMCO Board 
of Directors are held frequently at regular intervals and reached 52 by the end of 2020.  
Many objectives and projects are in process such as the enhanc ement of cooperation among National 
Central Banks is continuing with a view to creating appropriate conditions for the establishment of 
the Monetary Union, the development and coordination of the monetary policies and exchange rate 
policies for national cu rrencies until establishment of the Central bank, and following up fulfilment 
of the Member States’ obligations to the Monetary Union and the introduction of single currency 
specifically those relates to the performance of the economic convergence criteria .  The GCC Unified 
Payment System, which supports instant payment settlement, is one of the projects that will help in 
achieving monetary union. This project will allow GMCO to achieve the objectives set to prepare the 
technical infrastructure required for  the establishment of monetary union and to ensure that 
payment and settlement systems support the single currency.  
The efforts made to achieve GCC monetary policy coordination continue with a comprehensive 
framework being developed for liquidity forecasti ng and management model for some member 
states' central banks. Additionally, the macroeconomic model, designed to examine the economies 
of the GCC countries and the impact of political challenges and emergency changes on the future of 
the economy, has been  developed and improved regularly. Although GMCO is progressing and 
carrying out its tasks and functions to fulfil the Monetary Union requirements.  
 
Question  3 
1. ECONOMIC DEVELOPMENT: TRENDS AND PATTERNS IN FDI  
 
Page 22 (Para 1.28)  
Moreover, in 2019, the  Saudi Arabian General Investment Authority (SAGIA) was transformed into 
the Ministry of Investment (MISA) to add power and capacity to help increase Saudi Arabia's 
effectiveness in attracting local and foreign investments. MISA implemented, inter alia, th e following 
reforms: reduced the foreign investment licence requirements to two documents; launched instant 
licence and renewal; automated post services (licence renewal, company activities amendment, 
adding branches); reduced the time to issue new license s (from an average of 53 hours to less than 
4 hours); and extended the validity of the foreign investment licence to five years (rather than being 
renewed annually).  
 WT/TPR/M/407/Add.1  
 
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  What were the main changes in licence procedures regarding financial services?  
 
Answer  
The financial licensing  procedures under the Saudi central Bank supervision could be found in the 
following link; https://www.sama.gov.sa/en -US/Laws/Pages/default.aspx . 
In addition to the above the following two documents (Copy of the CR and financial statement) are 
required by MISA as prior approval from SAMA to issue a foreign license for financial activities . 
 
Question  4 
3. TRADE POLICIES AND PRACTICES BY MEASURE: INTELECTUAL PROPERTY RIGHTS  
 
Page 72 (Para 3.183)  
Under Vision 2030, Saudi Ar abia is building innovation labs and platforms, and engaging in initiatives 
to encourage entrepreneurship. This approach was underpinned by the reforms undertaken in the 
IP administrative regime during the review period. For example, in 2020, the SAIP requ ested public 
consultations on a draft regulation for IP licensing, and launched a network of 33 IP support centres, 
and, in 2019, it began preparations for the development of a national IP strategy.  
 
On the development of the National Strategy of Intellect ual Property Work, could the Kingdom  of 
Saudi Arabia share more details about its implementation? What is the procedure foreseen by the 
Kingdom for legislation approval? Is there a working plan of activities? Which are the difficulties 
faced so far and, ho w the pending issues are being resolved?  
 
Answer  
National IP Strategy is being prepared along with the contribution of National stakeholders.  
 
Question  5 
 
What is the treatment given to the Health Sector within the scope of this Strategy?  
 
Answer  
National IP Strategy is under consideration and being prepared along with National stakeholders.  
 
Question  6 
Page 72 (Para 3.185)  
On 26 October 2020, the SAIP organized the Global Intellectual Property Challenges Forum (IP20+) 
as an initiative in response to IP priorities in the times of global pandemics and emergencies. 
Participants of the Forum included the heads of IP offices operating in the G20 countries, WIPO, the 
World Health Organization, and a number of guests from other IP offices and internationa l 
organizations.  
 
Could the Kingdom of Saudi Arabia clarify if there will be any kind of continuity to the IP20+ Forum? 
If so, how the works will be organized?  
 
Answer  
No decision has been made yet. However, as stated in the joint statement of The Global Intellectual 
Prope rty Challenges Forum (IP20+), the Intellectual Property Offices operating in the G20 countries 
(IP20+), participated in the Global Intellectual Property Challenges Forum, share a willingness to 
consider future IP20+ meetings.  
 
Question  7 
 
Could the Kingdom  of Saudi Arabia inform if there are plans for the participation of representatives 
of the Ministries of Health of the G20 countries?  
 
Answer  
This question outside the scope of the TPR.  
 WT/TPR/M/407/Add.1  
 
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  Question  8 
4. TRADE POLICIES BY SECTOR: BANKING  
 
Page 107 (Para 4.106 )  
With 97% of the financial sector assets, the banking sector dominates the financial services sector; 
banking sector assets represented 88.4% of GDP at the end of 2019, increasing from 76.2% in 2014. 
The number of banks licensed in Saudi Arabia increased  from 23 in 2014 to 29 in 2020. There are 
currently 12 commercially licensed domestic banks and 17 licensed foreign bank branches, after the 
State Bank of India asked for the cancellation of its licence. Six of these 17 banks are branches of 
banks from oth er GCC member States. Four of the six banks that obtained licences over the review 
period have not yet started operations. Following the merger of the Saudi British Bank and the 
Alawwal Bank in 2019, the National Commercial Bank (64.3% state -controlled) an d the Samba 
Financial Group (49.6% state -controlled) agreed to a merger in late 2020, which would create the 
Middle East's third -largest lender in asset terms.  
 
What were the main impacts of recent regulatory changes on bank's leverage and portfolio?  
 
Answer  
There are no recent changes in leverage -related regulations in Saudi Arabia. The requirements for 
leverage ratios, which apply to all banks operating in the Kingdom. Two leverage ratios exist; a ratio 
of Tier 1 capital to total exposures should equal  a minimum of 3 percent in line with the Basel III 
framework, and the other ratio, under the Banking Control Law, states that bank’s deposit liabilities 
should not exceed 15 times its reserves and invested capital. In 2015, Saudi banks started reporting 
the (BCBS) leverage ratio, and since then, the ratio is well above the floor of 3 percent set by the 
BCBS.  
 
Question  9 
Page 108 (Para 4.109)  
While overall credit to the private sector increased by 10% between 2015 and 2019, retail and 
corporate real estate loans increased by 60%, from SAR 185 billion in 2015 to nearly SAR 300 billion 
in 2019; increased lending to retail customers accounted for the bulk of the increase. Real estate 
lending by non -bank institutions also increased, from less than SAR 12 billion in 2015 to more than 
SAR 20 billion in 2019 (around 41% of the total non -bank financial -sector credit). The FSDP explicitly 
targets strong growth in mortgages issued by the financial sector to SAR 500 billion in 2020.  
 
Which body is responsible for the statistical survey of the quantity and volume of indebtedness for 
operations that do not pass through banking system?  
 
Answer  
SAMA regulates and supervises the banking, insurance, finance, and money changers, and oversees 
the statistical information over the aforementioned sectors. Other financial statistics could be found 
within the relevant financial entities through websites or annual report s. In-depth statistics are 
available in SAMA’s annual reports that can be accessed here ( https://www.sama.gov.sa/en -
us/economicreports/pages/annualreport.aspx ). 
 
Question  10 
Page 109 (Para 4.113)  
Foreign banks continue to be allowed to operate in Saudi Arabia, either as a locally incorporated 
joint-stock company or as a branch of an international bank. In 2019, the SAMA issued revised 
licensing guidelines for banks under the Banking Control Law, 1966, which remains the main 
legislative text governi ng the banking sector. Under the guidelines, foreign bank branches are, in 
principle, subject to the same prudential requirements as locally incorporated banks. Foreign bank 
branches are not required to maintain capital in Saudi Arabia but, under certain c ircumstances, the 
SAMA reserves the right to impose such capital requirements. The guidelines require preliminary 
discussions prior to submitting a licence application for review to the SAMA. The Regulations for 
Foreign Bank Branches were published in Sept ember 2019 in Circular No. 4922/67, and the SAMA 
also regulated "agent banking" in 2019. In 2020, the SAMA issued additional guidelines for 
digital -only banks, requiring such banks to be set up as incorporated joint -stock companies, to have 
a physical pres ence in the country, and to put in place adequate customer support.  WT/TPR/M/407/Add.1  
 
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  Is there a restriction on industry or customer profile for each type of financial institution?  
 
Answer  
Each type of financial institution is governed by its regulatory framework as indica ted in this 
paragraph, further information could be found in the following link https://www.sama.gov.sa/en -
US/Laws/Pages/default.aspx . 
 
Question  11 
Page 110 (Para 4.116)  
Following the establishment of CMA's FinTech Lab initiative in December 2017, the SAMA launched 
a "regulatory sandbox" in 2018 to facilitate the testing of innovative FinTech products. By September 
2020, 32 FinTech companies had joined and, by March 2020, FinTech licences had been issued to 
four companies, all of which had participated in the sandbox. With the objective of expanding the 
variety of financial services available, the FSDP aimed to increase the number of licensed FinTech 
players to at least thr ee by 2020, a target that was exceeded.  
 
Are these FinTechs also allowed to perform cross -border operations?  
 
Answer  
The licensed Fintech firms could provide cross -border operations subject to regulatory and 
supervisory requirements in the kingdom’s as we ll as in the host jurisdictions.  
Question  12 
 
How will the FinTechs operate in the new monetary union? Will there be any restrictions?  
 
Answer  
The Gulf Monetary Council GMCO member states continue to achieve and perform the primary 
objectives and tasks set for the establishment of monetary union. In The Secretariat General of the 
GCC, a specialized Fintech working group under the Governors of Cen tral Banks Committee is 
discussing the Fintech related issues including its regulatory framework.  
 
Question  13 
4. TRADE POLICIES BY SECTOR: TELECOMMUNICATIONS  
 
Page 114 (Para 4.136)  
Saudi Arabia (like other GCC member States) was an early adopter of 5G, an d two operators (STC 
and Zain) launched 5G networks in 2019, while the third (Mobily) launched one in 2020.  
 
Considering 5G early adoption in Saudi Arabia, how did the country address the lack of information 
regarding new services and applications of the n ext generation? What pricing methodologies did 
Saudi Arabia determine for the different spectrum bands licensed?  
 
Answer  
Among other duties and mandates, CITC, the ICT regulator in Saudi, is mandated to enable and 
facilitate the adoption of new technologie s to harness the ICTs potential. As for the rollout of 5G 
networks it is a commercial decision taken by the operators based on their own strategic and ROI 
objectives. Regarding spectrum pricing methodologies used, Saudi auctioned the spectrum among 
service  providers in blocks of contiguous spectrum.  
Question  14 
 
Page 114 (Para 4.137)  
For the STC, a dominant service provider in the market, tariff increases and price changes that do 
not pass a cost -related test require retail Tariff approval by the CITC, while other price changes by 
the dominant service provider and all changes by other providers need to be notified to and can be 
rejected by the CITC for reasons of price discrimination or anti -competitive pricing.  
 
Could Saudi Arabia detail the methodology  of the test required for tariff increases and price changes?  
 WT/TPR/M/407/Add.1  
 
- 13 - 
 
  Answer  
The test has two angles; one is the cost of offering the service to the public excluding any overhead 
due to the company operations or what is known as pure LIRC. The second is the curre nt prices in 
the market to ensure no price discrimination or anti -competitive pricing is performed by the 
dominant operator or any operator in the market.  
Question  15 
 
Could Saudi Arabia elaborate on the process and criteria established to define dominant service 
providers?  
 
Answer  
ICT regulator, CITC, is among the most mature regulators worldwide and follows the world best 
practices globally. Regarding defining dominant service providers, CITC carry out and extensive 
regulatory task of assessing Market Definition, Designation and Dominance “MDDD” based on the 
competitive dynamics in the country and shares the results with the public through a public 
consultation. One of the outcomes of his task is the identification of dominant operators.  
Question  16 
 
Page 115 (Para 4.140)  
The licensing framework consists of two types of telecommunication licences: Facility -Based Provider 
(FBP) individual licences and multiple "class licences". Individual licences include a technology - and 
service -neutral unified licence193 (introduced in 2016, three issued194), a fixed services licence 
(two issued), and a data service provider licence (one issued). Class licences are issued to authorize 
more than one service -based provider to offer specific  services, imposing identical conditions on all 
licensees for the specific service authorized. Where specific telecom services are covered by class 
licences, FBPs are also required to obtain relevant class licences before offering such service(s). The 
CITC is permitted to limit the number of some class licences and allocate them using defined 
procedures (Class A)195, while other licences (Class B) may not be restricted in number or allocated 
competitively.196 Given technical developments and past incrementa l changes to the licensing 
framework, the CITC started to review the licensing regime more generally in 2018 in order to align 
it with international best practices. Following public consultations in 2019197, the CITC aims to 
introduce a new licensing frame work in 2021, which would consist of: (i) individual licences 
(including unified, wholesale, and carrier service provider licences); and (ii) a general class licence. 
Existing licences will be transferred to the new framework. Portability has been availabl e for mobile 
numbers since 2006 and for fixed numbers since the third quarter of 2020.  
 
Can the Kingdom of Saudi Arabia give more information regarding licensing framework? Can either 
the service -neutral unified licence or the Facility -Based Provider incen tivize the development of the 
supply on the telecom market of the Open -RAN model and the 5G standalone service architecture? 
If yes, how so.  
 
Answer  
Incentivize the development of the supply on the telecom market of the Open -RAN model or the 5G 
standalone service architecture is for the operators to decide on.  The Saudi Arabia ICT regulator, 
CITC leave such decision to the market players due to the impact of such decision on the internal 
operations of the services operators.  
Question  17 
 
Page 116 (Para 4.1 42) 
The regulatory environment provides for the sharing of physical infrastructure199, and in 
January  2016, the CITC issued revised guidelines for access to physical facilities. 200 The guidelines 
provide the basis for mutually agreed access agreements and  set out rules for requesting access to 
telecom infrastructure and passive network elements. Facility owners are required to respond to 
such requests and provide negotiated access with few exceptions, and the guidelines also require 
the dominant service pr ovider to provide a Reference Access Offer if requested by the CITC. In 2018, 
the CITC issued Rules for ICT Infrastructure Provision and Deployment in New Developments, 
encouraging coordination among stakeholders for the roll -out of ICT infrastructure and promoting 
competition in the provision of ICT infrastructure and services. 201 The CITC also launched a new 
licence for the provision of wholesale infrastructure services in 2018202, and issued guidelines and WT/TPR/M/407/Add.1  
 
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  rules for Fiber Wholesale Bitstream Access Agre ements in 2019. 203 In mid -2020, based on these 
guidelines, an open access agreement among all telecom service providers for the provision of fibre - 
to-the-home broadband services independent of fibre infrastructure ownership entered into force, 
covering o ver 3.5 million households.  
 
Infrastructure sharing is critical for the deployment of service in certain areas. Given that, can the 
Kingdom of Saudi Arabia supply additional information regarding spectrum sharing in their 
regulatory regime?  
 
Answer  
The Sau di Arabia ICT regulator, CITC has issued guidelines to provide the basis for mutually agreed 
access agreements and set out rules for requesting access to telecom infrastructure and passive 
network elements. However, due to the criticality of spectrum avail ability to the operation of service 
providers, CITC has made available the spectrum to each operator and in fact Saudi Arabia is ranked 
2nd among G20 countries in spectrum allocation and licensing to the operators. Moreover, spectrum 
trading is allowed amo ng service providers and CITC has recently (2021) issued a public consultation 
on “Spectrum Outlook for Commercial and Innovative Use 2021 -2023" which comprises of a plan to 
release more than 20 GHz of additional radio spectrum, with the aim of promoting f urther innovation 
and investment in multiple wireless technologies within the Kingdom's commercial sector.  
 
II QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question 1 8 
 
2. ECONOMIC DEVELOPMENT  
Page 07 (Para 2.8)  
The continued upward trend of non -oil revenues reflects increased fiscal stability and also a positive 
future outlook for foreign investors. Moreover, the non -oil sectors including manufacturing and 
renewable energy sectors continue to drive growth. Small and medium -sized enterprises (SMEs) are 
a main focus for Vision 2030, with the project seeks to increase the contribution of SMEs to the 
Kingdom's GDP from 20 to 35% over the next decade.  
 
What are the main sectors of these SMEs companies? Does that defini tion also include Fintechs?  
 
Answer  
The National Classification for the Economic Activities is derived from the International Standard 
Industrial Classification of All Economic Activities, forth version (ISIC4).  
Hence, wholesale, retail and construction a ccounts for almost 50% of existing base.  
FinTech’s and other emerging sectors are among the kingdom’s future focus to enable and grow.  
 
Question 1 9 
Page 08 (Para 2.12)  
In parallel with the development of this strategic framework, NCP supported the main economic 
sectors in preparing and implementing specific transactions. In 2019 seven PPP tenders were closed, 
these included three new wastewater treatment plants, two new water desalination plants and a 
new container terminal at Jeddah Port. The first stra tegic privatization sale of the Saudi Medical 
Service was completed.  
 
Are there sectorial restrictions of where will private capital be allowed or shall this definition occur 
on an ad hoc basis?  
 
Answer  
Generally, there are no sectorial restrictions. Howev er, each privatization opportunity is being 
studied and discussed as a separate case.  
 
Question 20  
 
4. SECTORAL DEVELOPMENTS : ENVIRONMENT  
Page 15 (Para 4.11)  
The precedent environmental laws were replaced with a new law and a set of executive regulations,  
standards, requirements and guidelines that aim to protect, develop and sustain the environment. WT/TPR/M/407/Add.1  
 
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  On the regional level, the final drafts of a unified GCC environmental and meteorological law, and 
an operational plan for the GCC environment strategy were d eveloped.  
 
What, if any, regulatory standards have been implemented to encourage financing of sustainable 
projects?  
 
Answer  
There are no special regulatory standards have been implemented or dedicated to encourage 
financing of sustainable projects so far, however, the establishment of the components of the new 
institutional framework for the environment sector has been approved to enhance sustainable 
development by focusing more on the control and compliance related aspects.  
Question 21 
 
IV. SECTORAL D EVELOPMENTS: FINANCIAL SERVICES  
Page 19 (Para 4.45)  
The FSDP which was launched in April 2017, to create a thriving financial sector. This program 
envisions expanding financial inclusion, achieving high degree of digitization and maintaining 
financial stab ility. The Saudi Central Bank2 (SAMA), in partnership with MoF and the Capital Market 
Authority (CMA), has been working to support the implementation of initiatives falling under FSDP. 
It has contributed to the development and implementation of many initia tives related to the banking 
sector, insurance sector, finance sector, payment systems and consumer protection.  
 
What financial education measures were adopted to avoid that this growth in financial inclusion does 
not resulting in an increase in household excessive indebtedness?  
 
Answer  
One of the FSDP pillars is to promote and enable financial planning under which 9 core initiatives 
have been launched, including the strategy for the Financial Literacy Entity which has been finalized 
to promote and enable f inancial planning.  
  WT/TPR/M/407/Add.1  
 
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  CANADA  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question 1  
Page 7 (Para.4)  While a comprehensive assessment of progress made towards achievement of the 
Vision 2030 objectives is beyond the scope of this Review, results in certain areas are noteworthy. 
For example, prior to the COVID -19 pandemic, the fiscal deficit declined from 15.8% in 2015 to 
4.5% in 2019 due to significant progress in diversifying and stabilizing the Government's revenues. 
Measures adopted by the Government in matters such as starting a business, registering property, 
and protecting minority investors appear t o have significantly improved the business climate. At the 
same time, there remain governance and rule of law issues that may warrant reform. Illustrative in 
this respect is the IMF's recent call for continuing reforms to enhance fiscal transparency to red uce 
the risks of corruption. During the review period, the Government also introduced reforms 
concerning the status of women in society. " 
 
Could Saudi Arabia provide examples of the reforms that were introduced concerning the status of 
women in society?  
Answer  
The Council of Ministers issued a new travel documents law in July 2019 lifting restrictions on women 
travel. Under the new law, women do not need a travel permit and may apply for their passports 
independently. Both men and women are equal under the new law and are subject to the same 
treatment. The Kingdom has lifted the ban on women mobility, granted them the right to 
independently open and run a business with equal access to credit. The Saudi government adopted 
a law to protect them again st harassment in public spaces including cyber -harassment. The Saudi 
government introduced strong protections in the workplace against discrimination based on gender, 
notably during recruitment, employment and in setting wages. The protections also guard a gainst 
dismissal during pregnancy and expanded the opportunities for them to occupy senior government 
positions, including as deputy/assistant ministers and as ambassadors.  
Question 2 
Do any of these reforms include programs and/or initiatives to support women -owned businesses 
and their integration into international trade?  
Answer  
More reforms have been introduced recently to eliminate barriers for women and enable them to 
work on all sectors without restrictions on night work and hazardous occupat ions.  
 
In the social sphere, women have been granted the right to attend sports events, engage in sports, 
participate in international competitions, and access entertainment opportunities.  
 
Women are an invaluable asset for the Kingdom. Their knowledge, s kills and capabilities are one of 
the most powerful competitive advantages that the country possesses. The government is committed 
to making them a pillar of social and economic transformation under Vision 2030.  
 
There have been great efforts from the Saud i Government to scale local businesses, the General 
Authority for Small and Medium Enterprises launched initiatives to enable entrepreneurs ' access to 
international markets through local/global franchise and Unicorn Development. In addition, 
"Tomooh " program to supports SMEs with growth potential to elevate their capabilities and integrate 
them into global markets .  
 
Question  3 
Page 10 (Para.17)  "As part of its accession commitments, Saudi Arabia agreed to start negotiations 
to join the Government Pro curement Agreement (GPA) at a future date. Presently, it is an observer 
to the GPA. "  
 
Does Saudi Arabia currently have plans to begin negotiations in order to join the Government 
Procurement Agreement ? 
 WT/TPR/M/407/Add.1  
 
- 17 - 
 
  Answer  
At the time of Saudi Arabia 's accession to the WTO and its confirmation to initiate negotiations for 
the membership in the Agreement on Government Procurement by tabling an entity offer and the 
condition that , if the results of the negotiations were satisfactory to the interests of Sau di Arabia 
and the other Parties to the Agreement, Saudi Arabia would complete negotiations for membership 
in the Agreement. It is worth mentioning that the said confirmation by Saudi representative at that 
time pertains and was specific to a previous versi on of the Agreement.  
 
Question  4 
Page 10 (Para.21) The Secretariat Report states that Vision 2030 is expected to transform Saudi 
Arabia 's oil and gas sector through increased localization, increased gas capacity, enhancing 
competitiveness, and increasing t he share of renewables in the energy mix.  
What are Saudi Arabia 's plans for integrating environmental, social, and corporate governance (ESG) 
investment criteria into its oil trade investments domestically and abroad, including for Saudi 
Aramco?  
Answer  
Saudi Arabia encourages a holistic  ESG approach.  
Question  5 
What investments or measures will Saudi Arabia pursue in order to  ensure markets access for its 
exports in an increasingly carbon constrained global market?  
 
Answer  
Saudi Arabia will take the lead on research, development and deployment of innovations and 
technologies to address all GHG constraint global market.  
 
Question  6 
Page 13 (Para 1.2) "GDP per capita increased from USD 21,180 in 2015 to USD 23,174 in 2019. 
Saudi Arabia had a population of around 34.2 million in 2019, of which 38.3% (13.1 million) were 
non-Saudis. Expatriate labour accounts for 79.4% of priv ate sector employment.1 The 
unemployment rate of Saudi nationals remained high at 12.0% in 2019, while for non -Saudis it was 
0.4%.2 With a view to increasing the employment of nationals, notably women, the authorities have 
been implementing the Nitaqat pro gramme since 2011. It is a labour market reform strategy 
designed to make Saudi nationals more competitive in the private sector labour market, make 
private sector jobs more attractive to nationals, and require or encourage private firms to meet 
certain Sa udization quotas. As from 14 March 2021, Saudi Arabia will allow foreign workers in the 
private sector to change jobs and leave the country without an employer's consent. "  
 
Does Saudi Arabia collect data on the employment of nationals disaggregated by sex ?  
Answer  
Yes. 
 
Question  7 
If so, of the 12.0% Saudi nationals who were unemployed in 2019, what was the ratio of women?  
Answer  
The ratio of unemployed who are women is 83%.  
 
Question  8 
Can Saudi Arabia provide data on some of the achievements to date for the Nitagat program in 
increasing the employment of women?  
 
Answer  
Since its launch, Saudi male workforce registered under Nitaqat grew by 8.4% while the Saudi 
female workforce grew by 5 1.5%, which is significantly higher and shows the positive impact Nitaqat 
had on female employment.  
 
Question  9 
Page 17 (Para 1.17) "As part of its role in preserving financial stability and helping the Government's 
efforts to combat the COVID -19 pandemic, SAMA injected over SAR 51 billion into the banking sector WT/TPR/M/407/Add.1  
 
- 18 - 
 
  as at August 2020. To support banking liquidity and enable banks to contin ue providing credit 
facilities for the private sector, especially SMEs, the Private Sector Financing Support Program 
includes the Deferred Payments Program (extended in September until December 2020), the 
Funding for Lending Program, the Loan Guarantee Pro gram, and support of point -of-sale and 
e-commerce transaction fees for the private sector. "  
 
Could Saudi Arabia provide data on the percentage of small and medium -sized businesses who 
benefitted from the Private Sector Financing Support Program, including  the Funding for Lending  
Program  and the Loan Guarantee program?  
 
Answer  
All three programs under SAMA 's Private Financing Support Program are directed to SME 's 
(i.e. Deferred Payment Program, Funding for lending (the name was changed to guaranteed loan 
program) and the Loan Guarantee program).  
For more information, Kindly Refer to: https://www.sama.gov.sa/en -US/News/Pages/news -
514.aspx   
In addition, the total value of  the support has changed following the extension of the Deferred 
Payment Program.  
For more information, Kindly Refer to:  https://www.sama.gov.sa/en -US/News/Pages/news -
631.aspx  
 
Question  10 
The Secretariat report mentions that Saudi Arabia seeks to attract investment projects to, notably, 
promote foreign technology and expertise transfers.  
 
Could Saudi Arabia provide additional information on whether or not it requires foreign investors or 
businesses to share intangible assets (e.g. intellectual property, te chnologies, training materials) 
with local joint -venture partners, state -owned enterprises, or other Saudi entities as a condition for 
approving or maintaining commercial activities in Saudi Arabia?  
 
Answer  
The Kingdom of Saudi Arabia does not require investors or foreign companies to share intangible 
property (e.g. intellectual property, technologies, training materials) with local joint -venture 
partners, since this is considered an investment decision to be made by investment partners once 
they reach an agreement on it.  
 
Question  11 
"According to the report, Saudi Arabia does not maintain any export prohibitions/restrictions that 
target specific trading partners. " 
Could Saudi Arabia confirm:  
a- that this statement applies to the export of strategi c and military items; and  
b- that Saudi Arabia does not maintain destination -based restrictions on the export of such items?  
 
Answer  
a- By default, most countries including Saudi Arabia, apply export controls on strategic and military 
items.  
b- Saudi Arabia maintains destination -based controls on the export and re -export of such items, 
in alignment with relevant UN agreements, decisions and resolutions.  
 
Question  12 
The table identifies categories of goods that require export licences and the relevant licensing 
authority, but there is no mention of military and strategic items (unlike paragraph 3.55 and Table 
A3.1 which detailed items subject to import licencing.)  
 
Could Saudi Arabia please confirm if there are any licences required for the export of military and 
strategic items?  
Answer  
Kindly refer to answer of question (11 -a). 
 WT/TPR/M/407/Add.1  
 
- 19 - 
 
  Question  13 
If so, could Saudi Arabia please provide details of its export licensing requirements for these types 
of goods as well as the relevant licencing authority?  
Answer  
Currently, the licensing requirements of these types of goods remains unchanged since the 
Kingdom 's accession to the WTO. These requirements are reviewed in periodic basis by the relevant 
authority.  
 
Question  14 
If available, could Saudi Arabia also include links to the relevant laws and regulations?  
Answer  
Following the recent establishment of the General Authority for Military Industries (GAMI), GAMI has 
recently taken on the role of coordinating applications for export approvals for military items.  
 
Question  15 
Currently,  The Economic cities and special zone authority (ECZA ) are in the process of approving 
three SEZs:  
Ras Al -Khair Industrial City, located in the Eastern Province and operated by the Royal Commission 
for Jubail and Yanbu. It will create a global complex for marine industries and services, including 
manufacturing and ship servicing and marine oil platforms.  
In addition to the International Maritime Industry 's new shipyard, could Saudi Arabia elaborate on 
what other facilities will be constructed at the "global complex for marine industries "? 
Answer  
It is a maritime complex, where ship building and maintenance and platform building will be the 
main sectors. The upstream and downstream of these industries are also targeted in the zone to 
create the sector 's full value chain.  
 
Question  16 
In addition to the gen eral tax policies and other incentives that are applied to all SEZs (e.g. reduced 
restrictions on business loans, simplified visa and work permit processes, etc.), could Saudi Arabia 
elaborate on what other incentives may be applied to the "global complex for marine industries "? 
 
Answer  
16- ECZA offers various types of incentives such as regulatory and administrative, in addition to the 
incentives currently being offered in the Base Economy.  
 
Question  17 
"Under Vision 2030, Saudi Arabia aims to increase the contribution of SMEs in GDP from 20% to 
35% and encourage local financial institutions to allocate up to 20% of overall funding to SMEs by 
2030. With this objective in mind, the SME Authority (Monshaat) was established in 2016 to: (i) 
reform t he basic needs of SMEs, and to create an environment that provides prosperity opportunities 
for all SMEs; (ii) provide support services and business opportunities to enhance the growth of all 
SMEs and enhance their competitiveness; and (iii) create a socie ty that supports and motivates 
members to engage in entrepreneurial endeavours and opportunities. " 
How does the Government plan to support the expansion of SMEs ' contribution to GDP from 20% to 
35% by 2030?  
 
a. Could Saudi Arabia provide examples of policies and programs being implemented to increase 
the growth and competitiveness of SMEs?  
b. Does Saudi Arabia intend to target different types of SMEs, such as those owned/led by women 
or youth?  
 
Question 18  
Could Saudi Arabia provide  additional information on achi evements of the SME Authority (Monshaat) 
to date?  
 
Answer  
Monshaat has been mandated to raise SME 's contribution in GDP from 20% to 35%, since its launch 
in 2017 to date, Monshaat established a number of  programs to achieve this objective.  WT/TPR/M/407/Add.1  
 
- 20 - 
 
  a. Several achievements have been accomplished on different initiatives types such as:  
 
Access to Finance:  
• Establishing the SME Bank.  
• Launching SME 's Funding Platform - an online platform that connects commercial banks and 
NBFIs with MSMEs, and enables them to choose the appropriate financing offers.  
• Establishing the Saudi Venture Capital company - a Government VC established in 2018 by 
Monshaat to stimulate venture investments in funds as well as co -investing with angel  
groups for the primary goal of minimizing equity financing gaps for startups by investing 
SAR 2.8 Billion ($750 Million).  
 
Ease of Doing Business:  
• Issuance of laws: franchise, ecommerce, bankruptcy, government procurement.  
 
Business Support:  
• Established SME support centers in 3 regions, Strat -up Hubs and innovation centers on IoT 
& cybersecurity and AI.  
• 100+ coworking spaces licensed and operated.  
• Launching a tailored scale -up programs for high -growth -SMEs.  
• Launch "Nawafth " an application tha t provide business consultancy and guidance for SMEs.  
 
b. Yes it does target different types of SMEs,   example of programs that target business led by women 
or youth are: Women in Business Network, and Universities Start -ups support program  
 
Question  19 
The report notes the numerous notifications and addenda submitted during the review period  
regarding Saudi Arabia 's sanitary and phytosanitary measures.  
Does Saudi Arabia have any planned upcoming sanitary and phytosanitary regulatory initiati ves not 
specifically referenced in the TPR reports that will impact agriculture, forestry, or aquatic product 
imports?  
 
Answer  
Saudi Arabia is updating Agricultural and veterinary quarantine laws and its executive by -laws, also 
reviewing and updating regul ated lists of quarantine and non -quarantine pests. In addition, Saudi 
Arabia is updating ban and ban lifting procedures in accordance with the OIE updates. Furthermore, 
Saudi Arabia updates food and food products standards periodically.  
 
Question  20 
The Secretariat Report describes Saudi Arabia 's General Authority for Competition (GAC) as 
permitting exemptions to entities from the application of provisions under the new Competition Law, 
"if such exemptions would lead to improved market performance " as det ermined on recommendation 
by a technical committee formed for such a purpose.  
Could Saudi Arabia provide more information on the process for convening such a technical 
committee (e.g. how are its members selected, what timeframe do they have to provide rep orts);  
 
Question  21 
Could Saudi Arabia provide the criteria that will be used to determine improvements in market 
performance?  
 
Question  22 
Could Saudi Arabia provide examples of decisions rendered by such technical committees?  
 
Answer  to Questions 20, 21 and 22  
There are instances where the GAC initially finds anticompetitive measures that constitute a violation 
of Articles 5, 6, or 7 of the Competition Law. Such violations may be appealed within 30 days from 
the date the violator is notified of the decision. The violator may request that a technical committee 
be formed to analyze if the behavior should be exempt from the Competition Law for reasons that 
the behavior leads to improved market performance, despite the initial finding of a violation. Reasons 
for finding that there is improved market performance may include a finding that the behavior 
generates economic efficiencies, similarly to other jurisdictions. The technical committee consists of 
an internal selection of different eco nomists and lawyers depending on the case to evaluate the 
initial violation where improved market performance or performance of entities can be proved. This WT/TPR/M/407/Add.1  
 
- 21 - 
 
  procedure is not often invoked. A recent example of this rare circumstance has been the technical 
committee that investigated the decision of a certain company to print their prices on their products 
as to whether it is attempting to collude with their competitors for price setting or an attempt to 
apply retail price maintenance.  
 
Question  23 
"On 16 Jul y 2019, the Council of Ministers approved the new Government Tenders and Procurement 
Law (GTPL) by Royal Decree No. M/128 of 1440H. It supersedes most of the previous GTPL issued 
under Royal Decree No. M/58 dated 04/09/1427H. The key objective of the new L aw, which came 
into force on 1 December 2019, is to strengthen government procurement activities while protecting 
public funds and enhancing economic development, with an emphasis on integrity, fair competition, 
and transparency. " 
Could Saudi Arabia descri be how this new law increases transparency in government procurement 
practices?  
 
Answer  
Please refer to article 2 of the GTPL that sets out the goals of the GTPL, it states that the GTPL aims 
to strengthening intergrity and competition, achieving equality.  
 
Question  24 
"According to the authorities, preferences related to local content are currently under discussion as 
to whether to apply them to commercial companies in which the State owns more than 51% of the 
share capital. "  
Could Saudi Arabia elaborate on these discussions, including whether an outcome has been achieved 
and its content or, if no outcome has been achieved yet, could Saudi Arabia elaborate on the 
timeframe expected to conclude those discussions and arrive to an outcome?  
 
Answer  
The mentio ned preferences related to the local content are still under discssion.  
 
Question  25 
"The Ministry of Finance is creating and implementing a unified web -based portal, called the ETIMAD, 
for government procurement efforts. The procedures for all tenders and  procurement by 
governmental entities are to be posted on the ETIMAD, along with electronic versions of the tender 
documents, except for reasons relating to national security or technical reasons that prevent such 
posting. The Ministry of Finance will also  compile and publish on the ETIMAD a list of "blocked" or 
"blacklisted" persons. The ETIMAD is expected to enable greater integration through the sharing of 
data on procurement activities among governmental bodies including the LCGPA, the General 
Authority  for Zakat and Tax, and the Ministry of Human Resource and Social Development. " 
Could Saudi Arabia elaborate on the expected timeframe for the implementation of this web -based 
portal?  
 
Answer  
MoF, through Government  Resource System Program, is targeting ETIMAD to be integrated with 
other governmental entities such as LCGPA during 2021. ETIMAD is already integrated with the 
General Authority for Zakat and Tax.  
 
Question  26 
This paragraph describes the role of the Entity in Charge of Unified Procurement (ECUP) and the 
associated procurement regime. It indicates that the General Authority for Military Industries, the 
body in charge of procurement in the defence sector, is partly exempt from the ECUP procurement 
regim e. 
Could Saudi Arabia provide details on the procurement exemptions applicable to the General 
Authority for Military Industries?  
 
Answer  
Trade in military and defense products are outside the scope of WTO.  
 
Question  27 
Per the Secretariat 's Report, since 2018, the SAIP 's main roles and responsibilities include preparing 
and implementing the national strategy for IP; proposing IP laws and regulations; managing WT/TPR/M/407/Add.1  
 
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  IP registration, grants, and enforcement; and providing opinions on international and region al 
organizations, among others.  
Recognizing the extensive mandate of Saudi Authority for Intellectual Property (SAIP), could 
Saudi  Arabia provide information on whether there are areas of IP policy, implementation, or 
enforcement that are covered by entit ies outside of the SAIP?  
 
Answer  
SAIP is the competent authority to supervise and monitor implantations of IP policy as well as prosing 
IP polices to the legislation body in KSA. Concerning the enforcement, there are several entities that 
are responsible f or IP enforcement such as SAIP for Copyright, Ministry of Commerce for Trademark 
currently. Customs for border measures, and the court for disputes.  
 
Question  28 
Per the Secretariat Report, "Under Vision 2030, Saudi Arabia is building innovation labs and 
platforms, and engaging in initiatives to encourage entrepreneurship, " which includes launching a 
network of IP support centres and developing a national IP strategy . 
Could Saudi Arabia elaborate on the initiatives developed under its National IP Strat egy, and on how 
they have been implemented thus far?  
 
Question  29 
Has the SAIP received feedback from stakeholders on the efficacy of these initiatives?  
 
Answer  to Questions 28 and 29  
National IP Strategy is still under study and preparation among National  stakeholders.  
 
Question  30 
Page 72 (Para 3.184) Per the Secretariat Report, the SAIP implemented a number of COVID -19-
related measures in 2020, including 19,990 different actions via its virtual platforms, over 17,000 
actions to individuals and institutio nal customers, and organizing 44 sessions of quasi -judicial 
committees to adjudicated IP rights violations.  
Could Saudi Arabia provide additional information on the types of measures and actions the SAIP 
undertook in 2020 in relation to COVID -19, including the 19,990 different actions via virtual 
platforms, and over 17,000 actions to individuals and institutional customers?  
 
Answer  
SAIP had extended its services via its virtual platforms in upon the national lockdown and the closing 
of its physical offices by activating the business continuity plan. Also, SAIP announced in March 27, 
2020 the extension of deadlines until May 3, 2020 and allowed the utilization of its e -services to 
complete all transactions remotely.  
 
Question  31 
Page 74 (Para  3.193) Per the Secretariat Report, "any person within the territorial jurisdiction of 
Saudi Arabia who infringes copyrighted worked on the Internet shall be subject to one or more of 
the following penalties, including: (i) a warning; (ii) a fine not excee ding SAR 250,000; (iii) closure 
of the establishment that participated in the infringement for a period not exceeding two months; 
(iv) confiscation of all copies of the work in addition to the materials used, or intended for use, in 
the infringing acts; or  (v) imprisonment for a period not exceeding six months (Article 22 of the 
Copyright Law). " 
Could Saudi Arabia provide additional information on the thresholds governing which of these 
penalties may be deployed?  
 
Answer  
The determination of the maximum or minimum penalties depends on varies factors determined by 
the court.  
 
Question  32 
Page 82 (Para. 4.13)  Paragraph 4.13 of the secretariat report notes that "as part of the COVID -19 
response, the authorities also increased tariffs on certain agricultural products, such as dairy 
products, juices, and vegetable and olive oils, in June 2020. " 
Paragraph 19 of the summary (page 10) also notes that Saudi Arabia is a major net importer of 
agricultural products.  WT/TPR/M/407/Add.1  
 
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  Could Saudi Arabia clarify the reason behind this increase in tariffs on certain agricultural products 
during the COVID -19 pandemic?  
 
Answer  
On 20 June 2020, the Kingdom of Saudi Arabia increased customs duties on 575 goods. They were 
diverse, including dairy products. The vegetables, as well as olive oil were not among the above 
products. The reason behind raising tariffs was to increase customs revenues. 17 - Raising the tariffs 
to the bound rates is a legitimate Member 's right and it is not limited to a time frame.  
 
Question  33 
Could Saudi Ar abia indicate how long it expects these increased import tariff rates to be in place for 
agricultural products, including with regard to dairy products, juices and vegetables?  
 
Answer  
Raising the tariffs to the bound rates is a legitimate Member 's right and it is not limited to a time 
frame.  
 
Question  34 
Page 82 (Para. 4.16 and 4.17) Paragraph 4.16 of the secretariat report notes, "In July 2020, 
divestment of the first two milling companies was completed, accounting for about 50% of the total 
milling capacity of 4.55 million metric tonnes per year. Privatization of all companies is expected to 
be complete by 2021. Companies will directly buy wheat for milling from SAGO before selling flour 
at subsidized prices in the Kingdom (Table 3.11). Based  on the final regulated price of wheat flour, 
SAGO determines prices for the sale of imported and domestic wheat to mills, considering 
"acceptable profit margins" of milling companies ".  
Paragraph 4.17 of the secretariat report notes, "SAGO is the only aut horized buyer for domestic 
wheat and the sole authorized importer of wheat, although private flour mills will be able to apply 
for import licenses from SAGO in the future ". 
Could Saudi Arabia provide an update on the progress of privatization of its millin g companies and 
its efforts to offer import licenses to private flour mills?  
 
Answer  
As mentioned in the secretariate report The  second phase of mills Privatization process is ongoing 
and is expected to be completed by 2021.  
 
Question  35 
Could Saudi Arabia elaborate on its process to determine prices of wheat in sales  to milling 
companies?  
 
Answer  
The price is determined mainly bas ed on the cost of Wheat procurement and the international prices 
for wheat.  
 
Question  36 
Page 83 (Para 4.19)  "The ADF provides interest -free loans, including repayment subsidies: (i) to 
small farmers and medium -sized enterprises growing specialty products;  (ii) to importers of products 
related to food security through the Agricultural Products Import Finance Program19; and (iii) for 
Saudi investments in priority crops abroad under the Agricultural Investment Abroad (AIA) Program. 
Loans cover investment cost s to varying degrees, depending on the size of the investment and with 
projects using modern technologies or those implemented by joint -stock companies being eligible 
for a higher financing share. As a result of the COVID -19 pandemic, additional funds were  allocated 
to food -security -related import programmes, to support SMEs with working capital loans, and to 
reschedule existing loans to SMEs to alleviate liquidity issues. The number and value of ADF loans 
have declined since 2015, while overall subsidies i ncreased and approved loans in 2019 increased 
sharply (Table 4.5). " 
Does Saudi Arabia collect sex -disaggregated data on those companies which received interest -free 
loans/repayment subsidies?  
 
Question  37 
Do women have a good success rate in obtaining financing?  
 WT/TPR/M/407/Add.1  
 
- 24 - 
 
  Question  38 
If so, what is that success rate?  
 
Answer  to Questions 36, 37 and 38  
ADF did not have sex -disaggregated data on the COVID -19 related funds as ADF evaluate all loan 
without gender bias. ADF have a thorough evaluation on any  loan application to ensure that they 
are based on the viability of the project and good repayment capability. The evaluation methodology 
is based on several factors such as sector demand, financial strength, risk involved and the return 
on the project. Th is methodology applies to all applicant disregards their gender.  
 
Question  39 
Page 84 (Para. 4.19 and 4.20) Paragraph 4.19. in the secretariat report notes, "the Agricultural 
Development Fund (ADF) provides interest -free loans, including repayment subsidies…for Saudi 
investments in priority crops abroad under the Agricultural Investment Abroad (AIA) Program. " 
Paragraph 4.20. in the secretariat report notes that "the Agricultural Investment Abroad Program 
was set up in June 2019 to support the goal o f enhancing food security outlined under Vision 2030. 
It builds on King Abdullah's Initiative for Saudi Agricultural Investment Abroad and provides 
long-term loans to Saudi nationals investing abroad in priority crops (i.e. green fodder, corn, edible 
oil, sugar, soybeans and barley) with the objective of importing them into the Kingdom for enhanced 
food security. "  
Could Saudi Arabia elaborate on the share of agricultural imports of the priority crops that are the 
result of investments made by the Agricultu ral Investment Abroad Program?  
 
Answer  
The share of imports resulting from these investments are 426,874 ton of various essential crops.  
 
Question  40 
What is the expected share of imports resulting from these investments by 2030?  
 
Answer  
Currently estimates for the share of imports from these investments by 2030 is not available.  
 
Question  41 
Page 89 (Para 4.32) According to the Secretariat report, Saudi Arabia 's mining sector is open to 
private investors, without discrimination between do mestic and foreign firms. In addition, licenses 
are granted on a "first-come, first -served basis, subject to technical and financial evaluation. " 
Could Saudi Arabia clarify the criteria and thresholds used in its technical and financial evaluation of 
the aforementioned licensing requests?  
 
Answer  
For mining activities licensing, the ministry issues 4 different licenses, which are: Reconnaissance 
license, Exploration license, Building materials license, and Mining/Small mine license. The criteria 
and thresholds used in its technical and financial evaluation of the licensing are different based on 
each license's requirements. Some of the requirements are mainly summarized in the following:  
Technical requirements:  
 
- Related experience in earth sciences, o r in mining activities.  
- Registered company in Saudi Arabia.  
- Should present the objectives, proposed working program for execution, and the detailed 
annual costs for the program.  
- Provide an economic feasibility study for the project.  
- Should not have a previous license that was terminated within the last three years.  
- Financial requirements:  
- Acommitment to provide funds of 100% to cover the costs of the proposed working program 
for the first year.  
- To disclose not declared bankruptcy.  
 
Question  42 
Page 91 (Para 4.39) The Secretariat report notes that Saudi Arabia 's economic growth, fiscal 
revenues, and export revenues depend highly on oil, which will bring significant policy challenges in 
the future due to predicted long -term changes in the world oil market . WT/TPR/M/407/Add.1  
 
- 25 - 
 
  What strategies are being deployed to address these policy challenges, including to improve the 
environmental performance of the sector in adapting to longer -term changes (e.g. strategies to 
reduce methane and other harmful emissions)?  
 
Answer  
Vision 2030 is geared to diversify sources of economic sectors such as industries, mining, tourism, 
among others, while being cognizant of environmental performance.  
 
Question  43 
What policies or approaches is Saudi Arabia considering or has put in place t o encourage the uptake 
of innovative technologies from its trading partners in the reduction of emissions?  
 
Answer  
Saudi Arabia is adopting the Circular Carbon Economy (CCE) approach that will advance all 
technological innovations in addressing all GHGs fr om all sectors while capitalizing on value added 
as business opportunities  
 
Question  44 
Page 99 (Para 4.74) The Secretariat Report notes that Saudi Arabia aims to "to increase the level of 
competition in the electricity market by allowing multiple independ ent power producers (IPPs). " 
Can Saudi Arabia provide more details on its plan to open the utilities market to competition and 
clarify any potential restrictions or requirements vis -à-vis foreign bidders?  
 
Answer  
The Saudi market is open for investors in a ll power sector projects including generation (thermal 
and renewable), transmission and distribution. In fact, all new power plants, including renewables, 
now in Saudi Arabia are built through IPPs where Local and international developers are invited and 
encouraged to participate.  
 
Question  45 
Page 106 (Para. 4.104) "[…] the financial sector is seen as essential, allowing the private sector to 
drive the diversification and development of the economy. " 
Are there any foreign equity caps or restrictions in the banking, Islamic banking, insurance or 
securities sectors?  
 
Answer  
The financial sector is very liberal and attractive to foreign investment with strong foreign 
participation as for foreign equity sh are it fully comply with KSA 's Services Schedule of Specific 
Commitments.  
 
Question  46 
If so, what are these caps or restrictions?  
 
Answer  
As indicated in KSA 's Services Schedule of Specific Commitments.  
 
II. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  47 
Page 7 (Para 1.26) "Women empowerment in Saudi Arabia is one of Saudi Vision 2030's main pillars. 
The economic empowerment of Saudi women is among the top priorities of the reform plan, which 
sets out a commitment to increase female participati on in the workforce from an average of just 
under 20% to over 30% by 2030. Saudi Arabia has become recognized in terms of improvement 
and progress toward gender equality since 2017. Saudi Arabia has become one of the leaders in the 
region in terms of women  empowerment. " 
Could Saudi Arabia identify some of the challenge 's women face to participate in the work force on 
its territory?  
 
Answer  
The challenge 's women face to participate in the work force on its territory, as follows;  
 
1- Insufficient employme nt promotion in rural areas.  WT/TPR/M/407/Add.1  
 
- 26 - 
 
  2- 2-Low representation of Saudi Women in management positions compared to international 
benchmarks.  
 
Question  48 
Could Saudi Arabia elaborate on the ways its reform plan intends to increase female participation in 
the workforce?  
 
Answer  
Over the last 3 years, the Government 's efforts in developing a national policy of equal opportunities 
have increased women 's participation in t he workforce from 19.7% to 31.3%. Continuous reforms 
and initiatives launched to support women entrepreneurship with over 14 free services and programs 
provided by the General Authority for Small and Medium Enterprises from business counseling and 
scale-up, research, reimbursement and financing has led to increased number of SMEs entities 
owned by female.  
 
Question  49 
Could Saudi Arabia elaborate on the improvements and progress that it has made towards gender 
equality since its last TPR?  
 
Answer  
Enhance opportunities and enforce equal wages through legislating (equal pay for equal jobs), and 
legislating the following:  
 
• Article (3) of the labor law. This article was updated to explicitly prevent gender 
discrimination and now states: "the right of work for everyone equally regardless of gender, 
disability, age or any other discrimination criteria either on hiring or announcement of jobs. "  
• Article (38) of the social insurance law. Previously, the Social Insurance Law allowed women 
to receive a pensi on once they reach the age of fifty -five and providing a minimum 
contribution period of ten years. It has been modified to equalize the retirement age between 
men and women at sixty years.  
• Article (149) of the labor law. This article prevented women from w orking at night, and was 
removed by HRSD.  
• Article (150) of the labor law. This article prevented women from working in certain sectors 
such as mining, and was removed by HRSD.  
• Article (155) of the labor law.  
 
This article was modified to increase the prot ection given to women during maternity and now states 
"an employer is not permitted to dismiss a worker or give warning to her while she is pregnant or 
during maternity leave, and this includes the period of her illness arising from either of them, 
provide d that the illness is proven by an approved medical report and the period of her absence 
does not exceed (180d days) per year, whether continuous or sporadic ". 
 
Question  50 
Has Saudi Arabia endorsed or joined international or multilateral initiatives that protect and advance 
women 's economic empowerment? If so, which ones?  
 
Answer  
Human rights and gender balance are fundamental concepts in the most prominent international 
treaties where Saudi Arabia has signed and endorsed, such as:  
1. Universal Declaration of Human Rights.  
2. International Covenant on Civil and Political Rights.  
3. Interna tional Covenant on Economic, Social and Cultural Rights.  
4. The Convention on the Elimination of all Forms of Discrimination Against Women, CEDAW.  
5. Declaration of the Elimination of Violence Against Women.  
6. Beijing Decla ration and Platform for Action.  
7. Sustainable Development Goals.  
8. The Convention on the Rights of Persons with Disabilities and its Optional Protocol.  
 
Question  51 
Page 15 (Para. 4.16) "The implementation of food security strategy is carried out by Saudi Grains 
Organisation (SAGO) in partne rship with the Ministry of Environment, Water and Agriculture 
(MEWA). SAGO through its chairmanship of the Committee of Food Security Secretariat oversees WT/TPR/M/407/Add.1  
 
- 27 - 
 
  three basic initiatives emanating from the food security strategy that will redefine its role within the 
framework of the Food Security Strategy. One of these initiatives relates to an effective program for 
strategic reserve, strategic food storage and early warning system, the other is about reducing food 
loss and waste. "  
Could Saudi Arabia elaborate on  the methodology used to determine the volume of its strategic 
reserve for each of the priority crops?  
 
Answer  
Still in early implementation stage, but generally according to the Kingdom's food security strategy, 
appropriate mechanisms and policies will be formulated to operate and manage the strategic food 
stocks in the Kingdom, in partnership with private sector actors, in a view to maintain adequate 
stocks of food products to face potential risk related to food security.  
 
CANADA - FOLLOW -UP QUESTIONS  
Question 1 
 
Canada 's Follow Up Questions  to Saudi Arabia 's Answer to Canada 's Question 14 :  
Canada notes that the requested information is not published within the GAMI regulations and 
policies  (https://www.gami.gov.sa/en/node/259 ). 
 
Could Saudi Arabia provide the name of the division in GAMI responsible for export controls and a 
contact person?  
 
Answer  
Division: Military Industries  Policies and Regulations .  
Contact Person: Turki Alajmi ( regulations@gami.gov.sa ). 
 
Question 2 
 
Is a list of controlled items and associated laws and policies related to export controls available 
online?  
 
Answer  
currently the referred data are not available online . 
 
Question 3 
 
Canada 's Follow Up Questions  to Saudi Arabia 's Answer to Canada 's Question 15 :  
Could Saudi Arabia please elaborate on the specific upstream and downstream aspects of the 
maritime industries sector that have been targeted in the zone?  
 
Question 4 
 
Canada 's Follow Up Questions  to Saudi Arabia 's Answer to Canada 's Question  16:  
 
Could Saudi Arabia please elaborate on the specific regulatory and administrative incentives offered 
in the maritime industries sector?  
 
Answer s 3 & 4  
With regard to  Maritime industry, the kingdom seeks to provide legislative incentives by improving 
procedures and rules, customs and administrative incentives through OSS, which provides services 
based on the EOB index and a structured interoperability with base economy . 
For further information, please visit the link below:  
 https://mawani.gov.sa/en -us/pages/default.aspx . 
  WT/TPR/M/407/Add.1  
 
- 28 - 
 
  CHILE  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
Paragraphs 2.40 and 2.43, p. 31 - 32"Establishing trade and economic partnerships with other 
countries and economic groupings is one of the approaches pursued by the GCC member States to 
deepen their integration into the world economy. The GCC as a group concluded negotiations for 
free trade agreements (FTAs) with Singapore  and with the member States of the European Free 
Trade Association (EFTA)".  
"During the late 2000s, the GCC engaged in negotiations for free trade agreements with several 
other countries and economic groupings, including Australia, China, the European Unio n, India, 
Japan, the Republic of Korea, MERCOSUR, New Zealand, Pakistan, and Turkey. None of these 
agreements has been formally concluded. Currently, only negotiations for an FTA with China are 
ongoing. The GCC is reviewing its position regarding all its F TA negotiations".  
Regarding GCC establishment of trade and economic partnerships - through Free Trade Agreements 
(FTAs) with other countries and economic zones - Chile would appreciate if the Kingdom of Saudi 
Arabia could share its views and findings in r elation with GCC reviewing process of all its FTA 
negotiations.  
 
Answer  
GCC members have finalized reviewing their position regarding FTA negotiations. Currently, the GCC 
is preparing their priority list of potential FTA partners to initiate and/or resume  negotiations with. 
Saudi Arabia, jointly along with other GCC member states, plan to increase their share in 
international trade through expanding their network of preferential trade agreements.  
 
Question  2 
Paragraph 2.44, p. 32 "Some GCC member States (B ahrain and Oman) concluded bilateral FTAs, 
notably with the United States. In the case of Saudi Arabia, bilateral economic relations with the 
United States are conducted under the Trade and Investment Framework Agreement (TIFA), signed 
in 2003. The TIFA is  aimed at improving legal protection for investors, strengthening intellectual 
property protection, enhancing the efficiency of customs procedures, and increasing transparency in 
government and commercial regulations. The GAFT is currently assessing the po tential to expand 
the Kingdom's network of FTAs in light of the Vision 2030 goals".  
Paragraph 2.44 indicates that some GCC members - including the Kingdom of Saudi Arabia - have 
concluded bilateral FTAs with non - GCC countries. In this context, Chile wou ld appreciate if the 
Kingdom of Saudi Arabia could share its views regarding the possibility of starting bilateral FTA 
negotiations with other non - GCC countries.  
 
Answer  
GCC is preparing a list of potential FTA partners to initiate and/or resume negotiations with. Saudi 
Arabia, jointly along with other GCC member states, plan to increase their share in international 
trade through expanding their network of preferential trade agreements.  
 
Question  3 
Paragraph 3.63, p. 50 "On 3 January 2019, Ministe rial Decree No. 211 established the GAFT. The 
Trade Remedies Deputyship (TRD), under the GAFT, is responsible for all issues related to trade 
remedies. The Deputy Governor of the TRD is a member of the Permanent Committee and 
participates in its decisions.  The Minister of Industry and Mineral Resources represents Saudi Arabia 
in the Ministerial Committee for final decision -making of trade remedy matters".  
Regarding paragraph 3.63, Chile would be grateful if the Kingdom of Saudi Arabia could share the 
reaso ns why the Minister of Industry and Mineral Resources was chosen to represent Saudi Arabia, 
in the Ministerial Committee for final decision -making of trade remedy matters. In addition, if an 
investigation related to agriculture products is launched, we app reciate if you could clarify if the 
Minister of Industry and Mineral Resources can be changed to the Minister that deals with agricultural 
matters, for example.  
3.3 Measures Affecting Production and Trade  
3.3.4 Competition policy and price controls  
 
Answer  
The "GCC Ministerial Committee" is originally the "GCC Industry Cooperation Committee" which 
established a long time before the issuance of the GCC Common Law on Anti -dumping, WT/TPR/M/407/Add.1  
 
- 29 - 
 
  Countervailing and Safeguard. The GCC Industry Cooperation Committee are f ormed with the GCC 
Ministers whom responsible on Industry 's issues in each GCC State and is responsible on several 
issues related to the GCC industry cooperation issues. At the time of issuing the GCC Common Law, 
the Saudi Minister of Industry was also ass igned to trade issue. Currently, trade issues are assigned 
to the Saudi Minister of Commerce. Accordingly, GAFT and the Minister of Industry are cooperating 
in handling the issues of the GCC trade remedies through the GCC Permanent Committee and the 
GCC Mi nisterial Committee. In case of agriculture products when related to trade remedies, 
according to the GCC Common Law on Anti -dumping, Countervailing and Safeguard Measures, the 
final decisions of the measures on agriculture products will also be taken by t he GCC Ministerial 
Committee.  
 
Question  4 
Table 3.10 Main changes between the old and new Competition Laws, p. 63 Regarding the issue of 
"Exceptions", indicated on table 3.1, Chile would appreciate if the Kingdom of Saudi Arabia could 
provide the list of t he fields of commodities and services that are excluded, following the exemption 
for public institutions and state -owned corporations that are authorized by the Government.  
 
Answer  
The exemption is only granted conditional fulfilling two requirements; (1) the entity shall be solely 
owned by the Saudi Government and (2) the entity shall be solely authorized to provide a commodity 
or service.  
 
Question  5 
Paragraphs 3.154 and 3.159, p. 67 -69 "Saudi Arabia notified the WTO that it does not ma intain any 
state-trading enterprises within the meaning of Article XVII of the GATT 1994 and the Understanding 
on the Interpretation of Article  XVII".  
"The Government is promoting the listing of private Saudi companies and state -owned enterprises. 
Notably,  on 11 December 2019, Saudi Aramco was listed on the Tadawul and became the world's 
largest publicly traded company".  
Paragraph 3.154 indicates that the Kingdom of Saudi Arabia has not notified that it maintains 
state-trading enterprises within the meaning  of Article XVII of the GATT 1994 and the Understanding 
on the Interpretation of Article XVII. Considering the fact that in many parts of the Report (such as 
paragraph 3.159) the existence of state -owned enterprises is mentioned, Chile would appreciate if 
the Kingdom of Saudi Arabia could explain how the definition of state -trading enterprises contained 
in Article XVII of the GATT 1994 and the Understanding on the Interpretation of Article XVII does 
not apply to the any of the state -owned enterprises mainta ined in the Kingdom  of Saudi Arabia.  
 
Answer  
In the most recent notification pursuant to Article XVII:4(A) of the GATT 1994 and Paragraph 1 of 
the Understanding of the Interpretation of Article XVII, the Kingdom of Saudi Arabia stated: 
"Pursuant to Article XVII: 4(a) of GATT 1994 and paragraph 1 of the Understanding on the 
Interpretation of Article XVII, the Kingdom of Saudi Arabia notifies that it does not maintain any 
state trading enterprises in accordance with the working definition contained in paragraph 1 of the 
above mentioned Understanding. " 
Paragraph 1 of the Understanding provides the following definition of STEs: "Governmental and 
non-governmental enterprises, including marketing boards, which have been granted exclusive or 
special rights o r privileges, including statutory or constitutional powers, in the exercise of which they 
influence through their purchases or sales the level or direction of imports or exports. " This definition 
does not apply to enterprises in the Kingdom of Saudi Arabia . 
 
Question  6 
Paragraph 4.135, p. 113 -114 "Telecom companies operating in this well -developed sector created 
revenues of SAR 78.8 billion in 2019. Following the start of biometric SIM card registration in 2016, 
the number of mobile subscriptions and pre -paid cards per 100 inhabitants fell from 166 to around 
121 in 2017, representing SIM cards actually in use. At the same time, subscription rates for 
fixed-line telephony and Internet access increased between 2015 and 2019 (Table 4.21), and almost 
all (95.7%)  of Saudi residents use the Internet. The average download speed of mobile Internet 
increased significantly to 84.6 Mbps by October 2020, and Saudi Arabia was ranked 32nd in terms 
of cost for fixed -broadband telephony in 2019 by the International Telecommu nication Union (ITU). 
A universal access and service policy is in place. The Universal Service Fund financed telecom 
infrastructure and service in rural and remote areas inhabited by 4.8 million people until 2017, when WT/TPR/M/407/Add.1  
 
- 30 - 
 
  it was replaced by new initiatives as  part of the NTP. High -speed mobile broadband covered 70% of 
the population in rural areas at the end of 2020".  
Paragraph 4.135 refers to the Universal Service Fund, which later becomes part of the National 
Transformation Program (NTP). In this regard,  Chile would be grateful if Saudi Arabia could further 
explain the objectives of the NTP, particularly with respect to funding for foreign telecommunications 
companies that could participate in the program.  
 
Answer  
Regarding funding;  any company with national presence can participate in the program.  
 
Question  7 
Paragraph 4.145, p. 117 "The Ministry of Commerce and Investment (MOC) issued an E -Commerce 
Law that became effective in October 2019 with implementing regulations adopted and implemented 
from 31  January 2020. The Law regulates e -commerce between consumers in Saudi Arabia and 
service providers based anywhere in the world (including transactions between individuals), and 
contains clauses on consumer data protection, transparency in contracting and electronic 
advertisements, consumer rights (including returns and cancellations under certain circumstances), 
and licensing/registration requirements for traders and electronic platforms. According to the 
authorities, the new framework i ncreased trust in online transactions and facilitated consumers 
raising cases related to e -commerce to the authorities as a result of a strengthened consumer 
protection framework".  
Paragraph 4.145 refers to Saudi Arabia's new E -commerce law. In this regard, Chile would be 
grateful if Saudi Arabia could explain with greater depth what are its main characteristics and 
objectives, areas that addresses and if it contains and/or represents visible changes in the 
development of their e -commerce.  
In addition , paragraph 4.145 indicates that Saudi Arabia's new E -commerce law contains provisions 
relating to consumer data protection. In this regard,  Chile would be grateful if Saudi  Arabia could 
refer to the standards contained in this regulation.  
 
Answer  
The new E-commerce law guaranteed to protect consumer 's data with the service provider through 
retention period, the service provider is fully responsible for the protection, also, the provider is not 
allowed, authorized or permitted to use it except with the consumer 's consent. The service provider 
may have the data for other purposes, such as advertisements or marketing, and this data is 
summarized in the consumer's name, identity data, address, contact numbers, license numbers, 
personal records and bank acco unts. The service provider must notify the ministry of commerce in 
the event that consumers 'data are breached within 3 days of being aware of that, with an 
explanation of the extent of the breach and its effects. And measures taken to solve it. Also, this  
notice does not exempt the service provider from its responsibility towards the consumer. The 
consumer also has the right to request the closure of their accounts with the service provider and 
not to keep or use their personal data.  
 
Question  8 
Paragraph 2.16, p. 8 "The Kingdom has accelerated the development of the investment sector, which 
is one of the most important pillars of its economy. The kingdom aims for economic diversification 
and a comprehensive development, including all aspects of the investm ent climate".  
In the context of Saudi Arabia´s development of its investment sector, Chile would appreciate if the 
Kingdom of Saudi Arabia could share which of its economic sectors are being prioritized to attract 
foreign investment.  
 
Answer  
- Industrial &M anufacturing  
- Metal & Mining  
- Information &Communication Technology (ICT)  
- Energy & Water  
- Healthcare & Lifesciences) HCLS)  
- Petrochemicals, Oil & Gas  
- Transportation & Logistics (T&L)  
- Tourism and Quality of Life  
- Emerging sectors  
▪ Education Sector  
▪ Entrepreneurship & Innovation Sector  WT/TPR/M/407/Add.1  
 
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  ▪ Real Estate Sector  
▪ Financial Services Sector  
 
Question  9 
Paragraph 2.17, p. 8 "Other developments included establishing international investment attraction 
offices in a number of target countries; and enabling 100% foreign investment in the retail and 
wholesale sectors, transportation, engineering services and a ssociated consultations, and private 
health institutions".  
In relation to paragraph 2.17, Chile would appreciate if the Kingdom of Saudi Arabia could share 
which countries are being considered to establish international investment attraction offices. In t he 
case of those offices already established, we appreciate if you could share information regarding the 
selected countries, and the main characteristics of their current operations.  
 
Answer  
Misa's Over Seas Presence:  
- United States, Germany, France, United Kingdom, Russia, China, South Korea, Japan, 
Singapore, United Kingdom, China, United States, Japan, France and Singapore are already 
deployed and operational.  
- Russia, Germany, and South Korea procedures is being deplo yed. 
 
Question  10 
Paragraph 2.22, p. 9 MISA has facilitated the issuance of a foreign investment license by reducing 
the issuance period to 20 minutes, and the number of required documents to only two documents. 
In addition, it  provides most of its service s electronically.  
Paragraph 2.22 mentions the Ministry of Investment (MISA) as an institution that issues foreign 
investment licenses. In this regard, Chile would appreciate if the Kingdom of Saudi  Arabia could 
clarify if all investment sectors in the King dom require investment licenses in cases of foreign 
investors. In addition, we appreciate if you could indicate if there are some sectors in which foreign 
investment is not permitted.  
 
Answer  
Ministry of Investment welcomes all investments in all sectors e xcept those specified in the negative 
list of the foreign investment Regulations as mentioned in the annex no. (1) Of services manual.   
 
Question  11 
Paragraphs 3.24 and 3.25, p. 11 "Saudi Food & Drug Authority (SFDA) has issued requirements and 
conditions for importing food products to Saudi Arabia, which aim to; clarify conditions and 
requirements for competent authorities in exporting country, clarif y the responsibility of the 
competent authorities in the exporting countries towards verifying the compliance of their 
establishments, and ensure food safety and facilitate the movement of trade.  
SFDA has issued the approval framework for control authorit ies and establishments exporting fish 
and other aquatic products to the Kingdom. This framework aims to verify the procedures of the 
official regulatory authority that is responsible for food safety in these countries, as a perquisite for 
its authorization  to approve fishing, processing facilities and farms".  
Paragraphs 3.24 y 3.25 refer to the requirements and conditions that the SFDA demands for products 
imported to the Saudi Arabian market. In this regard, and bearing in mind that these requirements 
sometimes have had the effect of trade barriers - generating difficulties to food products originated 
from Chile when entering the forementioned market - Chile would be grateful if the Kingdom of 
Saudi Arabia could inform if it is considering modifying these requirements, or whether is considering 
implementing alternative methods, in order to facilitate trade of these products.  
 
Answer  
Saudi Arabia is not planning to modify these requirements, considering implementing alternative 
methods at the mean time as th ose documents complement each other. However, if Chile is 
encountering any difficulties in exporting to KSA, the SFDA welcomes any inquiries regarding this 
matter. In addition, Chile could provide the SFDA with the establishments interested to export to 
KSA and will reply to Chile accordingly.  
 
Question  12 
Paragraphs 4.39 and 4.40, p. 18 "A new Mining Investment Law was approved by the Saudi Cabinet 
and published in the Official Gazette on 3 July 2020 and will enter into force in 28 December 2020. WT/TPR/M/407/Add.1  
 
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  The new law is designed, to increase investments in the secto r through a transparent system, 
simplified procedures and enhanced investors' confidence".  
"The key changes expected to be achieved by the new law are; the development of the sector's 
governance, amend some licenses' types, enhance transparency, develop value -added chains, 
promote sustainability, preserve the environment, impose guarantees for rehabilitation, optimize 
the use of mineral resources, ensure equality between local and foreign investors and establishment 
of TAADIN (mining ) platform aiming at boosting investment in the mining sector."  
Regarding the new Mining Investment Law and its expected outcomes, Chile would appreciate if the 
Kingdom of Saudi Arabia could further elaborate on how is intended to achieve the "development of 
value -added chains". In addition, Chile would appreciate if Saudi Arabia could share any specific 
actions and/or programs intended to support this goal.  
 
Answer  
The new mining investment law aims to streamline the licensing process and reducing turnarou nd 
time, thereby increasing the number of mining license that in return will increase the supply of local 
raw materials which in return will benefit from existing local demand for value added industries. The 
development of value -added chains will also bene fit from the Saudi industrial development fund 
which allocated 15 billion SAR of its portfolio to finance mining and mining industry projects.  
Furthermore, there are several proposed initiatives that will support mineral value chain ecosystem, 
these initia tives include:  
- Development of tailored marketing literature for midstream/downstream promotion that 
includes business cases for critical projects in ready -made pitch packs.  
- Enhancement of promotional activities across mineral value chains that include attendance at 
international conferences.  
- Targeted midstream and downstream steel investment promotion.  
- Promotion of base metals midstream development (Cu/Zn smelters/refineries).  
- Expansion and diversification of inorganic compounds and industrial minerals.  
- Development of KSA mineral sector support services demand forecast along with relevant 
business cases to promote development.  
 
Question  13 
Paragraph 6.13, p. 27 "Saudi Arabia is investing strategically, not only in developing competitive 
utility  scale and micro generation renewable energy projects, but also in developing the full echo 
system required to support and position the Kingdom as a global leader in the field. Key initiatives 
implemented to enable and grow the renewable energy sector incl ude the National Renewable 
Energy Data Centre; and Renewable Management Centre ("RMC") which provides energy services 
to foster and facilitate the integration of renewable energy sources".  
Regarding paragraph 6.13, Chile would appreciate if the Kingdom of Saudi Arabia could provide 
further information about how is expecting to be a global leader in the field of renewable energy 
sector, ¿Which type of energy are expected to promote, for example: solar, hydrogen, among 
others? ¿What types of actions or target s are considering in this field?  
 
Answer  
The Kingdom of Saudi Arabia has all components of success in the fields of renewable energy to be 
a global leader in renewable electricity generation, starting with inputs such as silica, petrochemicals, 
and ending with the strong experience of leading Saudi companies in producing various forms of 
energy. From this perspective, one of its strategic priorities is providing legal and regulatory 
framework to accelerate an effective deployment of renewable energy through various strategic 
partnership and initiatives, and robust investment managed by knowledge based on a state -of-the-
art in energy sector. Also, Saudi is known by abundant solar and wind resources, yet other plans for 
other renewab le energy sources are taking into consideration through ambitious strategic initiatives 
that are being implemented.  
  WT/TPR/M/407/Add.1  
 
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  CHINA  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
Page 8，Para.10  Import tariffs, which are subject to common GCC rules, did not change significantly 
until the recent COVID -19 pandemic. Nearly all tariff lines in Saudi Arabia are subject to ad valorem 
rates, while 1.3% of total lines have non -ad valorem rates. The simple average of Saudi Arabia's 
2020 applied MFN tariff rate was  5.5%, up from 5.2% in 2015 due to changes in the tariff structure 
and increases in customs duty rates for some products (e.g. fertilizers, and meat and dairy 
products). On 77.4% of tariff lines, the applied MFN tariff rate was 5%; on 10.6% of tariff lines , the 
rate was duty free, and on 9.7% of the tariff lines the rate was between 5% and 15%. A very small 
group of agricultural products is subject to significantly higher applied MFN tariff rates, with tobacco 
products subject to a rate of 100%. In June 202 0, customs duties were raised on various categories 
of consumer, industrial, and agricultural products as part of the Government's response to the 
COVID -19 pandemic.  
Does Saudi Arabia have any plan to reduce import tariff rates?  
 
Answer  
Raising the tariffs to the bound rates is a legitimate Member 's right and it is not limited to a time 
frame.  
 
Question  2 
Page 23 ，Para.2.4 In order to improve the climate for local and foreign investment, in recent years, 
the Government took measures to modernize the j udiciary;  
Does Saudi Arabia plan to implement any other measures to modernize judical system? If so, please 
provide more details.  
 
Answer  
Yes, the Kingdom of Saudi Arabia is concerned with modernization and development in various fields, 
including the judicial field. The Kingdom has drawn a comprehensive strategy for the judicial facility 
in line with local and international changes in this regard, including: enacting a law with regard to 
the implementation of administrative Judgment, which will enhance the investm ent environment in 
The kingdom.  
Saudi Arabia is currently working on drafting four crucial laws; the Penal Code, Civil Transaction  Act, 
Law of Evidence and Family Law. The first draft is under process right now, and the Crown Minister 
had announced that it will be published during this year, and one of the main objectives of issuing 
such laws is to promote human rights and this will be in line with the international agreements and 
treaties and it's been developed in accordance with best practice.  
 
Question  3 
Page 24 ，Para.2.6 All legal instruments are published in the Official Gazette and enter into force on 
the date of publication, un less otherwise specified.  
Does Saudi Arabia have any plan to further publicize legal judgment instruments (non -confidential)?  
 
Answer  
Special attention is given to make laws publically  available. All laws and regulations are published 
on the official website of the Bureau of Experts in the Council of Ministers, as well as the National 
Center for Archives & Records which is concerned with preserving all official documents. In addition 
to the above, each government agency shall publish the laws related to its mandate on its website 
and its smart applications, in order to facilitate obtaining any law.  
More so, Saudi Arabia have been publicizing legal judgment instrument for more than (15) y ears 
now, and the most popular achievements in this regard are;  
1. Code of judicial judgments, the first version was published in 2007 by the Ministry of Justice.  
2. Set of Judicial judgments, which been collected and published on a continuous basis by the 
Research Center in the Ministry of Justice, and an electronic version is available at the official 
website of the Ministry.  
3. Publishing commercial judgments  
4. on monthly basis at the official website of the Ministry of Justice to promote transparency. 
The judgmen ts are available and can be accessed and downloaded by the public in (PDF) 
files.  WT/TPR/M/407/Add.1  
 
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  5. Launch a special website that allow access to judicial judgments by public in Saudi Arabia. 
https://sjp.moj.gov.sa  
 
Question  4 
Page 25，Para.2.13 However, the costs of the measures taken by the Government to fight the 
COVID -19 pandemic, together with the recent collapse of global oil prices, and their impact on public 
finances could affect the pace and scale of the implementation of Vision 2030. On 11 May 2020, the 
Government announced a set of measures to deal with the economic crisis caused by the pandemic, 
including an increase of the VAT rate (from 5% to 15%), the suspension of cost -of-living allowances 
for state  employees since 1 June 2020, and reductions in capital and operating expenditures.…  
Saudi Arabia has increased the VAT rate (from 5% to 15%). Would this measure affect the 
implementation of construction and infrastructure projects planned in Vision 2030? Would this 
measure add more tax burden to contractors?  
 
Answer  
In 2020, a bundle of enhanced measures was introduced to minimize the burdens on businesses 
arising out of the pandemic. These measures have also proven helpful to mitigate possible burdens 
on taxpayers resulting from the increase in VAT. However, since VAT is an indirect tax, the ultimate 
burden is borne by end consumers. Thus, the increase in VAT is not envisioned to hinder the 
implementation of infrastructure and construction projects that ar e part of the 2030 Vision realization 
program. This is especially so with respect to government projects since in most cases government 
entities do not bear the burden of VAT. In addition, the General Authority of Zakat & Tax ( "GAZT ") 
and the Ministry of F inance ( "MoF") have taken steps to mitigate possible cashflow limitations on 
taxpayers and to avoid disruption of their business operations. Such measures include expediting 
tax refunds to taxpayers and expediting payments to contractors with whom the gove rnment has 
contracted with to implement projects.  
 
Question  5 
Page 32 ，Para.2.46 Since the last Review, an Agreement on Trade in Services has been concluded 
among the countries of the League of Arab States. Saudi Arabia was the first to ratify the Agreement  
and the schedule of commitments, and it started its implementation in October 2019. However, 
negotiations on the implementation details of some PAFTA provisions on rules of origin and non -
tariff barriers are still ongoing, as reported in the previous Revi ew. 
Please specify whether there is any content related to Traditional Chinese Medicine in the Agreement 
on Trade in Services concluded among the countries of the League of Arab States.  
 
Answer  
The schedules of commitments in the Agreement on Trade in Services concluded among the 
countries of the League of Arab States do not contain any provisions related to Chinese Medicine.  
 
Question  6 
Page 36 ，Para.2.63 Foreign investors must also comply with the Government's Saudization policy 
(Nitaqat), a long -term plan aimed at increasing the proportion of Saudi employees (including 
women) in the economy. 63  The policy requires companies to employ a certain percentage of Saudi 
citizens, which ranges from 5% to 75% based on the nature of the business, the work condit ions, 
and the availability of Saudi employees in the field. Foreign investors must include their Saudization 
levels when submitting their investment plans for approval. There are also limits on the number of 
visas for foreign workers available to companies . ... Additionally, since the last Review, the 
Government has implemented new fees for expatriate employers (which are paid per employee per 
month). It has also increased levies on expatriates with dependents, and imposed higher fees for 
business visas and  entry/exit permits for foreign workers.  
Would Saudi Arabia explain this Saudization policy and the plan of next stage? In particular, the 
applicable scope of localization ratio in Saudi Arabia, the plan to impose higher fees for business 
visas and entry/e xit permits for foreign workers. What is the actual effect while implementing the 
above policies?  
 
Answer  
Nitaqat is the primary Saudization policy that requires a percentage of employees in a firm to be 
nationals, which varies by firm size and economic ac tivity. It was designed to stem rising 
unemployment and was highly successful in increasing the number of nationals employed in the 
private sector. As unemployment remains high, it is likely additional Saudization will be asked of the 
private sector and a plan will be published when there is agreement to do so. There are no known WT/TPR/M/407/Add.1  
 
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  plans for increasing levies, and the current regime has led to a larger share of private sector 
employment being occupied by nationals.  
 
Question  7 
Page 45 ，Para.3.34 Saudi Arabia grants tariff exemptions to national and foreign investors for 
imports of raw materials, machinery, equipment, and semi -manufactured substances required for 
industrial production based on the GCC Common Industrial Law.  
Please specif y the application scope of tariff exemptions and the application procedures.  
 
Answer  
The industrial platform includes the investor's guide on requirements to apply for and obtain customs 
exemption for raw materials, machines or spare parts after obtaining the industrial license, and 
documents related to the regulation governing exemptions.  
 
Question  8 
Page 45 ，Para.3.36  Saudi Arabia introduced the value added tax (VAT) as from 1 January 2018 at 
a standard rate of 5%. On 1 July 2020, the standard rate was increased to 15% as part of the 
measures adopted to deal with the economic crisis caused by the COVID -19 pandemic.  
Is there any other consideration for Saudi Arabia to raise VAT rate? Does Saudi Arabia have any 
plan to adjust its VAT standard rate in the coming period in accordance with the control of the 
COVID -19 and economic recovery progress?  
 
Answer  
Currently there is no announced plan to change the VAT standard rate (15%). During the pandemic, 
the Kingdom 's priority is ensuring the stability of the economy to the extent possible. Thus, the 
effects of the VAT standard rate on the fis cal and economic conditions of the Kingdom are under 
continuous monitoring and assessment.  
 
Question  9 
Page 57 ，Para.3.105, Page 58 ，Para.3.110 3.105 The SASO has issued more than 30,000 standards 
to date.  
3.110 As at End -June 2020, there were 2,223 national standards in force.  
Saudi Arabia has issued more than 30,000 standards, but there were 2,223 national standards in 
force by the end of June 2020. please specify the reason.  
 
Answer  
It explains that there are 2,223 national mandatory standards out of 30,000 standards.  
 
 
 
Question  10 
Please introduce the types of Saudi government standards. Besides national standards, are there 
any other forms of standards?  
 
Answer  
There are two types of Saudi standards: mandatory and voluntary. There is no other typ e issued in 
the Kingdom of Saudi Arabia.  
 
Question  11 
The consistency ratio between Saudi standards and international standards is 75%. What is the 
calculation method? 89% of the country's current standards adopt SCC standards. Are these SCC 
standards consistent with international standards?  
 
Answer  
The method of calculating the percentage of consistency of national standards with international 
standards is based on counting the number of international standards that have been adopted 
nationally according to "ISO / IEC GUIDE 21" and dividing them by the total number of national 
standards. In addition, most of the GSO standards are consistent with international standards.  
 
Question  12 
Page 63 ，Para.3.138 The GAC is the regulatory body in charge of implementation and enforcement 
of the Competition Law and the Implementing Regulations. The GAC has primary jurisdiction over WT/TPR/M/407/Add.1  
 
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  any matters arising from the application of the Competition Law and the Implementing Regulations, 
even in cases of confl ict or overlap with the jurisdiction of other governmental bodies. The GAC 
Board is authorized to amend, repeal, or interpret the Implementing Regulations, or issue 
supplementary guidance and rules. The adjudication of violations of the new Competition Law  and 
the Implementing Regulations is assigned to the Committee for Adjudication of Competition Law 
Violations.  
If the General Administration for Competition (GAC) conflicts with other government agencies in the 
process of applying the Competition Law, how to coordinate them? Are there any relevant cases?  
 
Answer  
According to Article 3.3 of the Competition Law, "The authority shall have original jurisdiction over 
any matter arising from the application of this law, or conflicting or overlapping with the jurisdiction 
of other governmental entities ". Previously certain government agencies transmitted cases related 
to GAC.  
 
Question  13 
What is the division of responsibilities between the General Administration for Competition (GAC) 
and the Committee for Adju dication of Competition Law Violations?  
 
Answer  
Upon the nomination of the Chairman, a committee of experts consisting of five members shall be 
formed for a renewable period of three years by a resolution of the Board, provided that three legal 
specialists  are among them. The Committee shall adjudicate violations of the Law and Regulations 
and shall have jurisdiction to decide cases arising from the application of the Law and the 
Regulations.  
 
Question  14 
Page 90 ，Para.4.37 Specific plans to achieve this objective of maximizing the value from the energy 
sector were defined in the NIDLP, one of the Vision Realization Programs adopted in 2017 to 
implement Vision 2030.  
Does Saudi Arabia have a specific plan to achieve  the new energy development goals in NIDLP? If 
yes, please provide more details.  
 
Answer  
The new energy development goals will be achieved via a number of initiatives that support the 
aforementioned strategic objectives.  
These initiatives include the follo wing programs:  
- Perform the required pre -development efforts in order to prepare sites for the tendering of 
solar and wind power generation across the Kingdom.  
- Extend the gas delivery network to deliver gas to additional industrial cities that are not yet 
connected.  
 
Question  15 
Could Saudi Arabia explain the relevant requirements and participation rules for foreign investors, 
equipment manufacturers and engineering companies to participate in the development of new 
energy industry?  
 
Answer  
- The requirement for foreign investors to manufacture equipment are a copy of their CR and 
their financial statements.  
- The requirement for foreign engineering companies are:  
• The company shall have at least 10 years of experience.  
• Copies of the commercial regi strations of the participating entity in the same field in 
four countries and a copy of the financial statement.  
 
II. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  16 
Page 4，Para 1.5 The General Authority for Foreign Trade (GAFT) was established by virtue of Council 
of Ministers Decision No. 211 dated 25/4/1440H (1 January 2019). Its administrative regulation was 
approved by virtue of Council of Ministers Decision No. 741 dated 23/11/1441H (14 July 2020).  WT/TPR/M/407/Add.1  
 
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  Please explain the purpose of separately setting up the General Authority for Foreign Trade (GAFT), 
undertaking all the foreign trade functions of the previous Ministry of Commerce. How does the GAFT 
connect the domestic and foreign trade management functions?  
 
Answer  
In light of visio n 2030 goals, the increasing importance of foreign trade share in Saudi economy and 
the Kingdom 's position as a G20 Member, GAFT was established in response to the mandate of Vision 
2030 of increasing the share of non -oil exports and to widen Saudi network of preferential trade 
agreements. Connecting domestic and foreign trade functions is managed th rough various channels 
including; Saudi commercial attaches, private sector coordination department, joint bilateral 
committees and business councils.  
 
Question  17 
Page 4，Para 1.8 MoC has been working on developing various laws and regulations. The most 
prominent of these laws, is the Companies Law, which has entered into force in 2016. The law aims 
to facilitate procedures and regulatory requirements and increase capital attraction as well as to 
achieve balance between stakeholders thus, strengthening corp orate governance in accordance with 
international best practices.  
Please disclose the legal content of the above -mentioned Companies Law, Professional Companies 
Law and Franchising Law. Do the above -mentioned laws have any restrictive provisions for foreig n 
investors to register and establish companies in Saudi Arabia?  
 
Answer  
The mentioned laws are in full conformity with KSA schedule of commitments for trade in services.  
 
Question  18 
Page 6，Para 1.22 LRI will grant expatriates the right to transfer between employers upon the expiry 
of the binding work contract without the employer's consent. KSA's new initiative abolishes the 
sponsorship system "KAFALAH" and will enter into force on the 14th March 2021.  
Is there any other considerations for abolishing the sponsorship system besides improving the 
mobility of foreign employees? Will this policy lead to a further increase of government's 
administrative fees for foreign workers, such as visas fees?  
 
Answer  
KSA will observe the impact of the annou nced changes to mobility, and decide on next steps 
accordingly. In addition, Vision 2030 and NTP have directed to study how to attract and retain the 
required foreign talent, which may lead to additional changes in how foreigners can work in KSA.  
 
Question  19 
Page 11 ，Para 20 Saudi Standards, Metrology and Quality Organization (SASO) introduced "SABER" 
platform.  
19. Please introduce the main functions of "SABER " platform.  
 
Answer  
Saber  E-Platform developed under the supervision of SASO, and according to the highest standards 
of efficiency in terms of speed of registration. Saber is an integrated e -service system that allows 
traders to register their enterprise and consumer products' dat a, registration is mandatory whether 
the product was manufactured locally or imported to be eligible for granting the required certificates 
of conformity for consumer products in the Kingdom of Saudi Arabia. Saber 's Electronic Platform 
Features:  
- Improved importation experience through obtaining the certificates of conformity and shipment.  
- Ensure safety of the products available in the market.  
- Faster Clearance at borders.  
- One platform integrated with other entities.  
- Lower total cost.  
- Ensure that product s are free from defects that may affect the health and safety of the Saudi 
consumer, limiting fraudulent products, reducing the required time to import products in 
coordination with the Saudi Customs examination, and speeding up the process of issuing the 
required Conformity Certificates.  
 WT/TPR/M/407/Add.1  
 
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  Question  20 
Is "SABER " open to other WTO members? If yes, how to access this platform(website)?  
 
Answer  
SABER 's website ( https://saber.sa/ ) is open to all interested parties and its free of charge and user 
friendly . 
 
Question  21 
Page 23 ，Para 4.72 The Ministry of Health (MoH) has implemented, in the current strategic plan, 
modern methodologies in providing patient -centered  health care system starting from primary 
health care to specialized therapeutic services in a professional manner, while preserving patients' 
rights, such as; the right to be briefed about their condition, the different treatment options, the 
right to cho ose their physician, and to be treated with care and respect.  
Whether Traditional Chinese Medicine has been included into the specialized therapeutic services?  
 
Answer  
National Center for Complementary and Alternative Medicine (NCCAM) was established in 2 019 as 
part of the Ministry of Health to serve as a national regulatory entity to matters related to 
complementary and alternative medicine practices. All requests for new practices regulated and 
monitored by a committee in the NCCAM based on the specifica tion for each field of medicine, 
hospitalization and treatment. NCCAM provides lenience for each practice within ancient medicine, 
parallel medicine, natural medicine, or traditional medicine. Some of the approved complementary 
and alternative medicine pra ctices are acupuncture, osteopathy, chiropractic, naturopathy and 
cupping.   
 
Question  22 
Page 23 ，Para 4.73 MoH  strategy includes other important aspects, such as health insurance, the 
cooperative health insurance programs, and considering extending coverage to new segments of the 
community. The strategy will conduct studies on privatization of MoH hospitals in the  future, as well 
as the best management and operation practices, in accordance with the principles of economics, 
cost  
Whether Traditional Chinese Medicine has been covered by the health insurance?  
 
Answer  
Complementary and alternative practices are not i ncluded yet by health insurance . 
 
Question  23 
Page 27 ，Para 6.14 The electricity sector in the Kingdom is witnessing a major transformation with 
a number of ongoing initiatives aimed at increasing the efficiency of the sector and providing service 
in a comprehensive and efficient manner, achieving sustainability, raising the quality of service and 
sustaining safety within the sector  
Could Saudi Arabia further elaborate on its National Renewable Energy Program (NREP)?  
 
Answer  
The National Renewable Energy  Program (NREP) is a strategic initiative under Vision 2030 and the 
Renewable Energy Initiative. The program aims to maximize the potential of renewable. The program 
sets out an organized and specific road map to diversify local energy sources, economic de velopment 
and provide sustainable economic stability to the Kingdom in light of the goals set for Vision 2030, 
which include establishing the renewable energy to this promising sector.  
 
Question  24 
Page 28 ，Para 6.24 -6.25 6.24. According to Article 3 of the new Law, all firms in the Kingdom of 
Saudi Arabia are subject to competition law, regardless of their nationality and owner. Wholly owned 
State establishment or company are exempted from the Law and the Re gulations if it is solely 
authorized by the Government to provide a commodity in a particular field. Such exemption shall be 
effective only by virtue of Royal Decree or Council of Ministers' Resolution.  
6.25. The Law applies to all goods and services, in accordance with Article 4 of the Law, prices of 
goods and services are determined according to market rules and principles of free competition.  
Please introduce the main reasons for the exemption of wholly state -owned enterprise in the 
Competition Law? Are there any cases in practice?  
 WT/TPR/M/407/Add.1  
 
- 39 - 
 
  Answer  
The exemption is only granted conditional fulfilling two requirements; (1) the entity shall be solely 
owne d by the Saudi Government and (2) the entity shall be solely authorized to provide a commodity 
or service.  
 
III. OTHER QUESTIONS  
 
Question  25 
Does Saudi Arabia plan to simplify the certification process of electronic and electrical products, 
consolidate various certification requirements, shorten the approval cycle, extend the validity of 
certificates and facilitate the export enterprises?  
Answe r 
SASO ensures reviewing its procedures and requirements periodically, and updating them in 
consistency with national requirements or international practices, with the aim of ensuring the 
quality and safety of certified products, as well as facilitating th eir export to KSA.  
 
Question  26 
There is only a short transition period after the introduction of new access requirement. Does 
Saudi  Arabia plan to propose a reasonable transition period for buffering the newly issued regulations 
and standards, so as to fa cilitate manufacturers and importers to adjust themselves during this 
period?  
 
Answer  
Usually, when SASO announces mandatory arrangements, it grants a period of (no less than 
six months) before implementation, and in certain circumstances the grace period may be extended.  
 
Question  27 
SASO does not release technical regulations information on its official website. Therefore, it is 
difficult to obtain the published regulation outside Saudi Arabia in time. Does Saudi Arabia plan to 
increase the transparency of relevant technical regulations?  
 
Answer  
WTO gets notified when the regulation is at the drafting stage. Interested parties are granted 60  days 
to provide SASO with any comments, feedback and/or inquiries regarding the regulation.  
 In additi on, the same regulation draft is uploaded on SASO 's official website for public consultations. 
For instance, the draft of the Technical Regulation of Safety in Machinery – Part 2: Mobile Machinery 
and Heavy Duty Equipment, planned for adoption in the first  quarter of 2021, can be found on the 
following link:  http://www.saso.gov.sa/ar/mediacenter/public_multimedia/Pages/135_1442.aspx  
 Furthermore, another copy of the draft is provided to the Public Consultation Platform, which is 
supported by the National Co mpetitiveness Center. All adopted technical regulations can be found 
on SASO 's official website on the following link:  http://www.saso.gov.sa/en/laws -and-
regulations/technical_regulations/pages/default.aspx . 
 
Question  28 
28. Are tobacco and tobacco products absolutely import prohibited products? Or does the 
Government allow the import of tobacco products, but restrict the import by imposing high import 
duties and other additional taxes?  
 
Answer  
Tobacco products are subject to high customs duties as p ublished on the customs website, as well 
as 100% excise tax and 15% value -added tax.  
 
Question  29 
Please specify the comprehensive taxes and fees for imported and domestic tobacco products 
respectively.  
 
Answer  
The Government of Saudi Arabia imposes only e xcise tax, VAT, and customs duty (CIF value) on the 
tobacco products which are deemed to be a solely imported products.  
 WT/TPR/M/407/Add.1  
 
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  CHINA - ADDITIONAL QUESTIONS  
I QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question 1  
 
Page7，Para.3  
Recognition of such structural challenges led to the launch, in 2016, of "Vision 2030", a 
comprehensive strategy designed to modernize and diversify the Saudi economy.  
 
Does "Vision 2030 " involve tax policies? If so, please introduce what kind of tax policies have been 
formul ated in "Vision 2030 ". 
 
Answer  
One of the main strategic objective  of Vision 2030 is to modernize and diversify the economic 
resources by raising the ratio of non -oil revenue. Taxation plays a large scale of income derived from 
non-oil activities, thus the tax policy is an integral component of Fiscal Balance Program lau nched 
under Vision 2030.  
 
Question 2  
 
Page 9 ，Para.13  
Several new policy instruments were adopted to achieve Vision 2030's objectives of increasing 
non-oil exports and promoting economic diversification. First, the Export -Import Bank was created 
in 2019 and  became operational in 2020. Export financing and guarantees continue to be available 
through the Saudi Export Programme.  
 
Which institutions provided major financial support for non -oil export business before the 
establishment of the Export -Import Bank?  
 
Answer  
The institutions provided major financial facilities for non -oil export business before the 
establishment of the Export -Import Bank are the (ITFC) and Saudi Export Program (SEP) which is 
renamed recently to the (The Local Content & Export Sector) du e to the new organizational structure 
of the Saudi Fund for Development.  
 
Question 3  
 
Page11 ，Para.25  
As a result of reforms undertaken during the review period to protect investors, open trading to 
non-resident foreigners, and deepen capital markets, the Tadawul was included in three 
internationally renowned emerging market indices.  
 
Does The Financial Sector Development Program (FSDP) include tax policies? If so, please introduce 
what tax policies have  been formulated to promote the development of the capital market.  
 
Answer  
While no taxation policies have been formulated so far, there is ongoing work under the FSDP in this 
area. 
Among the FSDP program, the "ensuring the formation of an advanced capital market " pillar includes 
an initiative under which CMA, GAZT and other concerned government entities are currently working 
jointly to review and enhance taxation policies related to the issuance and the investment in the 
debt capital market instrume nts, REITs, equity funds, etc.  
 
Question 4  
 
Page53 ，Para.3.81  
In addition to the SEP, the Islamic Corporation for the Insurance of Investment and Export Credit 
(ICIEC) provides export credit insurance services to member States; it also provides member State s 
with investment insurance and guarantees against country risks.  
 WT/TPR/M/407/Add.1  
 
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  What are the differences in responsibilities, business scope and products among the export credit 
insurance services provided by the SEP, the Export -Import Bank, and the ICIEC?  
 
Answer  
The difference between the responsibilities is that the (ICIEC) covers the exports of the 
member -states to the world, while (SEP) covers only the Saudi exports to the world.  
 
Question 5  
Please explain the coordination mechanism among the SEP, the Export -Import Bank, and the ICIEC?  
 
Answer  
The coordination mechanism was  undertaken through single cases and LC 's insurance coverage 
cases to re -insure some of the insurance transaction policies as well as reinforcing export insurance 
policies to the local banks with the ICIEC. But in the future, this cooperation will be accre dited via 
the Saudi Export -Import Bank to the (ICIEC) directly due to the recent transformative work of 
transferring the SEP 's activities and services of (Finance – Insurance) to the Export -Import Bank.  
 
Question 6  
As a multilateral institution, in its Overall Profile, which industries of its members does ICIEC mainly 
support the export?  
 
Answer  
Overall, the partnership and cooperation with the (ICIEC) usually covers the following industries:  
 
• Petrochemicals  
• Trucks and trailers  
• Phosphates  
• Foods  
• Perfumes  
• Metal Chassis  
 
Rather than that, (SEP) has no information about the industries of its members does ICIEC mainly 
support the export by itself.  
 
Question 7  
Please indicate the proportion of the total business volume supported by the ICIEC in Saudi Arabia 
in its Overall Profile.  
 
Answer  
The proportion of the total business volume contribution by the (ICIEC) with (SEP) for their only 
partnering cooperative transactions in the Saudi market is USD 268,570,723 of the total amount of 
transactions which is USD 373,014,894.  
Rather than that, (SEP) has no information about the proportion of the total business volume 
supported by the ICIEC itself in Saudi Arabia in its Overall Profile.  
 
Question 8  
Which is the decision -making body of ICIEC's business, the Islamic Development Bank or the ICIEC 
itself?  
 
Answer  
There is an existing mutual agreement between the (SEP) and the (ICIEC), which states out the 
bilateral cooperation of the decision -making on re -insurance policies to th e local banks between the 
two organizations, and this agreement is going to be handed out to the Export -Import Bank to 
sustain those operations.  
Rather than that, (SEP) has no information about the decision -making body inside the ICIEC itself . 
 
Question 9  
 
Page 74 ，Para.3.194  
With regard to patents and trademarks, the concepts of exhaustion of rights and parallel importation 
are subject to general rules and principles determined by the judiciary.  
 WT/TPR/M/407/Add.1  
 
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  Please provide more information on the general rul es determined by the judicial agencies concerning 
the exhaustion of rights and parallel import.  
 
Answer  
The judiciary in Saudi Arabia deals with such cases according to the difference of each issue and 
without prejudice to the provisions of the Intellectua l Property Laws in Saudi Arabia, and with the 
provisions in the international agreements and treaties that the Kingdom has acceded to.  
 
Question 10  
 
Page75 ，Para.3.197  
Article 2 of the GCC Trademark Law expressly includes certain non-traditional marks, such as sounds 
and smells, in its definition of the term trademark. In 2020, the SAIP issued the first certificate for 
a sound trademark. The GCC Trademark Law provides for the protection of well -known trademarks, 
regardless of wheth er the trademark is registered domestically.  
 
Could Saudi Arabia please specify the types of non -traditional marks defined in the GCC Trademark 
Law, approved cases of non -traditional marks, and the examination criteria for non -traditional marks 
such as sme lls? 
 
Answer  
based on article 2 of GCC Law currently sound marks and smell marks can be register, SAIP relies 
on similarity between musical notes in examining procedures of sound marks, and this is done in 
cooperation with the Music Commission.  
On the other hand, SAIP working on the procedures for registering smell marks.  
 
Question 11  
 
Please specify Saudi Arabia's criteria for well -known trademarks, and measures to protect well -
known trademarks. Is equal protection given to foreign well -known trademark s? 
 
Answer  
SAIP relies on multiple factors for the protection of well -known marks including the public awareness 
of the mark due to promotion of such mark, or long period of registration, or use, or the number of 
countries in which the mark is registered, or the number of countries in which the mark is well -
known, or due to the value of the mark and its effect on promoting the goods or services in which 
the mark is used to make such goods or services is distinctive from others . 
 
Question 12  
 
Page75 ，Para.3.198  
GIs may be protected as trademarks. According to the authorities, the period of time from the filing 
of an application to the date of rejection or approval is similar to that of trademarks. As part of the 
Project for the Protection of GIs, and i n cooperation with related national authorities, the SAIP 
compiled a list of agricultural and food products, handicrafts, and national industrial products that 
may be registered as GIs. The SAIP requested all interested parties to submit written opinions o r 
notes in accordance with a July 2020 deadline.  
 
Please specify the factors considered by the Saudi Arabia in compiling a list of products that can be 
registered as GIs. Are there any special regulations for the application and registration of 
GI trademar ks? If yes, please provide further information.  
 
Answer  
Geographical Indications in Saudi Arabia can be registered as collective marks. In addition, Saudi 
Arabia has been working on developing a sui generis law for the Protection of Geographical 
Indicatio ns. The Saudi Authority for Intellectual Property is the government body taking the lead in 
the draft law and will be responsible for its implementation. The development process involved all 
the related government entities and public consultation to ensure  effective cooperation. The draft 
law aims at providing protection for the registered geographical indications, and it also aims to 
prevent illegitimate exploitation of local products for which the regions of the Kingdom are famous 
for, or its imitation in  a way that leads to misleading consumers about the true source of these 
products.  WT/TPR/M/407/Add.1  
 
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  Question 13  
 
Page76 ，Para.3.203  
The period of plant patent protection is 20 years from the date of filing the application; for trees and 
vines, the period of protection is 25 years.  
 
Does Saudi Arabia plan to join the International Union for the Protection of New Varieties of Plants 
(UPOV) in the near future?  
 
Answer  
UPOV Convention is one of the treaties that SAIP is analyzing for proposing possible accession of 
Saudi Arabia to it . 
 
II QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question 14  
 
Page10 ，Para.3.14  
One of the fundamental objectives of the Saudi Vision 2030 is to increase the contribution of non -oil 
exports to the Kingdom's GDP. Recognizing th e importance of achieving this objective and supporting 
it by approving the mandate of the Saudi Export -Import Bank (Saudi EXIM Bank).  
 
What is the nature of the Saudi EXIM Bank? Does it receive state financial subsidies?  
 
Answer  
Saudi EXIM was established to provide export financing, guarantees and export credit insurance 
services to enhance confidence in Saudi exports and supporting their market access to new 
markets and reducing non -payment risk.  
The paid in capital is 30 billion SAR and will be fully paid by government.  
 
Question 15  
How is the interest rate standard of the Saudi EXIM Bank defined? What is the performance of the 
Bank?  
 
Answer  
The interest rate will be determined on commercial basis and aligned with other export credit 
agencies and ExIms where the bank will be supporting these international transactions that would 
not be executed due to lack of financing.  
So far the bank has approved total loans of around 6 billion SAR and the bank is working on 
expanding its offerings to include  more products . 
 
Question 16  
 
Page10 ，Para.3.16  
Saudi Arabia has established the Economic Cities and Special Zones Authority (ECZA).  
Please introduce the requirements of origin and customs policies for the products processed and 
produced in the ECZA to enter other parts of Saudi Arabia.  
 
Answer  
Since SEZs are considered outside the customs territory of Saudi Arabia, any product originating 
within the SEZ will be subject to customs duties when exported to the mainland.  
 
Question 17  
How does the Special Zo nes Authority (ECZA) actually boost Saudi Arabia's diversification strategy?  
 
Answer  
SEZs are economic diversification tools. They support the development of sectors in which the 
Kingdom can have a comparative advantage to reduce the reliance on the oil a nd gas sectors and 
hence further diversifying the economy.  
 WT/TPR/M/407/Add.1  
 
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  Question 18  
 
Page35 ，Para.4.19  
Table 2.4 Types of licences, minimum capital requirement, and percentage of Saudi  
partnership, 2020  
 
Does "other transport activities " in the last column of the Table include civil aviation transportation? 
If yes, please indicate whether there is requirement on Saudi Arabia's shareholding ratio.  
 
Question 19  
 
Whether there are similar requirements in civil aviation transportation service s such as general 
aviation, civil airports, air traffic control, aircraft maintenance, aviation ground services, passenger 
and freight forwarding, aviation fuel, and computer reservation systems of Saudi Arabia?  
 
Answer s 18 & 19  
All civil aviation activit ies are regulated by civil aviation law and its regulations and civil aviation 
tariff law and its regulation. All civil aviation activities are allowed for 100% foreign investment 
except for national air transport since the percentage of ownership of a for eigner must not exceed 
49% of the company's shares.  
 
Question 20  
Please introduce the legal basis for industry management and foreign investment access 
administration in the above -mentioned fields?  
 
Answer  
The legal basis for aviation is the Civil Aviation Law, Civil Aviation Tariff law and its Regulations, 
economic re gulations and GACA safety regulations  (GACARs).  
 
Question 21  
Please indicate whether there are any restrictions on access to civil aviation fields other than the 
above and explain their legal basis.  
 
Answer  
Kindly refer to answers provided for questions 18  and 19.  
 
Question 22  
 
Page  57，Para.3.16  
Article X of the Implementation Procedures provides that GCC member States shall mutually 
recognize national specifications and standards until the GCC has created unified standards for all 
national and imported commodities.  
 
If there are differences in the national food safety standards implemented by the GCC member states 
for a certain food, and the GCC has not created relevant unified standards, how do the member 
States implement the relevant standards  when trading the food?  
 
Answer  
In this case, national food technical regulation is implemented. In addition, some GSO technical 
regulations include national deviation.  
 
Question 23  
 
Page82 ，Para.4.13  
As part of the COVID -19 response, the authorities also increased tariffs on certain agricultural 
products, such as dairy products, juices, and vegetable and olive oils, in June 2020.  
 
Why did Saudi Arabia increase tariffs on agricultural products such as dairy products, fruit juices, 
vegetables and olive oil in 2020? Did Saudi Arabia notify WTO in time?  
 
Answer  
The Kingdom of Saudi Arabia has the full right raise any of its duties up t o the bound rate.  WT/TPR/M/407/Add.1  
 
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  Question 24  
 
Page82 ，Para.4.19  
The number and value of ADF loans have declined since 2015, while overall subsidies increased and 
approved loans in 2019 increased sharply (Table 4.5).  
 
What caused the surge in the number and value of mid -term loans, short -term loans, and total loans 
in 2019?  
 
Answer  
The increase in value is due the change of ADF 's Credit Policy.  
 
III OTHER QUESTIONS  
 
Question 25  
What policies and measures has Saudi Arabia adopted to support its agricultural development since 
the COVID -19 outbreak in 2020, and what is the effect of these measures? In which areas will 
Saudi  Arabia continue to introduce measures to support agricultural development in 2021?  
 
Answer  
Work has been made to enhance lending and credit policy through providing loans to SME and the 
importation program. Besides of building food reserves and ensuring food security, the loans are 
meant to assists small holders and SMEs in repayment of loans, and to increase self -sufficiency in 
certain  products and to save jobs. work will continue to support small holders and support the 
importation of the main crops such as alfalfa, maize and wheat, and secondary crops such as rice, 
red meat, barley, edible oils, and soya beans. Emphasis also is put on  strengthening the logistics 
and value chain through various program to ensure these crops reach the consumers. In addition to 
this, Saudi Arabia have also working on building -up strategic food reserves and invested in mills, 
logistics and production facil ities. furthermore, SAGO, as the supervisor of the implementation of 
the food security strategy in the Kingdom, has coordinated the efforts of all parties concerned with 
the food security system in the Kingdom to maintain the stability of supply cha ins and  supply in the 
market.  
Also, SAGO, has worked on strengthening wheat stocks to cover consumption for more than five 
months, and has also strengthened the stocks of fodder barley.  
 
Question 26  
Please introduce Saudi Arabia's civil aviation management system  and the division of obligations, as 
well as the laws and regulations in the field of civil aviation.  
 
Answer  
All civil aviation activities are regulated by civil aviation law, its regulations, civil aviation tariff law 
and its regulation. GACA website inc ludes all required information ( www.gaca.gov.sa ). 
 
Question 27  
Please introduce Saudi Arabia's airport management system, the regulations on the ownership and 
control of civil airports, and the laws and regulations related to airports.  
 
Answer  
Kindly refer to answer provided to answer 26 . 
 
Question 28  
How does Saudi Arabia define public air transport and general aviation? Are there any different 
economic and safety management policies, or relevant laws and regulations on public air transport 
and genera l aviation?  
 
Answer  
Yes, GACA regulations differentiate the commercial air transport from general aviation based on the 
number of seats and weight of aircraft. Please refer to GACARs regulation in GACA website 
(www.gaca.gov.sa ). 
 WT/TPR/M/407/Add.1  
 
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  Question 29  
Please introduce Saudi Arabia's policies and modes of freight rate and charge management for public 
air transport and general aviation.  
 
Answer  
GACA applies open market policy in terms of freight rate and ticket fare in general aviation and 
commercial transport. Aeronautical and non -Aeronautical charges are regulated by implementation 
regulation of civil aviation tariff act.  
 
Question 30  
What support policies does the Saudi Arabia government have for civil airports, regional aviation, 
international routes, general  aviation, cargo aviation and remote areas? Please brief on the source 
of funds and the standards and methods of subsidies.  
 
Answer  
Saudi Arabia government support the aviation industry with the aim of increasing the scope of the 
connection network in the Kingdom, developing the infrastructure and operations of airports, 
improving the quality of services, increasing the capacity in the Kingdom's airports, and supporting 
the travel and freight markets in the Kingdom in the upcoming years, by taking advantage  of the 
strategic geographical location . 
 
Question 31  
Are there any policies that regulate domestic air transport subsidies? Are there any policies that 
restrict other countries' air transport subsidies?  
 
Answer  
GACA applies tariff regulation on all international and domestic airline and there is no subsides.  
 
Question 32  
Please introduce Saudi Arabia's policy on flight schedule management, and the methods and 
procedures for obtaining flight schedules.  
 
Answer  
GACA has appointed third party for slot c oordination to utilize and maximize airports capacity. GACA 
economic regulation and Worldwide Airport Slot Guidelines (WASG) are applied for slot management.  
 
Question 33  
Please introduce Saudi Arabia's airspace management system and the operation mode of air traffic 
control.  
 
Answer  
Saudi Air Navigation Services company (SANS) is responsible for organizing and managing the 
movement of all aircraft arriving, departing, and passing through Saudi airspace and airports. Please 
refer to SANS website www.sans.co m.sa for further information . 
 
Question 34  
Please explain the scopes, management responsibilities and legal bases of Saudi Arabia's civil 
aviation authorities and other relevant authorities in anti -monopoly reviews in civil aviation.  
 
Answer  
GACA regulate the aviation industry by applying civil aviation law and its regulation however the 
general authority for competition is responsible for competition issues based on its law and regulation 
and GACA support it by providing any data required.  
 
Questi on 35  
Does Saudi Arabia plan to further improve its energy efficiency standards?  
 
Answer  
Yes, Saudi Arabia is always keen to improve the Energy Efficiency for all products (standards), 
therefore, we are updating the energy efficiency standard for small A/ C (SASO 2663) and TBT/WTO 
is already notified about it.  
 WT/TPR/M/407/Add.1  
 
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  Question 36  
The Air Conditioner Energy Labeling  and Minimum Energy Performance Standard (MEPS) 
Requirements (2663/2018) issued by the Saudi Standards, Metrology and Quality Organization 
(SASO) regulates the energy efficiency and MEPS of air conditioners exported to Saudi Arabia. As 
per such provisions,  Saudi customs maintained that Chinese products had quality defects. However, 
Chinese air conditioners had passed the Saudi and international standard (SASO IEC60335 -2-40 and 
SASO2663) tests before export. Does Saudi Arabia plan to solve the problem of inc onsistency 
between Chinese certification testing and Saudi Arabia's sampling test results?  
 
Answer  
Saudi customs and the market survey authorities in KSA randomly check products imported and 
these products should comply with Energy Efficiency standards, by checking that the declared values 
by manufacturers which should be within the allowable tolerance stated in the standard.  
In case of non -compliance, the case shall be reviewed with the specific manufacturer.  
  WT/TPR/M/407/Add.1  
 
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  EGYPT  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
 
4.3 Manufacturing  
Paragraph 4.96 page 104  
 
4.96. The NIDLP's approach to industri al development leverages high domestic and regional demand 
to catalyse growth in clusters of promising industrial sectors, optimizes the economic value captured 
from Saudi Arabia's natural resources, and involves the development of new clusters of 
transfor mative industries. The new industrial policy is reflected in a comprehensive and detailed 
National Industrial Strategy (NIS) focusing on nine sectors: (i) equipment and machinery; 
(ii) renewable energy supplies; (iii) pharmaceutical manufacturing; (iv) med ical supplies; (v) the 
automotive sector; (vi) oil - and gas - adjacent industries; (vii) food processing; (viii) the aviation 
industry; and (ix) military industries.119 The selection of these sectors appears to be motivated by, 
inter alia, the fact that bec ause of high domestic demand and dependence on imports they offer 
substantial opportunities to attract foreign and local investors to develop local manufacturing 
capacity.120 In each sector covered by the NIS, the NIDLP sets out in detail the existing situ ation 
and context, objectives and strategy, specific initiatives, and relevant agencies involved in the 
implementation of the NIS. The authorities note that the NIS is currently being updated. 
Implementation of the NIS is one of the main mandates of the re cently created Ministry of Industry 
and Mineral Resources. In this regard, a new entity, the National Industrial Development Center, 
was established in August 2020.  
 
We would like to congratulate the Kingdom of Saudi Arabia for its successful National Indu strial 
Development and Logistics Program (NIDLP), we would like to know if the upcoming update on the 
National Industrial Strategy would add new sectors?  
 
Answer  
The National Industrial Strategy is currently being updated and it’s expected to have additional 
area(s) to the nine priority sectors.  
 
II. QUESTIONS REGARDING THE GOVERNMENT  REPORT  
 
Question  2 
 
4.5.1 Manufacturing  
Paragraph 4.35. Page 17  
 
4.35. "Tanafusiya" Program launched by Saudi Industrial Development Fund (SIDF) provides 
enablers and development support to help industrial enterprises reach a high degree of 
competitiveness through "the Energy Efficiency Program" which aims to reduce the cost of operation 
in industrial facilities by enabling them to access energy -saving technologies. The  "Industrial Digital 
Transformation Program" supports factories for increasing operational efficiency and 
competitiveness, for reducing high costs and for enhancing the productivity through applying the 
latest digitization.  
 
We kindly request the Kingdom of Saudi Arabia to provide us with further details on the enablers 
and development support provided by the Government to help industrial enterprises reach a high 
degree of competitiveness through "the Energy Efficiency Program" to encourage digital isation of 
industries?  
 
Answer  
One of the main enablers that SIDF provides is its advisory service. The service is provided to clients 
through a 3rd party consultant represented in granting clients free initial assessment.  
  WT/TPR/M/407/Add.1  
 
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  EUROPEAN UNION  
I. QUESTIONS REGAR DING THE SECRETARIAT REPORT  
 
Question  1 
Paragraph 1.1. page 13 – comparison of data The data presented in the Secretariat Report shows 
that between 2010 and 2019 the role of non -oil manufacturing sector in the Saudi Arabia's GDP was 
not significantly strengthened (7.8% in 2010 in comparison to 8.5% in 2019).   
What is the Saudi Government's strategy to boost the manufacturing capacities in the years to come? 
Which areas of manufacturing sector will have priority?  
 
Answer  
The national indus trial strategy includes the priority and strategically targeted sectors as follows, 
and it is still undergoing updating & reviewing and expected to be complete in Q2 OF 2021  
1. Aerospace  
2. Building  Materials  
3. Pharma &Biopharma  
4. Food, Agrotechand Aquaculture  
5. Metals  
6. Automotive  
7. Machinery &Equipment  
8. Renewable  Energy  Resources  
9. Medical  Devices  
10. Chemicals  
 
Question  2 
Paragraph 1.7, page 15 According to our information, this initial list of products was replaced by a 
much shorter list of products whose new tariffs became effective on 1 July.  
What was the reason for enacting an increase of tariffs on those goods and how  does that correspond 
to WTO tariff commitments? Could Saudi Arabia confirm the replacement of the initial list? If so, how 
was the revised list notified?  
 
Answer  
The Kingdom of Saudi Arabia increased customs duties for 575 goods on 20 June 2020, in accordance 
with its obligations to the World Trade Organization, as decided by the resolution. The list also 
contains several products, including dairy products. Juices, vegetable oils and olive oil were not 
among the above products.  
 
Question  3 
Paragraph 1.7, page 15 (also 3.31, page 44, and 4.13, page 82) "As part of the COVID -19 response, 
the authorities also increased tariffs on certain agricultural products, such as dairy products, juices, 
and vegetable and olive oils, in June 2020."  
Could Saudi Arabia  explain why it considered necessary a rise in import duties on olive oil as part of 
the COVID -19 response, and when it plans to put an end to that measure? Given that Saudi Arabia 
imports 5000 tonnes of olive oil (CN: 1509) and 3000 tonnes of olive -pomace  oil (CN: 1510) from 
the EU, could Saudi Arabia specify to which categories of oils the increased tariffs apply?  
 
Answer  
The Kingdom of Saudi Arabia increased customs duties for 575 goods as of 20 June 2020. This list 
contains several products, including d airy products. The olive oil is not among the above products. 
All products whose customs duties have been raised to the bound rates are published on the official 
website of General Customs Authority and it is clear that olive oil is not included.  
 
Question  4 
In 2020, Saudi Arabia increased import tariffs on food and dairy products (from 5 % to 20 %), 
chemicals, building materials, and vehicles. More transparency would be necessary, i.e.  timely 
information regarding the future plans of Saudi Arabia when it c omes to the increase of tariffs. In 
this context, is Saudi Arabia considering an increase of any other tariffs for the year 2021?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
In 2020, there were increase in customs duties on several dairy products. The rate of increase was 
10% to 15%, not 20%, as mentioned in the question. KSA has consistently held its commitments 
regarding transparency through publications of its decisions relating to raising duties to the bound 
rates. Such decisions and their reasons were published prior to application. C urrently, there is no 
plan to increase tariffs.  
 
Question  5 
Paragraph 1.25, page 21 "1.25. Balance -of-payments data indicate that Saudi Arabia is a net 
importer of services, with a deficit averaging USD 61.0 billion per year during 2015 -19, peaking at 
USD 73.6 billion in 2015. However, services exports increased significantly during the same period, 
from USD 14.5 billion in 2015 to USD  24.2 billion in 2019 (Table 1.3). Saudi Arabia is a major site 
for religious tourism, with millions visiting the country to  perform the Hajj and Umrah pilgrimages 
to the holy city of Makkah. On the import side, government -related services constitute almost a third 
of services imports, followed by transport (22.5% in 2019) and travel (19.2% in 2019)."  
In the context of the econ omic crisis resulting from the pandemic, the services sector, especially 
tourism is facing serious difficulties.  
Taking into account the importance of religious tourism for the country, what are the future 
perspectives in this regard? Is Saudi Arabia adopt ing any measure in order to preserve it?  
 
Answer  
The development of religious tourism constitutes a priority for The Kingdom of Saudi Arabia, for both 
Hajj and Umrah. In addition, KSA is aware of the importance of the tourism sector on the service 
exports and the balance of payment. Multiple measures are currently being taken:  
 
• A complete plan has been developed and executed to welcome visitors to visit Makkah and 
Madinah while adhering to COVID -19 policies and with reduced capacities.  
• Multiple com mittees have been established to closely analyze, assess and monitor the 
progression of COVID -19 in Saudi Arabia and globally to take action in order to go back to the 
normal status as soon as possible.  
• The Kingdom is taking advantage of the current situa tion where minimal visitors are present 
to enhance the quality of services across the whole journey. On Umrah, KSA has defined 
strong ambitions for the sector in the next 10 years, along the following pillars:  
1. Allow the maximum number of Muslims from aroun d the world to visit Makkah and perform 
the Umrah rituals . 
2. Support the development of the local Umrah ecosystem to bring religious tourism players 
in line with world 's highest standards – this includes  
a. Simplified visa process for Umrah  
b. Easier and more di versified booking process for Umrah with different travel 
intermediaries (travel agents, tour operators, DMCs,  …)  
c. Upgrade in quality and standards of services providers in Makkah and Madinah (from 
airport experience to transport, hotel and F&B,  …)  
3. Enhanc e the experience for all Umrah visitors  
 
Question  6 
Paragraph 1.30, page 22 The report notes that the 2020 World Bank's Ease of Doing Business Index 
ranked Saudi Arabia 62nd out of 190 economies, significantly below Saudi Arabia's 49th rank of the 
2015 World Bank's Ease of Doing Business Index.  
What are th e reasons for this drop  from 2015 to 2020 in terms of Saudi Arabia's rank  for ease of 
doing business?  
 
Answer  
Although the Kingdom 's ranking witnessed a decline few years ago, it has picked up from 92 (in 
2019) to 62 (in 2020) jumping (30) positions and becoming the world 's top reformer (in terms of 
number of reforms). The Kingdom will continue its pace of reforms to enhance the business 
environment and the overall competitiveness.  
 
Question  7 
Paragraph 2.8, page 24 "2.8. Vision 2030 is deve loped around three main themes, namely: a vibrant 
society; a thriving economy; and an ambitious nation. For each theme, the plan sets out specific 
objectives, programmes, and measurable targets to be achieved by 2030.10 Under the theme "a 
thriving economy" , multiple initiatives are envisaged. These include: creating more private -sector WT/TPR/M/407/Add.1  
 
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  jobs for Saudi nationals, and increasing the participation of women in the workforce; supporting 
SMEs; increasing investment in non -oil sectors (i.e. renewable energy, indust rial equipment, tourism 
and leisure, retail, digital economy, and financial services); increasing domestic production and 
procurement through local -content measures; privatizing state -owned assets and government 
services (such as health, education, and hou sing); listing the national oil company (Saudi Aramco) 
on the stock exchange; deregulating the energy market; and reducing energy subsidies."  
According to a study published by the WTO in August 2020, women are at risk of suffering more 
from trade disruptio n generated by the COVID -19 pandemic, due to the larger share of women 
working in services.  
How is Saudi Arabia planning to address the general reforms on the status of women in the labour 
market in particular after the COVID19 pandemic?  
 
Answer  
KSA has al ready implemented a raft of reforms to catalyze the employment of women by removing 
discriminatory laws and regulations, implementing anti -harassment regulations, and support women 
to work through facilitating transportation and childcare. All of these hav e led to the highest female 
participation statistics on record. KSA will continue to pursue appropriate ways to encourage and 
support women to work.  
 
Question  8 
Paragraph 2.9, page 24, 2.9. "While there were no changes to the basic customs legislation (the 
GCC Common Customs Law and Implementation Rules and Explanatory Note), Saudi Arabia 
introduced important changes in customs procedures, as a result of which it now has a country -wide 
single window for customs procedures. The Saudi Customs Authority enhanced an electronic data 
interchange system, an electronic trade single window that allows electronic submission and 
processing of import declarations. Also, Saudi Arabia now has a new risk management system and 
targeting centre to classify sh ipments based on their risk level.  
Could Saudi Arabia inform on its National Trade Facilitation Committee and on its role in the reforms 
introduced? Could Saudi Arabia give information, if available, on the extent to which the 
implemented changes in custom s procedures in 2020 have contributed to reducing the cost of 
trading with Saudi Arabia, at import/export? Is there any feedback from business that Saudi Arabia 
could report? Was business associated to the reforms and consulted? Could Saudi Arabia elaborat e 
on what the 2030 plan would aim at doing in this area and, in particular, in light of the GCC customs 
union that is detailed in para 2.35 page 30?  
 
Answer  
Saudi Arabia fully applies all TFA Articles, exporters can whiteness the minimized clearance time, 
number of mandatory documents and cost.  
 
Question  9 
Saudi Arabia going to implement any new initiative similar to the In Kingdom Total Value Add 
(IKTVA) into other institutions beyond Saudi Aramco, such as SABIC?  
 
Answer  
initiatives similar to  (IKTVA) are entirely private initiatives or programs that were developed and 
implemented by the private sector. LCGPA is not in charge of these initiatives. LCGPA emphasizes 
that it does not require the private sector to develop such programs and it has n o influence on this 
regard.  
 
Question  10 
Paragraph 2.27, page 28 "2.27. Saudi Arabia is a strong supporter of the multilateral trading system 
and the WTO. As stated by its Minister of Commerce at the Eleventh Ministerial Conference of the 
WTO (Buenos Aires, December  2017), Saudi Arabia believes t he multilateral trading system can 
deliver fair, balanced, and equitable outcomes and generate further growth and prosperity; hence, 
it advocates for Members to support and reinforce multilateral trade rules, and safeguard and 
strengthen the WTO.24 Saudi A rabia's negotiating interests span a wide range of issues, including 
the achievement of positive outcomes regarding the Net Food Importing Developing Countries' 
programme, a permanent solution for Public Stockholding for Food Security Purposes, domestic 
regulation disciplines in trade in services, the phasing -out of illegal, unreported, and unregulated 
fishing subsidies, and the e -commerce work programme.25 In 2019, Saudi Arabia joined the Joint 
Ministerial Statements (Initiatives) on e -commerce, investment  facilitation for development, 
domestic regulation in services, and the informal programme on micro, small, and medium -sized WT/TPR/M/407/Add.1  
 
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  enterprises (MSMEs). The Saudi authorities are of the view that they have undertaken extensive 
commitments upon their accession to the WTO, and wish all countries to do the same. They also 
recognize the centrality of the development dimension in the work of the WTO."  
Regarding the interest and commitment of Saudi Arabia in the Joint Statement Initiatives of the 
WTO, in particular dome stic regulation on services, when is Saudi Arabia going to present its list of 
indicative draft schedules ? 
 
Answer  
Currently the General Authority of Foreign Trade is working along with relevant Government agencies 
in charge of services sectors to prepare the Kingdom 's list of indicative draft schedules.  
 
Question  11 
Paragraph 2.41 page 31 regarding GCC -Singapore FTA chapter on customs procedures and 
paragraph 2.44 regarding GCC -US agreement  
Could Saudi Arabia indicate what is the scope of the provisions of these above -mentioned FTAs and 
whether there are some commitm ents that go beyond the WTO TFA? If so, could Saudi Arabia 
explicitly mention these provisions?  
 
Answer  
The mentioned agreements were concluded prior to the adoption of the Trade Facilitation Agreement. 
the text of the GCC -Singapore FTA can be found on the  WTO Dedicated RTA Database portal. GCC 
has no FTA with USA and Saudi Arabia does not have a FTA with USA.  
 
Question  12 
Paragraph 2.54, page 34 "2.54 Under the current Foreign Investment Law, a foreign investor may 
invest as a shareholder in a company owned by a Saudi national, or establish a 100% foreign -owned 
company (with certain exemptions). In both cases, the prospecti ve foreign investor must obtain an 
investment licence from the MISA. Licensing procedures for foreign investments were simplified and 
expedited in recent years: requirements for new licences were reduced to two documents; licences 
are now issued within 3 h ours (previously 20 hours); an instant licence renewal procedure was set 
up; and the validity of the licences was extended from one to five years."  
Is Saudi Arabia considering a review of the negative list for foreign investment in order to open more 
activities to fully foreign -owned participation?  
 
Answer  
Ministry of Investment launched the "Invest Saudi" platform, which includes investment 
opportunities in various sectors, along with launching the identity (slogan) of "Invest in 
Saudi  Arabia"; a unified n ational identity for marketing and attracting investments to the Kingdom.  
 
Question  13 
Is there going to be any change regarding the capital required for commercial licenses for 100% 
fully foreign -owned?  
 
Answer  
Its under evaluation . 
 
Question  14 
Is Saudi Arabia going to review the law to obtain the Saudi nationality?  
 
Answer  
Outside the scope of the TPR.  
 
Question  15 
Paragraph 2.55, page 34 "2.55. Depending on the type of business, foreign firms may also be 
required to obtain registration/approval from other competent authorities, such as the Ministry of 
Commerce, the Ministry of Health, the Ministry of Tourism, the Co mmunication and Information 
Technology Commission, and the Capital Market Authority. Foreign investors from GCC member 
States are treated as Saudi nationals for the purpose of investment, and are not required to obtain 
a foreign investor license, provided they are not in partnership with a non -GCC investor."  
There is a lack of official tools for international companies to verify the financial information from 
companies established in Saudi Arabia.  WT/TPR/M/407/Add.1  
 
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  What are Saudi Arabia's plans to provide for officials tools  to enhance transparency regarding the 
entities established in the country to assist international companies in finding the appropriate partner 
with which to do business?  
 
Answer  
The kingdom has established two official entities to ensure enhancing transpa rency and providing 
financial information from established companies, which are:  
 
1. Simah: Saudi Credit Bureau (SIMAH) is the first national credit bureau in Saudi Arabia licensed 
to provide both consumer and businesses tailored products and services. The Co mmercial Credit 
Reports, tailored to the business sector (with the exception of the banking sector), details 
companies ' existing financial and credit commitment, such as total credit limit, total liabilities 
and current balance in default.  
2. Bayan Credit Bu reau: Bayan Portal enables you to view your company 's credit information and 
allow third parties to access and view your credit information thereby promoting trust among 
SMEs, corporations, and banks.  
 
Question  16 
Paragraph 2.57, page 34"2.57. Foreigners may invest in practically all sectors of the economy […] 
Other services sectors that have been opened to foreign investment in recent years are […] aircraft 
maintenance and repair […]".  
Does it mean that restrictions have been removed for invest ment in groundhandling in general, or 
only elements of it? If restrictions remain, what are they in detail? Does the creation in 2018 of a 
special economic zone at Riyadh's King Khalid International Airport have any impact on the 
liberalisation in FDI in g roundhandling at this airport?  
 
Answer  
Foreigners may invest in all ground handling activities at KSA airpo including the economic zone at 
King Khalid International Airport.  
 
Question  17 
Paragraph 2.59, page 35 "2.59 .Licensed foreign investments are entitled to all benefits, incentives, 
and guarantees accorded to wholly Saudi -owned companies.59 Such benefits include ownership of 
freehold property necessary for carrying out the licensed ac tivity and for housing staff; the possibility 
to sponsor foreign employees, subject to certain conditions; benefits granted under the double -
taxation treaties to which Saudi Arabia is a signatory; and protection against expropriation and 
confiscation. A co urt order is necessary in order to confiscate a foreign investment, and it may not 
be expropriated, in whole or in part, except for reasons of public interest and against an equitable 
compensation."  
Regarding the new Kafalah system, is Saudi Arabia going t o publish the framework to which 
companies and sponsors must adapt?  
 
Answer  
Yes, initial notes have already been published, and these will continue to be updated as required.  
 
Question  18 
Paragraph 3.4, page 39 regarding the improvement of custom procedures and in particular 
"(iii) cancelling the requirement for authentication of invoices and documents from the Chamber of 
Commerce and Embassies"  
Could Saudi Arabia detail this measure? Has the consularisation  been suppressed? Are these 
measures part also of alleviating the burden on traders that was especially burdensome due to 
COVID pandemic?  
 
Answer  
Consulates approval and certification of invoices and documents has been revoked. No it was not 
part of allevi ating the burden on traders due to COVID pandemic.  
 
Question  19 
Paragraph 3.11, page 40 "3.11. Upon arrival, all imports are subject to customs inspections. Physical 
inspection may be carried out for goods on a random basis determined by risk profiling. Ac cording 
to the authorities, 100% of imported consignments are subject to X -ray scanning, of which 20% are 
physically inspected. Upon payment of customs duties, imported goods may be released from the WT/TPR/M/407/Add.1  
 
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  SCA. According to the authorities, the clearance of good s through customs takes an average of two 
hours, regardless of the mode of transport."  
Could Saudi Arabia further provide information on the new risk management introduced and as to 
the reasons of the very high rates of inspections (100% for X -ray and 20% for physical inspections)?  
 
Answer  
Referral of 100% of imports to X -rays machines is the initial formality that shall be conducted upon 
the arrival of consignments to customs ports to ascertain their safety and the nonexistence of any 
prohibited or restricted materials. This matter helps speed up the resolution to refer the consignment 
to direct clearance or, in case of suspicion, to close inspection. The greatest reason for referring 
20% of consignments to the manual inspection after excluding the p resence of prohibited items is 
restricted items or consignments requiring clearance from other entities (Such as the Ministry of 
Media - the Communications and Information Technology Commission - the Ministry of Energy, 
Industry, and Mineral Resources - the Saudi Food and Drug Authority ..., and etc.). In addition, one 
of the tasks of the Targeting Centre is to update the risk indicators, legalize the targeting process 
and target high -risk shipments, which have a positive effect on reducing the duration of the clearance 
and increasing the seizure rate.  
 
Question  20 
What is the share of small parcels that Saudi Arabia does physically inspect? What is the rate of 
physical inspection for goods imported by AEOs?  
 
Answer  
The Saudi Authorized Economic Operator pro gram provides many benefits to certified companies, 
one of which is the reduction of physical inspection. As of February 2021, more than 190 companies 
have been registered by General Customs Authority as authorized economic operators and classified 
as low -risk business partners. The physical inspection rate of goods imported by these companies is 
5%. 
 
Question  21 
Paragraph 3.15, Page 41 regarding advance rulings and paragraph 3.18 on Saudi Arabia 
commitments regarding the TFA  "There are no legal provisions pertaining to advance rulings. 
According to the authorities, the SCA answers, on a case -by-case basis, requests for information on 
customs matters such as classification, valuation, and rules of origin."  
Does Saudi Arabia contemplate introducing  legislation on advance rulings in line with Article 3 of the 
TFA? 
 
Answer  
The purpose of the unified manual is to define the key formalities and controls adopted by the 
customs administrations of the GCC Countries in order to make advance ruling requested by 
importers or exporters in preparation for their import/ export operatio ns. 
Thus, the unified manual is a guidance document that helps importers, traders and employers in 
GCC Countries and exporters for GCC Countries to understand the formalities and controls relating 
to advance ruling to facilitate their implementation and us e, on the one hand. It also contributes to 
the strengthening of the Information Unit included in the advance ruling at all the first entry ports 
and all customs administrations of the GCC Countries.  
The submission of advance ruling request via the internet  will be made available by the importers 
or their representatives to the competent authorities of the customs administrations regarding the 
goods to be imported. The request of advance ruling will be limited to importers who have a 
commercial record in the  Kingdom of Saudi Arabia.  
 
Question  22 
Paragraph 3.25, page 42 On May 27, 2020, Saudi Customs published an increase on the custom 
tariffs for more than 1040 items. Nevertheless, this list was shortened by half (575) a few days later 
after the implementation of the rule on June the 10th.  
Is Saudi Arabia planning to extend the increase on customs tariffs over the 465  remaining items?  
 
Answer  
The number of items that increased their customs duties on 20 June 2020 was 575. Currently, there 
is no pl an to increase tariffs.  
 WT/TPR/M/407/Add.1  
 
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  Question  23 
Paragraph 3.54, page 49 "3.54 Saudi Arabia does not operate an automatic licensing scheme, while 
the non -automatic licensing system is maintained for the purpose of meeting requirements of 
domestic legislation and/or fo r compliance with international conventions. This might be a problem 
in the sense of Article XI of the GATT. The list of products subject to licensing requirements is kept 
by the Ministry of Commerce and may be amended if necessary."  
Could Saudi Arabia pro vide the above -mentioned list of products subject to licensing requirements 
as well as the reasons why each of these products has been included in that list? What are the 
criteria for deciding to add or remove products from that list?  
 
Answer  
Please refer to Table A3.1 of the Secretariat Report for the full list of products subject to Import 
Licenses.  
Saudi Arabia 's working party report on accession included a list of products subject to import 
licensing. The list remained mostly the same except for m inor amendments due to changes in 
Government agencies and structures.  
The criteria for adding and/or removing products subject to import licensing are as follows:  
- Protect public morals;  
- Protect human, animal or plant life and health; protect environment;  
- Collect trade statistics or market surveillance;  
- Protection of patents, trademarks and copyrights, and the prevention of deceptive practices;  
- Regulate imports of arms, ammunition or fissionable materials and safeguard national  security;  
 
Question  24 
Paragraph 3.69, page 51 "3.69. The 2001 Economic Agreement between the GCC member States 
and its Implementation Procedures contain no provisions regarding the use of export duties and 
charges or other export restrictions in the GCC's external trade.44"  
Are there any export duties that are currently applied by Saudi Arabia?  
 
Answer  
Currently there is no applied export duties.   
 
Question  25 
Paragraph 3.74, page 51"3.74. In response to the COVID -19 pandemic, Saudi Arabia took some 
temporary measures to prohibit exports of some products. These measures ensure the supply of 
goods necessary for preventing a critical shortage of essential products and for preserving human 
health. The products subject to the temporary export prohibition include personal prote ctive 
equipment for safeguarding against the spread of disease, medical equipment, and pharmaceutical 
products.47"  
Could Saudi Arabia provide more information on when these temporary export prohibitions will be 
lifted?  
 
Answer  
The Saudi Food and Drug Authority currently permits export of medicines, supplies and medical 
equipment based on their availability in sufficient quantities in KSA.  
 
Question  26 
Paragraph 3.73, page 51 "3.73 Saudi Arabia maintains export bans on eight categories of products."  
Could Saudi Arabia specify the reasons for these prohibitions for each of the products listed in table 
3.6? Are there any criteria for removing products from this list?  
 
Answer  
1. Animal feed:  It is prohibited to be exported where a subsidy is paid to importers.  
2. Baby milk: It is prohibited to be exported where a subsidy is paid to importers.  
3. Zamzam water: It is prohibited to be exported it because it is not a commercial commodity 
and is intended for watering visitors to the Two Holy Mosques.  
 
It is forbidden to export gas cylinders because they are intended for marketing the products of the 
National Gas & Industry Company and are not intended for trading . 
 WT/TPR/M/407/Add.1  
 
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  Question  27 
Paragraph 3.83, page 54 "3.83. A key element under Vision 2030 and the National Ind ustrial 
Development and Logistics Program (NIDLP) is the creation of special economic zones (SEZs). SEZs 
form part of a larger effort by Saudi  Arabia to attract foreign investment and diversify the economy 
away from oil and gas. Prospective SEZs in Saudi A rabia provide incentives in competitive locations 
for "promising" sectors, notably ICT, tourism, and financial services. SEZs also offer support for 
multinationals in a wide range of activities including warehousing and fulfilment, inventory 
management, ma intenance and repairs, staging, testing, and assembly."  
When will the final legal framework for free economic zones be launched? What will the special 
treatment be?  
 
Answer  
The legal framework consists of new regulations according to the need of each zone. There are 
general regulations that govern the overall operations of the zone, but sector specific regulations 
are the main driver to the sustainability of each zone. The new regulations should be ready by Q1 -
2022.  
 
Question  28 
Paragraph 3.101, page 5 7, "3.101. Saudi Arabia's relevant legislation, notably the Technical 
Regulation, can be found on the SASO's website, the national notification authority and enquiry point 
for TBT matters.74 The SASO, under the Ministry of Commerce, is the main agency resp onsible for 
developing national standards, quality control and assurance, conformity assessment, and 
certification. In 2019, the Saudi  Accreditation Center (SAC) was created as the national accreditation 
body. It is an independent public entity, under the supervision of Ministry of Commerce."  
Could Saudi Arabia indicate if it is considering increasing SASOs resources to further enhance its 
performance?  
 
Answer  
SASO has developed a five -year plan based on a framework to develop and expand Saudi Arabia 's 
Quality infrastructure. Capabilities Development is one of the major elements in our framework, 
which focus on the development of current human capital and attracting qualified and high -
performing talents. Other elements in SASO strategy is promoting the p rinciple of innovation and 
digitalization to improve our services.  
 
Question  29 
Paragraph 3.111, page 58, "3.111. The GSO is mandated to establish and harmonize standards and 
technical regulations within the GCC member States. GCC -wide standards may be pro posed/initiated 
by a representing body in a member State and are prepared by the technical committees of the 
GSO. In general, GSO standards are based on international standards. Once a GSO standard is 
approved, each GCC Member State may transpose it into a  national standard through domestic legal 
procedures. According to the authorities, Saudi Arabia develops standards and technical regulations 
at the national level only when there is a pressing need." Currently there are GCC standards not 
shared by all mem bers, and some countries have more than one platform referring to their Technical 
Regulations or import system . 
Is the GCC planning to harmonize in a single common platform the availability of the most updated 
and accurate regulations for each country as w ell as the import system? Regarding the standards 
not shared by all GCC members, for example the Nutritional labelling Technical Regulation "SFDA.FD 
2233/2018". As per the SFDA, the regulation "GSO 2233:2012" (available at the GSO standard 
store) is not va lid in Saudi Arabia. In this case, the updated version must be retrieved from the 
platform Mwasfah and not through the GSO standard store. This has been the case since April 2020 
and no changes have been done at the GSO standard store. Additionally, this i s a clear uncertainty 
for foreign exporters whose merchandise is channeled through other countries in the GCC.  
 
Answer  
The Kingdom of Saudi Arabia will discuss this issue at GSO in order to take into consideration the 
interested parties comments to the extent possible. The SFDA technical regulations and standards 
can be found on the platform ; https://mwasfah.sfda.gov.sa/  
 
Question  30 
If the merchandise is redistributed by the importer in other GCC Member States to Saudi Arabia, 
what Technical Regulation must the foreign exporter follow?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
When the importer redistributed goods, he must abi de by the regulation issued by the GSO and the 
national deviations mentioned therein for each country. For example, all GCC countries are bound 
by the Gulf technical regulation for low -voltage electrical appliances and equipment, taking into 
account the na tional deviations mentioned therein for each country, such as the shape of the plug 
and the frequency of the electric current. It is not allowed to import a product that violates the 
national deviations mentioned in the Gulf regulation.  
As for the variety of platforms related to products, every government authority in the Kingdom works 
according to its competence without conflict or duplication of another government authority's 
procedure.  
As for the cases in which some technical regulations refer to a numbe r of standard, we confirm that 
the Kingdom notifies these technical regulations before being approved at the national, in order to 
consider the remarks raised by the interested bodies.  
As for the difficulty of purchasing standard through the platforms of t he concerned bodies, these 
authorities have established enquiry points to assist resolving any difficulties that may arise.  
 
Question  31 
There are more than six platforms depending on whether the product is regulated by SFDA, SASO 
or MEWA. Such platforms include Saber, Jeem or Mwasfah. Each of them refers to different regulation 
or import system, making it difficult for foreign companies to  understand the process to import in 
Saudi Arabia and therefore in the whole GCC. SASO Technical regulations, at the same time refers 
to GSO standards. In some cases, it refers to more than 10 standards per regulation. Taking in 
account each additional GSO  standard might cost around 100 SAR, this will add up a cost of 1000 
SAR to the export. Currently, standards are available to the public under certain fee imposed by the 
standard store we are facing (mainly Mwasfah and GSO standard store). Additionally, fo reign 
companies experience problems to purchase the items online.  
Is the GCC going to make standards public and free for everyone (both exporter and importer)? 
Some of the Technical regulations applied by SASO are not available in the English version ? 
 
Answer 
Copyright and intellectual property restrict standardization bodies in the GCC countries from making 
national standards available free of charge, given that most of them are adopted by international 
and regional standardization bodies.  
Furthermore, all  adopted technical regulations can be found in English on SASO 's official website via 
the following link:  
http://www.saso.gov.sa/en/laws -and-regulations/technical_regulations/pages/default.aspx   
 
Question  32 
Will the GCC and Saudi Arabia make mandatory the availability of the English version? Would GCC 
or Saudi Arabia consider publishing a written information leaflet and holding meetings to explain in 
detail the new import systems to be followed by the exporter?  
 
Answer  
As mentioned in the previous answer, all adopted technical regulations can be found in English on 
SASO 's official website via the following link:  
http://www.saso.gov.sa/en/laws -and-regulations/technical_regulations/pages/default.aspx   
SASO also, holds workshops and meetings continuously for beneficiaries at the international level.  
 
Question  33 
Paragraph 3.114 pages 58 -59 
Could Saudi Arabia specify the mentioned quality labelling system? Saudi Arabia states that the 
quality labelling mark is voluntary. Does the quality label relate to any trading benefits? If so, could 
Saudi Arabia specify these benefits?  
 
Answer  
The quality mark is a voluntary mark, and for some products, the technical regulations require 
quality labelling. The quality mark is not associated with any commercial interest.  
 
Question  34 
Paragraph 3.124, page 60 "3.124. In addition to obtaining a commercial registration (Section 3.1.1), 
food importers must register with the SFDA and specify the food items that they import. All imports 
of food and animal products for human consumption are s ubject to import permits issued by the WT/TPR/M/407/Add.1  
 
- 58 - 
 
  SFDA. For imports of meat and poultry meat, a Halal Certificate and an Islamic slaughter certificate 
are required for each consignment, in addition to other documentation generally required for 
customs clearance. "  
As per the SFDA, the new regulation for Halal certificates requires the Halal international 
accreditation center to be certified by the SFDA Halal center. Is there any coordination among all 
the GCC members when it comes to re -exporting goods from one countr y to another?  
 
Answer  
Saudi Arabia announced the mandatory requirements of Halal certificate for imports from both GCC 
member states and other countries.  
 
Question  35 
Paragraph 3.125, page 61 "3.125. Imports of meat and poultry meat must be sourced only from the 
establishments on the list maintained by the SFDA. This list can be consulted by sector or by country. 
Establishments that wish to supply meat and poultry meat to Saudi Arabia must apply for approval 
from the SFDA; the approval process involv es an evaluation including an on -site audit by the SFDA. 
If the evaluation outcome is satisfactory, the SFDA grants an approval certificate to the 
establishment in question. Since 9 March 2014, the SFDA has delegated to the competent authority 
of the expor ting country to approve establishments on the list, provided that the competent authority 
of the exporting country signs bilateral minutes with the SFDA and assures compliance with the GSO 
standards."  
The EU notes that several of the Sanitary and Phytosani tary (SPS) requirements to enter the Saudi 
market are detailed in the relevant technical regulations and standards, available on the website of 
the Gulf Standardization Organization (GSO): http://www.gso.org.sa/gso -website/?lang=en . The 
majority of these S PS related GSO standards are not publically available, as a fee needs to be paid 
before they can be obtained. As several of these GSO standards are used as an SPS measure on 
imports into Saudi Arabia, the EU believes that those GSO Standards should be publ ically available 
as required under the WTO SPS Agreement.  
Could Saudi Arabia inform on how and when it will ensure that its SPS measures will be published, 
in line with the WTO SPS Agreement?  
 
Answer  
In terms of publication of GSO technical regulations, the GSO has the copyright of GSO standards 
and technical regulations. This matter shall be discussed with all GCC members.  
 
Question  36 
Paragraph 3.133, page 62 "3.133. It is permissible to trade in genetically modified (GM) foods of 
plant ori gin, only if the requirements laid down in the relevant national standards and regulations 
are met, which include, but are not limited to, the following:  
- the presence of an official attestation, along with the product certifying that the product is 
produce d and consumed in the country of origin;  
- no reported adverse effects on human or animal or environment health; and  
- a declaration on the label that the product is genetically modified."  
Could Saudi Arabia provide a list of specific national technical standards and regulations informing 
about the relevant specifications?  
 
Answer  
Saudi Arabia 's list of specific national technical standards and regulations, includes the following;  
- General Requirements for Genetically Modified Unprocessed Agricultural Products  . 
- General Requirements for Genetically Modified Processed Food and Feed  . 
- General requir ements for risk assessment and traceability for genetically modified products  
 
Question 37  
Paragraph 3.159, page 68 and paragraph 4.44, page 92 "3.159. The Government is promoting the 
listing of private Saudi companies and state -owned enterprises. Notably,  on 11 December 2019, 
Saudi Aramco was listed on the Tadawul and became the world's largest publicly traded company. 
In line with the objectives of Vision 2030, the capital raised for the PIF through the initial public 
offering (IPO) of Saudi Aramco is to be channelled into new economic ventures, supporting the 
growth of the private and non -oil sectors (emphasis added) …." "4.44. Saudi Aramco's up -midstream 
activities consist of exploring, developing, and producing crude oil, condensate, natural gas, and 
natural gas liquids. Its downstream activities focus on refining and petrochemical manufacturing, WT/TPR/M/407/Add.1  
 
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  supply and trading, distribution, and power generation. Saudi Aramco's vision is to be the world's 
preeminent integrated energy and chemicals company (emphasis added)."  
Could Saudi Arabia explain what non -oil sectors Saudi Aramco in intending to develop? It appears 
from para 4.44 above that primary among them is the chemicals sector. Could Saudi Arabia 
elaborate on the plans for the development of this side of Sa udi Aramco 's business? Could Saudi 
Arabia explain how Vision 2030 is used to support Saudi Aramco 's development of its non -oil sectors 
particularly the chemicals side.  
 
Answer  
The general aim is a strategic integration of upstream and downstream businesses to allow the 
capturing of additional value across the hydrocarbon chain, expand sources of earnings and provide 
resilience to markets volatility. For example, the proposed acquisition by Saudi Aramco of a 70% 
equity interest in SABIC supports th e significant expansion of the Company 's downstream activities, 
particularly in its chemicals business, and provides additional opportunities for the Company to 
supply mixed feedstock of crude oil, refinery products and gas to manufacture petrochemicals 
products.  
 
Question  38 
Paragraph 3.165, page 69 "3.165: The new Government Tender and Procurement Law (GTPL) 
introduces offsets which are prohibited under the WTO Agreement on Government Procurement 
(GPA).  
Saudi Arabia is an observer to the GPA not a full M ember but the introduction of offsets does not go 
in the direction of integration of Saudi Arabia  on local content preference: How will local content 
preference be applied? Will local content requirement apply to all bidders including SOEs? What are 
exactly the sanctions and their amount in case of breach of the local content requirements?  
 
Answer  
Under the new Government Tender and Procurement Law, all price preference for local content is 
applied on all bidders whenever the tender contains supply of  goods. It is calculated by adding 10% 
on the price of non -local goods.  
 
Question  39 
on SMEs preference: How will be applied the SMEs preference? Price preference for SMEs or set 
aside of specific contracts? Will the SMEs preference apply to third countries SMEs? Will SMEs from 
third country be eligible to the SME register?  
 
Answer  
The ne w law supports SME 's and grants it the following;  
- Priorities in the direct purchase and in the limited tenders.  
- Invitations priority is granted to SME 's in the limited tenders.  
- SME's exemption from primary guarantees.  
 
Question  40 
With a view of the recent establishment of the Local Content and Government Procurement Authority 
of Saudi Arabia, could Saudi Arabia provide further information of the competences and functions of 
this Authority?  
 
Answer  
Local content requirements, monitoring Local content opportunities development and Center of 
Excellence.  
 
Question  41 
Paragraph 3.171, page 70 The bulk of procurement contract in most countries takes place at sub -
central level (cities, regions, etc…). For transparency it is crucial to have a unified legal framework 
for all level of governments . 
Could Saudi Arabia provide further details on the new elements that this law brought into the 
government procurement system of Saudi Arabia? Does the scope of the new GTPL include sub -
central level contracting authorities such as municipalities? If not what is the legal framework 
regulating the sub -central level? Could Saudi Arabia provide further information on the procurement 
rules applicable to the companies controlled by the State?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
The scope of GTPL include sub -central level contracting authorities.  
The GTPL does not apply on companies controlled by the State. Those companise have their own 
procurement system.  
 
Question  42 
Paragraph 3.172, page 70 "3.172. The Ministry of Finance is creating and implementing a unified 
web-based portal, called the ETIMAD, for government procurement efforts. The procedures for all 
tenders and procurement by governmental entities are to be posted on the ETIMAD, along with 
electronic versions of the tender documents, except for reasons relating to national security or 
technical reasons that prevent such posting. The Ministry of Finance will also compile and publish on 
the ETIMAD a list of "blocked" or "blacklisted" persons. The ETIMAD is expected to enable greater 
integration through the sharing of data on procurement activities among governmental bodies 
including the LCGPA, the General Authority for Zakat and Tax, and the Ministry of Human Resource 
and Social Development."  
As per Etimad, the Etimad Tender Portal cannot  be accessed outside Saudi Arabia and is not 
accessible to companies with no CR. A local representative must be appointed to act on their behalf 
either to buy or participate in the tender. Some companies abroad might just be interested in 
purchasing the te nder file to understand whether they are eligible or not for such project without 
further intentions to participate.  
Is Saudi Arabia going to change the requirements so an international company can at least access 
the tender information and files in exchan ge for a certain fee that could be paid by other methods 
than SADAD? (SADAD is not an international payment system). The existence of a single portal 
publishing all contract notices and contract award notices is a crucial element for the participation 
of foreign businesses to public procurement procedures.  
 
Answer  
MoF is currently working on ETIMAD to be accessible from outside KSA and also other methods of 
payment, such as VISA and wallet, will be added.  
 
Question  43 
What are  the document published in the unified web -based portal? Contract notices and contract 
award notices from contracting authorities for all level of governments?  
 
Answer  
Documents, such as contracts and unified forms are available on the following website; 
https://etimad.sa/LandingPage/CompetationContent   
 
Question  44 
Saudi Arabia is an observer to the WTO Agreement on Government Procurement (GPA) and 
previously committed to start its accession negotiations to this Agreement. In this respect, what are 
the plans of Saudi Arabia to start that process.  
 
Answer  
At the time of Saudi Arabia 's accession to the WTO and its confirmation to initiate negotiations for 
the membership in the Agreement on Government Procurement by tabling an entity offer and the 
condition  that if the results of the negotiations were satisfactory to the interests of Saudi Arabia and 
the other Parties to the Agreement, Saudi Arabia would complete negotiations for membership in 
the Agreement. It is worth mentioning that the said confirmation by Saudi representative at that 
time pertains and was specific to a previous version of the Agreement.  
 
Question  45 
Paragraph 3.190 page 73 Saudi Arabia is a party to a certain number of international treaties and 
conventions included the Convention Establ ishing the World Intellectual Property Organization 
(WIPO) and the Berne Convention for the Protection of Literary and Artistic Works. Furthermore, 
Saudi Arabia committed itself to the full implementation of the WTO TRIPS Agreement.  
Saudi Arabia has not ye t ratified the WIPO Copyright Treaty, the WIPO Performances and 
Phonograms Treaty, the Madrid Agreement Concerning the International Registration of Marks, the 
Madrid Protocol, the Geneva Act of the Hague Agreement Concerning the International Registration  
of Industrial Designs and the 1991 Act of the International Convention for the Protection of New 
Varieties of Plants (UPOV 1991). Does Saudi Arabia plan to join these international agreements?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
With the exception of  the Madrid Agreement2, Saudi Arabia is studying possible accession to the 
mentioned IP treaties (i.e. the WCT, the WPPT, the Madrid Protocol, the Geneva Act of the Hague 
Agreement, and the 1991 UPOV Convention) . 
 
Question  46 
Does Saudi Arabia plan to join the WIPO Copyright Treaty (WCT) and the WIPO Performances and 
Phonograms Treaty (WPPT) or the Rome Convention for the Protection of Performers, Producers of 
Phonograms and Broadcasting Organizations?  
 
Answer  
Saudi Arabia is studying possible accession to the mentioned IP treaties (i.e. the WCT, the WPPT, 
and the Rome Convention).  
 
Question  47 
3.3.7.2  Copyright and related rights , Paragraph 3.191 -193, page 74  
In 2016, it was noted that Saudi Arabia did not collect royalties  for distribution to all right -holders. 
Is this still the situation? More generally, what kind of amendments were made and in which domains 
affecting copyright?  
 
Answer  
Saudi Arabia still does not collect royalties for distribution to right -holders. Howeve r, Saudi Arabia 
now studying and considering the need to regulate how the royalties should be collected  
 
Question  48 
Paragraph 3.192, page 74 The Regulations of Optional Copyrights Registration issued by the SAIP's 
Board of Directors Decision No. 03/07/2019 dated 07/06/1440H (12 February 2019) provide 
registration services for architectural designs and computer software and applications. As we 
understand this is a new registration service, we would be interested to hear more about it.  
 
How many reg istrations have been collected so far? What are the implications if a rightholder decides 
not to register their work?  
 
Answer  
The number of registered works is 82. The right holder is protected even without having his/her 
work registered.  
 
Question  49 
Paragraph 3.193, page 74  
Could Saudi Arabia provide further information if there is a specific enforcement mechanism such as 
monitoring for IPS for copyright infringements on the Internet?  
 
Answer  
SAIP conducts online surveillance for copyright infringements.  
The procedures for such enforcement is  triggered either by a complaint from the right holder or in 
in an ex officio capacity without notice from the right holder.  
 
Question  50 
Paragraphs 3.200 -201, page 75 The patent protection period shall be 20 years from the date of filing 
the application i n Saudi Arabia or in GCC. Furthermore, the patent law excludes certain inventions 
from legal protection.  
Could Saudi Arabia provide some clarifications about the enforcement of the patent protection? 
Notably, does Saudi Arabia grant marketing approvals to Saudi companies for the production of 
generic versions of medicinal products that are still under patent protection in Saudi  Arabia or in the 
Gulf Cooperation Council (GCC) member countries?  
 
 
2  According to  WIPO (https://www.wipo.int/madrid/en/news/2016/news_0023.html ), the Madrid Union 
Assembly decided in 2016 to freeze the  single accession to the Madrid Agreement Concerning the International 
Registration of Marks . WT/TPR/M/407/Add.1  
 
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  Answer  
SFDA fully respect intellectual property rights legislations. SFDA does not register a generic version 
for innovated product that have patent protection from Saudi Patent Office or GCC Patent Office.  
 
Question  51 
Could Saudi Arabia provide details about its Regulatory Data Protection (RDP) legal regime and the 
conditions under which the Saudi Food and Drug Authority (SFDA) approves generic versions of 
innovative products?  
 
Answer  
SFDA does not disclose any data submitted for registration of a product by any company (innovated 
company or generic company).  Also, SFDA does not benefit from this data for any commercial use.  
 
Question  52 
Could Saudi Arabia provide some clarifications as regards the various types of exclusions, in 
particular are biotechnological inventions excluded?  
 
Answer  
The Law in article 43 state that "…the invention may be a product, a process or relates to either " 
and in the article 45 (d) state that "in the application of provisions of this Law, the following shall 
not be regarded as inventions … (c ) Plants, animals and processes – which are mostly biological – 
used for the production of plants or animals, with the exception of micro -organisms, non - biological 
and microbiology processes , (d) Methods of surgical or therapeutic treatment of human or animal 
body and met hods of diagnosis applied to human or animal bodies, with the exception of products 
used in any of these methods. " Therefore, any invention not related to product, process or related 
to any subject matter in section (c) or (d) mentioned above would be excl uded from protection by 
Law. 
 
Question  53 
Paragraph 205 -208, page 75  
Could Saudi Arabia provide clarifications about enforcement of IPR in order to fight against large -
scale copyright piracy in its territory and beyond?  
 
Answer  
Saudi Arabia has launched many campaigns to raise public awareness as well as to enforce IPR. For 
example, Saudi Arabia has, recently, destroyed more than 5,500,000 million items that are in 
violation of IP Laws.  
For More information, please read the 2020  Annual Report for Intellectual Property enf orcement, 
which can be found on : https://www.saip.gov.sa/en/   
 
Question  54 
Paragraph 4.18, page 83 "Administered prices for barley feed were increased in early 2020, while 
import subsidies for hay remain in place .15 " 
Concerning import subsidies for hay remaining in place could Saudi Arabia provide information on 
import subsidy policy for feed imports?  
 
Answer  
As for hay subsidy, it is currently provided only to integrated feed mills as a productive input for 
feed production, Meanwhile, the subsidy was stopped for other feed imports such as corn, soybeans.  
 
Question  55 
Paragraphs 4.29 -30, pages 88 -89 "4.29. In 2017, the Council of Ministers approved the 
Comprehensive Mining and Mining Industries Strategy, which  aims to address several challen ges 
confronting the sector. …… At the same time, as discussed in the National Industrial Development 
and Logistics Program (NIDLP), the Government considers that Saudi Arabia has three main sources 
of competitive advantage t o develop mineral value chains: a large and growing domestic demand; 
a rich mineral endowment; and competitive energy costs.  
4.30. The Government set a number of quantitative objectives to be attained by 2030: (i) to make 
the mining sector the third major pillar of Saudi industry, alongside oil and petrochemicals, by more 
than tripling its contribution to GDP."  
Within Vision 2030 what are the specific programs aimed at developing the mining sector? Para 4.26 
states that 'The Government considers that the mi ning sector offers considerable scope for import WT/TPR/M/407/Add.1  
 
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  substitution, as Saudi Arabia is a large importer of mineral products '. Given the volumes of imports 
of iron ore listed in in Table 4.8, could Saudi Arabia elaborate on the plans and time frame to develop 
mining of Iron ore. In developing the mining sector does Saudi Arabia have plans to develop further 
downstream industries including smelters.  
 
Answer  
The national industrial development and logistics program (NIDLP) is one of the Vision 2030's 
programs that aims to develop the mining sector. This program has launched the Saudi Arabia 's 
Mining and Mining Industries Development Strategy, which has identified many initiatives that fall 
under five main pillars that help overcome the challenges facin g the mining sector:  
1. Accelerate exploration operations.  
2. Enhancing the economic viability of mining projects.  
3. Encouraging investment and structuring the mining sector.  
4. Enhancing the social benefits that arise from the value chain.  
5. Increasing the sector 's contribution to fiscal revenue.  
In regard to Iron ore, the Saudi demand for DR Pellet is forecasted to increase from 9.5 MTA to 
reach 13.5MTA by 2035. Further, steel scrap in the Kingdom will remains in short supply. The 
Kingdom at this point is evaluating s everal options to ensure that sufficient feedstock is available to 
supply its industry requirements and is evaluating scrap options and tradeoff between DRI and scrap. 
Also, the Kingdom is exploring the potential for iron ore mining or LTA, however, still in early stages.  
In regard to KSA plans to develop further downstream industries, KSA is encouraging investments 
in several mineral value chains. Each value chain has its own value proposition, therefore the 
development of the downstream industries might n ot be in the same order for all minerals and that 
will largely depend on the feasibility of each project.  
 
Question  56 
Paragraph 4.37 page 90, "4.37. In order to grow and diversify the economy, which is one of the 
strategic objectives of Vision 2030 (Section 2), Saudi Arabia aims to maximize the value captured 
from the energy sector through: (i) increased localization of t he oil and gas sector38; (ii) increased 
gas production and distribution capacity; (iii) development of oil - and gas -adjacent industries; (iv) 
increased contribution of renewables to the national energy mix; and (v) enhancement of the 
competitiveness of the  energy market.39 Specific plans to achieve this objective of maximizing the 
value from the energy sector were defined in the NIDLP, one of the Vision Realization Programs 
adopted in 2017 to implement Vision 2030. Energy is one of four key sectors addresse d by the 
NIDLP."  
Taking into account that Saudi Arabia has intention to promote a more diversified economy, not only 
focus on oil, but also renewable energy. What is Saudi Arabia planning to do to achieve a more 
diversified economy in particular, what meas ures are going to be adopted to increase renewable 
energy projects?  
 
Answer  
Saudi Arabia is geared to diversify sources of economic sectors such as industries, mining  and 
tourism. Circular Carbon Economy (CCE) approach address es both renewable and cleaner 
hydrocarbon technologies to ensure that these sectors meet the required national environmental 
performance.  
 
Question  57 
Paragraph 4.57, page 96 "4.57. Third, changes  were made recently to the fiscal regime applicable 
to Saudi Aramco's operations, to the Price Equalization regime, and to the conditions under which 
Saudi Aramco sells hydrocarbon products to the Government.  
 
• Pursuant to the revised Concession Agreement,  changes were made with respect to the royalty 
rates paid by Saudi Aramco, effective on 1 January 2020.75  
• Prices of domestic sales of crude oil, natural gas (including ethane), natural gas liquids 
(propane, butane, and natural gasoline), and certain refined products (kerosene, diesel, heavy 
fuel oil, gasoline, and asphalt) are regulated by the Government (Sect ion 3). A Price Equalization 
regime established in 2017 provides that Saudi Aramco is entitled to compensation from the 
Government if it sells crude oil and certain refined products domestically at prices below the 
corresponding equalization prices. The am ount of compensation is equal to the cost of the 
revenue forgone by Saudi Aramco by complying with the Government's pricing mandates 
(emphasis added). The Price Equalization regime is administered by the Ministry of Energy. In WT/TPR/M/407/Add.1  
 
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  September 2019, the regime wa s amended to expand its scope to include LPGs and certain 
other products as at 1 January 2020.  
• Effective 1 January 2017, the Government guaranteed amounts paid to Saudi Aramco for its 
sales of hydrocarbon products to various government and semi -government al entities. This 
guarantee is subject to a limit to the amount of guarantee for each individual entity."  
 
As mentioned under Section 4.57 above could Saudi Arabia explain how are the prices of crude oil, 
natural gas (including ethane) and natural gas liqu ids (propane, butane, and natural gasoline) 
determined by the Government? What are the Government 's pricing mandates and what is the 
applicable legislation? How is the level of compensation determined? What benchmark is used to 
determine the level of reven ue foregone by Saudi Aramco? How much has Saudi Arabia paid under 
this scheme in 2020, broken down between the various products?  
 
Answer  
The Executive Committee for the Governance of Energy and Water Prices Reform oversees the 
energy and water price reform  plan considering economic, social, and sectorial impact   .The domestic 
prices are determined in accordance to the Council of Ministers, No 95 and 166  . 
There are different indicators and market benchmarks that are utilized to calculate the international 
prices, e.g. Platts.  
 
Question  58 
Paragraph 4.65, page 97 Saudi Arabia has been regulating the price of natural gas. With regard to  
the pricing of NGLs, Saudi Arabia stated in its Protocol of Accession, that producers/distributors of 
NGL would "fully recover their production and investment costs […] and make a profit in the ordinary 
course of business." According to Saudi Arabia, the latter pricing policy was in reflected in a detailed 
formula for ensuring that domestic NGL prices were based on international market prices, adjusted 
for a range of cost -based and other commercial considerations. At the same time, the Ministry of 
Energy d etermines the tariffs for transportation, processing, fractionation, and other terms and 
conditions of access to the Master Gas System. It also determines the necessary allocation of natural 
gas and NGLs to different sectors of the economy based on individ ual demand estimates for each 
sector. Additionally, Saudi Aramco owns and operates the Master Gas System (MGS), and performs 
all domestic marketing and sales of natural gas and natural gas liquids from the MSG.  
How many NGLs producers and exporters are the re in Saudi Arabia, and what would be the 10 
biggest? Do they all make a profit: 1/ from their activity, 2/ from domestic sales?  
 
Answer  
Saudi Aramco is the only producer and exporter of NGLs on commercial bases . 
 
Question  59 
Is the policy prerogative of the Ministry of Energy regarding tariffs setting and allocation compatible 
with transactions in the gas market occurring in line with commercial considerations?  
 
Answer  
Please refer to the answers of questions 57 and 58.  
 
Question  60 
When d oes Saudi Arabia plan to start exporting natural gas, and what will be the role of Saudi 
Aramco in that respect, taking into account its current involvement?  
 
Answer  
Saudi Arabia is focusing on meeting the local demand for natural gas for the expansions an d growth 
in the different sectors including power.  
 
Question  61 
With regard to natural gas, the Secretariat 's Report states that "starting in 2020, there was to be a 
targeted and gradual transition to the linked Reference Price with an applied price ceiling". Could 
Saudi Arabia give the details of this planned pricing policy? Would this new policy be applied for 
natural gas or also other gas products? What are the target dates for fully implementing this policy 
change?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
The planned pricing poli cy was developed to ensure economic sustainability, social welfare, and 
minimal sectorial impact. The planned pricing policy addresses multiple products; including gas.  
 
Question  62 
What is the legal basis for granting a grace period on the payments of royalties on condensate 
products for Saudi Aramco? What is the approximate average level per annum of the royalties 
foregone? Would gas producers be granted any other exemptions from pa yments to the State, now 
or in the future?  
 
Answer  
In order to meet the needs of the Kingdom, the Government may choose not to collect royalties 
from producers for a period specified by the Government. The amount of royalties not collected, if 
any, is conf idential information . 
 
Question  63 
Table 4.17 gives information on Electricity tariffs.  
Are the rates given the actual rates or average rates? Are there different tariffs applicable to different 
industrial sectors? If so what are the sectors and the various rates applicable? Do energy intensive 
industries attract different rates? Are there re bates granted by governmental authorities, at central 
or local level?  
 
Answer  
- Tariffs are fixed throughout the year.  
- There are no different tariffs applicable to different industrial sectors.  
- There is no different rate nor rebates.  
 
Question  64 
Could Saudi Arabia provide a similar table regarding the prices of NGLs, including those applied 
commercially by operators, and  those set by the State?  
 
Answer  
Please refer back to table 4.16 pa 101 as Saudi Aramco is the only operator.  
 
Question  65 
4.3 Manufacturing Paragraph 4.94 page 104  
As the National Industrial Development and Logistics Program (NIDLP) envisions to transform Saudi 
Arabia into a leading industrial powerhouse and a global logistics hub what are Saudi Arabia's plans 
in terms of expanding railway connectivity between Saudi Arabia and its northern neighbours, 
particularly Jordan?  
 
Answer  
Saudi Arabia inte nds to expand railway networks to connect with neighboring countries. With regards 
to northern neighbors, particularly Jordan, Saudi Arabia has railways lines in the north of the 
kingdom which can be linked with Jordan in case Jordan has plans to connect t he lines with Saudi 
Arabia  
 
Question  66 
Paragraph 4.96, page 104  
The Secretariat Report states that the National Industrial Strategy (NIS) will be updated.  
When will the updated version be available and will there be any additional areas included to the 
nine priority sectors?  
 
Answer  
The updated version of NIS is expected to be completed during the first half of 2021, and it 's 
expected to cover additional area(s) to the nine priority sectors.  
 
Question  67 
Paragraph 4.145, page 117 "4.145. The Ministry of Commerce and Investment (MOC) issued an E -
Commerce Law that became effective in October 2019 with implementing regulations adopted and 
implemented from 31 January 2020.206 The Law regulates e -commerce betwe en consumers in 
Saudi Arabia and service providers based anywhere in the world (including transactions between WT/TPR/M/407/Add.1  
 
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  individuals), and contains clauses on consumer data protection, transparency in contracting and 
electronic advertisements, consumer rights (inclu ding returns and cancellations under certain 
circumstances), and licensing/registration requirements for traders and electronic platforms. 
According to the authorities, the new framework increased trust in online transactions and facilitated 
consumers rais ing cases related to e -commerce to the authorities as a result of a strengthened 
consumer protection framework."  
Could Saudi Arabia clarify if and how the licensing/registration requirements for traders and 
electronic platforms in the e -commerce law apply  to foreign service suppliers?  
 
Answer  
According to the licensing requirements for a supplier of services outside the Kingdom, the investor 
may have an official capacity in the Kingdom by registering as a foreign investor and obtaining the 
requested licens es under person 's identity as a foreign investor. If the service provider does not 
have any legal capacity in the Kingdom, the role of the Ministry of Commerce is to communicate 
with the store through the contact information on the web page to create direc t communication and 
handle any complaint. The new E -commerce law preserved the consumer's rights in all matters 
dealings with service providers inside or outside the Kingdom through their commitment to the law 
and imposing penalties for violators that may reach to block the store 's website.  
 
II. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  68 
Paragraphs 1.18 and 1.19 page 6 lays out the roles and goals of The Saudi Small and Medium 
Enterprises Authority (Monshaat) in charge of promoting cooperation with strategic partners locally 
and internationally. Collaboration between Saudi and foreign MSMEs is vital to develop a dynamic 
MSMEs ecosystem in Saudi Arabia.  
How does Saudi Arabia intend to help foreign MSMEs working on the Saudi market? Ar e there plans 
to modernize payment terms, vendor registration processes, dispute resolution, etc?  
 
Answer  
Foreign MSMEs can benefit from all services and programs that Monshaat provides including access 
to finance and business support. The Franchise progra m also supports local and foreign MSMEs 
brands and trademarks, through enabling these brands to expand their businesses. Foreign MSMEs 
can benefit from this program through the franchise platform where they can offer their brands for 
franchisees.  
 
Question  69 
Paragraph 2.2 page 7 In 2019, Saudi Aramco successfully went through the initial public offering 
(IPO) while nearly 2 % of shares were sold.  
Are there any plans for offering more of Saudi Aramco's shares to the public in the near future?  
 
Answer  
Any future listing decision (timing, amounts, listing venue) is a shareholder decision.  
 
Question  70 
Paragraph 2.11, page 8 features the National Center for Privatization and PPP (NCP) as the 
government's center of excellence to support the privatiza tion strategy in Saudi Arabia by preparing 
and implementing tenders.  
Could Saudi Arabia outline the guidelines and characteristics of this process? How can foreign 
companies apply to these PPP tenders?  
 
nswerA 
NCP along with the privatization ecosystem are currently  working on developing guidelines including 
privatization manual, sector s strategies , marketing and communication plans , all these  will ensure 
the participation of  both local and foreign investors in Saudi PPP& P projects.  
Tendering process ensures transparency and nondiscrimination of any technically eligible investor 
that meets the project criteria and is able to fulfill the official requirements to operate in the  kingdom 
of Saudi Arabia.  
 
In addition, NCP in teracts with private sector companies through a series of investor outreach 
programs targeting both local and international companies. The outreach programs utilize several WT/TPR/M/407/Add.1  
 
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  channels such as physical  meetings, website information, email newsletters, social media 
announcement, news releases, etc.  
 
Once the procurement process is launched , eligible local and  foreign  companies  are encouraged to 
apply with the required credential information. Private sector companies are encouraged to maintain 
a line of communi cation with NCP as frequently as possible  if required during the whole cicle of the 
process . 
 
Question  71 
Paragraph 2.17, page 8 "2.17.  Other developments included establishing international investment 
attraction offices in a number of target countries; and enabling 100% foreign investment in the retail 
and wholesale sectors, transportation, engineering services and associated consultations, and 
private health institutions."  
Does the plan include liberalisation of ownership in airlines and, if so, will there be any restrictions?  
 
Answer  
The mentioned para didn 't include airlines services, in addition KSA 's schedule of commitments didn 't 
include any commitments regarding airlines.  
 
Question  72 
Paragraph 3.4, page 9 Saudi Arabia has simplified cus toms formalities, including minimization of 
import documents number from 12 to 2 (Bill of Lading and invoice).  
Are there any plans to further streamline the import and certification processes?  
 
Answer  
General Customs Authority has worked to facilitate both imports and exports requiremnents to the 
extent possible. The last thing that was done was to accept a copy of the documents such as bills, 
invoices, etc., to be submitted by the "importer" via the pl atform. This formality is called pre -
submission, which has helped speed up work on completing the required customs formalities before 
the consignment arrival to be cleared in perminemum time.  
 
Question  73 
Paragraph 3.19 page 11 explains the Economic Cities  and Special Zones Authority (ECZA)'s strategy 
to develop 7 SEZs in the coming 5 years with customized privileges listed.  
Could Saudi Arabia provide more precise information as to which privileges will be attributed to 
which zone? Also, does Saudi Arabia h as laid out a precise schedule for the creation of these 7 SEZs?  
 
Answer  
ECZA offers various types of incentives such as regulatory and administrative, in addition to the 
incentives currently being offered in the Base Economy.  
 
Question  74 
Paragraphs 3.20 -23, page 11 3.2 Technical Barriers to Trade (TBT)  
To what extent has the introduction of the electronic certification system Saleem and Saber in 2019, 
brought supplementary administrative requirements and charges for exporters to Saudi Arab ia 
compared with the previously existing technical requirements and their certification system?  
 
Answer  
The main purpose of Saber is to Improve the import experience and obtain the certificates of 
conformity and shipment by using one platform integrated wi th other entities. Saber has reduced 
the certification process to 1 -7 working days compared to 7 -15 working days previously. In addition, 
Saber is linked directly to Saudi Custom, which grants products clearance within 24 hours. According 
to the World Bank  report, Saudi Arabia has jumped from rank 158 to rank 87 in trading across 
boarder in which Saber has contributed directly by reducing cost, time, and documents for shipment 
clearance.  
 
Question  75 
What is the language regime used for information about th e conformity assessment requirements 
that is made available to producers based outside Saudi Arabia, and are documents available in 
English and/or other languages?  
 WT/TPR/M/407/Add.1  
 
- 68 - 
 
  Answer  
The document, written in Arabic, is the reference. In addition, all adopted technical regulations can 
be found in English on SASO 's official website via the following link: 
http://www.saso.gov.sa/en/laws -and-regulations/technical_regulations/pages/default.aspx  
 
Question  76 
If an exporter exports a product (e.g. of same characteristics, directly substitutable) under several 
brands to Saudi Arabia, does this exporter need separate SQM certificates for each brand? Does this 
apply also in a case when an exporter exports this product with several trademarks to Saudi Arabia?  
 
Answer  
The quality mark is granted to one or more trademarks if the applicant enterprise owns these 
trademarks as described in the general technical regulations of the quality mark.  
 
Question  77 
As a member of ISO, does Saudi Arabia recognise assessments from internationally accredited 
bodies of compliance with ISO standards (e.g. 9001, 14001)?  
 
Answer  
It is not a requirement for the quality mark to obtain ISO 9001 and ISO 14001 certificates . 
 
Question  78 
Does Saudi Arabia apply the same requir ements in terms of conformity assessment to producers 
established abroad and exporters to Saudi Arabia (including in terms of audits)?  
 
Answer  
Yes, the requirements are applied without differentiation between manufacturers, whether they are 
nationals or fo reigners.  
 
Question  79 
What is the standard procedure to inform producers who are applying for a Saudi  Quality Mark (SQM) 
in a situation when elements are missing in their applications or when SASO grants a SQM certificate? 
If all the requirements for obtaining an SQM certificate have not been fulfilled, is there a correction 
mechanism in order for the applying companies  just to correct what is needed, and not to re -apply 
and undergo the entire procedure?  
 
Answer  
Communication with enterprises is continuous by e -mail, direct contact or by the certification system 
(JEEM) and SASO gives 30 days to correct observations from the date of application when examining 
the technical documents submitted with the application.  
 
Question  80 
What are the measures/procedures introduced by SASO, which ensure that the information of 
operators about the applicable technical requirements and the state of their application procedure 
for a Saudi Quality Mark is easily available and transparent?  
 
Answer  
SASO provides all its services in order to achieve Neutrality and transparency, the technical 
regulations, requirements and procedures through SASO's website are available as well as the status 
of the application through the electronic certification system and direct communication with the 
beneficiary through it, which is available 24 /7.  
 
Question  81 
Does SASO envisage an increase of ava ilable accredited certification bodies?  
 
Answer  
Yes 
 
Question  82 
Is it obligatory for importing companies to have a legal representative established in Saudi Arabia 
and if yes, which would be the legal requirements and obligations of such representative?  
 WT/TPR/M/407/Add.1  
 
- 69 - 
 
  Answer  
With regard to the quality mark, it is not a requirement to obtain the quality mark to have a legal 
representative of enterprises outside Saudi Arabia  
 
Question  83 
Regarding the  GCC Conformity Tracking Symbol (GCTS) which can be obt ained from notified bodies 
authorised by SASO are there any additional certificates of conformity requested, when the GCTS 
has already been issued?  
 
Answer  
There are additional requirements for some of products obtaining Gulf Conformity Mark such as 
power strips and plugs that are enforced to obtain Quality Mark. In addition, fridges, washing 
machines and water heaters are also enforced to obtain Energy Efficiency Label. These are national 
requirements additional to Gulf Conformity Mark – which is mandatory  to appliances, electrical 
devices and children toys. Products applying to Quality Mark are granted Gulf Conformity Mark in 
one single procedure when fulfilling the requirement.  
 
Question  84 
Are there fees required for GCTS renewals and are there plans to remove these costs since this is a 
formal process, executed online by the manufacturer?  
 
Answer  
This inquiry is within the competence of GCC Standardization Organization, and they have the 
opportunity to answer the question regarding future planning to can cel the renewal fees.  
 
Question  85 
Regarding the update of Regulation SASO 2857:2015 "Vehicles tires rolling resistance and wet rip 
requirements" are the relevant authorities of Saudi Arabia envisaging to maintain the legal basis 
(1N/kN allowance)  allowing for imports of 3 Peak Mountain Snowflake (snow tyres ) to Saudi Arabia?  
 
Answer  
KSA proposes discussing this inquiry and the technical issues associated with it through the channels 
of the Technical Barriers to Trade (TBT) Agreement.  
 
Question  86 
Paragraph 3.26 page 11  
In view of the GCC "Treaty on Excise Tax" of December 2016 and its planned reform could Saudi 
Arabia inform whether the relevant authorities in Saudi Arabia envisage the decrease of the tax for 
energy drinks in order to ensure parity between energy drinks and other sugary drinks. Does Saudi 
Arabia envisage the engagement of private industry stakeholders in the process of revising this tax?  
 
Answer  
Any details of amendments to the excise tax rate will be announced once there is a n agreement 
among the GCC states and a formal resolution is passed. The Kingdom will publish the draft amended 
legislation for public consultation prior to enacting the new legislation and will give all stakeholders 
sufficient time to provide their feedbac k. 
 
Question  87 
Paragraph 3.37, page 13 outlines the developments that occurred in Saudi Arabia with regard to the 
protection of intellectual property rights. Several structures are mentioned: the "Saudi Authority for 
Intellectual Property" (SAIP), the "Na tional Committee for Enforcing Intellectual Property Rights" or 
the "IP Respect Council".  
In case of infringement of IP rights of a foreign company by a Saudi company, which body is 
effectively responsible to resolve the dispute and enforce IP rights in S audi Arabia? Does the 
ownership structure (public or private) of the alleged Saudi violator impact the enforcement 
procedure?  
 
Answer  
It depends on the nature of the dispute, if there is a criminal aspect then the right holder can file 
complaint in the competent government agency, then a case file will be prepared to be submitted to 
the public prosecutor to be brought to court. For civil  disputes, the right holder can directly go to 
court to claim his/her rights.  WT/TPR/M/407/Add.1  
 
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  The protection applies equally to domestic as well as foreign right holders. All rights holders domestic 
and foreigners benefit from all moral and financial rights, as well as t he protection stipulated in the 
Berne Convention for the Protection of Literary and Artistic Works and the provisions of the Copyright 
Law and its Implementing Regulations (Article 18: Scope of Protection) . 
 
Question  88 
Paragraph 3.42 page 13 3.42. SAIP is  currently reviewing and amending its IP legislations to 
incentivize innovation, investment and production of creative works, addition to, and requesting 
public feedback on a number of draft new legislations.  
Could Saudi Arabia provide details about these amendments ? 
 
Answer  
SAIP is currently reviewing the copyright law, the law of patent, layout designs of integrated circuits, 
plant varieties and industrial design, and Regulations for the Protection of Confidential Commercial 
information to propose drafted amendments. With th e exception of Patent law, SAIP issued a public 
consultations request to gather feedback from the public on ne drafted copyright law and Regulations 
for the Protection of Confidential Commercial information to collect issues, and address them in a 
new draf ts of laws. SAIP, also, is working on proposal of new draft law for geographical indications 
which had been published for public feedback.  
 
Question  89 
Paragraph 4.24, page 16 4.24. Aquaculture is one of the important and vital productive sectors  
How are environmental and social sustainable criteria embedded in the aquaculture strategy of Saudi 
Arabia?  
 
Answer  
1. Aquaculture in the kingdom of Saudi Arabia will have to continue to grow to meet the 
increasing demand for fish. Ministry of Environment, Water and Agriculture (MEWA) develop 
the aquaculture strategy to contribute to local, national planning and management to cater 
for environmental, social, econom ic, health and animal welfare concerns. MEWA has already 
implemented a number of activities at Policy framework and regulatory level to regulate the 
sustainable management and development of natural resources also to maintain the high -
quality standards in the environment where fish or shrimp farms are planned or are already 
operational. This is through the formulation of modern controls and mechanisms governing 
the issuance of licenses for aquaculture projects and monitors their activities. That include the  
environmental impact assessment study which process of evaluating the likely environmental 
impacts of a proposed project or development for each aquaculture projects, taking into 
account inter -related socio -economic, cultural and human -health impacts, bot h beneficial and 
adverse  . 
2. There are a number of guidelines prepared by the technical Cooperation and partnership 
between the MEWA in the Kingdom of Saudi Arabia  and the Food and Agriculture Organization 
of the United Nations that support the sustainable aspects in aquaculture projects such as the 
Guidelines and Criteria on Technical and Environmental Aspects of Cage Aquaculture Site 
Selection in The Kingdom of Arabia, Guidelines on environmental monitoring for cage 
aquaculture within the Kingd om of Saudi Arabia Such Guidelines ensure that cage farms use 
practices that minimize environmental impacts for the long term sustainability of cage 
aquaculture within the Kingdom of Saudi Arabia.  
3. At the same time, to support the monitoring of aquaculture projects The General Authority for 
Meteorology and Environmental Protection (Now the National Center for Environmental 
Compliance) is responsible for mechanism for an environmental monitoring schedule and 
environmental Surveillance Program also review the EIA as a main requirement for 
aquaculture projects licensing  . 
4. As a case of all aquaculture, maintaining standards of responsible and sustainable culture 
practice has become a matter of priority for kingdom, which paved the way for the compilation 
of Nation al Aquaculture Polices and Practices. MEWA developed the National Aquaculture 
Policies and Practices as official regulation to be followed in all matters related aquaculture 
practice in the kingdom.  The Fisheries Department is responsible for all activitie s related to 
aquaculture operations in the Kingdom of Saudi Arabia.  
5. The producers in the Kingdome of Saudi Arabia shall consider carrying out practices that 
reduce the risk of a disease outbreak since they operating aquaculture facilities.  National 
Biosecu rity program in the kingdom is a set of practices for aquaculture projects 
Implementation process to minimize the introduction, establishment and spread of pathogens. WT/TPR/M/407/Add.1  
 
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  MEWA is technically cooperating with (SAS) through Fisheries Department to implement the 
Biosecurity program in the kingdom which is mainly responsible to (1) Control, regulation and 
supervision of aquaculture operations in coastal and inland regions also supporting research 
projects on aquaculture. (2) Control and follow -up measures have been  updated based upon 
international laws and Kingdom concerns to achieve sustainable development and maximum 
production capacities of the projects  . 
6. MEWA understand that aquaculture can be expanded in Saudi Arabia, but only if it is done 
sustainably and respo nsibly production. BAP certification is the world 's most comprehensive 
third-party aquaculture certification assure Animal Health and Welfare and food safety, Social 
Responsibility, environmentally sustainable. MEWA support companies to be certified with t he 
BAP third -party certification which is a program as the national standard for all Saudi Arabia 
aquaculture facilities to ensure the high -quality production. Hence, all existing Saudi Arabia 
aquaculture projects (processing plants, farms, hatcheries and feed mills) required to attain 
BAP certification, BAP certification is condition of licensing new aquaculture facilities by MEWA.  
7. Moreover, MEWA support SAMAQ, which is the Saudi national aquaculture product certification 
and labeling program developed by the Saudi Aquaculture Society under the guidance of 
MEWA (Fisheries Department). SAMAQ is the logo of the official national aquaculture product 
certification program. The label indicates that a product complies with requirements of the 
Saudi Arabian Code f or Responsible Aquaculture Practices, and is in accordance to 
international guidelines and standards. The SAMAQ logo indicates the local origin, freshness 
and safety of the national aquaculture products.  
 
Question  90 
Paragraph 4.35, page 17 outlays several  industrial programs to promote energy efficiency and digital 
transformation. These topics are very much actual and find a resonance in numerous states with 
similar initiatives carried out by dedicated public agencies or private -public clusters.  
Are there any tools put in place for possible paths of cooperation between the Saudi programs and 
these foreign organizations? If so, how do these instruments work?  
 
Answer  
The instruments work via agreeing and signing MOUs between relevant parties.  
 
Question  91 
Paragraph 4.73, page 23 evokes studies carried out by the MoH on privatization of hospitals . 
How does Saudi Arabia see the future of its health system? Is it moving towards an all privatized 
system or going for mixed service provision with publ ic-private cooperation? How does the insurance 
coverage fall into these plans (statutory private insurance)?  
 
Answer  
The Ministry of Health in Saudi Arabia is undergoing a major transformation to separate regulation, 
payment and provision functions. Accord ingly, the health system will compromise of the following 
three entities:  
- The Ministry of Health will be the regulator of the health sector, both private and public.  
- Public health care providers will be corporatized to be transformed to accountable care 
organizations which will be responsible for population health management.  
- Center of National Health Insurance will be responsible for financing the public provision 
system based on a risk -adjusted capitation model.  
 
The system is moving t owards an integrated mixed service provision system with public -private 
cooperation.  
Statutory private insurance will be responsible for financing healthcare a ctivities of its beneficiaries.  
 
Question  92 
Paragraph 5.1, page 24  
Saudi Arabia is one of the six members of the Gulf Cooperation Council (GCC) as well as the Gulf 
Common Market (GCM), which was officially launched in 2008. What specific progress has been 
achieved in terms of harmonizing GCC member states' regulations regarding packaging and custom  
formalities?  
 
Answer  
Work is in progress reagrding t he refered topics.  
 WT/TPR/M/407/Add.1  
 
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  Question  93 
Paragraph 6.21, page 28 "6.21 As part of the Kingdom's transformation plan in Vision 2030, the 
government implemented two phases of energy and water price reforms in 2016 and 2018. The 
evaluation, planning and execution of energy and water price reforms is overseen by an executive 
committee formed from multiple government agencies."  
SEC Paragraph 4.79  "4.79. Reform of domestic energy prices was an important component of Saudi 
Arabia's economic transformation policies during the review period. Saudi Arabia provided energy 
products to its domestic consumers at prices that are usually lower than export prices."  
As referred to under 6.21 of the Government Report above, could Saudi Arabia explain what the 
reforms of prices in the energy sector have entailed? As mentioned under 4.79 of the Secretariat 
Report what is the percentage difference between prices charged to domestic consumers (including 
industrial operator s) versus export prices, in particular for crude oil and oil products, natural gas 
and NGLs. Could Saudi Arabia provide information on the trends in this percentage from before and 
after the reform?  Could Saudi Arabia provide the reference of the legislati ve framework for the 
setting of energy prices?  
 
Answer  
Depending on the product, there are different frequencies at which prices are updated (daily, weekly 
or monthly). Such frequencies would depend on the various indicators that have an influence on the 
movement trends. Domestic prices are reflective of production costs and a reasonable profit as well 
as other commercial considerations including quality, availability, marketability and transportation.  
 
Question  94 
Paragraph 6.23 -25, page 28 "6.23 The new c ompetition law, issued by virtue of Royal Decree No. 
(M/75) dated 29/6/1440H (3 \5\2019), replaced the old law.  
6.24. According to Article 3 of the new Law, all firms in the Kingdom of Saudi Arabia are subject to 
competition law, regardless of their nationa lity and owner. Wholly owned State establishment or 
company are exempted from the Law and the Regulations if it is solely authorized by the Government 
to provide a commodity in a particular field (emphasis added). Such exemption shall be effective 
only by virtue of Royal Decree or Council of Ministers' Resolution.  
6.25. The Law applies to all goods and services, in accordance with Article 4 of the Law, prices of 
goods and services are determined according to market rules and principles of free competition."  
Could Saudi Arabia explain what commodities are covered under the exemption for wholly -owned 
state establishments or companies in a particular field as mentioned under 6.24 above. It would 
appear that this exemption also applies to the determ ination of prices as shown in Table 3.10 "Main 
changes between the old and new competition laws" in WT/TPR/S/407 i.e. the WTO Secretariat 
Report. It appears that this contradicts the statement in 6.25 above. Could Saudi Arabia explain how 
this list of comm odities is determined, by whom and where the legislation/information is explained 
and how the prices for the specific commodities are set?  
 
Answer  
The exemption is only granted conditional fulfilling two requirements; (1) the entity shall be solely 
owned by the Saudi Government and (2) the entity shall be solely authorized to provide a commodity 
or service.  
 
EUROPEAN UNION  - FOLLOW -UP QUESTIONS  
Question 1  
 
EU follow up to question 2: Could Saudi Arabia indicate how and when the tariff increases were 
notified?  
 
Answer  
The Kingdom of Saudi Arabia as any WTO member has the right to raise any of its duties up to the 
bound rate. More so, the Kingdom has notified the updated the applied tariff scheduals to the 
WTO IDB.  
 
Question 2 
 
EU follow up to question 8:  Could Saudi Arabia give more details on the "minimized clearance 
time" and give figures by means of transport?  WT/TPR/M/407/Add.1  
 
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  Answer  
It is possible to clear the consignments before the shipment arrives at the customs ports if the 
importer is obliged to submit the customs  data in advance.  
 
Question 3 
 
EU follow up to question 23:  The objective of collecting trade statistics or market surveillance 
could be achieved through automatic import licensing. Is the particular criterion intended for some 
specific products on the list, and if so what is the rationale? Are these temporary meas ures?  
 
Answer  
The particular criterion is not intended to specific products.  
 
Question 4 
 
EU follow up to question 24: Under which circumstances does Saudi Arabia foresee the application 
of export duties? Does Saudi Arabia contemplate introducing export du ties? 
 
Answer  
Currently there are no fees imposed on exports.  
 
Question 5 
 
EU follow up to question 26 : Saudi Arabia 's response mentioned reasons to maintain exports 
bans for some of the products mentioned in table 3.6 but not for all. Could Saudi Arabia provide a 
legal basis for export prohibitions for each of the listed products. In addition, could Saudi Arabia 
specify the reasons for these prohibitions for the rest of products mentioned in table 3.6? Are there 
any criteria for removing products f rom this list?  
 
Answer  
The reason to maintain exports bans for some of the agricultural products is to conserve scarce 
water resources in the kingdom of Saudi Arabia.  
 
Question 6 
 
EU follow up to question 47:  Could Saudi Arabia provide more information on the collection of 
royalties and if rightholders receive royalties from other sources such as e.g. Collective Management 
Organisations (CMOs)?  
 
Answer  
Royalties related to the extraction of hydrocarbons are reg ulated by the concession agreement.  
 
  WT/TPR/M/407/Add.1  
 
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  ICELAND  
III. OTHER QUESTIONS  
Question 1  
What is the participation of women in the economy of Saudi Arabia?  
 
Answer  
based on GASTAT labor  force survey Q3 2020 women participation rate is 30%.  
 
Question 2 
 
Have specific barriers that limit women 's participation in trade been identified?  
 
Answer  
There exist no barriers applied that limits women's participation in trade.  
 
Question 3 
 
Has Saudi Arabia implemented any specific measures to encourage women 's participation in trade 
and promote women 's entrepreneurship, or are such measures being developed?  
  WT/TPR/M/407/Add.1  
 
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  INDONESIA  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question 1 
 
SUMMARY  
Page 8 -9 (Para 11)  
Saudi Arabia introduced the value added tax (VAT) as from 1 January 2018 at a standard rate of 
5%. VAT was introduced as a result of a common approach between GCC member States. On 
1 July 2020, the standard rate was increased to 15% as part of the measures adopted to deal with 
the economic crisis caused by the COVID -19 pandemic. On 31 January 2017, Saudi Arabia ratified 
the GCC Common Excise Tax Agreement and issued the Excise Tax Law and its Implementing 
Regulations. Two different excise tax ra tes apply: 50% on soft/sweetened drinks or 100% on 
tobacco -related products, energy drinks, and electronic devices for smoking/vaping.  
 
Could the Government of the Kingdom of Saudi Arabia explain in detail the objectives of increasing 
VAT from 5% to 15%, a nd the mechanism for the refunds of paid import VAT.  
 
Answer  
KSA continues to ensure that no discrimination is practiced between any taxpayers despite the race, 
religion, and nationality, as well as equal tax treatment on all the products which are subject ed to 
VAT. 
Regarding the VAT refund mechanism, there is a certain requirement that should be considered 
before determining if the taxpayer is qualified for paid tax refund.  
 
Question 2 
 
The Secretariat notes that the VAT measure is a part of government program in order to deal with 
economic crisis caused by pandemic. Is this measure designed to be temporary during the 
pandemic? If so, how long is it expected to last?   
 
Answer  
During the p andemic, the Kingdom’s priority was ensuring the stability of the economy to the extent 
possible. The VAT rate is currently not under revision, however, the Government of Saudi Arabia 
regularly evaluates and reassesses the various tax it implements based o n many considerations 
including fiscal & economic conditions, international best practices, transparency, and international 
standards.  
 
Question 3 
 
Page 11 (Para 26)  
The Secretariat mentioned that "Royalty fees for telecommunications services were adjusted  in 2018 
in a deal that saw telecommunications operators commit to additional investment in infrastructure."  
 
Could the Government provide more detail about policy and practices on the royalty fees for 
telecommunications industry? It would be appreciated if there is a brief on before and after the 
adjustment, as well as the result of the policy to the FDI.  
 
Answer  
To enhance the competitive environment with a view to leverage the level of services delivered by 
the ICT sector. CITC issued Unified Licensing for the licensed ICT services providers in the Kingdom, 
aiming to enable them to offer a variety of packages for consumers, including mobile, fixed, voice 
and internet services, rather than the old licensing scheme were operators are limi ted to the service 
they were licensed to offer.  
 
Question 4 
 
2 TRADE AND INVESTMENT REGIMES  
Page 24 (Para 2.8)  
Vision 2030 is developed around three main themes, namely: a vibrant society; a thriving economy; 
and an ambitious nation. For each theme, the pl an sets out specific objectives, programmes, and WT/TPR/M/407/Add.1  
 
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  measurable targets to be achieved by 2030. Under the theme "a thriving economy", multiple 
initiatives are envisaged. These include: creating more private -sector jobs for Saudi nationals, and 
increasing the p articipation of women in the workforce; supporting SMEs; increasing investment in 
non-oil sectors (i.e. renewable energy, industrial equipment, tourism and leisure, retail, digital 
economy, and financial services); increasing domestic production and procur ement through 
local-content measures; privatizing state -owned assets and government services (such as health, 
education, and housing); listing the national oil company (Saudi Aramco) on the stock exchange; 
deregulating the energy market; and reducing energ y subsidies.  
 
Recognizing that Kingdom of Saudi Arabia has undertaken commitments to initiate accession, it 
would be pleasant if the government explains its measures related to local content in procurement 
as one of the Vision 2030 initiatives.  
 
Answer  
Regulation of  governing the prioritization of local content, local small - and medium -sized enterprises, 
and companies listed in the Saudi Capital Market for awarding works and procurements was issued 
by Council of Ministers Decision No 245 dated 29/3 /1441.  
This regulation introduced a number of local mechanisms to measure local content in government 
procurement.  
 
Question 5 
Indonesia would also like to request the Kingdom of Saudi Arabia to provide with the details on how 
the local -content measures wi ll be implemented, especially to increase domestic production, as well 
as the consistency with TRIMs Agreement and GATT WTO.  
 
Answer  
Local content in the field of government procurement is fully consistent with the Provisions of TRIMs 
and GATT Agreements.  
 
Question 6 
 
3.1.4 Tariffs  
3.1.4.1 MFN applied tariffs  
Page 44 (Para 3.31)  
In April 2020, the Government raised import tariffs on certain goods, including dairy products, juices, 
vegetables and olive oils, chemicals, building materials, and ve hicles. The changes took effect in 
June 2020.  
 
Could the Government of Kingdom of Saudi Arabia provide the rationale on implementing the policy?  
 
Answer  
The Kingdom of Saudi Arabia has raised the customs duties imposed on "575" goods (published at 
the General Customs Authority’ website), including some dairy products and some chemical 
products. Yet, they do not cover juice, vegetables and olive oil as referred to as in the question.  
 
Question 7 
And, to what extent the policy will affect the implementation of GCC Common External Tariff (CET)?  
 
Answer  
The Kingdom of Saudi Arabia solely has goods with a customs tariff of more than 5%.  
 
Question 8 
 
3.3.2 Standards and technical requirements  
Page 59 -60 (Para 3.116 and 3.124)  
As an Islamic country, the Kingdom of Saudi Arabia has also strict marking and labelling 
requirements, especially for imports of meat and poultry meat. The importers required to include a 
Halal certificate and an Islamic slaughter certificate for each ship ment. Regarding Halal Accreditation 
Bodies, could Saudi Arabia provide the detail requirements to acquire Halal accreditation from the 
Saudi Halal Centre? Please elaborate the time frame of this process?  
 WT/TPR/M/407/Add.1  
 
- 77 - 
 
  Answer  
In order to accept halal certificate for imp orts of food, recognized halal certification body shall issue 
Halal certificate  . 
Recognition Requirements  : 
1- Accreditation certificate based in GSO 2055 -2 
2- Acceptance certificate by SASO  . 
3- Recognized by Halal Center.  
 
Question 9 
 
3.3.3 Sanitary and phytosanitary measures  
Page 61 (Para 3.125)  
Imports of meat and poultry meat must be sourced only from the establishments on the list 
maintained by the SFDA. This list can be consulted by sector or by country. Establishments that wish 
to suppl y meat and poultry meat to Saudi Arabia must apply for approval from the SFDA; the 
approval process involves an evaluation including an on -site audit by the SFDA. If the evaluation 
outcome is satisfactory, the SFDA grants an approval certificate to the est ablishment in question. 
Since 9 March 2014, the SFDA has delegated to the competent authority of the exporting country to 
approve establishments on the list, provided that the competent authority of the exporting country 
signs bilateral minutes with the SF DA and assures compliance with the GSO standards.  
 
Question 10 
Does the SFDA still conducting on -site audit during this pandemic? Please explain if the SFDA has 
any alternative evaluation. If not, please explain in detail on how the importer could obtain a pproval 
letter?  
 
Answer s 9 & 10  
Due to Covid -19 circumstances, SFDA established a risk assessment approach where it evaluates 
each request that is received from each establishments and decide whether a documentation 
evaluation, online inspection or onsite inspection will be applied.  
 
Question 11 
Does the SFDA consider the approval and list of meat, poultry and fish companies issued by the 
competent authority in the origin country could replace on -site audit? This is especially during the 
pandemic and the origin country has MoU concerning Control, Quality and Safety of Food and 
Medicinal Products, on a desk -to-desk basis. If not, please explain the reason in detail.  
 
Question 12 
Regarding the SFDA new provision which will entry into force on 1 July 2021, the authority requests 
list of regul ations regarding meat, poultry and fish products (in English) that applies in the origin 
countries as additional requirement to conduct on -site audit. Please explain in detail the objectives 
of the requirement.  
 
Answer s 11 & 12  
The SFDA requires the export ing country to fill the country evaluation questionnaire, which asks for 
the rules, regulations, and legislation that is implemented in the country regarding the products 
intended for export. We asked for an English version because the one received form th e Indonesian 
side was in Indonesian language. The onsite visit was postponed due to Covid 19 situation.  
 
Question 13 
Does the KSA plan to notify this measure to the WTO? If yes, when will it be notified?  
 
Answer  
Regarding the notification to WTO, the country evaluation questionnaire and the condition and 
requirements for importing food to KSA is already notified . 
 WT/TPR/M/407/Add.1  
 
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  Question 14  
 
4.4 Services  
4.4.1 Financial services  
Page 106 (Para 4.105)  
The Saudi Central Bank (SAMA) regulates and supervises financial services, while the Capital Market 
Authority (CMA) regulates capital markets. During the review period, the regulators implemented a 
large number of reforms, aimed at increasing the use of el ectronic payments, supporting the 
development of the FinTech sector, and deepening capital markets. These reforms resulted in the 
inclusion of the Saudi Stock Exchange in three emerging market indices (Section 4.4.1.3). In 2019, 
financial services (compris ing the banking sector, the insurance sector, and non -bank financial 
institutions) and business services jointly accounted for 5.6% of GDP at current prices, and financial 
services alone employed nearly 64,000 people.  
 
What measures have been taken by the government of KSA in order to create level of playing field 
between Fintech sectors and conventional financial services sector and to protect customer as well?  
 
Answer  
The existing regulatory and supervisory framework for the fintech firms and banking sector in the 
kingdom do provide fair competition and financial stability that include consumer protection in line 
with international standards. Further details on consumer  protection could be found on the following 
link:https://www.sama.gov.sa/enUS/Laws/ConsumerProtectionRules/Banking_Consumer_Protectio
n_Principles.pdf . 
 
Question 15 
 
3.3.2 Standards and technical requirements  
Page 58 (Para 3.109)  
Since the Kingdom of Saudi Arabia's last Review, some of WTO Members in the TBT Committee 
expressed concerns about technical regulations on animal products, motor vehicles, vehicle tyres, 
toys, energy drinks, the sugar limit on food products, electrical and electronic equipmen t, and plastic 
products.  
 
Could the Government provide some updates about these concerns?  
Are these regulations different from the international standards? If so, please provides the 
arguments and scientific reasons behind these regulations.  
 
Answer  
KSA pr oposes discussing this inquiry and the technical issues associated with it through the channels 
of the Technical Barriers to Trade (TBT) Agreement.  
Saudi technical regulations and standards are developed according to best international practices 
and the Ki ngdom's commitments towards the World Trade Organization, taking into account national 
deviations, if any, for health and safety reasons, environmental and climate considerations.  
 
II. QUESTIONS REGARDING THE GOVERNMENT  REPORT  
 
Question 16 
 
1.2 Labor Reform Initiative   
Page 6 (Para 1.20)  
The Ministry of Human Resources and Social Development (HRSD) launched the Labor Reform 
Initiative (LRI) under the National Transformation Program (NTP) on 4 November 2020. The initiative 
enables HRSD vision  of establishing an attractive job market through enhancing the contractual 
relationship between employees and employers, empowering and developing labor competencies, 
and the work environment. The reforms will enter into force on 14 March 2021.  
 
Could Sau di Arabia explain more details regarding this new initiative, especially, will this initiative 
provide better condition for workers from informal sectors, such as domestic worker? if so, how the 
law enforcement be conducted in case of the violation against  the initiative?  
 WT/TPR/M/407/Add.1  
 
- 79 - 
 
  Answer  
The labor reform initiative is a major shift that will be evaluated and enhanced. Currently, domestic 
workers are not included in the initiative, however recent years had witnessed enhancement reforms 
in domestic worker relationshi ps represented in stricter eligibility requirements from the sponsor, 
electronic contracts and depositing salaries to the bank accounts of the worker.  
 
Question 17 
 
4.2 Food Security  
Page 15 (Para 4.15)  
Food security strategy in the Kingdom seeks to achieve five main objectives, which include; 
achieving sustainable domestic food production system, diversifying and stabilizing external food 
supply sources, ensuring access to safe and nutritious food and promote healthy and balanced 
nutrition habits, bu ilding food security resilience capabilities and institutionalizing food security at 
the national level and ensuring clear and accountable governance.  
 
What measures have been taken by the government of Saudi Arabia to ensure food security, 
particularly fo r imported food, during this COVID -19 pandemic, considering that there is tightening 
on goods and service movements to enter or exit the borders due to health security issues?  
 
Answer  
Saudi Arabia has embarked into providing sustainable financing mechanism s to address food security 
through Agriculture Investment Abroad (AIA) program and importation program in order to build a 
good food reserve.  These programs have been initiated very much earlier before the Covid -19 
pandemic.  In fact,  the Kingdom possess trustworthy food supply chains capable of daily production 
that can satisfy consumers according to international standards   .Based on the above, a solid 
cooperation has already been established between several targeted countries under this program.  
 
III. OTHER QUESTIONS  
 
Question 18 
Indonesia would like to seek a clarification regarding new measures (as of 5 February 2021) that 
the government of Saudi Arabia is no longer cooperate with commercial companies which do not 
have regional headquarter offices in Saudi Arabia.  
 
Answer  
As of 2024, commercial companies that reallocated their headquarters from the MENA region to KSA 
will only be eligible to participate in government procurement tenders.  
Companies with headquarters which didn’t allocate their headquarters to KSA can still participate in 
any economic activities apart from procurement.  
 
Question 19 
Please explain in detail the impact of the GCC rift on the proposed plan for the possibility of 
establishing an economic partnership fr amework, including free trade agreements (FTA) with its 
members and Comprehensive Economic Partnership Agreement (CEPA). Is there any potential 
prospects after the signing of the Al -Ula Declaration?  
 
Answer  
The raised question is not an integral part eithe r in secretariat or government reports. Accordingly, 
its outside the scope of the TPR.  
  WT/TPR/M/407/Add.1  
 
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  JAPAN  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
What is the timeline for GCC Member State governments to abolish the selective tax on energy 
drinks, which is currently applied based on the way of marketing and the level of stimulant 
substances contained?  
 
Answer  
Currently there is no plan to remove energy drinks from the list of beverages that are subject to 
excise tax.  
 
Question  2 
And what is a proposal for the new tax system on energy drinks and sweetened drinks? Japan would 
like to request Saudi Arabia to provide the description of proposed tax system on energy drinks and 
sweetened drinks (currently under discussions), hopefully with impro vement to address the concerns 
expressed by Members.  
 
Answer  
A study is being conducted to enable the Gulf Cooperation Council member states ( "GCC States ") to 
revise the excise tax model under the Unified Excise Tax Treaty for the GCC. The content of the 
study should enable the GCC states to make a determination as to the optimal excise model that 
takes into account international best practice, ease of implementation, compatibility with the tax 's 
health objectives, compliance with international obligations, sustainability, impact and burden on 
manufacturers and consumers, and equity. One of the models under consideration is a tiered 
volumetric approach to determine the tax due on a beverage based on its sugar content.  
Details of amendments to the  excise tax will be announced once a formal resolution is issued at the 
GCC level amending the excise tax model.  
 
Question  3 
Japan appreciates to Saudi Arabia for providing information on the number of rights enforcement 
cases related to copyrights (Table 3.17) and the number of prosecution cases related to trademark 
rights (Table 3.18). It is stated that customs officers are authorized to seize infringing goods ex 
officio, however, Japan would like Saudi Arabia to provide the specific number of seizures by  
infringing right wherever possible. In addition, Japan would like Saudi Arabia to provide the number 
of administrative seizures for each infringing right, to the greatest extent possible.  
 
Answer  
The number of the IP cases were (99) in the last (2) years.  
 
II. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  4 
Japan understands that Saudi Arabia is in the process of reviewing and revising the IP legislation 
and seeking public feedback on the draft of the new legislation. Japan would like Saudi Arabia to 
provide details on the outline of the new legislation and the status of public feedback.  
 
Answer  
SAIP is currently reviewing the copyright law, the law of patent, layout designs of integrated circuits, 
plant varieties and industrial design, and Regulations  for the Protection of Confidential Commercial 
information to propose drafted amendments. With the exception of Patent law, SAIP issued a public 
consultations request to gather feedback from the public on ne drafted copyright law and Regulations 
for the Pr otection of Confidential Commercial information to collect issues, and address them in a 
new drafts of laws. SAIP, also, is working on proposal of new draft law for geographical indications, 
which had been published for public feedback.  
 
Question  5 
In 2015 , the Government of Saudi Arabia newly established SASO2857 (the latest version is the 
SASO2857:2016) as a regulation to regulate tyre rolling resistance and wet grip, referring to the UN 
R117-02. Meanwhile, the  GSO introduced the legislation which is diff erent from the one by Saudi WT/TPR/M/407/Add.1  
 
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  Arabia in 2016.  Similar to the SASO2857, there are two legal requirements, concerning rolling 
resistance and wet grip requirements, and the threshold are based on the UN R117 -02.It seems that 
Saudi Arabia has its own standards and technical regulations at the national level when it is 
necessary.  Could Saudi Arabia explain the reason why tyres with 3PMSF are not acceptable in the 
Kingdom of Saudi Arabia?   
Also, although the GSO allows 3PMSF tyres, they are not accepted in Saudi Arabia. Could Saudi 
Arabia explain if there are any specific reasons for this?  
 
Answer  
KSA proposes discussing this inquiry and the technical issues associated with it within the framework 
of the Technical Barriers to Trade (TBT) Committee.  
 
  WT/TPR/M/407/Add.1  
 
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  KAZAKHSTAN  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question 1  
 
According to Table 3.10, in the new edition of the Competition Law, public institutions and 
state-owned corporations are excluded if the institution or corporation is solely authorized by the 
Government to provide commodities or services in a particular field. Could the Government please 
specify these fields and what types of activities of such bodies are excluded?  
 
Answer  
The exception is conditional to whether the ent ity is solely owned by the Saudi Government and 
solely authorized to provide a commodity or service. Currently it is not being applied to any entity.  
 
Question 2  
 
According to paragraph 3.24. of the Report, the direct transport is required for maintaining the 
preference. Are there any commonly recognized exceptions to this rule, for example, for 
geographical reasons, transport requirements, etc.?  
 
Answer  
There are no exceptions to such requirement.  
 
Question 3  
 
According to paragraph 3.49. of the Report, the members of GCC have been developing a common 
list of prohibited or restricted products. Hence, could you please inform on the latest updates on the 
development of the list mentioned?  
 
Answer  
Meetings with the competent authorities are on ongoing to study and review the list of prohibited 
and restricted goods that are restricted to import and export in coordination with the Ministry of 
Commerce, in addition to meetings that take place by the Secretary G eneral of the Gulf Cooperation 
Council to review the lists of restricted and prohibited goods, and no agreement has been reached 
to date.  
  WT/TPR/M/407/Add.1  
 
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  KOREA  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
Question 1 
 
Pages 24, 36, 104 -105 (Para 2.8, 2.62)  
1.4. Other goals  of Vision 2030 include: […] (ii) increasing domestic production and government 
procurement through local content measures;  
 
2.8. Vision 2030 is developed around three main themes, namely: a vibrant society; a thriving 
economy; and an ambitious nation. For  each theme, the plan sets out specific objectives, 
programmes, and measurable targets to be achieved by 2030.10 Under the theme "a thriving 
economy", multiple initiatives are envisaged. These include: […]; increasing domestic production 
and procurement th rough local -content measures; […]  
 
2.62. In recent years, the Government introduced new local content measures in a bid to increase 
sourcing of domestic goods and services. Vision 2030 sets out ambitious objectives for increasing 
local content in the oil a nd non -oil sectors of the economy. Under the National Industrial 
Development and Logistics Program (NIDLP), local content is considered a key enabler for boosting 
domestic demand, GDP growth, and job creation. […]  
 
4.97. Vision 2030 provides that the strat egic objective of growing and diversifying the economy will 
be achieved through, inter alia, measures to unlock the potential of non -oil sectors, including through 
localization of promising manufacturing industries.121 In addition to initiatives aimed at p romoting 
local content in specific sectors of the industry122 through procurements made by the Government, 
the NIDLP sets out a cross -cutting, horizontal local content strategy.123 The Local Content and 
Private Sector Development Unit, established in 2016,  was replaced in early 2019 by the Local 
Content and Government Procurement Authority (LCGPA), whose mandate is to develop local 
content in government procurement and to enhance its efficiency.  
 
It appears that Saudi Arabia maintains a number of local cont ent requirements (LCRs) under Vision 
2030 to boost its domestic industries across sectors. Could Saudi Arabia please provide more 
information on its LCR measures in detail, including:  
 
(i) whether they apply exclusively to government procurement or whethe r there are other areas 
 subject to the said measures (as it appears so according to para. 4.97 of the WTO Secretariat's 
 report WT/TPR/S/407), and  
(ii) which industries have been actually subject to such measures?  
 
Further, could Saudi Arabia also share  its position on the WTO consistency of such measures, 
particularly in terms of GATT Art. III:4, III:5, and the TRIMs Agreement?  
 
Answer  
(i) Local content requirements set out in the Council of Ministers’ decision No 245 dated 29/3/1441 
apply on government contract only.  
(ii) all industries are subject to local content requirements within the framework of government 
proqurement.  
Saudi Arabia ensures that all Local content requirements set out in the Council of Ministers’ decision 
No 245 dated 29/3 /1441 are consistent of with GATT Art. III: 4, III: 5 and the TRIMs Agreement.  
 
Question 2 
 
Page 33 (Box 2.1 Investment principles)  
1. Ensure equality between Saudi and non -Saudi investors, and among non -Saudi investors.  
2. Ensure the protection of investments, in line with the Kingdom's regulations.  
3. Enhance the sustainability of investments, and deal with investor complaints in a  transparent 
manner.  
4. Provide investment incentives when needed, and ensure full transparency when granting them. 
Provide a list of investment incentives and grant them in accordance with general, clear, and 
non discriminatory criteria.  WT/TPR/M/407/Add.1  
 
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  5. Maintain env ironmental and social standards in order to ensure that Saudi and non -Saudi 
investors comply with regulations regarding labour, health, and environmental safety, in 
accordance with national regulations and policies and the international conventions to whic h 
Saudi Arabia has acceded.  
6. Facilitate entry procedures for non -Saudi employees, including technicians, administrators, and 
their dependents. Arrange their residency in the Kingdom to facilitate their participation in 
activities related to foreign inve stment, in accordance with the Kingdom's regulations and its 
international obligations.  
7. Transfer and localize science and technology resulting from foreign direct investment, in 
accordance with the Kingdom's international obligations.  
 
In spite of the  written principles for investment, effective incentives (e.g., tax benefits) are lacking, 
but restrictions and duties (e.g., Saudization) are being strengthened. Could Saudi Arabia give a 
clear explanation on the principles, especially in terms of which i ncentives are provided to investors?  
 
Answer  
Kindly refer to Par a 2.51 of SEC report and Par a 2.22 of GOV report and for further information 
kindly visit MISA website . 
 
Question 3 
 
Page 35 (2.60)  
2.60. Foreign investors have the right to transfer abroad p rofits, capital gains, funds derived from 
the sale of equity, and any amounts required to settle contractual obligations pertaining to their 
investment. Resident companies in Saudi Arabia that are wholly owned, either directly or indirectly, 
by foreign inv estors (i.e. non -Saudi and non -GCC natural or juridical persons) are subject to 
corporate income tax on profits and capital gains at a flat rate of 20%. Whereas resident companies 
that are wholly owned, either directly or indirectly, by Saudi or GCC nation als, with no non -GCC 
entity in the ownership structure, do not pay corporate income tax but are subject to a religious levy 
on net assets, called Zakat, at a rate of 2.5%.61  
 
Foreign investors pay a 20% corporate income tax on profits. The ratio is quite high compared to 
KSA and GCC companies which pay Zakat, at a rate of 2.5%. Is there any possibility of adjusting its 
ratio to attract more FDI?  
 
Answer  
Corporate income tax on profits and capital gains at a flat rate of 20%, In accordance with the 
Kingdom's accession commitments.  
 
Question 4 
 
Pages 36 (Para 2.63)  
Foreign investors must also comply with the Government's Saudization policy (Nitaqat ), a long -term 
plan aimed at increasing the proportion of Saudi employees (including women) in the economy. 
(Footnote 63) The policy requires companies to employ a certain percentage of Saudi citizens, which 
ranges from 5% to 75% based on the nature of the  business, the work conditions, and the availability 
of Saudi employees in the field. Foreign investors must include their Saudization levels when 
submitting their investment plans for approval. There are also limits on the number of visas for 
foreign work ers available to companies. Reportedly, in recent years, Saudization measures have 
been reinforced, by requiring that only Saudi citizens be employed in certain economic sectors (such 
as mobile phone stores, car rental agencies, and retail sales jobs in a dozen sectors). (Footnote 64) 
Additionally, since the last Review, the Government has implemented new fees for expatriate 
employers (which are paid per employee per month). It has also increased levies on expatriates with 
dependents, and imposed higher fee s for business visas and entry/exit permits for foreign workers.  
 
In the engineering sector, companies are required to employ more than 20% of Saudi Arabian 
citizens among the total workforce. However, it is very difficult to hire competent engineers with 
reasonable salaries. Does the government have any plans to cultivate more engineering personnel?  
 
Answer  
The policy was  announced to tackle the rising unemployment among local engineers and it is 
carefully taking into consideration the supply of local engi neers and the impact on the private sector. WT/TPR/M/407/Add.1  
 
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  In addition, the government has provided a range of services that can help firms hire, train and 
retain local engineers to minimize any adverse effect of private sector firms.  
 
Question 5 
 
Page 44 (3.31)  
3.31. In April 2020, the Government raised import tariffs on certain goods, including dairy products, 
juices, vegetables and olive oils, chemicals, building materials, and vehicles. The changes took effect 
in June 2020."  
 
Last year, the Saudi Government i ncreased import tariffs on specific products (for about 1,390 
products) by 1.5 to 15%p. Is there any specific reason for this increase and would there be any 
room for adjustment in the future?   
 
Answer  
The Kingdom of Saudi Arabia has raised the customs du ties imposed on "575" goods (published at 
the General Customs Authority’ website), including some dairy products and some chemical 
products. Yet, they do not cover juice, vegetables, olive oil and vehicles as referred to as in the 
question.  
The Kingdom of Saudi Arabia solely has goods with a customs tariff of more than 5%.  
 
Question 6 
 
Pages 96 (Para 4.59)  
Saudi Aramco's In -Kingdom Value Added Program aims to achieve 70% localization of its spending 
by 2021. (Footnote 80)  
 
(Footnote 80) IKTVA. Viewed at: https://iktva.sa/ . 
 
To satisfy the 70% localization ratio in the energy sector by 2021, reasonably priced products with 
high quality will have to be supplied sufficiently. Would you please explain the government's plan to 
expand the manufacturing base in Saudi Arabia?  
 
Answer  
The program aims to maximize economic value -added to increase the overall GDP of KSA by 
fostering growth of local suppliers by supporting the expansion of manufacturing base in Saudi 
Arabia.  In supp ort to these efforts, developing  anchor projects to provide the eco -system, driving 
localization  investments to close s upply chain gaps and develop  long-term procurement agreements 
with local manufacturers.  
 
II. QUESTIONS REGARDING THE GOVERNMENT  REPORT  
 
Question 7 
 
Page 15 (Para 4.11)  
4.11. The precedent environmental laws were replaced with a new law and a set of executive 
regulations, standards, requirements and guidelines that aim to protect, develop and sustain the 
environment. On the regional level, the final drafts of a unified GCC environmental and 
meteorological law, and an operational plan for the GCC environment strategy were developed.  
 
Saudi Arabia’s Vision 2030 aims at modernizing and diversifying its economy. Both the government 
and the secretariat’s r eports enumerated Saudi Arabia’s efforts in improving its business 
environment and emphasized its will to unlock the potential of non -oil sectors, especially the mining 
and energy sectors. Considering that those sectors are carbon -intensive, and acknowledg ing the 
global community’s efforts to combat climate change, could Saudi Arabia elaborate on its mitigation 
efforts in light of its development strategy?  
 
Answer  
The mining strategy has set very specific initiative  of "achieving Sustainability in the minin g sector" 
and it is to set the expectations and the foundation of the required regulations that are going to be 
implemented covering  Environment, health & Safety, Mine closure and Social performance.  
 WT/TPR/M/407/Add.1  
 
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  III. OTHER QUESTIONS  
 
Question 8 
It is clear that the  customs clearance of KSA has become expedited and more efficient compared to 
the past and the GCC. But many companies are still asking for support for this procedure since it is 
different per PIC (person in charge) as some PICs request more documents whic h are not essential. 
In this case, companies need the confirmation or support of local agents or licensed customs agents 
which causes expenditure on the companies’ part.  
 
Answer  
There is a mechanism established according to which the direct clearance mechanism is adopted for 
imports, unless there is a suspicion that the documents are not in conformity with the true 
information of the consignment. This has a positive impact by saving much time, which in turn 
expedite the clearance process.  
In addition, the General Customs Authority urges importers to submit all consignment - related 
information and documents prior to its arrival, so that the goods’ documentary procedures can be 
completed, i.e. it adopts a copy of the documents under which the cl earance of consignments may 
be initiated until the documents are available. This has significantly contributed to the timely flow of 
commercial traffic, starting from the prior submission of all information by the importer and ending 
by the clearance final  stages.  
  WT/TPR/M/407/Add.1  
 
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  MALAYSIA  
I QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question 1  
 
2.4 Investment regime [Page 8]  
 
2.22. The Ministry of Investment (MISA) has facilitated the issuance of a foreign investment license 
by reducing the issuance period to 20 minutes, and the number of required documents to only 
two documents. In addition, it provides most of its services el ectronically.  
 
Can the Kingdom of Saudi Arabia clarify what are the two (2) documents required for approval of 
foreign investment license? Is this applicable to all sectors?  
 
Answer  
1- A copy of the commercial registration of the shareholding partner  
2-  Financial statements of the last financial year of the applicant  
Which is applicable to all sectors  
 
Question 2  
3.3 Sanitary and Phytosanitary Measures (SPS) [Page 11]  
 
3.24. Saudi Food & Drug Authority (SFDA) has issued requirements and conditions for importing 
food products to Saudi Arabia, which aim to; clarify conditions and requirements for competent 
authorities in exporting country, clarify the responsibility of the  competent authorities in the 
exporting countries towards verifying the compliance of their establishments, and ensure food safety 
and facilitate the movement of trade.  
 
3.25. SFDA has issued the approval framework for control authorities and establishments exporting 
fish and other aquatic products to the Kingdom. This framework aims to verify the procedures of the 
official regulatory authority that is responsible for food safety in these countries, as a perquisite for 
its authorization to appr ove fishing, processing facilities and farms.  
 
The paragraphs above made no mention on the requirement for SFDA or any competent authorities 
to approve establishment(s) which export fish and fishery products to Saudi Arabia through an 
evaluation of an on -site audit by the authority.  
 
Could the Kingdom of Saudi Arabia please update on the implementation of the approval framework 
that would require for on -site audit be conducted, especially during this COVID -19 period.  
 
Answer  
Fish and fishery products exporting establishments will follow the same procedure that is mentioned 
in the “process for approving foreign competent control authorities and establishments interested in 
exporting food products of animal origin to the Kingdom of Saudi Arabia (KSA)”.  
Also it is mentioned in paragraph 3.2.3 that “The self -audit form will be evaluated after it is received 
officially and a visit will be arranged to the establishments interested to be approved by the SFDA 
in coordination with the competent control authority in the exporting country.”  
Also, refer to Article 8 of the conditions and requirements: Auditing the Competent Authorities in the 
Exporting Countries, as the requirements for the visit is mentioned.  
 
Question 3  
4.5.1 Manufacturing [Page 17]  
 
4.31. The General Authority for Special and Economic Zones (Modon) has paid great attention to the 
development of industrial cities in the various regions of KSA, to make available industrial lands to 
all investors wishing to establish industrial projects.  It also has established ready -built factories for 
investors, entrepreneurs and owners of small and medium enterprises (SMEs). The number of those 
factories developed over this period to reach 407 factories of various sizes ranging between 700 -
1500 m2 with in several industrial cities.  
 
What are the sectors targeted for Special and Economic Zones (Modon) and from which countries?  WT/TPR/M/407/Add.1  
 
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  Answer  
Modon works along with other national agencies in the attraction efforts of all target sectors, mainly 
to ensure that its infrastructure is prepared to address the challenges facing all targeted sectors.  
The following are the sectors that Modon actively works on their attraction:  
 
• Pharma.  
• Military.  
• Food processing and Aquaculture.  
• Machinery and equipment.  
• Metals.  
 
In this regard it is relevant to notice that Modon is engaged in formulating its national initiative for 
Food Clusters that will also cover the aquaculture sector during the course of the year. Modon has 
worked intensively to develop infrastructure and ser vices, including cold storage solutions to support 
the Food sector across its industrial cities.  
 
Question 4  
 
4.5.1 Manufacturing [Page 17]  
 
4.35. "Tanafusiya" Program launched by Saudi Industrial Development Fund (SIDF) provides 
enablers and development s upport to help industrial enterprises reach a high degree of 
competitiveness through "the Energy Efficiency Program" which aims to reduce the cost of operation 
in industrial facilities by enabling them to access energy -saving technologies. The "Industrial Digital 
Transformation Program" supports factories for increasing operational efficiency and 
competitiveness, for reducing high costs and for enhancing the productivity through applying the 
latest digitization.  
 
Are there any incentives provided by the Kingdom of Saudi Arabia to encourage digitalisation of 
industries in the country? If yes, please provide explanation on the incentives.  
 
Answer  
SIDF provides package of enablers to motivate current factories in all industrial sectors to adapt 
energy effici ency and digital transformation applications. These enablers include extending the grace 
period up to 24 months, payback in more than 7 years and quick evaluation to be less than 8 weeks.   
 
Question 5  
4.6.2 Tourism Services [Page 21]  
 
4.61. The National Tourism Strategy contributes to Vision 2030 objectives through achieving the 
following :  
 
• Increase international and domestic trips to more than 100 million a year by 2030 
including 37 million religious trips ;  
• Targets the 15th interna tional tourism destination by 2022 (1st in destination in Middle 
East);  
• Promote tourism beyond religious purposes and share a wide range of unique 
experiences.  
 
With the exception of  spiritual tourism, what are the types of tourism promoted by the Kingdom of 
Saudi Arabia and incentives offered to attract investment in these types of tourism?  
 
Answer  
With the exception of spiritual tourism, the types of tourism promoted by KSA are Leis ure and 
Business events.  
In addition to the services offered by the Ministry of Investment to support and facilitate foreign 
Investment, the Ministry of Tourism offers deep market intelligence, relationship management 
services and access to opportunities a cross the Kingdom.  
 WT/TPR/M/407/Add.1  
 
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  Question 6  
3.2 Technical Barriers to Trade (TBT)  [Page 11]  
 
3.20. In order to protect commercial facilities from fraud and tampering with technical documents, 
in addition, ensure products are free from defects that may affect the health, safety, and 
environment of the consumer ; Saudi Standards, Metrology and Quality Organization (SASO) 
introduced "SABER" platform. SABER automated tracking of products, technical processes involved 
in the supply chain and raising products' safety le vels.  
 
Does the SABER platform also recognize standard or certification bodies from other Members and 
what are the examples of products that are covered under this platform?  
 
Answer  
Certification bodies from other members can be recognized by SASO after completing all registration 
requirements.  
Please visit the website below to find the requirements for each HS -code covered by saber, and note 
that you can search by using the first 6 digits since it is matching the international HS -code:    
https://sab er.sa/home/hscodes  
Please contact CABS REG Department for more information:  
q.cab_reg@saso.gov.sa  
 
Question 7  
3.3 Sanitary and Phytosanitary Measures (SPS) [Page 11]  
 
3.24. Saudi Food & Drug Authority (SFDA) has issued requirements and conditions for importing 
food products to Saudi Arabia, which aim to; clarify conditions and requirements for competent 
authorities in exporting country, clarify the responsibility of the  competent authorities in the 
exporting countries towards verifying the compliance of their establishments, and ensure food safety 
and facilitate the movement of trade.  
 
Should an exporting Member be queried about the health and nutritional attributes of a certain 
product, is there a platform or contact point where the exporting Member can clarify, verify and 
disseminate the proper information regarding the particular product?  
 
Answer  
Due to Covid -19 circumstances, SFDA established a risk assessment approach where it evaluates 
each request that received from each establishment and decide whether a documentation evaluation, 
online inspection or onsite inspection will be applied. However, SFDA has evaluated the previous 
request which was rece ived from the Malaysian side and SFDA already approved sea caught fishery 
products establishments and the decision was published on SFDA website.  
 
 
II. QUESTIONS REGARDING THE SECRETARIAT  REPORT  
 
Question 8  
Summary [Page 7]  
 
3. Saudi Arabia's dependence on oil  entails certain structural weaknesses, as reflected in, for 
example, the high unemployment rate among Saudi nationals. Recognition of such structural 
challenges led to the launch, in 2016, of "Vision 2030", a comprehensive strategy designed to 
modernize a nd diversify the Saudi economy. Vision 2030 encompasses a wide range of policies to 
create more private -sector jobs for Saudi nationals, increase the participation of women in the 
workforce, support small - and medium -sized enterprises, increase investment in non -oil sectors and 
promote non -oil exports, increase domestic production and procurement through local -content 
measures, privatize state -owned assets and government services, deregulate the energy market 
and reform energy and water prices, improve the business environment to attract foreign and local 
investment, and develop new infrastructure. Vision 2030 also envisages enhancing the efficiency of 
government, including through accelerating decision -making processes and further developing 
e-government se rvices, embracing standards of transparency and accountability, monitoring 
performance, and improving the management of public finances. Some commentators raised 
questions regarding the level of ambition reflected in some of the Vision 2030 objectives. The  scale 
and pace of implementation of Vision 2030 could be affected by the impact of the COVID -19 WT/TPR/M/407/Add.1  
 
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  pandemic on government revenue and expenditures. The authorities indicated in the context of this 
Review that Vision 2030 is currently being reviewed.  
The Secr etariat Report highlighted that Saudi Arabia's implementation timeline for Vision 2030 was 
affected by the COVID -19 pandemic. Will the revised Vision 2030 delay the timeline even further? 
Or will Saudi Arabia remove/modify some of the objectives to meet it s current Vision 2030 timeline?  
 
Answer  
The Vision 2030 includes several Vision Realization Programs (VRP) which go through a regular 
refreshment/update cycle each certain period. While some changes in terms of the approach 
occurred in some strategies in light of the Covid -19 pandemic, the visio n 2030 targets and objectives 
remain the same  
 
Question 9  
1.6.1.2 Services trade [Page 21]  
 
1.25. Balance -of-payments data indicate that Saudi Arabia is a net importer of services, with a deficit 
averaging USD 61.0 billion per year during 2015 -19, peaking at USD 73.6 billion in 2015. However, 
services exports increased significantly during the sa me period, from USD 14.5 billion in 2015 to 
USD 24.2 billion in 2019 (Table 1.3). Saudi Arabia is a major site for religious tourism, with millions 
visiting the country to perform the Hajj and Umrah pilgrimages to the holy city of Makkah. On the 
import sid e, government -related services constitute almost a third of services imports, followed by 
transport (22.5% in 2019) and travel (19.2% in 2019).  
 
Does the Kingdom of Saudi Arabia have any specific plans to reduce the services trade deficit in the 
country? If yes, please provide explanation on the plans.  
 
Answer  
The kingdom of Saudi Arabia prepared a national trade in services strategy which included and 
aligned all services sectors’ strategies in this national strategy to ensure coordination, cooperation 
and coherence. In addition, the Kingdom had autonomously li beralized several services sectors to 
allow 100% foreign ownership to attract FDI’s in these sectors.  
 
Question 10  
1.6.2 Trends and Patterns in FDI [Page 22]  
 
1.27. In line with Vision 2030, Saudi Arabia is implementing several reforms to attract larger FD I 
inflows, including approving the investment policy principles to encourage local and foreign 
investment (Box 2.1). During the review period, several activities were removed from the negative 
list and opened to foreign investment (Section 2.4).  
 
The King dom of Saudi Arabia allows 100% foreign investment on the retail and wholesale sectors, 
transportation, engineering services and associated consultations and private health institutions.  
 
What is the profile of the above activities? (e.g.;  players, capabilities, competitiveness level)  
 
Answer  
The profile of the above activities is Land transportation, healthcare, media, cinemas and education.  
Each sector or subsector that was fully liberalized had its own reasons and rationale.  
Transportati on and logistics;  
Location at heart of major global trade routes complemented by significant government investment 
and series of reforms to liberalize new sectors to foreign investors.  
Healthcare and life sciences;  
A growing, wealthy population and major g overnment investment leading to growing demand for 
healthcare services.  
Tourism, Culture, Entertainment and sports;  
Significant social and economic reforms unlocking new sectors to international investors.  
Tourism visa scheme launched on September 27th, 2019.  
Comprehensive social transformation is already underway, with opening of cinemas, over 5,000 live 
events across 56 cities, 500 entertainment companies started, and 20,000 jobs created in this sector 
in 2018.  WT/TPR/M/407/Add.1  
 
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  Education;  
Significant reforms aimin g to boost educational outcomes creating opportunities for private sector 
suppliers.  
 
Question 11  
What were the considerations taken in opening up the above activities to 100% foreign entry?  
 
Answer  
• Increasing the level of competiveness  between the current players in the market  
• Economic forecast for the new sector, with high demand for new projects induced by public 
and private sector programs  
• Introducing new technology and innovation solutions by the newly entered international 
investor  
 
Question 12  
What were the facilities and programmes undertaken in attracting foreign investment into the above 
activities?  
 
Answer  
Each sector has its own relative programs and facilities that will help in achieving the attraction and 
development of Inte rnational investments. Below are some examples of these programmes:  
• Launched the Authorized Economic Operator (AEO) program, which offers customs advantages 
to trusted businesses (customized pathways)  
• Lunch of Human Capability development program to help a chieve the education sector objectives 
under Vision 2030  
 
Question 13  
What were the facilities and programmes undertaken to assist local companies to compete in the 
more open market?  
 
Answer  
Several entities in the Saudi government plays a major role in enabling investment development by 
both local and international players alike, and that includes but not limited to:  
1. Saudi Export Authority to enable Export credit, financing, guarantee and insurance.  
2. Industrial zones authorities such as MODON which provid es all the required infrastructure and 
utilities.  
3. Saudi Industrial Development Fund and Small and Medium enterprises provides the required 
financial programs in a commercial basis.  
4. Human Recourse Development Fund which provides Saudi employment funding programs.  
 
Question 14  
What is the success rate and impact on both foreign and domestic investment?  
 
Answer  
Recognition of Business Environment Advancement  
• Within two years, Saudi Arabia has implemented 45% of more than 300 economic reforms 
identif ied. 
• Ranked the top reformer and improver among 190 countries according to World Bank in 2020, 
thanks to its serious commitment to improve regulations in crucial areas such as electricity 
supply, protection of minority investors, trading across borders and  enforcing contracts.  
 
Question 15  
1.6.2 Trends and Patterns in FDI [Page 22]  
 
1.28. Moreover, in 2019, the Saudi Arabian General Investment Authority (SAGIA) was transformed 
into the Ministry of Investment (MISA) to add power and capacity to help increase Saudi Arabia's 
effectiveness in attracting local and foreign investments. MISA  implemented, inter alia , the following 
reforms: reduced the foreign investment licence requirements to two documents; launched instant 
licence and renewal; automated post services (licence renewal, company activities amendment, 
adding branches); reduced t he time to issue new licenses (from an average of 53 hours to less than 
4 hours); and extended the validity of the foreign investment licence to five years (rather than being 
renewed annually).  WT/TPR/M/407/Add.1  
 
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  Based on the report, Saudi Arabian General Investment Authori ty (SAGIA) was transformed into the 
Ministry of Investment (MISA) in 2019. What is the enhancement made in the structure of MISA to 
give it more power and capacity to attract investment?  
 
Answer  
MISA will continue the mandate previously undertaken by SAGIA  but will also enjoy increased powers 
and authority on the full -investment ecosystem in Saudi Arabia.  
MISA has been given an expanded mandate as the caretaker of Saudi Arabia’s full investment 
ecosystem, in charge of with re -energizing the Kingdom’s private sector and positioning Saudi Arabia 
as an attractive destination for international and local investors for doing business.  
 
Question 16  
3.2.3.1 Export prohibitions [Page 51]  
 
3.74. In response to the COVID -19 pandemic, Saudi Arabia took some temporary measures to 
prohibit exports of some products. These measures ensure the supply of goods necessary for 
preventing a critical shortage of essential products and for preserving human health. The products 
subject to the temporary export pr ohibition include personal protective equipment for safeguarding 
against the spread of disease, medical equipment, and pharmaceutical products.   
 
When will The Kingdom of Saudi Arabia lift the temporary export prohibition on personal protective 
equipment, medical equipment, and pharmaceutical products?  
 
Answer  
The Saudi Food & Drug Authority (SFDA) is currently issuing permits on the export of medical 
supplies and equipment relevant to the temporary measures against the outbreak  of Covid -19 
(“Coronavirus”),  for the excessive quantities required to supply the national needs. These measures 
are expected to be lifted after the demise of Covid -19, due to which these measures have been 
taken.  
 
Question 17  
3.2.5 Special economic zones (SEZ) [Page 55]  
 
3.89. Currently, the Economic Cities Authority (ECA) and the SEZ Authority are in the process of 
approving three SEZs:  
 
• Jazan City, dedicated for Primary and Downstream Industries in the Southern Area, is 
operated by the Royal Commission for Jubail and Ya nbu. It provides a wide range of support 
to manufacturing food industries, manufacturing metal industries (iron, titanium, etc.), and 
supporting logistics.  
• Ras Al -Khair Industrial City, located in the Eastern Province and operated by the Royal 
Commission for Jubail and Yanbu. It will create a global complex for marine industries and 
services, including manufacturing and ship servicing and marine oil platforms.  
• King Abdullah Economic City at Rabigh Governorate. It will provide a centre for logistics, 
light industries, pharmaceutical industries (medicines and bio -products), and medical 
appliances. It will be the first SEZ operated by the private sector (Emaar, a real -estate 
development company).  
 
When will the King Abdullah Economic City start operating?  
 
Answer  
King Abdullah Economic City KAEC is lunched and running since 2010 but the special economic Zone 
(60 sq2) within KAEC will be lunched end on 2021.  
 
Question 18  
3.3.6 Government Procurement [Page 69]  
 
3.164. On 16 July 2019, the Council of Ministers approved the new Government Tenders and 
Procurement Law (GTPL) by Royal Decree No. M/128 of 1440H. It supersedes most of the previous 
GTPL issued under Royal Decree No. M/58 dated 04/09/1427H. The key object ive of the new Law, 
which came into force on 1 December 2019, is to strengthen government procurement activities WT/TPR/M/407/Add.1  
 
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  while protecting public funds and enhancing economic development, with an emphasis on integrity, 
fair competition, and transparency.  
 
3.165. Th e new GTPL also aims to support SMEs and increase local content in government 
procurement contracts. The conditions to benefit from local content and SMEs' preferences are 
generally to supply locally made products, hire locals, conduct R&D, and include oth er elements of 
local content, as well as to be registered as an SME for SMEs' preferences.132.  
 
How can Malaysia and Saudi Arabia work together under this initiative in order to improve trade 
relation between the two countries ?  
 
Answer  
The Kingdom of Sa udi Arabia welcomes foreign investment and encourages fair competition from all 
WTO members.  
 
Question 19  
If there are any Malaysian companies awarded with the government project, will they be allowed to 
secure funding from the local financial institutions ?  
 
Answer  
It may apply.  
 
Question 20  
The improved transparency will definitely encourage more foreign com panies to bid for government 
tenders. Will tenders also be available for participation by other countries on a G2G basis ?  
 
Answer  
Based on article 3 -2 of the Government Tenders and Procurement Law (GTPL), Government agencies 
shall, before contracting with  foreign persons to carry out the procurements or works inside the 
Kingdom, ensure the unavailability of more than one local person qualified to carry out the said 
works and procurements.  
 
Question 21  
 
Is there any regulations related to preferences in Government Procurement such as local content 
and SME enacted based on the provisions provided under Article 96 of the new Government Tenders 
and Procurement Law (GTPL) by Royal Decree No. M/128 of 1440H?  
 
Answer  
Yes, regulation of  governing the prioritization of local content, local small - and medium -sized 
enterprises and companies listed in the Saudi Capital Market for awarding works and procurements 
within the scope of government procurement was issued by C ouncil of Ministers Decision No 245 
dated 29/3/1441.  
 
Question 22  
3.3.6 Government procurement [Page 70]  
 
3.170. Also, in line with Vision 2030, the new GTPL empowers the LCGPA to enter into  contracts on 
its own volition for the Saudization of an industry or for knowledge transfer. Further, procurement 
contracts entered into under the new GTPL may include provisions on knowledge transfer, training, 
and the transfer of operating skills to empl oyees of the government entity. The new GTPL also 
reflects some core principles of Vision 2030 in providing for a new form of government contract to 
encourage the best idea, design, or other form of intellectual property right through competition. 
This app roach is consistent with Saudi Arabia's goal to become a hub for R&D activities to help grow 
the non -oil sector.  
 
Appreciate if Saudi Arabia could further explain how the new form of government contract to 
encourage the best idea, design, or other form of  intellectual property right through competition is 
operationalized and put into practice.  
 WT/TPR/M/407/Add.1  
 
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  Answer  
The new form shall be in the manner of a competition with the aim of preparing designs, plans, 
models, or other artistic and intellectual works. The prize is  awarded to the winner, provided that 
their number does not exceed three  . 
 
Question 23  
3 3.3.7 Intellectual property rights [Page 72]  
 
3.183. Under Vision 2030, Saudi Arabia is building innovation labs and platforms, and engaging in 
initiatives to encourage entrepreneurship. This approach was underpinned by the reforms 
undertaken in the IP administrative regime during the review period. F or example, in 2020, the 
Saudi Authority for Intellectual Property (SAIP) requested public consultations on a draft regulation 
for IP licensing, and launched a network of 33 IP support centres, and, in 2019, it began preparations 
for the development of a n ational IP strategy.  
 
Appreciate if Saudi Arabia could share examples of the most successful outcomes of the innovation 
labs and platforms.  
 
Answer  
• 65033 is the total number of beneficiaries across three innovation centers  
• 23 prototypes for entrepreneurs  
• 68 MSMEs have implemented innovative solutions  
• 50+ startups have been incubated across innovation labs  
 
Question 24  
3 3.3.7 Intellectual property r ights  [Page 72]  
 
3.184. Since the declaration of the precautionary and preventive measures against COVID -19 in 
2020, the SAIP has delivered 19,990 different actions via its virtual platforms and provided 17,546 
actions to its individual and institutional customers. The SAIP also organized 44 sessions of 
quasi -judicial committees to adjudicate violations of IPRs. Additionally, it provided training courses 
for more than 500 beneficiaries from 28 government and private sectors. SAIP also provide d a 
package of exceptions to support its clients in accordance with rules stipulated in international 
treaties and national regulations. For example, the SAIP extended deadlines of some services until 
3 May 2020, due to the COVID -19 pandemic, which supplem ented its statement regarding business 
continuity due to the crisis.  
 
Appreciate if Saudi Arabia could clarify the nature of actions provided to its individual and 
institutional customers via its virtual platforms. What IP related barriers were addressed u nder these 
measures ?  
 
Answer  
SAIP had extended its services via its virtual platforms in upon the national lockdown and the closing 
of its physical offices by activating the business continuity plan. Also, SAIP announced in March 27, 
2020 the extension of  deadlines until May 3, 2020 and allowed the utilization of its e -services to 
complete all transactions remotely. For more information, please visit:  
https://www.saip.gov.sa/en/covid -19/ 
 
Question 25  
4.3 Manufacturing [Page 104]  
 
4.96. The National Industrial Development and Logistics Program (NIDLP) approach to industrial 
development leverages high domestic and regional demand to catalyse growth in clusters of 
promising industrial sectors, optimizes the economic value captured from Saudi Arabia's na tural 
resources, and involves the development of new clusters of transformative industries. The new 
industrial policy is reflected in a comprehensive and detailed National Industrial Strategy (NIS) 
focusing on nine sectors: (i) equipment and machinery; (ii ) renewable energy supplies; 
(iii) pharmaceutical manufacturing; (iv) medical supplies; (v) the automotive sector; (vi) oil - and 
gas- adjacent industries; (vii) food processing; (viii) the aviation industry; and (ix) military 
industries. The selection of t hese sectors appears to be motivated by, inter alia, the fact that because 
of high domestic demand and dependence on imports they offer substantial opportunities to attract 
foreign and local investors to develop local manufacturing capacity. In each sector  covered by the WT/TPR/M/407/Add.1  
 
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  NIS, the NIDLP sets out in detail the existing situation and context, objectives and strategy, specific 
initiatives, and relevant agencies involved in the implementation of the NIS. The authorities note 
that the NIS is currently being updat ed. Implementation of the NIS is one of the main mandates of 
the recently created Ministry of Industry and Mineral Resources. In this regard, a new entity, the 
National Industrial Development Center, was established in August 2020.  
 
One of the sectors whic h The Kingdom of Saudi Arabia is looking to develop is pharmaceutical 
manufacturing. Appreciate if The Kingdom of Saudi Arabia could indicate the category of 
pharmaceuticals which will be produced.  
 
Answer  
The Kingdom looks into  the followings:  
• Upscale current capabilities on Generics.  
• Venture into higher value add categories such as the bio -pharma.  
It worth noting the that the National Industrial Strategy is currently being updated.  
 
Question 26  
Summary [Page 8]  
 
11. Saudi Arabia introduced the value added tax (VAT) as from 1 January 2018 at a standard rate 
of 5%. VAT was introduced as a result of a common approach between Gulf Cooperation Council 
(GCC) member States. On 1 July 2020, the standard rate was increased  to 15% as part of the 
measures adopted to deal with the economic crisis caused by the COVID -19 pandemic. On 
31 January 2017, Saudi Arabia ratified the GCC Common Excise Tax Agreement and issued the 
Excise Tax Law and its Implementing Regulations. Two diff erent excise tax rates apply: 50% on 
soft/sweetened drinks or 100% on tobacco -related products, energy drinks, and electronic devices 
for smoking/vaping.  
 
The current rate for VAT in Saudi Arabia at 15% is considerably higher than UAE (5%), Qatar (5% 
in near future), Bahrain (5%), Kuwait (5% from 1 April 2021) and Oman (5% from 1  April 2021). 
Would Saudi Arabia consider revising its VAT rate to spur more economic growth in their domestic 
market and attract investment?  
 
Answer  
Currently there is no announced plan to change the VAT standard rate (15%). The Government of 
Saudi Arabia regularly evaluates and reassesses the various tax it implements based on many 
considerations including fiscal & economic conditions, international best practices, transpa rency, and 
international standards. Should any fiscal and economic conditions require a change in the VAT 
standard rate, the Kingdom is ready to take the necessary action to do so.  
 
Question 27  
3.1.4.1 MFN applied tariffs  [Page 44]  
 
3.30 The highest tariff  rate of 100% or the ad valorem part of 100% for mixed duties (e.g. 100% 
with a minimum of SAR 200 per 1,000 units) is exclusively levied on tobacco products (HS 24); 
followed by fruit, vegetables, and plants (up to 40%), and dairy products (up to 25%). Th e highest 
simple average applied MFN rate among agricultural goods is for the beverages, spirits, and tobacco 
category with 27% (Table 3.3). With regard to non -agricultural goods, petroleum products have the 
highest simple average applied MFN rate at 6.7%,  followed by wood, pulp, paper, and furniture 
(6.5%); textiles (6.5%); and leather, rubber, footwear, and travel goods (6.0%).   
 
Is there any special tariff rate provided for certified wood products in support of sustainably managed 
forest?  
 
Answer  
The duty on wood and its products mentioned in Chapter (44) varies, since some items are duty -
free, while others are subject to a duty rate ranging between 5% and 20%.  
 WT/TPR/M/407/Add.1  
 
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  Question 28  
Table 3.4 Import Prohibitions, 2020 [Page 48]  
 
Chapter 40 (rubber and articles thereof) is listed in the table – Based on 4 -digits code there are 17 
products under chapter 40. Please specify which one is prohibited to enter Saudi Arabia and what is 
the specific reason for that.  
 
Question 29  
 
Based on t he listing in the table 3.4, is it prohibited by all means?  
 
Answer 28 & 29  
Chapter 40 covers rubber and its products. Yet, this Chapter prohibits the importion of the retreaded 
and used external tires included under the Customs Items (401211, 401213, 4012 12, 401219, 
401220).  
 
Question 30  
4.1.3.2 Domestic policies  [Page 83]  
 
4.18. In January 2020, the Ministry of Environment, Water and Agriculture issued a new animal feed 
policy, replacing most subsidies to poultry farmers for imported feed (of corn and soybeans) with 
direct support to licensed (small) poultry farmers and per -head payments to small livestock farmers. 
Administered prices for barley feed were increased in early 2020, while import subsidies for hay 
remain in place. In 2016, SAGO became the sole importer of barley for feed, but since 2019, private 
firms have again been allowed to import barley, although they imported only small amounts in 2020. 
SAGO imported 5.2 million metric tonnes of feed barley in 2019 through international tenders, and 
then private -sector distributors sold it at administered prices to livestock  producers.   
 
Appreciate if Saudi Arabia could clarify if the new feed policy is also applicable to ruminants or is the 
new policy only for poultry?  
 
Answer  
The new feed policy is applicable to small livestock producers and poultry.  
 
Question 31  
4.2.2 Energy  [Page 90]  
 
4.37.  In order to grow and diversify the economy, which is one of the strategic objectives of Vision 
2030 (Section 2), Saudi Arabia aims to maximize the value captured from the energy sector through: 
(i) increased localization of the oil  and gas sector; (ii) increased gas production and distribution 
capacity; (iii) development of oil - and gas -adjacent industries; (iv) increased contribution of 
renewables to the national energy mix ; and (v) enhancement of the competitiveness of the 
energy market. Specific plans to achieve this objective of maximizing the value from the energy 
sector were defined in the NIDLP, one of the Vision Realization Programs adopted in 2017 to 
implement Vision 2030. Energy is one of four key sectors addressed by the N IDLP.   
 
What is Saudi Arabia's strategy to increase the contribution of renewable energies and to reduce 
emissions from burning fuel in transportation sector?  
 
Answer  
The National Renewable Energy Program (NREP) is a strategic initiative under Vision 2030 and the 
Renewable Energy Initiative. The program aims to maximize the potential of renewable energy in 
the Kingdom. The program sets out an organized and specific road  map to optimize the energy 
sources, economic development and provide sustainable economic stability to the Kingdom in light 
of the goals set for Vision 2030.  
 
Question 32  
The use of biofuels or biofuels blending has proven to reduce the consumption of fos sil fuels and 
thus reduce carbon dioxide emissions. Is there any plan to partially replace the use of petroleum 
diesel with biodiesel?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
The kingdom is endowed with hydrocarbons and will exhaust all attempts to improve the efficiency 
of its energy re sources and managing emissions, in an economic and environmentally - responsible 
manner. Circular Carbon Economy (CCE) approach addresses all technological innovations including 
cleaner hydrocarbon technologies to meet the required national environmental pe rformance.  
 
Question 33  
Table A3.2 : Products affected by standards and technical regulation, 2016 -20 [Page 125]  
 
Malaysia would like to request further information on the technical regulation imposed for the rubber -
based products  below:  
 
• Group 4: Tyres (Motor -cars) [Page 126]  
• Group 11: Tubes, pipes and hoses of vulcanized rubber (4009) [Page 131]  
• Group 31: Textiled Products – Rubber thread and cord [Page 143]  
 
Answer  
All adopted standards and technical regulations can be found on SASO’s official website on the 
following links:  
https://wasif.saso.gov.sa / 
http://www.saso.gov.sa/en/laws -and-regulations/technical_regulations/pages/default.aspx  
  WT/TPR/M/407/Add.1  
 
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  OMAN  
III. OTHER QUESTIONS  
 
Question 1  
We commend the Kingdom of Saudi Arabia for its electronic platform SABER . 
Could the Kingdom of Saudi Arabia provide us with further details about this platform and its 
functions?  
 
Answer  
Saber E -Platform developed under the supervision of SASO, and according to the highest standards 
of efficiency in terms of speed of registration.  
Saber is an integrated e -service system that al lows traders to register their enterprise and consumer 
products' data, registration is mandatory whether the product was manufactured locally or imported 
to be eligible for granting the required certificates of conformity for consumer products in the 
Kingd om of Saudi Arabia.  
Saber 's Electronic Platform Features  are as follows : 
- Improved importation experience through obtaining the certificates of conformity and shipment.  
- Ensure safety of the products available in the market.  
- Faster Clearance at borders.  
- One platform integrated with other entities.  
- Lower total cost.  
- Ensure that products are free from defects that may affect the health and safety of the Saudi 
consumer, limiting fraudulent products, reducing the required time to import products in 
coordination with the Saudi Customs examination, and speeding up the process of issuing the 
required Conformity Certificates.  
 
  WT/TPR/M/407/Add.1  
 
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  PHILIPPINES  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
 
I. ECONOMIC ENVIRONMENT  
Para 1.13 (Page 16)  
SAMA is vested with the conduct of monetary policy, and its key monetary policy objective remains 
the stability of the Saudi riyal (SAR) exchange rate in local and global markets, complemented by 
protecting the stability and resilience of the financial system, exp anding and deepening the financial 
sector, and contributing to the economic development of the country.  
 
What are the asset allocation parameters that the SAMA considers for its reserves?  
 
Answer  
The provided question  is not an integral part of the secretariat report nor the government report . 
 
Question  2 
 
What strategies are used by SAMA to reduce negative carry?  
 
Answer  
The provided question  is not an integral part of the secretariat report nor the government report . 
Question  3 
 
What are the asset classes allowed to invest into and possibly be included in its portfolio in the near 
term and in the medium to long term? Is it allowed to invest in e quities? If yes, what have been 
SAMA's notable experiences in investing in equities?  
 
Answer  
The provided question  is not an integral part of the secretariat report nor the government report . 
 
Question  4 
 
Para 1.26 (Page 21)  
A key objective of Vision 2030 is to promote and facilitate foreign investment and increase its GDP 
share from 3.8% to 5.7%. FDI inflows declined steadily over the last decade, when they were over 
three times higher than today. Inward FDI averaged USD 5.2 billion per year during 2015 -19, 
compared with an annual average of USD 18.2 billion in 2005 -07, while the stock of FDI in 2019 
stood at USD 236 billion.  
 
How does Saudi Arabia collect data on direct investments? Does the country have a business registry, 
e.g. a corporate sector database, particularly for those corporations with FDI transactions?  
 
Answer  
The requested question is not an integral part of either the secretariat nor the government reports 
and it’s classified outside the scope of the TPR.  
 
Ques tion 5 
 
Does the Saudi Arabia Monetary Agency (SAMA) have authority to collect data from economic units 
that are not under their supervision, such as non -deposit taking corporations and households for 
statistical purposes, economic surveillance, and policy  formulation?  
 
Answer  
SAMA regulates and supervises the banking, insurance, finance, money changers, and payment 
systems oversees the statistical information over the aforementioned sectors. Moreover, SAMA 
coordinates with related entities to collect balan ce of payment data. Other financial statistics could 
be found within the relevant financial entities through websites or annual reports. In -depth statistics 
are available in SAMA’s annual reports that can be accessed here ( https://www.sama.gov.sa/en -
us/eco nomicreports/pages/annualreport.aspx ). WT/TPR/M/407/Add.1  
 
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  Question  6 
 
II. TRADE AND INVESTMENT REGIMES  
Para 2.18 (Pages 26 -27) 
During the review period, there was a significant change in Saudi Arabia's institutional framework 
for trade policy formulation and implementation. The General Authority for Foreign Trade (GAFT) 
was established in January 2019 as a separate public entity to take over all the responsibilities 
related to foreign trade that were previously carried out by the Ministry of Commerce. The GAFT  is 
currently responsible for all trade policy matters, including negotiating international trade 
agreements, ensuring Saudi Arabia's compliance with its WTO obligations, and representing the 
Kingdom in the WTO and other international economic organization s. 
 
Given the relatively recent institutionalization and operationalization of the GAFT, what were the 
main challenges it encountered in its early stages in terms of formulating trade policy? How were 
these challenges addressed?  
 
Answer  
Given the increasin g role of foreign trade in national and international economy, GAFT was cre ated 
as a specialized entity for the foreign trade  mandate . 
The main challenge was formulating a national foreign trade strategy which incorporates several 
sectoral strategies.  
GAFT is developing the National Foreign Trade Strategy , where  the strategy  and its initiatives are 
being  formulated on the basis of international and regional best practices  and in consultation with 
private sector, aiming to achieve Vision 2030  goals and objectives.  
 
Question  7 
 
Para 2.39 (Page 31)  
In June 2017, Saudi Arabia, the United Arab Emirates and Bahrain severed diplomatic, trade, and 
travel ties with Qatar, including restricting access by land, sea, and air. The embargo was lifted in 
January 2021.  
 
Kindly discuss the effects of the three -and-a-half year embargo of KSA, UAE, and Bahrain to Qatar 
and overall GCC relations.  
 
Answer  
As refered in paragrapgh  2.39 the relevant measures were lifted in January 2021.  
 
Question  8 
 
Para 2.44 (Page 32)  
Some GCC member States (Bahrain and Oman) concluded bilateral FTAs, notably with the 
United  States. In the case of Saudi Arabia, bilateral economic relations with the  United States are 
conducted under the Trade and Investment Framework Agreement (TIFA), signed in 2003. The TIFA 
is aimed at improving legal protection for investors, strengthening intellectual property protection, 
enhancing the efficiency of customs proce dures, and increasing transparency in government and 
commercial regulations. The GAFT is currently assessing the potential to expand the Kingdom's 
network of FTAs in light of the Vision 2030 goals.  
 
What are the GAFT's key considerations in identifying pot ential bilateral FTA partners? Is it also 
looking into engaging other countries with which KSA has not initiated FTA negotiations with yet in 
the past?  
 
Answer  
GAFT has developed FTA prioritizion for  potential FTAs for current and future negotiations. Key 
considerations are complementarity of economies, current bilateral trade, geographic location, 
potential trade creation and market access opportunities for goods and services.  The potential FTAs 
with some trading partners with whom negotiations were not initiated.  WT/TPR/M/407/Add.1  
 
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  Question  9 
Kindly discuss the impact of FTAs implemented in overall GCC trade, investment, and economic 
relations.  
 
Answer  
Saudi Arabia and the GCC have a small but robust FTAs network, thi s is set to change in the future 
as both have ambitious plans to actively expand their FTA’s network.  
Question  10 
 
Para 2.46 (Page 32)  
Since the last Review, an Agreement on Trade in Services has been concluded among the countries 
of the League of Arab Sta tes. Saudi Arabia was the first to ratify the Agreement and the schedule of 
commitments, and it started its implementation in October 2019. However, negotiations on the 
implementation details of some PAFTA provisions on rules of origin and non -tariff barri ers are still 
ongoing, as reported in the previous Review.  
 
What are the salient features of the Agreement on TIS which the League of Arab States has 
concluded? How is KSA implementing its commitments under the agreement? What are some 
challenges encounter ed during the implementation of the Agreement and how are these being 
addressed by the government?  
 
Answer  
The salient feature of the agreement is the participation of non WTO members to this agreement.  
The Kingdom was the first member to sign and ratify the agreement.  
Any challenges that may arise regarding the implementation of the agreement are to be addressed 
in the relevant committee (implementation and follow up committee).  
Question  11 
 
Para 2.51 (Page 33)  
The MISA has launched several initiat ives that aim to improve the investment environment and 
foster competition. Notably, it has issued the Consolidated Investment Plan, aimed at working closely 
with all relevant government agencies and leading Saudi companies to attract investment and 
channe l it into the most promising economic sectors, while also making the traditional sectors more 
competitive. Other initiatives are geared towards marketing investment opportunities in the Kingdom 
in cooperation with the chambers of commerce. "Invest Saudi" w as established as the national 
investment brand, with the aim of promoting investment projects in Saudi Arabia and enhancing the 
image of the country's investment climate. It functions as a communication platform that serves and 
connects all government ent ities engaged in investment matters. Other reforms aimed at attracting 
investment include the establishment of Tayseer, a government committee mandated to 
continuously improve the way business is conducted in the Kingdom; and the issuance of Ministerial 
Resolution No. 713 on public consultation with stakeholders regarding proposed legislation, which 
seeks to improve the transparency and predictability of business regulations.  
 
What are the main deliverables and targets of the Invest Saudi campaign?  
 
Answer  
Kindly refer to par. 1.13 of GOV report.  
 
Question  12 
What is the difference between the functions of the Ministry of Investment (MISA) and that of the 
Ministry of Commerce? This would help other economies in streamlining agency functions particularl y 
those involved in investments.  
 
Answer  
Regarding the Ministry of Commerce kindly refer to par. 1.7, 1.8 and 1.9 of GOV report.  
On the other hand, MISA facilitates access to investment opportunities by developing a vibrant cross-
government investment ecosystem, while supporting businesses throughout their investment 
journey. Through a network of dynamic business centers across the Kingdom, MISA partners with 
local and international businesses of all scales and sizes —from sta rtups to blue chip multinationals —
to help make investing in the Kingdom as streamlined and simple as possible.  
MISA takes a lead role in improving Saudi Arabia’s overall business environment, commissioning 
multiple market intelligence studies every year, a nd developing local opportunities for joint ventures.  WT/TPR/M/407/Add.1  
 
- 102 - 
 
  Question  13 
Can KSA expound more on the function of the Tayseer? Are they not overlapping with the functions 
of MISA?  
 
Answer  
Kindly refer to par. 2.51 of SEC report.  
 
Question  14 
 
Para 2.60 (Page 35)  
Foreign investors have the right to transfer abroad profits, capital gains, funds derived from the sale 
of equity, and any amounts required to settle contractual obligations pertaining to their investment. 
Resident companies in Saudi Arabia that are wholly  owned, either directly or indirectly, by foreign 
investors (i.e., non -Saudi and non -GCC natural or juridical persons) are subject to corporate income 
tax on profits and capital gains at a flat rate of 20%. Whereas resident companies that are wholly 
owned,  either directly or indirectly, by Saudi or GCC nationals, with no non -GCC entity in the 
ownership structure, do not pay corporate income tax but are subject to a religious levy on net 
assets, called Zakat, at a rate of 2.5%. However, if the activity of th e resident company is in the 
hydrocarbons and natural gas industry, only the corporate income tax is levied, regardless of the 
nationality or origin of its shareholders. Withholding taxes are applied to payments made to any 
non-Saudi resident who derives i ncome from a source in Saudi Arabia; the withholding tax rate 
ranges from 5% for dividends and technical services to 15% for transfers to related parties, and 
20% for management fees. There are no taxes on personal income.  
 
May we confirm if the government  of Saudi Arabia does not implement any foreign exchange (FX) 
restrictions/regulations such as the need to register foreign investments in order to be eligible for 
the repatriation of capital and remittance of related -earnings using FX from the banking sys tem. 
Pursuing FX reforms on these areas, such as streamlining the registration process, may help attract 
foreign investments if such regulations exist.  
 
Answer  
Saudi Arabia maintains an exchange rate system free of restrictions on the making of payments and 
transfers for current international transactions. Saudi Arabia related regulations are in line with 
Article XI (Payment & Transfers) of the GATS agreement.  
 
Question  15 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE  
Para 3.3 (Page 39)  
During the review period, Saudi Arabia introduced important changes in customs procedures; 
notably, the SCA enhanced an electronic data interchange system, an electronic trade single window 
that allows electronic submission and processing of import declara tions. Moreover, Saudi Arabia 
implemented a new risk management system and targeting centre to classify the shipments based 
on their risk level, launched both an online platform for the certification of imported goods and a 
truck reservation service at its  seaports, and upgraded its infrastructure at Jeddah. Saudi Arabia 
now has a country -wide single window for customs procedures.  
 
Are there plans to establish a GCC -wide single window system for customs procedures? If so, what 
are the key considerations and  foreseen challenges to operationalize such mechanism?  
 
Answer  
The unified platform for import and export clearance is established for Saudi Customs and its 
partners including other relevant governmental authorities in the Kingdom. It is not currently link ed 
to the customs authorities of GCC countries; there are no current plans to change that . 
 
Question  16 
 
Para 3.15 (Page 41)  
There are no legal provisions pertaining to advance rulings. According to the authorities, the SCA 
answers, on a case -by-case basis, requests for information on customs matters such as 
classification, valuation, and rules of origin.  
  WT/TPR/M/407/Add.1  
 
- 103 - 
 
  Why is the issuance of Advance Rulings (AR) not part of Saudi Arabia's current customs 
procedures/legal provisions? Are there future plans to adopt same for transparency and trade 
facilitation purposes?  
 
Answer  
There is a Saudi customs procedures /legal provisions of issuanc e Advance Ruling, which is the 
Unified Guide adopted by customs administrations in the GCC Member States.  
 
Question  17 
 
Para 3.61 (Page 49)  
Under the GCC Common Law, the determination of injury is based on the overall market of the GCC 
member States. Unde r the 2010 amendment to the GCC Common Law, the following institutions 
were established to deal with trade remedy issues within the GCC market: the Ministerial Committee, 
the Permanent Committee, the Cooperation Council for the Arab States of the Gulf, and  the Bureau 
of Technical Secretariat of Anti -injurious Practice in International Trade (GCCTSAIP).   
 
What are the specific roles of each institution that deals with trade remedy issues? Which is/are the 
investigating authority/ies?  
 
Answer  
Article 8 of the GCC Common Law of Anti -dumping, Countervailing and Safeguard measures (“GCC 
Common Law”) provides details about the duties and roles of the Ministerial Committee, which in 
short, is responsible for taking the final decision on the trade remedies measur es. 
Article 9 of the GCC Common Law provides details about the duties and roles of the Permanent 
Committee, which in short, is responsible for overseeing the GCCTSAIP, taking the decisions on 
provisional measures and undertakings, propose the final decisio ns on trade remedies measures, 
and accepting the trade remedies applications.  
 
Question  18 
 
Para 3.63 (Page 49)  
On 3 January 2019, Ministerial Decree No. 211 established the GAFT. The Trade Remedies 
Deputyship (TRD), under the GAFT, is responsible for all  issues related to trade remedies. The 
Deputy Governor of the TRD is a member of the Permanent Committee and participates in its 
decisions. The Minister of Industry and Mineral Resources represents Saudi Arabia in the Ministerial 
Committee for final decisi on-making of trade remedy matters.  
  
What is the interplay/relationship between the GAFT and the institutions dealing with trade remedy 
that were identified in para 3.61?  
 
Answer  
GAFT is representing the Kingdom of Saudi Arabia in the Permanent Committee.  GAFT reviews the 
GCCTSAIP’s reports and votes – among other GCC members - on the Permanent Committee’s 
decisions. GAFT also coordinates with the Minister of Industry and Mineral Resources in his 
representation in the Ministerial Committee in voting on the final decisions.  
In addition, GAFT assists the GCCTSAIP in conducting the trade remedies investigations in collecting 
information from Saudi market, industry and Saudi customs authorities.  
 
Question  19 
 
Para 3.165 (Page 69)  
The new GTPL also aims to support SMEs and increa se local content in government procurement 
contracts. The conditions to benefit from local content and SMEs' preferences are generally to supply 
locally made products, hire locals, conduct R&D, and include other elements of local content, as well 
as to be registered as an SME for SMEs' preferences.  
 
How much of government procurement contracts have been sourced locally? From SMEs specifically?  
 
Answer  
The share of MSMEs contribution in government procurement has increased to 36.34% in Q4, 2020 
(SAR 13.1 Bn) . Despite the decrease in value of contracts in Q4, 2019 by -1.6% (SAR 13.3 Bn). The WT/TPR/M/407/Add.1  
 
- 104 - 
 
  decrease in the value of contracts for large enterprises contributed to the increase in the share of 
MSMEs, derived by the Covid -19 affect and implications on businesses.  
 
Question  20 
 
IV. TRADE POLICIES BY SECTOR  
Para 3.182 (Page 72)  
The Saudi Authority for Intellectual Property (SAIP) was established under the Council of Ministers 
Decision No. 410 of 27 March 2017. The Decision transfers duties and responsibilities from the 
Saudi  Patent Office (King Abdulaziz City for Science and Tech nology), Copyright Department (under 
the Ministry of Culture and Media), and Trademark Department (under the Ministry of Commerce) 
and unifies them under the SAIP. The Council of Ministers Decision No. 496 of 11 June 2018 sets 
forth the SAIP's main roles a nd responsibilities as: (i) preparing the national strategy for intellectual 
property (IP), following up on implementation after its adoption, and developing work plans and 
programmes in coordination with the relevant authorities; (ii) proposing laws and r egulations 
relating to intellectual property rights (IPRs); (iii) managing the registration, grant, and enforcement 
of IPRs; (iv) providing information to the public; (v) raising awareness regarding IP and IPR 
protection; (vi) representing Saudi Arabia in international and regional organizations and defending 
its interests; (vii) providing opinions on international agreements related to IPRs; (viii) following up 
on the implementation of the obligations resulting from Saudi Arabia's accession to internationa l 
conventions relating to IP; (ix) promoting the use of IP to build an advanced knowledge -based 
economy; (x) establishing databases related to the SAIP's work and exchanging information with 
local, regional, and international authorities; and (xi) licensin g of related activities.  
 
We would like to request further information on the responsibility of SAIP to "provide opinions on 
international agreements related to IPRs " particularly, on the nature of such opinions (i.e.  whether 
the opinion is legally binding ), and the SAIP clients requesting for such opinion.  
 
Answer  
SAIP responsibility is to study and provide opinion to the Saudi council of ministers on the 
advantages and commitments of IPR treaties such as accession, economic impact and legislative 
modifica tion. 
 
Question  21 
 
Para 3.192 (Page 74)  
The Regulations of Optional Copyrights Registration issued by the SAIP's Board of Directors Decision 
No. 03/07/2019 dated 07/06/1440H (12 February 2019) provide registration services for 
architectural designs and computer software and applications. Under A rticle 3(3) of the Regulations, 
registration services may be extended to include other types of copyrighted works by a decision of 
the Chief Executive of the SAIP.  
 
What is the advantage of the registration of architectural designs and computer software a pplications 
and is such registration a requirement?  
 
Answer  
The right holder is protected even without having his/her work registered.   
The purpose of the optional copyright registration is to establish a public record of Ownership and in 
case of disputes , the owner of the registration can use an official document to establish a 
presumption of Ownership.  
 
Question  22 
 
Para 3.193 (Page 74)  
Saudi Arabia's copyright laws and procedures apply to copyright infringement on the Internet. 
Accordingly, any person within the territorial jurisdiction of Saudi Arabia who infringes copyrighted 
works on the Internet shall be subject to one or more of the following penalties: (i) a warning; (ii)  a 
fine not exceeding SAR 250,000; (iii) closure of the establishment that participated in the 
infringement for a period not exceeding two months; (iv) confiscation of all copies of the work in 
addition to the materials used, or intended for use, in the infringing acts; or (v) imprisonment for a 
period not exceeding six mont hs (Article 22 of the Copyright Law).  
How does Saudi Arabia enforce the penalties if the infringer is located outside of Saudi Arabia?  WT/TPR/M/407/Add.1  
 
- 105 - 
 
  Answer  
If the infringer is located outside of Saudi Arabia, it depends pursuant to the country's policy in 
enforcing for eign judgments. Moreover, Law of Procedure before Sharia Courts stated in Article (26) 
(a) that the Saudi courts shall have Jurisdiction over cases that are filed against non -Saudi who does 
not reside in the kingdom, if the case is related to a commitment existing, created or implemented 
in Saudi.  
The legal notification of the lawsuit shall be sent by the Ministry of Foreign Affairs and the legal 
notification will be delivered via diplomatic channels.  
However, if the infringer is located in a country which is considered to be a party of "TRIPS 
AGRE EMENT" the agreement shall be binding on the state parties and the enforcement shall be 
applied against the infringer . 
 
Question  23 
 
Para 4.104 -4.105 (Page 106)  
As part of Vision 2030, the Financial Sector Development Program (FSDP) aims to develop a strong, 
innovative, and stable financial sector, able to support private -sector growth through lending, new 
services, and an advanced capital market, while promoting and enabling financial planning in society 
more broadly. In this role, the financial secto r is seen as essential, allowing the private sector to 
drive the diversification and development of the economy. Therefore, the authorities consider 
financial -sector development critical to achieving the Vision 2030 objectives.  
 
The Saudi Central Bank (SAM A) regulates and supervises financial services, while the Capital Market 
Authority (CMA) regulates capital markets. During the review period, the regulators implemented a 
large number of reforms, aimed at increasing the use of electronic payments, supporti ng the 
development of the FinTech sector, and deepening capital markets. These reforms resulted in the 
inclusion of the Saudi Stock Exchange in three emerging market indices (Section 4.4.1.3). In 2019, 
financial services (comprising the banking sector, the  insurance sector, and non -bank financial 
institutions) and business services jointly accounted for 5.6% of GDP at current prices, and financial 
services alone employed nearly 64,000 people.  
 
How did the COVID -19 pandemic impact specifically the financial services sector? What regulations 
were issued to address these?  
 
Answer  
In response to Covid -19 pandemic, jurisdictions around the world, including Saudi Arabia, have 
taken both health and economic measures to contain the effect of the escalating virus out break. As 
a result of these measures, economic activity across many sectors has been adversely affected 
including the financial sector although mostly indirectly. Financial services do not necessarily rely on 
physical contact with customers especially with  accelerated level of digitization in the sector in recent 
years. The Saudi Banking sector’s asset quality was minimally impacted, where the NPL ratio 
remained at 2.2 percent during the third quarter of 2020. However, the system has remained 
comfortably ca pitalized, with CAR standing at 19.6 percent in the third quarter of 2020, and highly 
liquid.  
 
Question  24 
 
Para 4.113 (Page 109)  
Foreign banks continue to be allowed to operate in Saudi Arabia, either as a locally incorporated 
joint-stock company or as a branch of an international bank. In 2019, the SAMA issued revised 
licensing guidelines for banks under the Banking Control Law, 1966, which remains the main 
legislative text governing the banking sector. Under the guidelines, foreign bank branches are, in 
principle, subject to the same prudential requirements as locally incorporated banks. Foreign bank 
branches are not required to maintain capital in Saudi Arabia but, under certain circumstances, the 
SAMA reserves the right to impose such capital requiremen ts. The guidelines require preliminary 
discussions prior to submitting a license application for review to the SAMA. The Regulations for 
Foreign Bank Branches were published in September 2019 in Circular No. 4922/67, and the SAMA 
also regulated "agent bank ing" in 2019. In 2020, the SAMA issued additional guidelines for 
digital -only banks, requiring such banks to be set up as incorporated joint -stock companies, to have 
a physical presence in the country, and to put in place adequate customer support.  
 WT/TPR/M/407/Add.1  
 
- 106 - 
 
  In ter ms of commercial banking activities, is there a provision under Saudi Arabia's domestic laws 
and regulations that limits the number of non  
 
Answer  
The financial sector is very liberal and attractive to foreign investment with strong foreign 
participation as for foreign equity share is as indicated in the KSA Services Schedule of Specific 
Commitments.  
 
Question  25 
 
Para 4.117 (Page 110)  
From a regulatory point of view, banks assess and approve the Shariah -compliance of their products 
and services. In practice, this is done by internal (Shariah) boards within each bank. As a result, all 
banks are regulated using the same reporting requirem ents and, in principle, all banking activity is 
Islamic or Shariah -compliant. While there is no official classification of banks into Shariah -compliant 
and conventional, four banks are run completely in accordance with Shariah, with other banks 
offering bo th conventional and Shariah -compliant products. Approximately 71.5% of banking sector 
assets were Shariah -compliant in 2019, an increase from 51.0% in 2016.  
 
As we are aware, many foreign workers or individuals are staying in the Kingdom. In accordance 
with Saudi Arabia's domestic laws and regulations, are there rulings that restrict foreign nationals 
to open an account with a domestic bank under Mode 2? Does it follow the same Shariah/Islamic 
rulings in the foregoing?  
 
Answer  
According to Bank Accounts Ru les issued by Saudi Central Bank, any foreign resident individual can 
open a bank account. There are no restrictions on individuals’ choice of Shariah -complaint or 
conventional banking Products.  
 
Question  26 
 
Para 4.124 (Page 111)  
In December 2018, the SAMA issued new rules for the licensing and supervision of branches of 
foreign insurance and/or reinsurance companies in Saudi Arabia, to support the development of a 
stable and resilient financial sector as part of Vision 2030. Forei gn insurance and reinsurance firms 
are now allowed to open a branch if they meet some, primarily prudential, conditions; some 
applications to open a branch have been received and are under review. The SAMA also updated its 
requirements for appointments to senior positions in September 2019.  
 
For the entry of foreign insurance and reinsurance firms, what are the specific prudential 
requirements (i.e. qualifying capital in respect of insurance liabilities and risks; risk identification 
and management; and re porting and disclosure) needed to open a branch in Saudi Arabia? Further, 
is there an acquisition requirement of the voting stock of an existing domestic insurance company? 
Is there a limitation in the participation of a non -Saudi Arabian resident in the B oard of Directors of 
a locally incorporated insurance company?  
 
Answer  
The specific prudential requirements needed to open a branh in Saudi Arabia are;  
1-Taking into consideration the premiums retention percentage stated in the Implementing 
Regulation and/ or SAMA’s Instructions, the Branch shall ensure that its liabilities excluding the 
reinsurance share - equals its assets in Saudi Arabia.  There should be no transfer of money from 
the Branch to the Company unless it is under a service provision arrangement  between the Company 
and the Branch that has been approved by SAMA, or retained profits shown in the annual financial 
position of the Branch, submitted to SAMA according to Article 15 of these Rules and after getting 
SAMA’s approval, provided that the Bran ch is in compliance with the solvency margin requirements 
stated in the Implementing Regulation and SAMA’s Instructions.  
2-The management of the invested assets of the Branch shall be carried out by its investment 
department, a licensed Saudi bank or Capi tal Market Authority authorized person. The Investment 
requirements provided in the Implementing Regulation and SAMA’s Instructions shall apply to the 
Branch  
3-Surplus distribution stated in the Implementing Regulation and/or SAMA’s Instructions shall appl y 
to the Branch’s business.  WT/TPR/M/407/Add.1  
 
- 107 - 
 
  4-SAMA requires the Company “the foreign insurance and/or reinsurance company licensed to open 
a branch in KSA” to submit regular returns to demonstrate its solvency determined according to 
Saudi Arabian regulatory requirements . In addition, SAMA requires the Company to provide it with 
any decisions that affects the Branch business including, but not limited to, decisions related to the 
capital, solvency, and the board of directors.  
5-The paid up capital of the Company has to b e equal to, or more than, the amount required for a 
Saudi established insurance and/or reinsurance company  
6-The Branch shall calculate its solvency in accordance with the solvency requirements stated in the 
Implementing Regulation and SAMA’s Instructions  
7-Any Company, prior to commencing the Branch operations in Saudi Arabia shall place the 
Company’s Contribution with the Branch, as a minimum of one hundred million Saudi Riyals for 
insurance and two hundred million Saudi Riyals for reinsurance. The statut ory Deposit percentage 
shall be determined based on the Standard & Poor's classifications or their equivalent, for example 
but limited to, AM Best, Moody's or Fitch, as follows:  
AAA: %10  
AA: %20  
A: %30  
Others: %40 as minimum  
If a ratings downgrade occurs, the Company shall inform SAMA and deposit the balance of the 
Deposit corresponding to the lower credit rating within ninety (90) days of such downgrade. If the 
rating of the Company is upgraded, the Company may apply to SAMA to reduce the  Deposit to an 
amount corresponding to such upgraded rating with the change taking effect one year from the 
rating upgrade.  
8- The Branch’s gross written premiums shall not exceede (10) times the Company’s Contribution 
and its reserves, unless SAMA’s prior  written approval is obtained  
9- The Company shall evaluate and ensure the adequacy of the technical provisions of the Branch 
on a quarterly basis. The Company shall remain ultimately liable for settling all policyholder 
obligations and other liabilities o f the Branch  
10- SAMA requires the Branch to submit regular reporting forms in a similar format to those required 
for local insurance and/or reinsurance companies  
11- The Cooperative Insurance Companies Control Law and its Implementing Regulation, as well as 
SAMA’s Instructions shall govern whatever is not provided in the Rules for Licensing and Supervision 
of Branches of Foreign Insurance and/or Reinsurance Companies in Saudi Arabia (link to the 
Cooperative Insurance Companies Control Law, Regulations, rul es and Instructions - including Risk 
Management Regulation and Insurance Co rporate Governance Regulations :  
https://www.sama.gov.sa/en -us/laws/pages/insurance.aspx   
There is no an acquisition requirement of the voting stock of an existing domestic insurance  
company . 
There is no a limitation in the participation of a non -Saudi Arabian resident in the Board of Directors 
of a locally incorporated insurance company . 
 
Question  27 
 
Para 4.130 (Page 112)  
Investment in Saudi capital markets continues to face restric tions, despite recent efforts to increase 
access by non -resident foreign investors to capital markets. While investment in equity markets is 
open to Saudi citizens, GCC nationals, and foreign residents, direct investment in the main market 
for non -resident s remains primarily restricted to QFIs, ultimate beneficiaries in swap agreements, 
and Foreign Strategic Investors. Non -GCC nationals that hold shares in public joint -stock companies 
traded on the equity market must still obtain permission from the CMA pri or to buying or selling 
their shares.  
In terms of investment houses, what is the foreign equity limitation allowed under the Kingdom's 
domestic laws and regulations? Further, are foreign nationals allowed to become members of the 
Board of Directors to the  extent of the foreign participation in the equity enterprise?  
 
Answer  
The following ownership limits will be applied on qualified foreign investors (“QFI”) and ultimate 
beneficiary in a swap agreement (“Swap Investor”):  
• Each QFI may not own 10% or more of the shares of any issuer whose shares are listed or 
convertible debt instrument of the issuer.  WT/TPR/M/407/Add.1  
 
- 108 - 
 
  • The maximum proportion of the share of any issuer whose shares are listed or convertible 
debt instrument of the issuer that may be owned by all foreign investors (in all categories, 
whether residents or non -residents) in aggregat e is 49%.  
 
The above restrictions only apply to QFIs and Swap investors. If foreign investors would like to invest 
in the Saudi market without limitation, they can do so as a strategic foreign investor. However, 
foreign strategic investors would be restric ted from disposing of any of the shares they own in 
accordance with The Instructions for the Foreign Strategic Investors Ownership in Listed Companies 
within a period of two years after the date of ownership of such shares. The other provisions of The 
Instructions for the Foreign Strategic Investors Ownership in Listed Companies shall apply on foreign 
legal persons who directly owned shares in companies listed on the Main Market.  
Lastly, foreign nationals are allowed to become members of the Board of Direct ors to the extent of 
the foreign participation in the equity enterprise.  
 
Question  28 
 
What are the policies or mechanisms that the Saudi Capital Markets employed in order to  sustain 
their domestic markets given that they have several restrictions and regulations limiting foreign 
investors to engage in their markets?  
 
Answer  
CMA initiated a strategic plan to develop the market infrastructure and policies to sustain the 
domest ic markets. To achieve this objective, CMA reviews capital market needs on a frequent basis 
through its strategic plan that is based on future target of the Saudi market, which is to be a leading 
in the MENA region, and one of the leading market in the wor ld. The enhancements often take into 
consideration transforming the market to be in line with the best global practices.  
 
II. QUESTIONS REGARDING THE GOVERNMENT  REPORT  
 
Question  29 
 
V. FREE TRADE AGREEMENTS  
Para 5.6 (Page 25)  
The Kingdom grants preferential treatment to the goods of national origin imported from Singapore 
as of 1 April 2015 within the framework of the free trade agreement between the GCC states and 
Singapore. The GCC -Singapore FTA has its own rules of origin.  
 
Please share Saudi Arabia's or the Gulf Cooperation Council (GCC) States' plans to expand trade 
cooperation agreements with other ASEAN Member States or ASEAN as a whole? What are the plans 
in terms of agreements in other trade modalities such as trade in services or investm ent? Are there 
specific sectors in ASEAN/the Philippines which the KSA consider as potential investment channels?  
 
Answer  
Negotiating FTA with ASEAN member states is under consideration along with a number of other 
potential FTAs.  
 
Question  30 
 
VI. FUTURE DIRECTION OF SAUDI ARABIA 'S TRADE POLICY  
Para 6.1 (Page 25)  
During the Kingdom's presidency of the G20 -2020, the Trade and Investment Working Group (TIWG) 
held a number of Ministerial -level as well as Working Group -level meetings, which included vir tual 
extraordinary meetings in response to COVID -19 pandemic. The first meeting of the working group 
took place in March 2020 in Al -Khobar, with the participation of G20 members, invited countries and 
a number of international organizations. During the mee ting, the priorities of the TIWG were 
revealed and discussed in addition to the launch of the Riyadh initiative for the future of the World 
Trade Organization.  
 
How did KSA, during its G20 -2020 presidency, lead the group to discuss responses to the COVID -19 
pandemic specifically on trade -related issues (e.g., export ban or restrictions on medical supplies)?  
 WT/TPR/M/407/Add.1  
 
- 109 - 
 
  Answer  
The Kingdom of Saudi Arabia proposed short and long term action lists to counter the negative 
effects of Covid -19 and to support the mult ilateral trading system, in this regards G20 members 
supported and endorsed these lists.  
 
III. OTHER QUESTIONS  
 
Question  31 
 
The IMF expects the current account deficit in KSA, as a percentage of GDP, to settle at 2.5% and 
1.6% in 2020 and 2021, respectively, mainly as a result of the COVID -19 pandemic. May we ask if 
these are in line with the KSA's external sector projections? How does the KSA expect the recent 
developments on vaccine availability along with the emergence of the new variants of COVID -19 
influence its external sector outlook for 2021 -2022?  
 
Answer  
KSA's external sector projections for 2020 using actual number for  quarter 1, 2, 3 and projecting 
quarter 4 is equal to -1.6%, where the projection for 2021 is equal to 4.5% surplus. MOF has 
assumed developments on vaccine availability when projecting 2021 -2022 for current account.  
 
Question  32 
 
Saudi Arabian Monetary Au thority (SAMA) had its maiden issuance of SAMA bills in December  2008. 
What are the objectives in introducing SAMA bills? Since its maiden issuance, have these objectives 
been achieved? Given that the weekly offering for SAMA bills is revised infrequently,  what indicators 
does SAMA consider in deciding to change the volume of the weekly SAMA bill offering? Moreover, 
how does SAMA allocate the volume across the offered tenors?  
 
Answer  
SAMA bills are liquidity management tool issued on a weekly basis for mat urities up to 1 -year. SAMA 
bills have been introduced as a liquidity management tool and subsequently provide a short term 
high quality securities for the banking system. SAMA bills currently have a weekly offering of SAR 
10 bn, the offering dependent on m onetary conditions. More recently, the offering has been adjusted 
from SAR 3 bn to SAR 10 bn in December to enhance banks' efficiency in managing liquidity. SAMA 
bills allocation is based on a pro rata basis.  
  WT/TPR/M/407/Add.1  
 
- 110 - 
 
  RUSSIAN FEDERATION  
I. QUESTIONS REGARDING THE SECRETARIAT  REPORT  
Question 1 
 
4 SECTORAL DEVELOPMENTS  
4.6 Services  
4.6.1 Financial services  
 
Page 19, para 4.45  
Simultaneously in 2018, SAMA launched Fintech Saudi, an initiative to develop the Kingdom as a 
hub for financial techno logy and contributing to the support of financial inclusion and the rise of 
digital transactions.  
 
An inclusive financial system implies that the majority of people have access to and use financial 
services. The lack of access to such financial services ca n contribute  
to the persistence of income inequality and hinder economic growth. Financial inclusion is an integral 
part of the economic and social development and is currently a priority in many countries. Could 
Saudi Arabia please clarify at what stage of development is financial inclusion in Saudi Arabia and 
what government measures have been taken on order to improve it?  
 
Answer  
At the end -2020, the cumulative effects of FSDP initiatives positively affected the Kingdom’s level of 
financial inclusion and will continue to improve further in the short - and long -term as per the 
following indicators:  
 
• The share of population above 15 years old that have an account is above 80% mark by the 
end of 2020 compared to 71% in 2018. This is largely facil itated by the growing use of 
e-wallets and the high degree of mobile penetration. In addition; focused efforts is accorded 
to segments in remote locations or with less digital connectivity e.g. (i) expanding the use of 
qualified agent banking, (ii) ensurin g banks’ fee and charges facilitate more account opening 
and active usage, and (iii) expanding insurance penetration via bancassurance and mandatory 
insurance coverage. As such, the Kingdom remains on track to achieve its 90% target number 
of population wi th access to formal financial institutions.  
• Share of non -cash transactions (% of total transactions) rose two -fold to 36% (2020 target: 
28%).  
• Point-of-sale transactions increased by 158% to reach SAR37 billion.  
• SME loans as a share of bank loans increased four times to 8%, 3ppts above the target.  
• 14 Saudi -based fintech firms operating with full license, from the initial target of 3.  
 
Question 2 
 
2 TRADE AND INVESTMENT REGIMES  
2.1 General Framework  
Pages 23 -26 
 
Could Saudi Arabia please provide information on the types of legal instruments of general 
application that can be adopted by the Saudi authorities and are applied within the territory of 
Saudi  Arabia (specifying which authority is responsible for adoption of the relevant legal 
instrument) ? 
 
Answer  
The regulatory authority shall have the jurisdiction of formulating laws and rules conducive to the 
realization of the well -being or warding off harm to State affairs in accordance with the principles of 
the Islamic Shari‘ah Law. It exercises its jurisdict ion in accordance with the Basic Law of Governance, 
and Laws of the Council of Ministers and the Shura Council.  
 WT/TPR/M/407/Add.1  
 
- 111 - 
 
  Question 3 
 
2 TRADE AND INVESTMENT REGIMES  
2.1 General Framework  
 
Pages 23 -24, para 2.5  
The Basic Law of Governance, 1993, serves as the consti tutional framework, and stipulates that the 
Shariah is the bedrock of the Kingdom.7 Over the years, the Shariah has been supplemented by an 
evolving body of laws and regulations issued through royal decrees and other legal instruments. 
Trade policy and oth er related policies (such as intellectual property, and corporate law) are 
implemented by means of such legal instruments.  
 
Could Saudi Arabia please confirm that royal decrees and other legal instruments referred to in 
para 2.5 are included in the notion of "laws and regulations "? 
 
Answer  
Laws and regulations are issued through legal instruments. The Royal Decree is a legal instrument 
to approve Laws and Regulations in Saudi Arabia pursuant to "Basic Law of Governance"  Article  (70). 
 
Question 4 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.4 Competition policy and price controls  
Pages 62 -67 
 
Could Saudi Arabia please elaborate on the sectors, activities or types of enterprises excluded from 
the competitio n regime's coverage after the issuance of the new Competition Law (23.09.2019)?  
 
Answer  
The exception is conditional to whether the entity is solely owned by the Saudi Government and 
solely authorized to provide a commodity or service.  
 
Question 5 
 
Could Saudi Arabia please confirm that the new Competition Law (23.09.2019) has a provision on 
possibility of its extraterritorial application?  
 
Answer  
According to clause B in Article 3 of Saudi competition law it states that: “Practices taking place 
outside th e Kingdom which have an adverse effect on fair competition within the Kingdom, in 
accordance with the provisions of this Law.”  
 
Question 6 
 
Could Saudi Arabia please elaborate on methods of price (tariff) regulation of goods and services 
that are applied by the state?  
 
Answer  
The methods of price (tariff) regulation of goods and services that are applied by the government is 
illustrated in full in KSA accession working party report.  
 
Question 7 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.1 Overview  
 
Page 72, para 3.183  
Under Vision 2030, Saudi Arabia is building innovation labs and platforms, and engaging in initiatives 
to encourage entrepreneurship. This appr oach was underpinned by the reforms undertaken in the WT/TPR/M/407/Add.1  
 
- 112 - 
 
  IP administrative regime during the review period. For example, in 2020, the SAIP requested public 
consultations on a draft regulation for IP licensing, and launched a network of 33 IP support centres, 
and, in 2019, it began preparations for the development of a national IP strategy.  
 
The Report indicates that in 2019 Saudi Authority for Intellectual Property (SAIP) has launched work 
on developing a national IP strategy. Could Saudi Arabia please provide  information on the 
development of the strategy? What is the planned date of the strategy adoption?  
 
Answer  
National IP Strategy is being prepared along with the contribution of National stakeholders.  
 
Question 8 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.3 Industrial property  
3.3.7.3.2 Trademarks and geographical indications (GIs)  
 
Page 75, para 3.198  
GIs may be protected as trademarks. According to the authoritie s, the period of time from the filing 
of an application to the date of rejection or approval is similar to that of trademarks. As part of the 
Project for the Protection of GIs, and in cooperation with related national authorities, the SAIP 
compiled a list of agricultural and food products, handicrafts, and national industrial products that 
may be registered as GIs. The SAIP requested all interested parties to submit written opinions or 
notes in accordance with a July 2020 deadline.  
 
Please provide more detailed information on the Project for the Protection of GIs. In particular, which 
government authorities are involved in its development and implementation? What are the goals of 
the Project? Has it been implemented yet? If yes, what results have been achieved?  
 
Question 9 
 
The Report states that GIs may be protected as trademarks. Could Saudi Arabia please clarify 
whether there is a sui generis regime for legal protection of GIs and/or appellations of origin? If 
there is none, are th ere any plans to develop national legislation in this area?  
 
Answer  to 8 & 9  
Geographical Indications in Saudi Arabia can be registered as collective marks. In addition, Saudi 
Arabia has been working on developing a sui generis law for the Protection of Ge ographical 
Indications. The Saudi Authority for Intellectual Property is the government body taking the lead in 
the draft law and will be responsible for its implementation. The development process involved all 
the related government entities and public co nsultation to ensure effective cooperation. The draft 
law aims at providing protection for the registered geographical indications, and it also aims to 
prevent illegitimate exploitation of local products for which the regions of the Kingdom are famous 
for, or its imitation in a way that leads to misleading consumers about the true source of these 
products.  
 
Question 10 
 
4 TRADE POLICIES BY SECTOR  
4.1 Agriculture, Forestry, and Fisheries  
4.1.3 Policies  
4.1.3.2 Domestic policies  
 
Page 84, para 4.19  
The ADF provides interest -free loans17, including repayment subsidies18: (i) to small farmers and 
medium -sized enterprises growing specialty products; (ii) to importers of products related to food 
security through the Agricultural Products Import Finance Progr am19; and (iii) for Saudi investments 
in priority crops abroad under the Agricultural Investment Abroad (AIA) Program. Loans cover 
investment costs to varying degrees, depending on the size of the investment and with projects 
using modern technologies or t hose implemented by joint -stock companies being eligible for a higher WT/TPR/M/407/Add.1  
 
- 113 - 
 
  financing share.20 As a result of the COVID -19 pandemic, additional funds were allocated to 
food-security -related import programmes, to support SMEs with working capital loans, and to 
reschedule existing loans to SMEs to alleviate liquidity issues. The number and value of ADF loans 
have declined since 2015, while overall subsidies increased and approved loans in 2019 increased 
sharply.  
 
According to the previous TPR, Agricultural Investme nt Abroad Program was "under study and 
evaluation " (WT/TPR/M/333/Add.1, p.70). The Secretariat's report (WT/TPR/S/407) notes that now 
"The ADF provides interest -free loans, including repayment subsidies … for Saudi investments in 
priority crops abroad unde r the Agricultural Investment Abroad (AIA) Program. " Could Saudi Arabia 
please provide relevant information described in the Statistical Appendix to the Annex to the Bali 
Decision on PSH?  
 
Answer  
Out of the TPR scope.  
  WT/TPR/M/407/Add.1  
 
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  SINGAPORE   
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
Page 25 (Para 2.12) Since the launch of Vision 2030 in 2016, Saudi Arabia has made commendable 
progress in diversifying government revenues. The WTO Secretariat Report notes that the Saudi 
authorities have indic ated that Vision 2030 is currently being reviewed. Could Saudi Arabia elaborate 
on: 
A. the status and timeline for the review; and  
b. how the strategies for Vision 2030 and Saudi Arabia 's economic diversification plans might change 
in light of the COVID -19 pandemic?  
 
Answer  
a. The Vision 2030 includes several Vision Realization Programs (VRP) which go through a regular 
refreshment/update cycle periodically.  
Most VRPs have recently completed their refreshment/update cycle.  
b. Some changes in terms of the approach occurred in some s trategies, however, the Vision 2030 
targets and objectives remain the same  
 
Question  2 
Page 28 (Para 2.28)  The WTO Secretariat Report notes that Saudi Arabia is a strong supporter of 
the multilateral trading system and held two extraordinary G20 Trade and Investment Ministerial 
Meetings were held to address the challenges posed by the COVID 19 pandemic. We thank Saudi 
Arabia for your leadership in this area. Could Saudi Arabia elaborate on its plans and initiatives to 
ensure supply chain connectivity and re silience for the Gulf region?  
 
Answer  
The kingdom of Saudi Arabia encourages MSMEs, Multinational Corporations (MNCs) and their 
affiliates to develop fair, balanced linkages to support increased participation of MSMEs in regional 
supply chains, and to explore ways of making those supply chains  more resilient and reliable for 
MSMEs, including through the strengthening of relevant business support organizations that host 
information portals on competitiveness of local MSMEs and offer matchmaking services, with MNCs. 
The Small and Medium Enterpris es launched the 'Vendor Development Program ' (Jadeer) to support 
local MSMEs meet large enterprises standards and procedures and enable them to connect to MNCs 
procurement.  
 
Question  3 
Page 31 (Para 2.41) The WTO Secretariat Report notes that the GCC -Singa pore FTA entered into 
force on 1  September 2013, and was notified to the WTO in June 2015. Could Saudi Arabia elaborate 
on: 
a. the outreach efforts undertaken to promote the benefits of the GCC -Singap ore FTA to 
Saudi  industry players; and  
b. efforts to promote awareness of obligations under the FTA to  relevant Saudi authorities and 
ensure compliance by stakeholders?  
 
Answer  
The General Authority of Foreign Trade held and continues to hold periodical awareness campaigns 
to acquaint industries, services providers, exporters and importers with existing FTAs as well as the 
benefits and opportunities available under them. GAFT is also responsible ensuring compliance with 
FTAs to which the Kingdom is a Party thereto.  
 
Question  4 
Page 31 (Para 2.43) 4. The WTO Secretariat Report notes that the GCC is reviewing its position 
regarding all its FTA negotiations. Could Saudi Arabia elabor ate on the scope of this review, and 
whether there are plans to pursue more FTAs?  
 
Answer  
GCC members have finalized reviewing their position regarding FTA negotiations. Currently, the GCC 
is preparing their priority list of potential FTA partners to init iate and/or resume negotiations with. 
Saudi Arabia, jointly along with other GCC member states, plan to increase their share in 
international trade through expanding their network of preferential trade agreements.  WT/TPR/M/407/Add.1  
 
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  Question  5 
Page 39 (Para 3.3)  Saudi Arabia  has introduced an electronic trade single window that allows 
electronic submission and processing of import declarations which has helped facilitate trade. Could 
Saudi  Arabia share whether there are plans to further digitalise and streamline trade documen tation, 
as well as link up the single window with similar systems in other countries?  
 
Answer  
The Kingdom of Saudi Arabia fully applies the trade facilitation agreement. One of the steps in this 
process is the launch of "FASAH " platform, which allows importers to enter imported goods data 
before arrival in order to speed up the process of consignme nt clearance. General Customs Authority 
is developing and adding reforms to this platform in line with trade facilitation agreements.  
 
II. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  6 
Page 10 (Para 3.19) 6. The Government Report states that KSA 's Economic Cities and Special 
Zones Authority (ECZA) is planning to establish more than 7 SEZs in the coming 5 years. Could 
Saudi Arabia elaborate on its plans for these upcoming SEZs?  
 
Answer  
6-We expect the launch of the first three SEZs in 2021, and three  more in 2022  
  WT/TPR/M/407/Add.1  
 
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  SWIT ZERLAND  
I QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
According to paragraph 3.35, Saudi Arabia levies an excise tax on beverages. The different rates are 
50% for soft drinks and sweetened drinks and 100% for energy drinks. Since the implementation of 
this tax, Switzerland has voiced its concerns bilaterally as well as in the WTO about the consistency 
of this tax with Article III of the GATT. The General Authority of Zakat and Tax (GAZT) informed 
Switzerland in August 2020 that a study, aiming at making recommendations to reform the tax, was 
ongoing and should  be completed soon.  
Which recommendations does the study contain?  
 
Answer  
The purpose of the study is to provide the Kingdom and the Gulf Cooperation Council member states 
("GCC") with alternative excise tax implementation models especially with respect t o sweetened 
beverages. The content of the study should enable the GCC states to make a determination as to 
the optimal excise model that takes into account international best practice, ease of implementation, 
compatibility with the tax 's health objectives,  compliance with international obligations, 
sustainability, impact and burden on manufacturers and consumers, and equity.  
 
Question  2 
Does the revised tax link the rates to the level of sugar contained in the beverages?  
 
Answer  
The details of the excise ta x model will be announced once there is an agreement among the GCC 
states and a formal resolution is passed. The tiered volumetric excise model is a model under 
consideration by the GCC states  
 
Question  3 
What will be the revised structure of the tax?  
 
Answer  
The details of the excise tax model will be announced once there is an agreement amongst the GCC 
states and a formal resolution is passed.  
 
Question  4 
What are the rates of the revised selective tax and to which products do they apply?  
 
Answer  
The current excise tax rates applicable in the Kingdom are as follow:  
• Soft drinks (50%);  
• Sweetened drinks  (50%);  
• Tobacco -related products  (100%);  
• Energy drinks  (100%);  
• Electronic devices and equipment used for smoking, vaping, and similar activities (100%); 
and; 
• Liquids consumed in electronic devices and equipment used for smoking, vaping, and similar 
activities (100%).  
The details of amendments to the excise tax rates -if any - will be announced once there is an 
agreement among the GCC states and a formal resolution is passed.  
 
Question  5 
Does Saudi Arabia foresee to exempt beverages with no added sugar or low -caloric beverages from 
the selective tax?  
 
Answer  
Currently, e xcise tax is not assessed on beverages that do not contain added sugar. Exempting or 
applying a different excise tax rate to beverages with based on caloric content is among the options 
being considered at the GCC level.  
 WT/TPR/M/407/Add.1  
 
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  Question  6 
When will the revised s elective tax come into force?  
 
Answer  
After the GCC member states reach an agreement as to the new excise model and a formal resolution 
is passed to amend the GCC Unified Excise Treaty, the Kingdom will take the necessary steps to 
ratify the amendment and make a formal announcement as to the expected timeline to begin 
enforcing the new excise model domestically. It is expected that -at a minimum - the member 
countries that have already implemented the tax domestically will announce their respec tive timeline 
for domestic implementation within a few months of the resolution to amend the treaty passed.  
 
Question  7 
When does Saudi Arabia foresee to inform private industry, trading partner governments and other 
interested parties about the study?  
 
Answer  
The details of amendments to the excise tax rates -if any - will be announced once there is an 
agreement among the GCC states and a formal resolution is passed. the Kingdom will publish the 
draft amended legislation for public consultation prior to en acting the new legislation and will give 
all stakeholders sufficient time to provide their feedback.  
 
Question  8 
Until the reform is implemented how does Saudi Arabia intend to address the discrimination between 
energy drinks and other sugar containing bev erages, i.e. harmonize and apply the same tax rate to 
all sugar containing beverages?  
 
Answer  
The Government of Saudi Arabia applies the same tax rate on all excisable goods and ensures equal 
tax treatment is applied, whether those excisable goods are prod uced domestically or imported. 
Saudi Arabia emphasize that the excise regime is not and has never been discriminatory in any way. 
The difference in the tax rate between energy drinks and sweetened drinks is based on the inherent 
difference between the type s and contents of the beverages. Thus, the appropriate tax rate applies 
to a drink depending on how its categorized based on the legal definition for each type of beverage.  
 
Question  9 
Does the study recommend to subject other beverages to the selective ta x? If yes, which beverages 
would be newly taxed?  
 
Answer  
Any expansion of the goods subject to excise tax will be announced formally upon the issuance of a 
resolution at the GCC level to that effect. Products subject to excise are those that are considered  
harmful to human health. Thus, any expansion of the tax 's scope would be to include consumable 
products that are similarly deemed to be harmful to human health.  
 
II QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  10 
3.2 Technical Barriers to Trade (TBT) - (page 11 – paragraphs 3.20 to 3.23)  Switzerland would like 
to raise its concerns over the potential impact of the Saber Conformity Assessment Online Platform 
on bilateral trade with the Kingdom of Saudi Arabia in a range of products, includin g textiles and 
machineries. While Switzerland shares the Kingdom of Saudi Arabia's objective to ensure the safety 
of products placed on the Kingdom's market, Switzerland is concerned over the system's costly, 
burdensome and time -consuming nature in particu lar in view of the COVID -19 pandemic. 
Furthermore, manufacturers continue to report that recognised bodies require disproportionate fees 
when carrying out conformity assessment procedures. Moreover, additional certificates of conformity 
need to be issued b y the recognised bodies for identical products already placed on the market, 
leading to the same costs. Finally, depending on sector, complex conformity assessment procedures 
are required for products considered in their majority to be low risk products.  
Will the Kingdom of Saudi Arabia publish in a transparent manner all relevant regulations instituting 
the Saber Conformity Assessment Online Platform  and release the necessary guidelines so as to 
ensure an effective implementation of the Saber Conformity A ssessment Online Platform ? WT/TPR/M/407/Add.1  
 
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  Answer  
The technical regulations can be found in the official website of SASO, which provide the scope for 
each technical regulation and the conformity assessment procedure. Please visit the link below for 
further details:  
http://www.saso.gov.sa/en/laws -and regulations/technical_regulations/pages/default.aspx  
 
Question  11 
Will the Kingdom of Saudi Arabia reconsider its approach and ensure that the registration and 
certification process is efficient and less costly for producers? The documentation and certification 
requirements, as well as registration and certification fees, should be kept to what is necessary to 
guarantee an effective implementation of the applicable requirements.  
 
Answer  
Registration for pr oducts is free of charge in Saber Platform. In regards to the regulated products, 
which required PCOC, prices are dependent on the conformity bodies based on the technical files 
provided for the CB. Therefore, prices depend on the CB itself; however, SASO -Fee recommendation 
for CB for reviewing the complete technical file is 1500 SAR. In addition, the PCoC is required for 
one type of product which means if you have some products that are at the same type (Same HS 
Code, same model type, made in one factory, in the same country of origin, and belong to the same 
trade mark) then you only need to apply for one PCoC. For the shipment certificate fee, it costs 
350SAR for each shipment (can contain many products) arriving to the Kingdom of Saudi Arabia . 
 
Question  12 
In the assessment of its approach, would the Kingdom of Saudi Arabia consider the risks of products 
when elaborating the applicable conformity assessment procedures?  
 
Answer  
SASO evaluates the risks of products based on the reports received from the overlapping 
government authorities with it, such as the Ministry of Health, Civil Defense and the Ministry of 
Commerce, in addition to being guided by the results of the conformity  index issued by SASO, as 
well as the reports issued by the Monitoring and Alert Center of unsafe products. Accordingly, the 
Conformity Steering Committee approves the conformity assessment procedures.  
  WT/TPR/M/407/Add.1  
 
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  CHINESE TAIPEI  
I. QUESTIONS REGARDING THE SECRETARIAT R EPORT  
 
Question  1 
Page 27 (Para 2.22) Trade policy objectives are guided by Vision 2030. Accordingly, the GAFT aims 
to maximize the Kingdom's contribution to international trade in order to strengthen the national 
economy. It seeks to achieve this by enabl ing market access to international markets for 
Saudi  exports of non -oil goods and services, and by providing protection for national goods and 
services from unfair trade practices abroad. The GAFT also aims to support greater private sector 
participation in foreign trade. At present, the GAFT is developing the National Foreign Trade Strategy, 
for which it receives inputs from relevant government entities and the private sector.  
In the interest of strengthening its national economy, Saudi Arab ia is increasing market access to 
international markets for Saudi exports of non -oil goods and services, while the GAFT is developing 
the National Foreign Trade Strategy. Could the GAFT please share with us further details of the 
specific approaches it is taking in its development of the National Foreign Trade Strategy?  
 
Answer  
Foreign Trade Strategy is being developed via incorporating and aligning with all relevant 
government agencies strategies. GAFT also reflects inputs and interests of the private sector. Saudi 
Arabia, jointly along with other GCC member states, plan to increase their share in international 
trade through expanding their network of preferential trade agreements. Prioritizing FTA 's 
negotiations is based on several elements inc luding; potential trade coverage (goods and services) 
and destinations that could warrant economic integration  
 
Question  2 
Page 44 (Para 3.31) In April 2020, the Government raised import tariffs on certain goods, including 
dairy products, juices, vegetable s and olive oils, chemicals, building materials, and vehicles. The 
changes took effect in June 2020. The Report by the Secretariat (Page 8, Para 10) states that import 
tariffs, which are subject to common GCC rules, did not change significantly until the r ecent COVID -
19 pandemic. … In June 2020, customs duties were raised on various categories of consumer, 
industrial, and agricultural products as part of the Government's response to the COVID -19 
pandemic.  
The Government of the Kingdom of Saudi Arabia announ ced an increase in customs duty rates on a 
total of 1,370 items (including foodstuffs, mineral and chemical products, plastic, rubber, leather 
goods, textiles and footwear, base metals, cement, ceramics, machinery, equipment and electrical 
equipment, toys,  furniture, vehicles and various other manufactured goods) applicable from June 
20th. The full list of products was published on the Saudi Customs website only on June 18 th, 
therefore, in addition to the sudden impact of unexpectedly high increases in duty  rates, exporters 
were also given insufficient time to react. Should the Saudi Government have been more prudent 
and lenient in its imposition of this measure?  
 
Question  3 
Raising tariffs inevitably increases importation costs, which has a detrimental effect on the welfare 
of Saudi residents. Will the Government of the Kingdom of Saudi Arabia consider restoring the tariffs 
back to their previous rates once the COVID -19 pandemic is over?  
 
Answer  to Questions 2 and 3  
On 20 June 2020, the Kingd om of Saudi Arabia increased customs duties on 575 goods only. Raising 
the tariffs to the bound rates is a legitimate Member 's right and it is not limited to a time frame.  
 
 
  WT/TPR/M/407/Add.1  
 
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  TURKEY  
I. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question 1 
 
3. Trade Policy Developments, 3.1. Tariffs, Other Measures Affecting Imports, 3.1.2. 
Import and export formalities, pg. 9, 3.2.  
It is stated in the Government Report that "Since 2016 up to now, Saudi customs facilitated and 
automated customs procedures to achieve c ustoms vision of being ranked the first in the region for 
providing distinguished custom services. In order to become a global logistic hub, the Kingdom fully 
applies the agreement on Trade Facilitation and has automated various customs formalities. " 
Could  the Kingdom of Saudi Arabia give further information about its customs procedures 
implemented to imported goods? Are there any complaints from Saudi importers regarding not being 
able to complete customs transactions due to long -duration delays in the cus toms? Is there any 
discriminative application at Saudi customs based on the origin of goods, if not, could the Kingdom 
of Saudi Arabia explain the recent problems faced regarding the importation of Turkish goods at the 
customs?  
 
Answer  
The General Customs Authority applies, the provisions of Article (56) of the Common Customs Law 
for GCC Countries, its Rules of Implementation and Explanatory Notes thereof issued by a Royal 
Decree No. (M/41), dated 03/11/1423H. It provides for in paragraph (a) thereo f; “The customs 
authority may have the goods scanned by specialized agencies to verify the kind and specifications 
of the goods or their conformity to the Laws and regulations;” while provides for in paragraph (b): 
“Goods requiring the availability of cert ain conditions and specifications to be released shall be 
subject to inspection” Thus, these conditions shall be applied to all consignments entering KSA.   
Also, t he Kingdom of Saudi Arabia  accords MFN treatment to imports from all its trading partners . 
 
Question 2 
 
Despite the above stated facilitated customs procedures Turkish exporters increasingly raise 
complaints about the unusual long -lasting procedures (approximately 1 month) at the customs of 
the Kingdom of Saudi Arabia since 2020. Could the Kingdom  of Saudi Arabia elaborate on the 
underlying reasons of such long -lasting customs procedures, which appears to affect particularly 
Turkish goods? What could the relevant Saudi Arabian authorities advise Turkish exporters on the 
methods to avoid these long waits?  
 
Answer  
Kindly refer to answer provided for question 1.   
 
Question 3 
3. Trade Policy Developments, 3.1. Tariffs, Other Measures Affecting Imports, 3.1.6. 
Exports and free zones, pg. 11, 3.18.  
It is stated in the Government Report that "SEZs being developed in Saudi Arabia have competitive 
locations targeting (17 sectors) w hich can be collectively described as; Industrial, Logistics, Aviation, 
Military, Maritime, Food processing, Pharma & Bio -pharma, Machinery & equipment, Automotive, 
Renewables, Specialty Chemicals, Healthcare, Media, Financial services, Tourism, Digital an d E-
commerce. " 
Could the Kingdom of Saudi Arabia provide detailed information about SEZs? What are the expected 
outcomes from SEZs in terms of e -commerce?  
 
Answer  
The Economic cities and Special Zones authority is mandated to realize the development plans of 
the Kingdom through attracting national capital and foreign investments in the Special Economic 
Zones (“SEZs”).  The SEZs envisaged having best in class regulat ions and standards for various 
commercial, industrial and service related activities including e_commerce.   
 WT/TPR/M/407/Add.1  
 
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  Question 4 
3. Trade Policy Developments, 3.2. Technical Barriers to Trade (TBT), pg. 11, 3.20.  
It is stated in the Government Report that "In order  to protect commercial facilities from fraud and 
tampering with technical documents, in addition, ensure products are free from defects that may 
affect the health, safety, and the environment of the consumer; Saudi Standards, Metrology and 
Quality Organiza tion (SASO) introduced "SABER" platform. SABER automated tracking of products, 
technical processes involved in the supply chain and raising products' safety levels. " 
Could the Kingdom of Saudi Arabia provide detailed information about the purposes and scop e of 
SABER platform? Does the Kingdom of Saudi Arabia plan to amend the scope of SABER?  
 
Answer  
Saber is an electronic platform that is developed under the supervision of SASO, and according to 
the highest standards of efficiency in terms of speed of completion in registration, as well as in 
reducing the time spent for beneficiaries.  
 
Saber 's Electronic Platform Features:  
▪ Improving import experience and obtaining the certificates of conformity and shipment.  
▪ Ensuring safety of the products available in the market.  
▪ expedite borders clearance.  
▪ One platform integrated with other authorities.  
▪ Lower total cost.  
▪ Ensuring that products are free from defects and they are safe for Saudi consumer, limiting 
the fraudulent products, reducing the requ ired time to import products in coordination with the Saudi 
Customs examination, and speeding up the process of issuing the required Conformity Certificates.  
Saber  certifications are required from both  importers and local manufactories.   
 
Question 5 
4. Se ctoral Developments, 4.2. Food Security, pg. 15, 4.15.  
It is stated in the Government Report that “Food security strategy in the Kingdom seeks to achieve 
five main objectives, which include; achieving sustainable domestic food production system, 
diversifyi ng and stabilizing external food supply sources, ensuring access to safe and nutritious food 
and promote healthy and balanced nutrition habits, building food security resilience capabilities and 
institutionalizing food security at the national level and en suring clear and accountable governance.”  
Could the Kingdom of Saudi Arabia provide detailed information about the strategies and methods 
that have been implemented for stabilizing external food supply sources?  
 
Answer  
Saudi Arabia has begun refining the strategies in recent years to combine more targeted overseas 
investments via Agriculture Investment Abroad (AIA) program and Importation program.   AIA was 
set-up with the aim to achieve a stable and affordable supply of  risky commodities through strategic 
and viable AIA, encourage private sector involvement in agriculture investments abroad and 
establish mutually beneficial partnerships with host countries.  AIA targets were set for commodity 
which have low self -sufficie ncy ratios as a portion of total demand in alignment with Food Security 
and National Agriculture Strategies.  These commodities are divided into primary crops such as 
alfalfa, wheat and maize and secondary crops such as sugar, rice, edible oil, ba rley, red  meat and 
soya bean. Apart from AIA program, the crop importations initiative is another strategy and method 
for stabilizing external food supply sources.  The initiative is focused on providing loans to private 
sector in order to assist in meeting the foo d security demand on the essential crops such as rice, 
sugar, soybean and corn.  
Diversifying the sources of imported grains procurement is one of the methods used to enhance 
supply chain in the kingdom.   
 
II. QUESTIONS REGARDING THE SECRETARIAT  REPORT  
 
Question 6 
 
2. Trade and Investment Regimes, 2.2. Trade Policy Formulation and Objectives, pg. 27, 
2.22.  
It is stated in the Secretariat Report that “ Trade policy objectives are guided by Vision 2030. 
Accordingly, the GAFT aims to maximize the Kingdom's contribution to international trade in order 
to strengthen the national economy. It seeks to achieve this by enabling market access to 
international mar kets for Saudi exports of non -oil goods and services, and by providing protection WT/TPR/M/407/Add.1  
 
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  for national goods and services from unfair trade practices abroad. The GAFT also aims to support 
greater private sector participation in foreign trade. At present, the GAFT is developing the National 
Foreign Trade Strategy, for which it receives inputs from relevant government entities and the 
private sector. ”  
Could the Kingdom of Saudi Arabia provide further information of its National Foreign Trade 
Strategy?  
 
Answer  
GAFT is developing the National Foreign Trade Strategy , where  the strategy  and its initiatives are 
being  formulated on the basis of international and regional best practices  and in consultation with 
private sector, aiming to achieve Vision 2030 goals and o bjectives.  
 
Question 7 
3. Trade Policies and Practices by Measure, 3.1. Measures Directly Affecting Imports, 
pg. 39, 3.5.  
It is stated in the Secretariat Report that “ Regarding transparency, the SCA implemented some 
changes during the review period, such as: (i) launching an import and export guide to allow more 
transparency on the import or export process, in cooperation with other government authorities, 
through the single window platform; (ii) publishing the customs tariff HS codes on its website a nd 
mobile application; (iii) launching a public platform for receiving reports from traders, brokers, 
employees, and public "clients" on corruption and violation of laws; and (iv) establishing a Customs 
Committee (an independent customs court) to rule on d uty-collection decisions and the variances in 
customs duties found by the PCA team, which enables the trader to submit a defence and initiate 
legal proceedings.’’  
In the framework of transparency, could the Kingdom of Saudi Arabia provide detailed informat ion 
about its assessment process regarding complaints from foreign exporters on the intended delays 
and discriminative practices at customs?  
 
Answer  
The General Customs Authority does not engage in any intentional and discriminatory practices, 
rather, it a pplies the provisions of the Common Customs Law and its Rules of Implementation thereof 
as the legislative framework for the works and competencies of the Authority. The Authority asserts 
that it equally applies its procedures to all the Kingdom’s imported  and exported goods.  
 
Question 8 
3. Trade Policies and Practices by Measure, 3.3. Measures Affecting Production and Trade, 
3.3.2. Standards and technical requirements, pg. 57, 3.101.  
It is stated in the Secretariat Report that “The SASO adopted ISO/IEC 17065 as a model for assessing 
the conformity of products and services. The SASO made Saber, an electronic platform, available to 
all economic operators importing products to Saudi Arabi a. In addition, users can write to an email 
address with questions regarding Saber. The Saber platform will be connected to the customs 
platform in order to facilitate the recording of customs operations.”  
Could the Kingdom of Saudi Arabia provide detailed  information about how the Saber platform will 
be connected to the customs platform in order to facilitate the recording of customs operations? How 
will this connection affect the customs procedures and solve the problems regarding the long -lasting 
customs  procedures of the Kingdom of Saudi Arabia?  
 
Answer  
Saber is linked electronically to FASAH platform (Custom platform). Therefore, all data will be linked 
and verified from Saber platform, which will save time.  
 
Question 9 
3. Trade Policies and Practices by Measure, 3.3. Measures Affecting Production and Trade, 
3.3.2. Standards and Technical Requirements, pg. 8, 57 -58, 3.106.  
It is stated in the Secretariat Report that “The SASO, in coordination with the SCA, adopted and 
validated a procedure for  the random verification of the conformity of documents and products based 
on TBT/WTO directives and risk assessment. Regarding random product controls at Saudi Customs, 
and if there is an obligation to carry out product tests, the SASO in coordination wit h the SCA adopted 
a simplified procedure to facilitate product transits.”  
Recently, almost all products imported from Turkey have been subject to the above mentioned 
"random control " at Saudi Customs. Could the Kingdom of Saudi Arabia provide reasons and d etails WT/TPR/M/407/Add.1  
 
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  of these "random controls ", although Turkish products comply with technical regulations and related 
standards?  
 
Answer  
The General Customs Authority applies, the provisions of Article (56) of the Common Customs Law 
for GCC Countries, its Rules of Implementation and Explanatory Notes thereof issued by a Royal 
Decree No. (M/41), dated 03/11/1423H. It provides for in paragrap h (a) thereof; “The customs 
authority may have the goods scanned by specialized agencies to verify the kind and specifications 
of the goods or their conformity to the Laws and regulations;” while provides for in paragraph (b): 
"Goods requiring the availabi lity of certain conditions and specifications to be released shall be 
subject to inspection " Thus, these conditions shall be applied to all consignments entering KSA.  
 
Question 10 
3. Trade Policies and Practices by Measure, 3.3. Measures Affecting Production and Trade, 
3.3.2. Standards and technical requirements, pg. 59, 3.116.  
It is stated in the Secretariat Report that "Labels must be in Arabic in addition to any other language. 
A small number of products with English -only labels may be approved, on a case -by-case basis, for 
marketing test purposes. As an Islamic country, Saudi Arabia has strict marking and labelling 
requirements for meat and poultry products, including that the product was slaughtered in 
accordance with Islamic halal procedures. T he most important specifications related to the labelling 
of food are: SFDA.FD/GSO 9, "Labelling of Pre -packaged Foods"; SFDA.FD 2333, "Food 
Requirements with Health and Nutrition Claims"; and SFDA.FD 2233, "Nutritional Data Requirements 
on the Card". Labe lling information on pharmaceutical, cosmetic, and personal care products are 
required to appear on the outer pack for each product marketed in Saudi Arabia. ” 
Could the Kingdom of Saudi Arabia explain whether it is sufficient in the new halal system for a halal 
certificate to be issued against the standards which are accepted by the Kingdom of Saudi Arabia 
such as OIC/SMIIC standards, and is any accreditation required? If yes, accreditation by which 
bodies and against which standards are accepted for halal certificates?  
 
Answer  
In order to accept halal certificate for imports of food, recognized halal certification body shall issue 
Halal certificate  . 
Recognition Requirements  : 
1- Accreditation certificate based in GSO 2055 -2. 
2- Acceptance certificate by SASO  . 
3- Recognized by Halal Center . 
 
Question 11 
3. Trade Policies and Practices by Measure, 3.3. Measures Affecting Production and Trade, 
3.3.3. Sanitary and phytosanitary measures, pg. 60 -61, 3.124.  
It is stated in the Secretariat Report that “ In addition to obtaining a commercial registration (Section 
3.1.1), food importers must register with the SFDA and specify the food items that they import. All 
imports of food and animal products for human consumption are subject t o import permits issued 
by the SFDA. For imports of meat and poultry meat, a Halal Certificate and an Islamic slaughter 
certificate are required for each consignment, in addition to other documentation generally required 
for customs clearance.  
As the Kingd om of Saudi Arabia launched a new halal system for imported products, could the 
Kingdom of Saudi Arabia explain in detail the acceptance procedure of the Saudi Halal Center (SHC) 
of the Saudi Food and Drug Authority (SFDA) and describe the new halal system  by specifically 
explaining the role of all relevant institutions participating in this acceptance procedure?  
 
Answer  
In order to accept halal certificate for imports of food, recognized halal certification body shall issue 
Halal certificate  . 
Recognition R equirements  : 
1- Accreditation certificate based in GSO 2055 -2. 
2- Acceptance certificate by SASO  . 
3- Recognized by Halal Center . 
 WT/TPR/M/407/Add.1  
 
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  Question 12 
3. Trade Policies and Practices by Measure, 3.3. Measures Affecting Production and Trade, 
3.3.3. Sanitary and phytosanitary measures, pg. 61, 3.125.  
It is stated in the Secretariat Report that “ Imports of meat and poultry meat must be sourced only 
from the establishments on the list maintained by the SFDA. This list can be consulted by sector or 
by country. Establ ishments that wish to supply meat and poultry meat to Saudi Arabia must apply 
for approval from the SFDA; the approval process involves an evaluation including an on -site audit 
by the SFDA. If the evaluation outcome is satisfactory, the SFDA grants an appr oval certificate to 
the establishment in question. Since 9 March 2014, the SFDA has delegated to the competent 
authority of the exporting country to approve establishments on the list, provided that the competent 
authority of the exporting country signs bi lateral minutes with the SFDA and assures compliance 
with the GSO standards. ” 
Could the Kingdom of Saudi Arabia explain whether a halal certificate is needed for domestic meat 
and poultry meat  products of Saudi Arabia? If yes, is accreditation required for those halal certificates 
regarding these products? What will be the procedure for countries, which could not meet the 
requirements of the new halal system that is envisaged to be effective as of 1 March 2021?  
 
Answer  
Identical requirements tha t are required from foreign establishment are applied on local 
establishments which include GSO 993 and GSO 2055 for Halal certification.  
All foreign and national establishment shall comply with halal requirements as of 1 March 2021.  
 
Question 13 
Chart 1.3. Direction of merchandise trade, 2015 and 2019, pg. 20 and Table A1. 4. 
Merchandise imports by origin, 2015 -19, pg. 121.  
According to "Chart 1.3 Direction of merchandise trade, 2015 and 2019 " and "Table A1.4 
Merchandise imports by origin " in the Secretariat Report, Turkey 's share is 2.1% in total imports of 
the Kingdom of Saudi Arabia in 2019.  
As can be seen from these statistics, imports from Turkey traditionally constitute an important share 
in Saudi Arabia’s total imports. According to Turkstat , however, Turkish exports volume to Saudi 
Arabia has abnormally decreased in the last quarter of 2020. Volume of Turkish exports has declined 
by about 50% in the last quarter of 2020 compared to the last quarter of 2019 with a decrease of 
about 80% only i n December. Could the Kingdom of Saudi Arabia verify these statistics? Could the 
Kingdom of Saudi Arabia comment on the possible reasons of such an abnormal decrease, in 
comparison with its general imports from the rest of the world?  
 
Answer  
According to the secretariat report table A1.4 merchandise imports from Turkey witnessed an 
increase in value, although several other trading partners witnessed decrease. More so, the indicated 
time period  in the raised question  is not part of the trade po licy review time period . 
 
Question 14 
4. Trade Policies by Sector, 4.2. Mining and Energy, 4.2.2. Energy, 4.2.2.5. Energy price 
reform, pg. 100, 4.79.  
It is stated in the Secretariat Report that “ Reform of domestic energy prices was an important 
component of Saudi Arabia's economic transformation policies during the review period. Saudi Arabia 
provided energy products to its domestic consumers at prices that are usually lower than export 
prices. In the context of the Fiscal Balance Program, the total amount  of energy benefits resulting 
from these low energy prices was estimated at close to SAR 300 billion in 2015, given the oil export 
price at that time, and it was observed that energy and water subsidies together typically accounted 
for the vast majority of  the overall subsidies in Saudi Arabia. In this regard, one of Vision 2030's 
objectives is to increase the competitiveness of the energy sector by raising the efficiency of the 
government support system and making the best use of its benefits by redirectin g it and targeting 
eligible citizens and economic sectors. Vision 2030 also provides that, in the long term, free market 
prices shall stimulate productivity and competitiveness among utility companies and open the door 
to investment and diversification of the energy mix. ”  
Could the Kingdom of Saudi Arabia clarify how "Energy Price Reform " will affect the trade of energy 
products?  
 
Answer  
Price reforms would contribute to trade competitiveness and efficiency that would advance the 
sustainability of all economic sectors.  WT/TPR/M/407/Add.1  
 
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  Question 15 
4. Trade Policies by Sector, 4.4. Services, 4.4.2. Telecommunications, E -commerce, 
pg. 117, 4.145.  
It is stated in the Secretariat Report that "The Ministry of Commerce and Investment (MOC) issued 
an E-Commerce Law that became effective in October 2019 with implementing regulations adopted 
and implemented from 31 January 2020.  206 The Law regulates e -commerce between consumers 
in Saudi Arabia and service providers based anywhere in the world (including  transactions between 
individuals), and contains clauses on consumer data protection, transparency in contracting and 
electronic advertisements, consumer rights (including returns and cancellations under certain 
circumstances), and licensing/registration r equirements for traders and electronic platforms. 
According to the authorities, the new framework increased trust in online transactions and facilitated 
consumers raising cases related to e -commerce to the authorities as a result of a strengthened 
consumer  protection framework. "  
Could the Kingdom of Saudi Arabia further explain the expected outcomes from E -Commerce Law in 
terms of cross border e -commerce?  
 
Answer  
With regard to the expected outcomes  of the e -commerce law and its executive regulations on the 
cross border e -commerce , the Ministry of Commerce, represented by the E -Commerce Center, 
monitoring closely the websites outside the Kingdom and clarifies the law and its materials and 
policies th at it contains , what can be published and presented  by the stores to consumers inside the 
Kingdom In terms of advertisements, discounts, offe rs and ensuring that they follow the law, as well 
as, the policies which regulates  after-sales services, met hods of  communication, invoices  and the 
information and details it contains.  
The law will have control over the practices of external electronic commerce targeted the Saudi 
market, in order to properly apply them in accordance with the articles of the law and its  
implementing regulations that are subject to this category.  
 
III. OTHER QUESTIONS  
 
Question 16 
During last months, Turkish exporting companies in various sectors have been instructed by the 
Saudi importers to suspend or to cancel their already agreed shipments or productions to Saudi 
Arabia on the basis of the information that the importation of Tur kish products into Saudi Arabia 
would no longer be permitted. While the existence of this de facto  import ban has been denied by 
Saudi authorities on different occasions, there is ample evidence and information3 to confirm the 
existence of an "unofficial pressure " by Saudi authorities on its importing companies to stop 
importing goods from Turkey. There is information that Saudi companies are being forced to sign 
"letter of commitment " not to import from Turkey as part of these pressures, shipments from Tu rkey 
are systematically being subject to unreasonably long delays at Saudi customs and unnecessarily 
burdensome product safety inspections.  
Turkey is deeply concerned about this import prohibitive policy of Saudi Arabia vis-à-vis Turkish 
products, and wou ld like to address the following questions to Saudi Arabia under its third Trade 
Policy Review:  
Have the Kingdom of Saudi Arabia made an official declaration, as referred in the footnote, about 
the de facto  "import ban " against Turkish products?  
 
Answer  
The referenced information is not an integral part of neither the Secretariate  nor the Government 
reports. Also provided from unreliable sources of data.  
 
Question 17 
What is the legal basis of the "import ban " that seems to be applied by the Kingdom of Sa udi Arabia 
against Turkish products?  
 
Answer  
The Kingdom of Saudi Arabia  accords MFN treatment to imports from all its trading partners . 
 
 
3 https://www.ft.com/content/38de1748 -c231-4351-9634-ae0bd8014716   
https://www.reuters.com/article/us -saudi -turkey -trade/saudi -business -leader -urges -boycott -of-goods -
from-hostile -turkey -idUSKBN26P0RZ  
https://www.middleeastmonitor.com/20201010 -saudi-prince -calls-for-boycotting -turkey -imports/   WT/TPR/M/407/Add.1  
 
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  Question 18 
Are there specific sectors or products targeted under the « import ban» for Turkish products?  
 
Answer  
Please refer to answer provided to question 17.  
 
Question 19 
Have Saudi authorities requested "letter of commitment " from their companies for not to import 
Turkish products into the country?  
 
Answer  
Please refer to answer provided to question 17.  
 
Question 20 
Can Turkish products still be cleared in the Saudi Arabian customs for importation? If this is the 
case, what has been the average time for custom clearance for import of Turkish goods into Saudi 
Arabia from September 2020 to January 2021?  
 
Answer 
Please refer to answer provided to question 17.  
 
Question 21 
How does Saudi Arabia reconcile  the de facto  "import ban " for Turkish products with GATT Articles  I, 
III:4 and XI?  
 
Answer  
Please refer to answer provided to question 17.  
 
Question 22 
Can Saudi Arabia confirm that it will not impose any import bans on imports from Turkey and that 
it will comply fully with its obligations under GATT Articles I, III:4, and XI?  
 
Answer  
Please refer to answer provided to question 17.  
 
  WT/TPR/M/407/Add.1  
 
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  UKRAINE  
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
Page 22 (Para 1.28) Under the Report, the Ministry of Investment of Saudi Arabia implemented, 
inter alia, the following reforms: reduced the foreign investment licence requirements to two 
documents; launched instant licence and renewal; automated post services (licence renewal, 
company activities amendment, adding branches); reduced the time to issue new licenses (from an 
average of 53 hours to less than 4 hours); and extended the validity of the foreign investment 
licence to five years (rath er than being renewed annually).  
Ukraine would appreciate if the Kingdom of Saudi Arabia could specify features of the foreign 
investment licenсing system. What requirements should investors meet to get the licenсe to conduct 
investment activities on the territory of the State?  
 
Answer  
Ministry of Investment facilitates the entry of foreign value -added enterprises to invest in the 
Saudi  market and provide the opportunity to establish companies to practice  various activities by 
applying for investment licenses after applying the terms and requirements for various investment 
activities according to the services guide.  
 
Question  2 
Page 28 (Para 2.27) The Report notes that Saudi Arabia joined the Joint E -comme rce Initiative in 
2019.  
Saudi Arabia actively participates in the negotiating process within the framework of this Initiative 
in the WTO.  
Could Saudi Arabia, please, comment on its vision concerning the role of the WTO in promoting 
regulatory environment  in facilitating electronic commerce and the perspectives of the positive 
outcome of this Initiative in 2021?  
 
Answer  
The Kingdom 's believes on the importance of the JSI on Electronic Commerce and its ongoing 
negotiations. The Kingdom joined the JSI in 2019 to help promotes a regulatory framework for 
organizing and facilitating electronic commerce between WTO members in the future. The Kingdom 
working closely with JSI members to reach an agreement by MC12.  
 
Question  3 
Page 33 (Para 2.53) According to the  Report, the foreign investment regime is mainly governed by 
the Foreign Investment Law and its Implementing Regulations.  
Сould Saudi Arabia kindly describe its legislation on protection and promotion of investments?  
 
Answer  
The Basic Law of Governance of Saudi Arabia has granted the general protection for foreign as well 
as domestics (For example: see Article 18 and 19).  
Investment Principles and Policies in the Kingdom:  
1- Ensure equality between Saudi and non -Saudi investors, and among non -Saudi investors.  
2- Ensure the protection of investments, in line with the Kingdom 's regulations.  
3- Enhance the sustainability of investments and deal with investor complaints in a transparent 
manner.  
4-Maintain environmental and social standards in order  to ensure that Saudi and non -Saudi 
investors comply with regulations regarding labor, health, and environmental safety in 
accordance with national regulations and policies and the international conventions in which Saudi 
has acceded.  
5- Facilitate entry p rocedures for non -Saudi employees including technicians, administrators, and 
their dependents. Arrange their residency in the Kingdom to facilitate their participation in 
activates related to foreign investments in accordance with the Kingdom 's regulations  and its 
international obligations.  
6- Transfer and localize science and technology resulting from foreign direct investment in 
accordance with the Kingdom 's international obligations.  
 WT/TPR/M/407/Add.1  
 
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  Question  4 
Page 39 (Para 3.3) The Report notes, that during the review  period, Saudi Arabia introduced 
important changes in customs procedures; notably, the Saudi Customs Authority enhanced an 
electronic data interchange system, an electronic trade single window that allows electronic 
submission and processing of import decl arations.  
Could Saudi Arabia clarify whether existing capabilities of the new interchange system allow for 
electronic exchange of health and other (halal, etc.) certification data?  
 
Answer  
The Kingdom of Saudi Arabia fully applies the trade facilitation agreement. One of the steps in this 
process is the launch of "FASAH " platform, which allows importers to enter imported goods data 
before arrival in order to speed up the process of consignme nt clearance. General Customs Authority 
is developing and adding reforms to this platform in line with trade facilitation agreements.  
 
Question  5 
Page 41 (Para 3.15) Under the Report, "There are no legal provisions pertaining to advance rulings. 
According to the authorities, the SCA answers, on a case -by-case basis, requests for information on 
customs matters such as classification, valuation, and rules of origin."  
Could Saudi Arabia, please, clarify whether the Government intends to put in place a system o f 
advance rulings as provided by Article 3 of the Trade Facilitation Agreement?  
 
Answer  
The purpose of the unified manual is to define the key formalities and controls adopted by the 
customs administrations of the GCC Countries in order to make advance rul ing requested by 
importers or exporters in preparation for their import/ export operations. Thus, the unified manual 
is a guidance document that helps importers, traders and employers in GCC Countries and exporters 
for GCC Countries to understand the forma lities and controls relating to advance ruling to facilitate 
their implementation and use, on the one hand. It also contributes to the strengthening of the 
Information Unit included in the advance ruling at all the first entry ports and all customs 
adminis trations of the GCC Countries. The submission of advance ruling request via the internet will 
be made available by the importers or their representatives to the competent authorities of the 
Customs administrations regarding the goods to be imported. The re quest of advance ruling will be 
limited to importers who have a commercial record in the Kingdom of Saudi Arabia.  
 
Question  6 
Page 48 (Para 3.51) The Report notes, that import prohibitions continue to be maintained based on 
security, public safety, moral, and religious considerations, as well as on international obligations, 
such as international convention requirements and UN sanction resolutions.  
Could Saudi Arabia, please, explain the reasons for prohibiting the import of goods, in particular of 
following HS codes: 25; 49; 68; 85 and 90 (presented in Table 3.4)?  
Question  7 
Does Saudi Arabia consider any changes regarding these import prohibitions?  
 
Answer  
With regard to prohibited  items  under the Harmonized System code (25) and (68), the reasons fo r 
prohibition  are healthy causes including Asbestos or Amianthus. As for items under the Harmonized 
System (49) code related to import of Mushafs and Mushafs  with a margin for interpretation, the 
prohibition is for religious and commercial reasons and the King Fahd Compound also prints the Holy 
Mushafs and meets the need of the local market. As for the customs item under the Harmonized 
System Code (49) on the prevention of the import of smart watches containing a camera, the 
prohibition is for security reasons. As for the items under the Harmonized System Code (90), the 
prohibition of importing portable laser pointers such as laser pens and medals is for health y and 
security reasons.  
The Kingdom of Saudi Arabia periodically update s and revise  the import, reorganization and 
classification of goods.  
 
Question  8 
Pages 49 -50 (Para 3.62) The Report states, that "The GCC -TSAIP is the investigating authority for 
trade remedy proceedings. A  complaint must be submitted to the GCC -TSAIP, which reviews it and 
submits an initial report to the Permanent Committee, with a recommendation on whether to pursue 
an investigation. Based on the initial report by the GCC -TSAIP, the Pe rmanent Committee may 
decide whether to initiate an investigation and, based on a preliminary determination report by the WT/TPR/M/407/Add.1  
 
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  GCC-TSAIP, whether to impose provisional measures. Based on the final findings of the investigation, 
the Permanent Committee may propo se the imposition of definitive measures to the Ministerial 
Committee."  
Would Saudi Arabia, please, explain the procedure of decision making in the Permanent Committee?  
 
Question  9 
How much influence has each member of the Gulf Cooperation Council (GCC)?  
 
Answer  to Questions 8 and 9  
The Permanent Committee takes its decision on a simple majority (50%+1) system; each member 
of the GCC States has one vote with the same weight. The decision is made after discussing the 
facts and laws provided by reports prepared and provided by the GCC -TSAIP to the Committee in 
every stage of the investigation. Only in case of equal votes (3 -3), the member representing the 
GCC State of presidency (which is rotated among GCC States every year) will have the power of the 
casting vote  
 
Question  10 
Would Saudi Arabia, please, specify the on -line source with the information on current investigations, 
measures in force and decisions that were taken?  
 
Answer  
In order to download and obtain the issued official gazette by the GCC -TSAIP, you need to subscribe 
in the subscription services through this link by completing the form and pay the monthly or annually 
fee, https://www.gcc -sg.org/ar -sa/GeneralSecretariat/SectorsSites/TSAD/Pages/Releases.aspx . 
In addition, in order to  follow the news of the GCC -TSAIP you may go to this link:  https://www.gcc -
sg.org/ar -sa/GeneralSecretariat/SectorsSites/TSAD/Pages/News.aspx . 
 
Question  11 
Page 50 (Para 3.63) The Report notes, that "On 3 January 2019, Ministerial Decree No. 211 
established the GAFT. The Trade Remedies Deputyship (TRD), under the GAFT, is responsible for all 
issues related to trade remedies. The Deputy Governor of the TRD is a member of the Permanent 
Committee and participates in its decisions. The Minister of Ind ustry and Mineral Resources 
represents Saudi Arabia in the Ministerial Committee for final decision -making of trade remedy 
matters."  
Would Saudi Arabia, please, provide more precise information regarding the newly established body 
TRD under the GAFT?  
 
Ques tion 12 
If the GCC -TSAIP is the investigating authority what is the role of TRD under the GAFT?  
 
Answer  to Questions 11 and 12  
According to the Council of Ministers Decision No. 211 dated 25/4/1440H (1 January 2019) and 
Article 4.5 of GAFT administrative regulation issued by Council of Ministers Decision No. 741 
23/11/1441H (14 July 2020), GAFT is responsible, among other issues o f international trade, on 
trade remedies issues in the Kingdom of Saudi Arabia.TRD as part of GAFT, is assigned to handle all 
trade remedies issues which currently include; representing Saudi Arabia in the GCC Permanent 
Committee, coordinating with the Min istry of Industry that represents Saudi Arabia in the GCC 
Ministerial Committee, representing Saudi Arabia in trade defence investigations targeting Saudi 
exports, handling trade remedies issue and negotiations in the WTO, and to represent Saudi Arabia 
in trade remedies among all international forums.  
 
Question  13 
Could Saudi Arabia also provide the relevant web -link of the new body?  
 
Answer  
The website of GAFT including TRD is under development and will be online soon.  
 
Question  14 
Page 50 (Para 3.64) The Report mentions, that "During the review period, the GCC -TSAIP conducted 
several anti -dumping and safeguards proceedings but no countervailing proceedings. Several 
applications were submitted, and nine were accepted to initiate investigations; one self -initiation 
investigation was also initiated."  WT/TPR/M/407/Add.1  
 
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  Would Saudi Arabia, please, explain how domestic legislation regulates self -initiation of the 
investigation? In particular, when there is no petition from the domestic industry, how would 
investigating authority e stablish domestic industry?  
 
Question  15 
Would Saudi Arabia, please, explain how the self -initiated investigations comply with the obligation 
to provide reasons for initiation of the investigation according to Article 12.1 (A) of the WTO 
Agreement on Safeguards?  
 
Answer  
According to Article 2.4 of the Regulation of the GCC Common Law on Anti -dumping, Countervailing 
and Safeguard measures, the GCC Permanent Committee may self -initiate the investigation when 
the condition of the initiation of the investi gation are met as provided under Article 2.3. With regard 
to the domestic industry, because no petition received and no standing of the petition is required, 
the investigation authority shall adopt the definition of the GCC industry as provided in Article 3 of 
the GCC Common Law to conduct the investigation of the serious injury and threat of serious injury 
during the investigation according to Article 71.2 of the Regulation of the GCC Common Law.  
 
Question  16 
According to available information on 23 Octobe r 2019 the Competent authority of the GCC initiated 
a safeguard investigation against the increase of imports of Certain Steel products 
(G/SG/N/6/SAU/3) and then made a Preliminary finding of serious injury or threat thereof caused 
by increased imports of Certain Steel Products (G/SG/N/8/SAU/3). On 20 January 2021 GCC notified 
members that Competent Authority has found some relevant products that have to be added to the 
scope of the products under investigation; while some other products have been found to be 
excluded from the scope of the products under investigation (G/SG/N/6/SAU/3/Suppl.1).  
When is mentioned Safeguard investigation supposed to be concluded?  
 
Answer  
As provided in paragraph 3 of the notification No. G/SG/N/6/SAU/3 on 24 Oct 2020 satisfying the 
requirements of Article 12.1 (A) of the Safeguard Agreement, the Permanent Committee has based 
its decision to initiate the Safeguard investigation on a study made by the GCC -TSAIP. Based on this 
study and the available information, which sh owed such increase of imports of the product subject 
to the investigation, the Permanent Committee has provided that the information, data, evidence, 
and facts available appear to be sufficient to justify the initiation of the investigation as per the 
provisions of the Common Law and its Rules of Implementation.  
 
Question  17 
What criteria did the Competent Authority apply to conclude that imports of products under 
investigation were recent, sudden, sharp and significant enough?  
 
Answer  
According to Article 23 of the Regulation of the Common Law, the investigation shall be conducted 
within 12 months. However, the GCC Permanent Committee may extend this period to additional 6 
months. The mentioned Safeguard investigation has extended 6 months.  
 
Questio n 18 
On what legal basis did the Competent authority decide to add new products within the ongoing 
investigation ? 
 
Answer  
As the Safeguard Agreement does not include specific criteria to conclude that imports of products 
under investigation were recent, sudden, sharp and significant enough, the GCC -TSAIP is adopting 
the criteria as last interpreted by the WTO case law. In the  Final decision, the GCC -TSAIP will provide 
its basis to conclude the determination of "such increase of imports " that justifying any final findings. 
Because the mentioned Safeguard investigation is self -initiated based on a study made by GCC -
TSAIP, and as  the investigation includes several categories of the product under the investigation, 
the GCC -TSAIP amended the scope of the product under the investigation when it finds, during the 
investigation and verifications, that the scope of the product shall be amended. Accordingly, the 
investigating authorities made this amendment public to all the interested parties. This amendment 
was made to fulfill the requirements of Article 1 of the Safeguard Agreement in order to include only 
the product that "is being im ported into its territory in such increased quantities, absolute or relative WT/TPR/M/407/Add.1  
 
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  to domestic production, and under such conditions as to cause or threaten to cause serious injury 
to the domestic industry that produces like or directly competitive products. " 
 
Question  19 
Pages 60 -61 (Para 3.124) The Report mentions, that in addition to obtaining a commercial 
registration, food importers must register with the Saudi Food and Drug Authority (SFDA) and specify 
the food items that they import. All imports of food an d animal products for human consumption are 
subject to import permits issued by the SFDA. For imports of meat and poultry meat, a Halal 
Certificate and an Islamic slaughter certificate are required for each consignment, in addition to 
other documentation g enerally required for customs clearance.  
Could Saudi Arabia please elaborate whether there are any specific requirements for halal certificates 
and an Islamic slaughter certificate in order to be recognized by Saudi Arabian Authorities?  
 
Answer  
In order to accept halal certificate with imports of food, Halal certificate shall be issued by recognized 
halal certification body. Recognition Requirements:  
1- Accreditation certificate based in GSO 2055 -2  
2- Acceptance certificate by SASO.  
3-  Recognized by Halal  Center.  
 
Question  20 
Page 69 (Para 3.162) It is noted in the Report that Saudi Arabia is an observer to the WTO plurilateral 
Agreement on Government Procurement (GPA) and indicated that it would initiate negotiations for 
GPA membership.  
Does Saudi Arabia have an intention to initiate negotiation to be a member of GPA?  
 
Question  21 
Could Saudi Arabia please indicate preliminary date when this process might begin?  
 
Answer  
At the time of Saudi Arabia 's accession to the WTO and its confirmation to initiate negotiations for 
the membership in the Agreement on Government Procurement by tabling an entity offer and the 
condition that if the results of the negotiations were satisfactory to the interests of Saudi Arabia and 
the other Partie s to the Agreement, Saudi Arabia would complete negotiations for membership in 
the Agreement. It is worth mentioning that the said confirmation by Saudi representative at that 
time pertains and was specific to a previous version of the Agreement.  
 
Question  22 
Page 75 (Para 3.201) Under the Report, "There were no significant changes to the legal provisions 
and administrative procedures concerning compulsory licensing, except the transfer of the 
competent authority to issue compulsory licences from King Abdul aziz City for Science and 
Technology to the SAIP (per Articles 24 -30 of the Law on Patents, Layout -Designs of Integrated 
Circuits, Plant Varieties, and Industrial Designs)."  
Would Saudi Arabia, please, describe its administrative procedures concerning com pulsory licensing 
and elaborate on intention to use it for health protection purposes?  
 
Answer  
Compulsory license can be issued base on a request from third party or from government agency 
and both need to submit all supportive documents that needs to grant compulsory license, such as 
the invention has not been exploited within four years or having exploited it in an inadequate fashion. 
(See article 24 -29 of law).   
The intention to use it for health protection depends on many factors such type of heath crisis, 
number of patients and market needs and others but in any case, the use of compulsory license will 
be consistent with TRIPS provisions and its flexibilities . 
 
Question  23 
What was the reason for the transfer of the competent authority to issue comp ulsory licences from 
King Abdulaziz City for Science and Technology to the Saudi Authority for Intellectual Property?  
 
Answer  
The reason for transfer of the competent authority to issue compulsory licenses from King Abdulaziz 
City for Science and Technolog y to the Saudi Authority for Intellectual Property is due to the Council WT/TPR/M/407/Add.1  
 
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  of Ministers decision (No. 410) that was issued to establish the Saudi Authority for Intellectual 
Property (SAIP). The decision aims to unifying all intellectual property subjects und er one entity and 
transfer the duties and responsibilities from Saudi Patent Office (King Abdulaziz City for Science and 
Technology), Copyright department (Ministry of Culture and Media) and Trademark department 
(Ministry of Commerce) to SAIP.  
 
Question  24 
Page 82 (Para 4.13) The Report informs that in June 2020 the authorities increased tariffs on certain 
agricultural products, such as dairy products, juices, and vegetable and olive oils, as part of the 
COVID -19 response . 
Could Saudi Arabia elab orate on the mechanisms used to notify importers and exporters about the 
changes in applied tariffs?  
 
Answer  
The decision was made publically  available on newspapers, social media and the official website of 
General Customs Authority giving importers and concerned entities sufficient time prior to the 
implementation.  
 
II. QUESTIONS REGARDING THE GOVERNMENT REPORT  
 
Question  25 
Page 9 (Para 2.23)  According to the Report the Ministry of Investment launched the "Invest Saudi" 
platform, which includes investment opportunities in various sectors, along with launching the 
identity (slogan) of "Invest in Saudi  Arabia"; a unified national identity f or marketing and attracting 
investments to the Kingdom.  
Would Saudi Arabia, please, provide more detailed information on the "Invest Saudi" platform?  
 
Answer  
Saudi Arabia began a monumental national transformation with the launch of Vision 2030 in 2016, 
a strategy that expresses the Kingdom 's long -term goals and expectations for its future and is 
centered around driving economic diversification. Increasing the amount of FDI into Saudi Arabia is 
the core element of how Vision 2030 is being achieved. In response to the emerging need to unify 
the message of the many stakeholders telling the exciting story of Saudi Arabia 's offering to global 
investors, in 2018, INVEST SAUDI was initiated by a Royal decree to become the national investment 
promotion and attraction brand for Saudi Arabia so the Kingdom could go out into the world using 
one collective voice. Under the Royal decree and governed by Saudi Arabia 's Ministry of Investment 
(MISA), INVEST SAUDI is mandated to bring together all government entities  under one umbrella 
to position Saudi Arabia as an attractive investment destination. Leveraging a wide variety of 
initiatives and promotional campaigns, INVEST SAUDI works to increase Saudi Arabia 's performance 
in 'doing business ' rankings, develop and pr omote the opportunities opening up in newly unlocked 
sectors, and foster global partnerships that amplify the brand 's impact and exposure.  
INVEST SAUDI aims to increase its levels of brand awareness, compete with the world 's top IPA 
brands, and increase th e number of FDI projects being undertaken in Saudi Arabia. The brand 's 
strategy is centered around strengthening the perception of the country as an attractive investment 
destination amongst both local and international investors; maximizing awareness of n ational and 
sectorial value propositions; promoting investment opportunities and incentives; and generating 
quality leads for investment opportunities across all sectors.  
 
Question  26 
Page 13 (Para 3.43)  The Report states, that Saudi Arabia has introduced the permanent residency 
programme designed to attract foreign investment. Premium Residency holders will be granted the 
right to invest in various fields such as industry and real estate, in addition to job mobility.  
Could Saudi Arabia, please, clarify how the permanent residency programme, focused to attract 
foreign investment, works (what are its coordinating bodies/units, main tasks and functions, results, 
successful examples etc.)?  
 
Answer  
The Premium Residency Center is currently working on the new strategy that will launch new 
products and programs. (Please Check with Investors Services and Advisory for further information).  
 WT/TPR/M/407/Add.1  
 
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  Question  27 
The Report notes, that Saudi Arabia has established "the National Committee for Enforcing 
Intellectual Pr operty Rights".  
Could Saudi Arabia kindly inform how the process of establishing and functioning of the National 
Committee for Enforcing Intellectual Property Rights is contributing to the enforcement against IP 
infringement and piracy ? 
 
Answer  
The committee aims to improve the work of the enforcement ecosystem and enhance efforts aimed 
to Develop work methods and procedures, achieving harmony and coordination and coordinating 
efforts between government and private entities   to enhance the enforce ment intellectual property 
rights  . 
  WT/TPR/M/407/Add.1  
 
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  UNITED KINGDOM   
I. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question 1 
SUMMARY  
Paragraph 8  
Will there be further consideration on specific professional skills and qualifications, across sectors, 
that could be transferred and recognised to open the market for jobs and foreign investors, who 
would be looking to set up in Saudi Arabia?  
 
Answer  
The kingdom focus is directed toward sectors rather than persons or skills. Liberalizing further 
sectors to overseas investors will lead to have more skilled investors and employees.  
 
Question 2 
 
2 TRADE AND INVESTMENT REGIMES  
2.3 Trade Agreements and Arrangements  
2.3.1 WTO  
Paragraph 2.23  
 
Saudi Arabia is presently an observer to the WTO Agreement on Government  Procurement 
(GPA).  Can Saudi Arabia elaborate on any future ambition to start negotiations to join the GPA as a 
member?  
 
Answer  
Government procurement has important implications for Saudi economic development and 
diversification plans specially in the fac e of current circumstances. In this regard, it is worth 
mentioning that the confirmation by Saudi representative at the time of accession was specific to a 
previous version of the Agreement.  
 
Question 3 
 
2 TRADE AND INVESTMENT REGIMES  
2.4 Investment Regime  
Paragraph 2.54  
Are there plans to change exemptions to include law firms, insurance firms and other service sectors?  
 
Answer  
Insurance firms is already liberalized; other sectors are under consideration.  
 
Question 4 
 
2 TRADE AND INVESTMEN T REGIMES  
2.4 Investment Regime  
Paragraph 2.60  
Are there any planned changes for future withholding tax policy?  
 
Answer  
Currently there is no plan to change the withholding tax policy, however, the Government of 
Saudi  Arabia regularly evaluates and reassesses the various tax it implements based on many 
considerations including fiscal & economic conditions, international best practices, transparency, and 
international standards.  
 
Question 5 
 
2 TRADE AND INVESTMENT REGIMES  
2.4 Investment Regime  
Paragra ph 2.63  
Please elaborate on the decision to increase fees for business visas and entry/exit permits for foreign 
workers, and to increase levies on expatriates with dependents, in light of MISA's commitment to WT/TPR/M/407/Add.1  
 
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  "facilitate entry procedures for non -Saudi emp loyees, including technicians, administrators, and their 
dependencies" and whether there are any further plans to change fees for visas? (Box 2.1).  
 
Answer  
The regime for expatriates and their dependents had been announced in 2017 and has not changed. 
Business visa fees were adjusted to align with the cost of sponsoring an expatriate worker as several 
businesses were abusing the business visas for long -term employment. Entry/exit permit costs have 
remained constant for decades and were slightly  adjusted in lieu of recent reviews. Nevertheless, 
the recent labor mobility initiative significantly facilitates cross -border movement for expatriates. 
Additionally, there is ongoing work to facilitate and exempt skilled expatriate workers as part of the 
Kingdom’s Vision 2030 plan to reduce dependence on oil, and they will be announced in due course.  
 
Question 6 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.1 Measures Directly Affecting Imports  
3.1.4 Tariffs  
3.1.4.1 MFN applied tariffs  
Paragraph 3.31 Raised import tariffs  
Please elaborate on the justification for the introduction of higher import tariffs of certain goods by 
Saudi Arabia (above those applied by other GCC states) and what this means for the future of the 
GCC customs union.  
 
Answer  
Within  the framework of the WTO, the Kingdom of Saudi Arabia has already been committed to the 
bound rates indicated in its tariff schedules. Consequently, any adjustment to the customs duty rate 
shall not exceed the bound rates to which the Kingdom has been com mitted to WTO.  
The Kingdom of Saudi Arabia solely has goods with a customs tariff of more than 5%.  
 
Question 7 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.2 Measures Directly Affecting Export  
3.2.5 Special Economic Zones  
Paragraph 3.83  
What programmes or other measures does Saudi Arabia plan in order to help foreign companies 
become local manufacturers in the special zones?  
 
Answer  
These zones’ main purpose is to create an attractive business environment to attract FDIs, which 
will in tu rn create jobs and contribute to the country’s GDP.  
Each of the launched zones will be focusing on certain sectors, these zones will develop sector 
specific regulations along with the general business regulations, which will be amended to create an 
attractive and competitive environment.  
 
Question 8 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.2 Standards and technical requirements  
Paragraph 3.107  
Does SASO maintain a list of mandatory standards and will they be available online and free of 
charge?  
 
Answer  
All adopted standards and technical regulations can be found on SASO’s official website on the 
following links:  
• https://wasif.saso.gov.sa / 
• http://www.saso.gov.sa/en/laws -and-regulations/technical_regulations/pages/default.aspx  
 WT/TPR/M/407/Add.1  
 
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  Copyright and intellectual property restrict standardization bodies in the GCC countries from making 
national standards available free of charge, given that most of th em are adopted by international 
and regional standardization bodies  . 
 
Question 9 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.2 Standards and technical requirements  
Paragraph 3.114  
What are Saudi Arabia's plans  for the SASO Quality Mark, and will Saudi Arabia adhere to the 6 -
month TBT requirement for any future changes? How can producers check the existing requirements 
(in English) and ensure they get notified of future changes?  
 
Answer  
The future plans for the Saudi Quality Mark depend mainly on the legislations issued in the Saudi 
technical regulations, which are notified to the members of the World Trade Organization according 
to the established commitments, and producers can check the requirements of the current quality 
mark in English via the following link:   
http://www.saso.gov.sa/en/eservices/pages/details.aspx?serviceid=381  
 
Question 10 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.1 Measures Direction Affecting Imports  
3.3.2 Standards and technical requirements  
Paragraph 3.116  
Can Saudi Arabia elaborate on whether they will provide the 6 months requirement as referred to in 
paragraph 3.107 before any new changes to food standards and regulations and elaborate on the 
implementation of nutrit ional labelling?  
 
Answer  
All draft standards, technical regulations, and conformity assessments usually are in a period of six 
months at least between final publication and entry into force.  
 
Question 11 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measu res Affecting Production and Trade  
3.3.3 Sanitary and phytosanitary measures  
Paragraphs 3.123, 3.124, 3.125  
Why are Saudi Arabia moving away from accepting the GCC Halal accreditation?  
 
Answer  
Accreditation certificate is based on GSO 2055 -2 which is acceptable by any Accreditation body.  
 
Question 12 
Will Saudi Arabia delegate audits and approval of food and other certifications to competent 
authorities in exporting countries?  
 
Answer  
Yes, this is already applied with UK establishments (Sheep meat, sea  caught fishery products, milk 
products)    
For poultry, eggs and other fishery products, the local importer is required to apply for an import 
permit.  
 WT/TPR/M/407/Add.1  
 
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  Question 13 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.6 Government procurement  
Paragraph 3.170  
Could Saudi Arabia explain how the new GTPL will impact intellectual property ownership in 
international collaborations?  
 
Answer  
There is no direct impact of GTPL since the ownership of intellectual property is determined by 
intellectual property laws and subject to the agreement between contracting parties.  
 
Question 14 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.1 Overview  
Parag raph 3.182  
Please confirm if the transfer of duties to SAIP has been completed from previous government 
departments and offices responsible for intellectual property rights.  
 
Answer  
The transfer of duties has been completed, except some enforcement procedu res such as inspection 
and seizing which is still handled by the ministry of commerce . 
 
Question 15 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.1 Overview  
Paragraph 3.183  
Could Saudi Arabia confirm if the draft national IP strategy available in English and if so, provide a 
copy?  
 
Answer  
National IP Strategy is under consideration and being prepared along with National stakeholders.  
 
Question 16 
 
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.1 Overview  
Paragraph 3.185  
The UK participated in the Global Intellectual Property Challenges Forum (IP20+) in October  2020. 
Could Saudi Arabia confirm if IP20+ generated any specific outcomes and if the forum will be it be 
repeated next year?  
 
Answer  
As stated in the Joint Statement, the head of the Intellectual Property Offices operating in the G20 
countries (IP20+), participated in the Global Intellectual Property Challenges  Forum, agreed to strive 
to: 
• Exchange IP policy.  
• Encourage voluntary dissemination  
• Explore practices and procedures of IP Offices.  
• Exchange experiences in the use of digital technologies.  
• Promote the role of the World Intellectual Property Organization (W IPO). 
• Enhance IP cooperation among G20 countries.  WT/TPR/M/407/Add.1  
 
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  • With regard to weather the forum will be repeated next year or the upcoming years in general, 
there is no update or further information on this regard, except what stated on the joint 
statement that the IP20+ share a willingness to consider future IP20+ meetings.  
 
Question 17 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.2 Copyright and related rights  
Paragraph 3.191  
As Saudi Arabia Copyright Law prohibits "parallel imports of copyrighted materials " – please can it 
be confirmed whether this applies to services i.e., digital/ wireless/ broadcast materials ", as well as 
physical goods.  
 
Answer  
The prohibition of prohibits  parallel imports of copyrighted materials is not explicitly stated in the 
copyright law, but rather it is an interpretation and application of many factors and judicial principles 
such as the type of the work, the nature of the contracts” the implied cond itions of the contract’ and 
other factors. Therefore, even though parallel imports are considered infringements as a general 
interpretation the determination of whether a such import is an infringement may vary.  
 
Question 18 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.2 Copyright and related rights  
Paragraph 3.192  
Please can Saudi Arabia give examples of "other types of copyrighted works " that can be registered 
under Art 3(3) of the Regulations for Optical Copyrights Registration Decision No . 03/07/2019 dated 
07/06/1440H (12 February 2019)?  
 
Answer  
For example:  
1. Written materials like books, booklets and others.  
2. Works which are verbally delivered like lectures, spee ches, poetry, songs and the like.  
3. Dramatic works, plays, shows and similar presentations which involve motion, sound or 
both.  
4. Works which are especially prepared for broadcasting or are presented through 
broadcasting.  
5. Drawings, works of plastic arts, architecture, decorative art and artistic embroidery and 
the like.  
6. Sound and audio -visual works.  
7. Applied art works, whether hand crafted or manufactured.  
8. Photographic works and the like.  
9. Illustrations, geographical maps, designs, plans, sketches and sculptured works related to 
geography, topography and science.  
10. Three -dimensional works of geography, topography, architecture or science.  
Number s 3,5,6,7,8,9 are going to be ready for registration by the end of 2021.  
 
Question 19 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.2 Copyright and related rights  
Paragraph 3.193  
Please can Saudi Arabia confirm if any actions have been taken under copyright laws and procedures 
in relation to copyright infringement on the internet?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
The Saudi Authority for Intellectual Property conducts online inspection visits to detect the 
compliance of Intellectual property, as during 2020 more than 300 websites violating intellectual 
property rights were temporary blocked. SAIP continues to carry out inspection visits in parallel with 
the improvement of procedures.  
 
Question 20 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.3 Industrial property  
Paragraph 3.194  
Under Saudi Arabia 's industrial property and enforcement legislation, are the general rules regarding 
exhaustion of rights and parallel imports for patents and trademarks publicly available? If so, please 
indicate where they can be found or obtained.  
 
Answer  
Legislation and rules are on the websi tes of the Ministry of Justice and the Saudi Authority for 
Intellectual Property  (SAIP) , in addition the Ministry of Justice constantly publishes all cases related 
to intellectual property.  
 
Question 21 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.3 Industrial property  
Paragraph 3.195  
Please can Saudi Arabia confirm if patent legislation has been amended pursuant to the public 
consu ltation referred to in para 3.195.  
 
Answer  
SAIP is currently reviewing the law of patent, layout designs of integrated circuits, plant varieties 
and industrial design. SAIP issued a public consultation request to gather feedback from the public . 
 
Question 22 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.3 Industrial property  
Paragraph 3.196  
Regarding industrial property, specifically the 2001 Economic Agreement and the requirements 
therein for GCC member states, please can Saudi Arabia advise if information is available on each 
member state policy and the coordination protocol with other countries and regional/ international 
organisations? Do these poli cies include IP enforcement?  
 
Answer  
There are many polices and projects which resulted from the 2001 Economic Agreement, such as 
the agreement between the GCC countries to negotiate as a single block instead of negotiating with 
each country individually. In addition, the establishment of the GCC patent office and the GCC patent 
law are results of the mentioned agreement.  For more information, you may contact the Secretariat 
General of the Gulf Cooperation Council.  
 WT/TPR/M/407/Add.1  
 
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  Question 23 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.3 Industrial property  
3.3.7.3.2 Trademarks and geographical indications (GIs)  
Paragraph 3.197  
Please could Saudi Arabia indicate whether SAIP are inte nding to join the Madrid systems for 
international trademarks?  
 
Answer  
Madrid Protocol is under consideration by Saudi Arabia for possible accession . 
 
Question 24 
 
3 TRADE POLICIES AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.3 Industrial property  
3.3.7.3.2 Trademarks and geographical indications (GIs)  
Paragraph 3.198  
Please can Saudi Arabia update on the project with SAIP for the protection of geographical indications 
and if the specified list of protected products is available.  
 
Answer  
Saudi Arabia is still working on the development of a sui generis law for the Protection of 
Geographical Indications. The Saudi Authority for Intellectual property is currently working on 
confining a list of potential national GIs. However, since the law is not in force yet, none of them are 
registered.  
 
Question 25 
 
3 TRADE POLICIE S AND PRACTICES BY MEASURE  
3.3 Measures Affecting Production and Trade  
3.3.7 Intellectual property rights  
3.3.7.3 Industrial property  
3.3.7.3.4 Patents  
Paragraph 3.202  
Following the announcement of the 41st meeting of the Supreme Council of the GCC on 5th January 
that GCCPO has stopped accepting new patent applications as of 6th January, please can Saudi Arabia 
provide a further update as to why this decision was made and (b)  has patent legislation been 
amended accordingly?  
 
Question 26 
Please elaborate on when these changes will be made public.  
 
Answer s 25 & 26  
The GCC countries  collaboratively have worked together to develop and update the GCC Patent 
system.   The patent law of the GCC patent office and its bylaw will be published in the GCC patent 
Gazette and shall be effective after specific period from the date of its publicat ion. For more 
information, you may contact the Secretariat General of the Gulf Cooperation Council . 
 
Question 27 
 
4 Trade Policies by sector  
4.4.2 Telecommunications  
Paragraph 4.143  
On digital two -way flow of data across borders, the documents refer to data localisation for sensitive 
data. Please can Saudi Arabia clarify what data is considered sensitive? Will any future market access 
regulation be linked to the flow of data or data localisation?  
 WT/TPR/M/407/Add.1  
 
- 141 - 
 
  Answer  
There are no trade restrictions on cross -border data flows or localization requirements as long as 
national laws and regulations are met and do not constitute national security risk.  
 
I. QUESTIONS REGARDING THE GOVERNMENT  REPORT  
 
Question 28 
 
INTRODUCTION  
1.2 Labour Reform Initiative  
Paragraph 1.20  
Please elaborate the criteria of the contractual relationship enhancement. For example, what 
protections/obligations will be available to workers?  
 
Answer  
The labor reform initiative is a significant  policy shift for expatriate workers in the Kingdom. The 
Kingdom is following the research that shows greater mobility is beneficial to the labor market and 
the economy. The initial rules are just those: initial rules. The impact of the reform will be eval uated 
closely and enhanced in the future. The reform primarily focuses on enhancing labor mobility for 
expatriate workers and as such leads to some indirect protections such as removing employer 
controls on travel and transferring employment. The obligatio ns remain as before: an employee 
typically requests vacation approval, and gives contractual notice upon desiring to end employment 
with an employer.  
 
Question 29 
 
INTRODUCTION  
1.2 Labour Reform Initiative  
Paragraph 1.21.  
Please elaborate on purposes and b enefits of retaining an employer notification as part of the LRI.  
 
Answer  
As mentioned in answer to question 2 7, these are initial rules that will be evaluated and enhanced 
in future. The reform is a large shift for businesses and the notification system is there merely to 
help them coordinate their activities. As businesses get used to the new regulations, the notifications 
may be deemed superfluous and removed.  
 
Question 30 
 
ECONOMIC DEVELOPMENT  
2.1 Economic Growth  
Paragraph 2.4.  
Please elaborate the approaches Saudi Arabia is expected to use to lower the unemployment rate.  
 
Answer  
As part of the Vision 2030 plan to reduce dependence on oil, the Kingdom intends to grow a range 
of economic industries such as advanced manufacturing, banking, entertainment, IT, leisure and 
tourism, and logistics. Several gigaprojects have already been announced and others are at various 
stages of development. This growth will lead to growth in jobs and reduce unemployment.  
 
Question 31 
 
Please explain the criteria for the unemployment figures used by Saudi Arabia.  
 
Answer  
Unemployment is calculated and published by GASTAT via a quarterly labor force survey. The criteria 
are published on the GASTAT website and closely follows the ILO defi nition for determining 
unemployment that is used in many countries.  
 WT/TPR/M/407/Add.1  
 
- 142 - 
 
  Question 32 
 
3 TRADE POLICY DEVELOPMENTS  
3.1 Tariffs, Other Measures Affecting Imports  
3.1.6 Exports and free zones  
Paragraph 3.19  
Please elaborate on the criteria for sustainable regula tions. For example, what protections would 
there be for workers?  
 
Answer  
Various protections are granted to workers either foreigners or nationals, and  are incorporated as 
an integral part to the labor’s Law.  
 
Question 33 
 
3 TRADE POLICY DEVELOPMENTS  
3.6 Trade -Related Intellectual Property Rights (TRIPS)  
Paragraph 3.40  
Please clarify what benefits GCC Trademark Law confers to the right 's holder if it does not provide 
for unitary registration.  
 
Answer  
To harmonize the procedures related to trademarks in general including but not limited to 
registration procedures   in the GCC countries.  
 
Question 34 
 
3 TRADE POLICY DEVELOPMENTS  
3.6 Trade -Related Intellectual Property Rights (TRIPS)  
Paragraph 3.41  
Since Saudi Arabia issued the Law of Commercial Courts, have any IP cases been referred and/or 
heard?  
 
Answer  
Yes, and the number of the IP cases are (99) in the last (2) years.  
 
Question 35 
 
3 TRADE POLICY DEVELOPMENTS  
3.6 Trade -Related Intellectual Property Rights (TRIPS)  
Paragraph 3.42  
Please can Saudi Arabia provide further detail on amendments to IP legislation and which IP  rights 
are included in this review?  
 
Answer  
SAIP is currently reviewing the copyright law, the law of patent, layout designs of integrated circuits, 
plant varieties and industrial design, and Regulations for the Protection of Confidential Commercial 
information to propose drafted amendments. With th e exception of Patent law, SAIP issued a public 
consultation request to gather feedback from the public on ne drafted copyright law and Regulations 
for the Protection of Confidential Commercial information to collect issues, and address them in a 
new draft  of laws. SAIP, also, is working on proposal of new draft law for geographical indications 
which had been published for public feedback  
 
Question 36 
 
3 TRADE POLICY DEVELOPMENTS  
3.6 Trade -Related Intellectual Property Rights (TRIPS)  
Paragraph 3.43  
Please c an Saudi Arabia elaborate on the structure of the National Committee for Enforcing 
Intellectual Property Rights and which government entities are included? For example, an 
organisational model or mission statement?  
 WT/TPR/M/407/Add.1  
 
- 143 - 
 
  Answer  
National Committee members are: 
Public security , Ministry  of media, Ministry of commerce, Saudi auth ority for intellectual property, 
Ministry of Justice , Saudi customs , Communications & information technology commission , Council 
of Saudi Chambers , Saudi food & drugs Aut hority, Gener al Commission for Audiovisual Media and 
Public prosecution . 
The Committee aims to improve the work of the enforcement system and enhance efforts aimed at 
developing work  methods and procedures, achieving harmony and coordinating efforts between 
government and private agencies , enforcing intellectual property rights, and upgrading them to a 
level benefitting the status of the Kingdom of Saudi Arabia.  
 
The Objectives  : 
 
1. Raise the level of enforcement to enhance the international recognition of the Kingdom  . 
2. Consolidate the responsibility regarding enforcement of intellectual property rights  . 
3. Coordinate between IP enforcement agencies.  
4. Strengthen the legislation and the regulatory aspect . 
 
Question 37 
 
4 Sectoral Developments  
4.6 Services  
4.6.2 Tourism services  
Paragraph 4.64  
Movement of natural persons.  As part of Tourism services, the on -arrival -visa programme has been 
extended to visitors holding a valid Schengen, UK or USA visa.  Are there any plans to expand this 
to include short term business visitors and mode 4 generally?  We would likewise appreciate 
additional information on the requirements for short term business visitors.  
 
Answer  
Currently, Kingdom of Saudi Arabia government is working on a project to unify the visa for visiting 
purpose to includes all the visiting pur poses as (leisure, business, VFR and others).  
In addition, we are studying the expansion for the business visa category eligibility to include the 
visa holders (one of the group B countries, Schengen, UK and USA) to enable them apply for the 
visa through t he online platform, upon arrival, or through embassies.  
In general, requirements and procedures for issuing visas for all purposes of the visit are evaluated 
and developed through the year and being updated based on the circumstances.  
 
Question 38 
 
6 FUTURE DIRECTION OF SAUDI ARABIA TRADE POLICY  
6.2 Saudi Arabia and New Sources of Energy  
6.2.1.1.2 Renewable Energy  
Paragraph 6.10  
The report sets out some helpful detail on the National Renewable Energy Programme (NREP), which 
is intended to increase th e share of renewables in Saudi Arabia 's energy mix. What role does 
Saudi  Arabia see trade policy playing in the development of its renewable energy industry? For 
example, has Saudi Arabia considered unilateral reductions in applied tariffs for goods to sup port 
renewable energy such as wind power generation?  
 
Answer  
One of Saudi Arabia 's priorities is the development of renewable energy industry. Saudi Arabia is 
keen to enable the renewable energy and seeks to minimize barriers from global trade. However, 
the role of trade policy formation in the energy arena is important.  
 
  WT/TPR/M/407/Add.1  
 
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  UNITED STATES  
II. QUESTIONS REGARDING THE SECRETARIAT REPORT  
 
Question  1 
Page 39, paragraph 3. The Secretariat Report states that the Saudi Customs Authority (SCA) has 
cancelled the requirement for authentication of invoices and documents from the Chamber of 
Commerce and Embassies.  
Does SCA require authentication by Embassies, consulates, or Chambers of Commerce for any other 
customs documents?  
 
Answer  
No, authentication by Embassies , consulates, or Chambers of Commerce for any customs 
documents.  
 
Question  2 
Are such requirements in place for documents required by any other government agency that 
regulates imports, i.e. SFDA, SASO, etc.?   
 
Answer  
For food authentication of invoice is not required for Drugs, an authenticated invoice is required; 
chemicals require an invoice and certificate of origin to be authenticated. For medical devices 
authenticated invoice is required for cosmetics and authenti cated invoice is required for ready for 
sale products. However, the raw material for cosmetics require certificate of origin to be 
authenticated and the invoice. The governmental or the third party the SFDA approved is responsible 
for the process of notrar ization  
 
Question  3 
Is notarization required for any import documents?  If so, what measure imposes the requirement 
for notarization?  Who is recognized to provide notarization?  
 
Answer  
Notarization is not required for any import documents  
 
Question  4 
Page 4 7, paragraph 3.45: The Secretariat Report notes that Saudi Arabia ratified the GCC Common 
Excise Tax Agreement. Pursuant to the provisions of the Agreement, Saudi Arabia issued the Excise 
Tax Law and the Implementing Regulations of the Excise Tax Law. The excise tax is an indirect tax 
that is chargeable upon releasing certain goods for consumption in Saudi Arabia. Two excise tax 
rates (50% or 100%) are applied to: soft drinks (50%); sweetened drinks (50%); tobacco -related 
products (100%); energy drinks (100 %); electronic devices and equipment used for smoking, 
vaping, and similar activities (100%); and liquids consumed in electronic devices and equipment 
used for smoking, vaping, and similar activities (100%). The United States notes that this tax does 
not follow established international best practice linking taxes to a product's sugar content.  
How does Saudi Arabia plan to pursue this agreement without discriminating between beverage 
categories?  
 
Answer  
Firstly, the Kingdom emphasizes that neither its domestic excise tax legislation nor the Unified Excise 
Tax Agreement for the GCC mandate ( "Excise Legislation ") result in unequal or dissimilar taxation 
of products based on the products origin. Furthermore, discrimination between imported and 
domestic pro ducts is not an intended or incidental consequence of the Excise Legislation.  
 
Question  5 
What is Saudi Arabia 's formal mechanism for consultation with private industry, trading partner 
governments, and other interested parties regarding the selective tax, particularly in advance of 
possible revisions?  
 
Answer  
Saudi Arabia 's legislative process entails a rigorous public consultation process to obtain feedback 
and commentary from the private sector and any interested party on draft tax legislation or 
amendments to existing legislation prior to their enactment. Below is an overview of the process. -WT/TPR/M/407/Add.1  
 
- 145 - 
 
  First, th e draft legislation is published on a national portal dedicated to public consultation. Any 
interested party may submit comments/opinions/feedback during the consultation period which in 
all cases is no less than 30 days. -Once the public consultation peri od ends, all comments must be 
collated before submitting the draft legislation to the council of ministers ( "CoM") for consideration; 
a report of the comments received is also published on the portal after the public consultation period 
ends. Note that it is strongly encouraged, and indeed common practice for the draft legislation to be 
amended to reflect repeated comments. -When the draft legislation is submitted to the CoM it must 
be accompanied by a number of reports and studies that justify the legislat ion, in addition to 
comparative studies to highlight best practice with respect to the subject of the legislation. -The 
public commentary must also be submitted to the CoM; any changes made to reflect the commentary 
must be highlighted. Further, there must  be strong justification for the rejection of comments 
received during the public consultation. Any possible revision of the excise tax legislation in the 
Kingdom would be subject to this process. Q6: As soon as the GCC member states reach an 
agreement as to the details of the new selective tax (excise tax) model, a resolution and execution 
plan will pass through a formal circulation by GCC member -states, and be announced to the public 
through official channels.Saudi Arabia 's legislative process entails a r igorous public consultation 
process to obtain feedback and commentary from the private sector and any interested party on 
draft tax legislation or amendments to existing legislation prior to their enactment. Below is an 
overview of the process. -First, the  draft legislation is published on a national portal dedicated to 
public consultation. Any interested party may submit comments/opinions/feedback during the 
consultation period which in all cases is no less than 30 days. -Once the public consultation perio d 
ends, all comments must be collated before submitting the draft legislation to the council of ministers 
("CoM") for consideration; a report of the comments received is also published on the portal after 
the public consultation period ends. Note that it i s strongly encouraged, and indeed common practice 
for the draft legislation to be amended to reflect repeated comments. -When the draft legislation is 
submitted to the CoM it must be accompanied by a number of reports and studies that justify the 
legislati on, in addition to comparative studies to highlight best practice with respect to the subject 
of the legislation. -The public commentary must also be submitted to the CoM; any changes made 
to reflect the commentary must be highlighted. Further, there must be strong justification for the 
rejection of comments received during the public consultation. Any possible revision of the excise 
tax legislation in the Kingdom would be subject to this process. Q6: As soon as the GCC member 
states reach an agreement as t o the details of the new selective tax (excise tax) model, a resolution 
and execution plan will pass through a formal circulation by GCC member -states, and be announced 
to the public through official channels.  
 
Question  6 
What is the timeline to inform pri vate industry, governments, and other interested parties about the 
study being undertaken by GCC Member States on revising this tax?  
 
Answer  
Although the new excise tax model has yet to be agreed upon among the GCC states, Saudi Arabia 
will formally annou nce the timeline for enforcing the new excise model shortly after the GCC states 
reach an agreement.  
 
 
Question  7 
When and how will Saudi Arabia switch from an ad -valorem tax to a graduated tax based on sugar 
content in beverages?  
 
Answer  
Although the new excise tax model has yet to be agreed upon among the GCC states, Saudi Arabia 
will formally announce the timeline for enforcing the new excise model shortly after the GCC states 
reach an agreement.  
 
Question  8 
Will Saudi Arabia revise this tax to also cover fruit juices and milk -based products that contain added 
sugars in which the total sugar content (from either natural and/or added sugars) exceeds the 
minimum threshold of 5g per 100ml?  
 WT/TPR/M/407/Add.1  
 
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  Answer  
Currently, excise tax is not assessed on beverages that d o not contain added sugar. Exempting or 
applying a different excise tax rate to beverages based on caloric content is among the options being 
considered at the GCC level.  
 
Question  9 
Will Saudi Arabia exempt beverages that contain no added sugar as well as low -calorie beverages 
from this tax?  
 
Answer  
Any decision on the exemption of a particular beverages category that is subjected to tax will be 
based on the studies conducted and agreement reached by the GCC member -states in this regard.  
 
Question  10 
Page 47, paragraph 3.45 The United States has requested that until Saudi Arabia implements 
revisions to this tax, that Saudi Arabia: (1) end discrimination between energy drinks and other 
beverages currently covered by the tax that have similar  amounts of sugar, (i.e. harmonize and 
apply the same tax rate to all beverages subject to the excise tax); and (2) exempt low -caloric 
beverages from the tax altogether.  
What is the status of Saudi Arabia 's consideration regarding this request?  
 
Answer  
Saudi Arabia reaffirms that excise regime is not and was not discriminatory in any way. The 
difference in the tax rate between energy drinks and sweetened drinks is based on the inherent 
difference between the types and contents of the beverages. Thus, the ap propriate tax rate is 
applicable to a drink depending on how its categorized on the basis of the legal definition for each 
type of beverage.  
 
Question  11 
What is the status of Saudi Arabia 's consideration regarding the long -term implications of continued 
industry volume decline for: (1) sustainable streams of tax revenue; (2) upstream, direct and 
downstream employment and investments; and (3) viability of the beverage industry in 
Saudi  Arabia?  
 
Answer  
The excise tax was imposed on the basis of pu blic health considerations. Tax revenue was not in -and-
of-itself the objective behind implementing the excise tax. Accordingly, the decrease in volume of 
these products and the resulting decrease in tax revenue from excise products is an indicator of a 
decrease in the sales, production and/or demand for these products, all of which also indicate a 
decrease in individual consumption of such goods. These results would suggest that the tax has been 
effective in achieving the desired public health objectives. G enerally, negative implications affecting 
some aspects of the economy are incidental to the introduction of new taxes or an increase in existing 
taxes. Saudi Arabia foresaw the long -term implications mentioned in the question prior to 
implementing the exci se tax and took them into consideration in making the decision to implement 
the tax. In addition, Saudi Arabia is ready to take any action needed counteractions in taken action 
to minimize incidental adverse effects the tax may have on the economy.  
 
Questi on 12 
Page 47, paragraph 3.45 Private industry stakeholders  have suggested that Saudi Arabia revise the 
Excise Tax Law and the Implementing Regulations of the Excise Tax Law. For example, it would be 
in line with established international best practice mod els to establish a broader product base with 
significantly lower rates and provide non -discriminatory treatment of beverage categories through 
a graduated tax system based on sugar content that incentivizes product reformulation.  
Has Saudi Arabia considered less disruptive alternatives to the excise tax?  
 
Answer  
The Government of Saudi Arabia regularly evaluates and reassesses the various tax it implements 
based on many considerations including fiscal & economic impact, international best practices , 
transparency, and international standards. However, Saudi Arabia does not consider that their excise 
tax practices are now or were - at any point - discriminatory as the tax is neutral on its face and in 
fact with respect to place of origin, and same or like products are not subject to different tax WT/TPR/M/407/Add.1  
 
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  treatment. Further, the excise tax was implemented to achieve certain public health objectives and 
there is no indication that the excise tax has failed to satisfy the purpose for which it was enforced.  
 
Quest ion 13 
Page 53, paragraphs 3.79 and 3.80 : According to the Secretariat Report, the Saudi Export Program 
(SEP) is Saudi Arabia's official national export credit agency, with the objective of diversifying non -oil 
exports through the provision of financing to  Saudi exporters. SEP facilitates trade transactions 
through local and foreign banks, offering financing through loans and credit insurance services.  
Please explain the basis for not reporting SEP 's 2018 export financing support activities for 
agricultural  and food products in the 2019 Export Competition Questionnaire (ECQ).  
 
Answer  
Throughout 2018, no financing activities took place for the agriculture and food products sector. 
Nevertheless, SEP does not provide financing supports as much as non-oil product credit facilities.  
 
Question  14 
Page 56, paragraph 3.99 The Secretariat Report notes that Saudi Arabia has notified the WTO that 
it does not grant or maintain any subsidy programs as defined in Article 1.1 of the Agreement on 
Subsidies and Countervailing Measures (G/SCM/N343/SAU). However, the Secretariat Report also 
provides information regarding the economic diversification plans under Vision 2030, under which 
Saudi  Arabia aims to become a leading industrial powerhouse and a global logistics hub. According 
to the Secretariat Report, an important component of Vision 2030 and the National Industrial 
Development and Logistics Program (NIDLP) is the creation of special economic zones (SEZs), which 
provide incentives in competitive  locations for "promising" sectors. Paragraph 3.85 of the Secretariat 
Report provides details regarding special tax rules applied to activities carried out in the SEZs.  
Please explain the various types of incentives that have been enacted in order to meet the economic 
plans under Vision 2030 and the NIDLP.  
 
Answer   
The Government of Saudi Arabia has enacted the Law of the Special Integrated Logistics Zone ( "Zone 
Law") pursuant to Royal Order No. A/17 on 10 October 2018.  
The Zone Law contains the following tax provisions:  
(1) customs duties and VAT are suspended on goods that enter in the zone and are not imported 
into the mainland, including goods in transit and temporary transfer of goods into the zone. (the 
Zone Law, A rticle 8(1))  
(2) No VAT is due on the transfer of goods between the mainland and the SEZ for repair and 
maintenance; (the Zone Law, Article 8(3)).  
(3) a nonresident of Saudi Arabia will not have a permanent establishment therein if they transact 
with other  non-residents in relation to goods located in the zone only as a result of the goods being 
stored/warehouse/available in the zone. (the Zone Law, Article 9)  
Pursuant to article 10 of the Zone Law, the General Authority of Zakat & Tax ( "GAZT ") is to issue 
special tax rules to be applicable in the zone.  
Pursuant to Article 10 of the Zone Law, Special Tax Rules will be enacted. Pursuant to the Special 
Tax Rules, companies residing in the zone are entitled to the following direct tax incentives:  
(1) tax relie f (0% income tax) for a maximum period of 50 -years upon the satisfaction of certain 
conditions.  
(2) 0% withholding tax for a maximum period of 50 years for royalties, dividends, income from 
debt (interest) and payments for technical services.  
 
Question  15 
Please further explain why incentives were not notified in accordance with Saudi Arabia 's 
WTO obligations.  
 
Answer  
Saudi Arabia considers the above referenced tax rules -as stated in the Zone Law - are not incentives 
nor subsidies and thus outside the purview of the notification requirement. This is so because the 
tax rules are not a deviation from the tax laws applicable now and at the time of the Zone Law 's 
enactment. In other words, the Zone Law does not contain any provision that grants an exemption , 
incentive, or special tax treatment. At the time the Secretariat Report was drafted and submitted, 
no other tax incentives were applied in the Kingdom. The rules states in the Zone Law are indeed 
the default rules that apply nation -wide and are available  to all taxpayers in the base economy and 
the zone alike. Their inclusion into the Zone Law were for purposes of explicitly stating them and WT/TPR/M/407/Add.1  
 
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  clarifying them. Under the existing VAT law, import VAT is suspended on goods that are under 
customs suspension (su ch as suspension of customs for goods in transit). In addition, where goods 
are transported between the base economy and the zone, they are treated as a domestic transfer 
of goods for VAT purposes thus no import VAT is triggered when goods enter the base e conomy or 
the zone since there is no actual "import ". Further, the VAT law stipulates that the export of goods 
is zero -rated. However, since the zone is still within the territory of the Kingdom, transport of goods 
from the mainland to the zone is not lega lly an export. Finally, with respect to the treatment of 
permanent establishments (referenced in paragraph (3) of the previous question), the transactions 
contemplated in the Zone Law would not trigger a PE in the Kingdom. Warehousing of goods alone 
is not  sufficient nexus to trigger a PE for the legal owner of the goods in the Kingdom when 
transacting for their sale (for instance) with another nonresident.  
 
Question  16 
Page 57, paragraph 3.101: The Secretariat Report states, "Saudi Arabia's relevant legisl ation, 
notably the Technical Regulation, can be found on the SASO's website, the national notification 
authority and enquiry point for TBT matters. The SASO, under the Ministry of Commerce, is the main 
agency responsible for developing national standards, quality control and assurance, conformity 
assessment, and certification. In 2019, the Saudi Accreditation Center (SAC) was created as the 
national accreditation body. It is an independent public entity, under the supervision of Ministry of 
Commerce." The U nited States notes several instances where U.S. Enquiry Point communications 
have gone unresolved.  
Please address the following outstanding communications:  
The U.S. WTO TBT Enquiry Point requested in January 2020 that the WTO TBT Enquiry Point of Saudi 
Arabia clarify the status of implementation of GSO Draft Standard 1926:2019," notified as 
G/TBT/N/ SAU/1104. When does Saudi Arabia intend to provide such a cla rification?  
 
Answer  
Kindly note that, the SFDA.FD 1926 entered into force in 01.01.2020  
 
Question  17 
The U.S. WTO TBT Enquiry Point sent comments on the "Saber  Conformity Assessment Online 
Platform / Saleem Product Safety Program" on behalf of U.S. stakeholders to the WTO TBT Enquiry 
Point of Saudi Arabia in May 2020, and requested copies of all other relevant notifications to the 
WTO, as well as copies of all r elevant regulations instituting the program and those outlining the 
scope of product coverage, in February 2020. When does Saudi Arabia intend to respond to these 
requests?  
 
Answer  
KSA proposes discussing this inquiry and the technical issues associated w ith it through the channels 
of the Technical Barriers to Trade (TBT) Agreement.  
 
Question  18 
The U.S. WTO TBT Enquiry Point requested in November 2020 and December 2020 that the WTO  TBT 
Enquiry Point of Saudi Arabia notify any and all regulations promulgated or implemented by the 
SFDA Halal Center, including "Draft Technical Regulations for Appointing Halal Certification Bodies 
(1442/2020)," to the WTO Secretariat under terms of the T BT Agreement. When does Saudi Arabia 
intend to provide such a notification?  
 
Answer  
The referred notification will be submitted in due time to the SPS committee.  
 
Question  19 
The U.S. WTO TBT Enquiry Point requested in April 2018 that the WTO TBT Enquiry P oint of 
Saudi  Arabia notify the "Guidelines to the Requirements of Registration and Accreditation of Facilities 
and Products of Children 's Milk, Substitutes of Breast Milk, and Supplementary Dairy Foods for 
Special Medicinal Uses" to the WTO Secretariat un der terms of the TBT Agreement. When does 
Saudi  Arabia intend to provide such a notification?  
 
Answer  
The "Guideline to the Requirements of Registration and Accreditation of Facilities and Products of 
Children's Milk, Substitutes of Breast Milk, and Supple mentary Dairy Foods for Special Medicinal 
Uses" is currently not valid and has  been removed from SFDA website. Moreover, a new guideline WT/TPR/M/407/Add.1  
 
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  was published (Guide to control the circulation of Processed breast milk substitutes, Supplementary 
milk foods, and infant foods for special medicinal uses). However, the SFDA believes that there is 
no need to notify the new guideline as  it was based on the p reviously approved conditions and 
requir ements for food import that has  already been notified to the SPS Committee.  
 
Question  20 
The U.S. WTO TBT Enquiry Point sent comments on "Technical Regulations B M - IV Bricks, tiles, 
ceramics, sanitary ware and relat ed products," notified as G/TBT/N/SAU/993 , on behalf of 
U.S. stakeholders to the WTO TBT Enquiry Point of Saudi Arabia in October 2017. When does 
Saudi  Arabia intend to respond to these requests?  
 
Answer  
SASO received a comment dated 2 October 2017 through the TBT inquiry point of Plumbing 
Manufacturers International in the United States regarding notification number G / TBT / N/SAU / 
993 related to SASO 1477 and SASO 1473, and the response was sent to the United States to 
usatbtep@nist.gov on 4 Octo ber 2017.  
 
Question  21 
Page 57, paragraph 3.106 We understand that the Saudi Standards, Metrology and Quality 
Organization (SASO) introduced the "SABER" platform in order to protect commercial facilities from 
fraud and tampering with technical documents and to ensure products are free from defects that 
may affect the health, safety, and the environment of the consumer. We note that the registration 
and certification process for the SABER platform is complex. The United States remains concerned 
about implementation of the "Saber Conformity Assessment Online Platform / Saleem Product Safety 
Program," which has also been a subject of discussion in the WTO TBT Committee meetings.  
Please provide copies of all relevant regulations instituting the progr am and those outlining the scope 
of product coverage.  
 
Answer  
The technical regulations can be found in the official website of SASO, which provide the scope for 
each technical regulation. Please visit the link below for more details: 
http://www.saso.gov.s a/en/laws -and-regulations/technical_regulations/pages/default.aspx  
 
Question  22 
When will Saudi Arabia implement clear and transparent guidelines regarding the application of the 
SABER platform?  
 
Answer  
Saber  is an electronic service that reflects the Saudi technical regulations.  
 
Question  23 
We note that industry reports highlight that HS codes on the SABER system often do not match 
international HS codes. Please provide the list of products (using complete H S Codes having 
10 digits) for which SASO will require third -party certification and new certificates of conformity 
instead of self -declarations.  
 
Answer  
Please visit the website below to find the requirements for each HS -code, and note that you can 
search by using the first 6 digits since it is matching the international HS -code: 
https://saber.sa/home/hscodes Please note that the Saudi Custom is the entity responsible for the 
HS-code, and all HS -code can be found on their website therefore we recommend visi ting their 
website to find the right HS -code that matches the product description.  
 
Question  24 
Further, we understand there is uncertainty regarding the current status  of the implementation of 
the SABER platform. Please provide a complete list of all products currently covered under the SABER 
platform.  
 
Answer  
Please visit the website below to find the requirements for each HS -code covered by saber, and note 
that you can search by using the first 6 digits since it is matching the international HS -code: 
https://saber.sa/home/hscodes  WT/TPR/M/407/Add.1  
 
- 150 - 
 
  Question  25 
Please provide a l ist of all products that will be covered under the SABER platform and the dates for 
which conformity with the program will be required.  
 
Answer  
Please visit the website below to find the requirements for each HS -code, and note that you can 
search by using the first 6 digits since it is matching the international HS -code: 
https://saber.sa/home/hscodes The date of implementation for each technical regulation can be 
found in the technical regulation page in Saber Platform. Please visit the link below for more details: 
https://saber.sa/home/regulations  
 
Question  26 
Page 57, paragraph 3.106 We note that Saudi Arabia states that the SABER platform has contributed 
to facilitating and enhancing trade. We understand that the process for conformity assessment 
procedures under the SABER program differs among Notified Bodies  in terms of the required tests 
and number of required samples.  
How is SASO working to ensure that all notified bodies implement the conformity assessment 
procedures in the same manner?  
 
Answer  
SASO audits the conformity assessment procedures and requirem ent to ensure fair trade. The result 
for these audits can be used to apply sanctions on the notified bodies. If you have any concerns 
regarding notified bodies you can contact SASO at info@saso.gov.sa  
 
Question  27 
Please respond to the U.S. comments submit ted on G/TBT/N/SAU/1143 (also notified as 
G/SPS/N/SAU/435) requesting scientific justification for prescribed agricultural and food products ' 
mandatory shelf life limits, and share the document(s) containing the Technical Regulation.  
 
Answer  
Our response t o comments from the United States has been sent by email to (Senior Ag Marketing 
Specialist at U.S. Embassy, Riyadh, Saudi Arabia)  on 2/8/2021 through Saudi SPS inquiry point.  
Brief of SFDA Response:  
In regards to  SFDA response on U.S comments in the draft regulation of "Expiration dates for food 
products " we would like to clarify the following:  
The updated technical regulation is intended to covers maximum shelf - life for perishable food 
products, which will repla ce GSO 150 -1. 
U.S comments on some definitions and the shelf - life of vacuumed beef meat were taken into 
consideration. item 3.4 in the draft which states that "The dates shall be engraved, embossed, 
printed or stamped directly onto the original label of a ll packages by the producer only….  etc" has 
been removed based on U.S comments.   Finally, table 1 in the technical regulation applies to 
perishable food, and it intends to extend shelf life of such products. A measure we believe will allow 
for greater facil itation of trade.  
 
Question  28 
Page 58, paragraph 3.114 According to the Secretariat Report, "Products subject to technical 
regulations must comply with the relevant regulations before they are placed on the market. The 
Saudi  Standards, Metrology and Quality Organization (SASO) may grant a certificate of conformity, 
or, for products that comply with standards and technical requirements, a license to use the quality 
mark. The quality mark scheme is voluntary, and available for goods either domestically produced 
or imported."   
In 2020,  The Saudi Food and Drug Administration (SFDA) implemented a new technical standard 
that requires halal certifying bodies to be approved by SFDA, in addition to being registered with 
SASO. Our understanding is that SFDA now requires U.S. halal certifying bodies to work with SFDA 
to apply the SFDA halal mark to conformity certificates . 
Please list all the Saudi Arabian ministries, agencies, and departments that have responsibility for 
granting/approving/authorizing use of the halal mark in Saudi Arabia, and explain their specific 
responsibility in the halal certification and licensing process.  
 
Answer  
The Saudi governmental athorities  that have responsibility for granting/approving/authorizing use 
of the halal mark in Saudi Arabia  are; WT/TPR/M/407/Add.1  
 
- 151 - 
 
  1. Saudi Food and Drug Authority (SFDA) . 
2. The Saudi  Standards, Metrology and Quality Organization (SASO) . 
 
Question  29 
Please describe how halal standards a nd requirements are notified to the WTO TBT Committee, and 
whether Saudi ministries consider public comments on existing or proposed regulations.  
 
Answer  
Saudi Arabia have notified all halal standards and regulation to the Secretariat of TBT committee 
throw diplomatic channel (TBT contact point in Saudi Arabia).  
 
Question  30 
Page 59, paragraph 3.116 The Secretariat Report mentions halal marking in the context of labeling, 
however the impact of halal certification requirements extends much furt her than labeling policies  
Please provide all of Saudi Arabia 's technical standards for determining what is, and is not, halal.  
 
Answer  
GSO 2055 -1 (HALAL FOOD - Part 1General Requirements) GSO 993 (Animal Slaughtering 
Requirements According to Islamic Rule s). 
 
Question  31 
Please describe how technical standards are developed and implemented.  
 
Answer  
Technical standards are developed  based on international standards.  
 
Question  32 
Please provide all requirements that imported food and agricultural products undergo to complete 
halal-related conformity  
 
Answer  
Imported halal food products shall attach halal shipment certificate issued by recognized halal 
certification body.  
 
Question  33 
Please identify the list of products that require halal certification as an entry -requirement.  
 
Answer  
based on the General Requirements of HALAL FOOD  GSO-2055-1, Furthermore, Halal Center - SFDA 
updates Halal food products list periodically.  
 
Question  34 
Please provide additional information on certification requirements, including Saudi measures and a 
description of the process and criteria for certifying/approving/accrediting halal certification bodies 
that certify products as halal for the Saudi market.   
 
Answer  
34 - In order to accept halal certificate with imports of food, recognized halal certification body (HCB) 
shall issue Halal certificate.  
HCB Recognition Requirements:  
1- Accreditation certificate based in GSO 2055 -2 
2- Acceptance certificate by SASO.  
3- Recognized by Halal Center  
 
Question  35  
Page 62, paragraph 3.134  Saudi Arabia prohibits trading GM foods of animal origin, which are 
obtained by means of biotechnology.  
Please clarify how Saudi Arabia defines "means of biotechnology"?  
 
Answer  
In vitro nucleic acid techniques, including recombinant deoxyribonucleic acid  (DNA) and direct 
injection of nucleic acid into cells organelles, or Fusion of cells beyond the taxonomic family, that WT/TPR/M/407/Add.1  
 
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  overcome natural physiological reproductive or recombination barriers and that are not techniques 
used in traditional breeding and selec tion. 
 
Question  36 
Page 70, paragraph3.162 The Secretariat Report notes that Saudi Arabia is an observer to the 
WTO Agreement on Government Procurement (GPA).  
Does Saudi Arabia intend to begin negotiations on joining the GPA? If so, when?  
 
Answer  
At the time of Saudi Arabia 's accession to the WTO and its confirmation to initiate negotiations for 
the membership in the Agreement on Government Procurement by tabling an entity offer and the 
condition that if the results of the negotiations were satisfactory t o the interests of Saudi Arabia and 
the other Parties to the Agreement, Saudi Arabia would complete negotiations for membership in 
the Agreement. It is worth mentioning that the said confirmation by Saudi representative at that 
time pertains and was specif ic to a previous version of the Agreement.  
 
Question  37 
Page 70, paragraph 3.169 The Secretariat Report notes that under Saudi Arabia's new Government 
Tenders and Procurement Law (GTPL), preferences in government tenders should be given to SMEs, 
listed com panies, and local content.  
Please elaborate on whether the law places any restrictions on preferences for SMEs based on the 
monetary value of the government tender.  
 
Answer  
The law does not place any restrictions on preferences for SMEs based on the monetary value of the 
government tender.  
 
Question  38 
Are all government tenders for which the GTPL applies subject to preferences for SMEs?  
 
Answer  
The new law supports SME 's and grants it the following;  
- Priorities in the direct purchase and in the limited tenders.  
- Invitations priority is granted to SME 's in the limited tenders.  
- SME's exemption from primary guarantees.  
 
Question  39 
Page 70, paragraph 3.171 The Secretariat Report states, "Certain elements of the new GTPL, in 
particular the principles of fairness, transparency, and competitiveness, are applicable to commercial 
companies in which the State owns more than 51% of the share capital."  
If only certain elements are applicable, please provide additional information on which provision s of 
the new GTPL do not apply.  
 
Answer  
The mentioned preferences related to the local content are still under consideration and not enforced 
to date.  
 
Question  40 
Page 71, paragraph 3.180 The Secretariat Report notes that under the new GTPL, domestically  
produced products will still qualify for a 10 percent price preference, which can be increased upon 
agreement between the Local Content and Government Procurement Authority (LCGPA) and the 
Center of Spending Efficiency (CSE).  
Has Saudi Arabia established a maximum limit that the price preference can be increased to with 
respect to domestically produced products?  
 
Answer  
The New Government Tender and Procurement Law does not establish a maximum limit.  
 
Question  41 
Please explai n the process by which LCGPA and the CSE would determine an increase in the price 
preference.  
 WT/TPR/M/407/Add.1  
 
- 153 - 
 
  Answer  
LCGPA and CES, along with other government entities, started conducting a study that covers 
various economic and trade elements, based on the outcomes of this study it will be decided whether 
or not the price preference will be increased.  
 
Question  42 
Page 73, paragraph 3.190 The Secretariat Report states that Saudi Arabia has been a member of 
WIPO since 1982 and is a party to the Berne Convention for the Protection of Literary and Artistic 
Works as well as to other IP treaties.  
Does Saudi Arabia have any plans to join the WIPO Internet Treaties (WIPO Copyright Treaty/WIPO 
Performances and Phonograms Treaty)?  
 
Answer  
Saudi Arabia is studying possible accession to the WIPO Internet Treaties (i.e. the WCT and the 
WPPT) as well as to some other IP treaties.  
 
Question  43 
Page 74, paragraph 3.191 The Secretariat Report states that the "Board of Directors of the 
Saudi  Intellectual Property Authority Decision No. 04/08/2019 of 04/09/1440H" amended the 
Implementing Regulations of the Copyright Law regard ing the moral and economic rights of 
copyright holders.  
Please provide more information about how this Decision amended the copyright law and impacted 
the scope of protection afforded to copyright holders.  
 
Answer  
The amendment to the executive regulations  was mentioned, is a formal amendment only to replace 
the phrase (the Saudi Authority for Intellectual Property) in place of (the Ministry of Culture and 
Information) and to replace (the Board of Directors of SAIP) the place of (the Minister), and this 
amendment is an effect of the establishment of the body to which all intellectual property activities 
were transferred  
 
Question  44 
Page 74, paragraph 3.192 The Secretariat Report explains that the Regulations of Optional 
Copyrights Registration provides regi stration services for "architectural designs and computer 
software and applications" and that Article 3(3) of the Regulations allows for the expansion of these 
registration services to other types of copyrighted works as decided by SAIP's Chief Executive.  
Are there current plans to expand voluntary registration to other types of copyrighted works, and if 
so, to what works?  
 
Answer  
Yes, there is a plan to expand voluntary registration to include other types of copyrighted works 
such as applied works, pictorial, graphic and sculptural works.  
 
Question  45 
Page 76, paragraph 3.205: The Secretariat Report states that "commercial courts with subject 
matter jurisdiction over all criminal and civil IP cases" have been established  
Please provide information on  the number of criminal and civil IP cases that have been filed and 
decided by these courts, as well as the criminal penalties and civil damages that have been assessed 
for IP violations.  
 
Answer  
The number of the IP cases were (99) in the last (2) years.   
 
Question  46 
Page 116, paragraph 4.143 According to the Secretariat Report, "Other regulatory changes during 
the review period were based on priorities outlined in Mission 2030 and the ICT Sector Strategy, and 
include establishing regulatory frameworks: (i) for cloud computing (including localization 
requirements for certain sensitive data) in 2019..."  
Please provide further detail on the types of data subject to localization requirements, what is the 
process for determining data must be local ized, and whether there are measures planned or in place 
to ensure that any restrictions placed on cross -border data flows are necessary and proportional to 
the risks presented?  WT/TPR/M/407/Add.1  
 
- 154 - 
 
  Answer  
As per the regulatory framework for cloud computing there are no trade restrictions on cross -border 
data flows or localization requirements as long as national laws and regulations are met and do no 
constitute national security risk.  
 
III. QUESTIONS REGARDING T HE GOVERNMENT REPORT  
 
Question  47 
Page 13, paragraph 3.37:  On November 1, 2005, Saudi Arabia confirmed in the Report of the 
Working Party on the Accession of the Kingdom of Saudi Arabia to the World Trade Organization 
(WT/ACC/SAU/61/261) that its Regulatio ns for the Protection of Confidential Commercial 
Information "provided for protection of undisclosed test and other data submitted to obtain approval 
of a pharmaceutical or agricultural chemical against unfair commercial use for a minimum period of 
five ye ars from the date of obtaining the approval including the establishment of the base price."  
Saudi Arabia clarified that "[a]ny subsequent application for marketing approval would not be 
granted a market authorization unless the applicant submitted its own  data, meeting the same 
requirements applied to the initial applicant, or had the permission of the person initially submitting 
the data to rely on such data."  
Please explain the steps taken by Saudi Arabia to "protect undisclosed test and other data agai nst 
unfair commercial use for a minimum period of five years from the date of obtaining the approval 
including the establishment of the base price".  
 
Answer  
SFDA does not disclose any data submitted for registration of a product by any company (innovated 
company or generic company). Also, SFDA does not benefit from this data for any commercial use . 
Question  48 
Is Saudi Arabia considering the establishment of an administrative body under the Saudi Authority 
for Intellectual Property (SAIP) with s ubject -matter experts who could more efficiently resolve 
intellectual property disputes?  
 
Answer  
SAIP are studying the possibility of establishing an administrative body for disputes resolutions.  
 
 
UNITED STATES - FOLLOW -UP QUESTIONS  
Question 1 
Follow -up to Question 2:  
• What is the estimated cost to authenticate the required documents mentioned in 
Saudi  Arabia 's response to the U.S. Question 2 of the Secretariat Report?  
• What is the average time for an Embassy or Consulate to provide such service?  Must an 
exporter present documents for authentication in person or can this process be fulfilled 
electronically?  
• What is the third -party organization that provides this service?  
• Where does Saudi Arabia publish information regarding these requirements an d steps to 
comply?  
• Saudi Arabia noted authentication requirements are in place for drugs, chemicals, medical 
devices, cosmetics, and raw materials for cosmetics.  
• Are these authentication requirements all imposed by SFDA, or are there other agencies that 
require such authentication for imports?  
 
Answer  
Saudi Arabia publish es information regarding these requirements and steps to comply  in the official 
website of SFDA under the clearance requirement and conditions of each product .  
 
• Saudi Arabia noted authentication requirements are in place for drugs, chemicals, medical devices, 
cosmetics, and raw materials for cosmetics.  
 
Yes, by the Chamber of Commerce from the country of origin or from the country issuing the invoice.  
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  • Are thes e authentication requirements all imposed by SFDA, or are there other agencies that 
require such authentication for imports?  
 
Yes, for SFDA .  
 
Question 2 
Follow -up to Question 22:  We understand that Saber is an electronic service that reflects the 
Saudi technical regulations. The United States and industry continue to have questions regarding 
the implementation of the program. Does Saudi Arabia intend to develop and implement clear and 
transparent guidelines regarding the a pplication of the Saber platform?  
 
Answer  
The Kingdom of Saudi Arabia has announced the launch of Saber electronic platform, which aims to 
automate registering and issuing conformity assessment certificates for consumer products before 
entering the Saudi m arket. Also, it aims at ensuring that products are free from defects that may 
affect the health and safety of the consumer. Saber's e -platform reflects SASO's vision to develop 
and activate the role of beneficiaries in the process of registering products a nd ensuring their 
conformity to standards and specifications before entering, and selling them in the Saudi market. 
The Kingdom of Saudi Arabia reiterates that Saber e -platform facilitated for beneficiaries, local 
suppliers and manufacturers, to access con formity assessment bodies accredited by SASO around 
the world for the purpose of inspecting products and issuing conformity assessment certificates 
electronically and easily. In addition, it aims at facilitating and accelerating procedures for the 
clearanc e of products in coordination with the Saudi Customs. Saber's e -platform was developed in 
accordance with the highest standards of efficiency. These standards of efficiency include expediting 
registering products, searching for certified conformity bodies,  reducing the time taken for 
beneficiaries in the process of conforming products, and obtaining required certificates of conformity.  
It is worth mentioning that the Kingdom of Saudi Arabia held seminars inside and outside the 
Kingdom for beneficiaries in o rder to raise awareness about Saber e -platform including United States 
in cooperation with the U.S. -Saudi Business Council.  
Please visit the link below for more details regarding the User Guide:  
https://saber.sa/Home/UserGuide . 
 
Question 3  
Follow -up to Question 31: Please describe how Saudi Arabia develops technical standards, like 
conformity assessment requirements, when there are no international standards, particularly for 
halal marking or certification . 
 
Answer  
All Saudi technical standa rds are based on international standards.  
 
Question 4  
Follow -up to Question 88:  
• Please share information about the current timeline for amending the copyright law.  
• Is SAIP planning to amend its copyright law to accede to the WIPO Internet Treaties?  
• What topics did the public consultations on the draft copyright law cover, and will there be 
additional consultations?  
• How does Saudi Arabia intend to treat related righ ts in the next law, as we understand these 
are currently addressed in implementing regulations?  
• What is the current status of the law of geographical indications?  
 
Answer  
• The amendment of Copy right law, and GI law, are currently in the final stages of approval.  
• Copyright treaties (WCT&WPPT) are from the targeted copyright treaties to be analyzed by 
SAIP for proposing possible accession of Saudi Arabia to them.  
• Many opinions were received, and the public consultations phase was completed as part of 
the development phases of draft laws and regulations in Saudi Arabia.  
• The Related rights has already been mentioned in the provisions of the developed Copyright 
law, However, all the detailed provisions will be indicated in the regulations.  
 WT/TPR/M/407/Add.1  
 
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  I. Additional Questions Based on the Secretariat Report  
 
Question 5 
3.3.7 Intellectual property rights  
3.3.7.2 Copyright and Related Rights  
Page  74, paragraph 3.191  
• Please explain how folklore is protected under its copyright law, and how the rights of 
author s are preserved. Are there any cases involving folklore?  
• Please provide more detail surrounding exceptions to copyright in its law regarding the 
copying of broadcast works.  
• What is the scope of "current events", and would it include sporting events?  
• Please provide information about exceptions for taking new photographs of any previously 
photographed object or work and publishing the pictures.  
 
Answer  
Folklore shall be the property of the state, and. When an author creates a work that contains folklore 
that is altered or modified, he/ she -before creation - should seek a license from the government.  
The copyright law does not specify the scope of current event. However, such act must be within 
the intended objectiv e with the source clearly given .  
AS Stated in the Copyright Law, it is not considered an infringement  when new photographs of any 
previously photographed object or work and publishing these pictures is taken, even if the new 
pictures have been taken from the same vantage point and under  the same circumstances of said 
pictures  
 
Question 6 
3.3.7.3 Industrial Property  
Page  76, paragraph 3.202:  The Secretariat Report states that "the Patent Office of the GCC grants 
patents that are valid in all GCC member States. " However, the Gulf Cooperation Council Patent 
Office ( "GCCPO ") announced that as of January 6, 2021, it was no longer accepting new patent 
application filings.  
Does Saudi Arabia anticipate an increase in national filings as a result of this decision? If s o, is the 
Saudi Authority for Intellectual Property (SAIP) taking any actions in preparation for an expected 
increase in national filings?  
 
Answer  
Yes, the Saudi Authority for Intellectual Property has anticipated that the number of applications will 
be increased and it is prepared for such increase.  
 
Question 7 
Page 76, paragraph 3.205:  The Secretariat Report states that a 2020 amendment to the Law of 
Commercial courts "provides the commercial courts with subject matter jurisdiction over all criminal 
and civil IP cases."  
 
• Please share relevant statistics or findings that provide insight into the Commercial Courts' 
decisions concerning IP cases, for e xample, a summary of damages awarded in civil cases 
and/or the penalties imposed in criminal cases.  
• Please also share specific civil judiciary procedures for filing a trademark infringement 
case, a patent infringement case, and a copyright infringement cas e. 
 
Answer  
Statistical data are not available.  
 
Question 8 
Page  76, paragraph 3.206:  The Secretariat Report states, "Saudi Arabia launched the IP Respect 
Officer initiative, which aims to qualify and train employees in most government agencies to advise 
on all matters related to IP in terms of software usage and publications in the entity they represent."  
Please provide information on the trainings it provided to government agencies under the IP Respect 
Officer initiative.  
 WT/TPR/M/407/Add.1  
 
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  Answer  
There were many t raining programs that were held dedicated to IP Respect Officers and they were 
required to attend specialized courses provided by World Intellectual Property Organization (WIPO) 
and SAIP . 
 
Question 9 
Page  76, paragraph 3.207:  The Secretariat Report states that Saudi Arabia established the 
National Committee for Enforcing Intellectual Property Rights.  
With regard to the National Committee for Enforcing Intellectual Property Rights, how often does 
the Committee meet, and, to dat e, has the Committee created any reports, findings, or plans for 
strengthening the IP Enforcement system?  
 
Answer  
The Committee meets every two months and it aims to improve the work of the enforcement system 
and enhance efforts aimed at developing work  methods and procedures, achieving harmony and 
coordinating efforts between government and private agencies, enforcing intellectual property 
rights, and upgrading them to a level benefitting the status of the Kingdom of Saudi Arabia.  
Objecti ves: 
 
1. Raise the level of enforcement to enhance the international recognition of the Kingdom.  
2. Consolidate the responsibility regarding enforcement of intellectual property rights.  
3. Coordinate between IP enforcement agencies.  
4. Strengthen the legis lation and the regulatory aspect.  
 
II. Additional Questions Based on the Government Report  
 
Question 10 
Page  13, paragraph 3.42:  The Government Report states that SAIP is currently reviewing and 
amending its IP legislations and requesting public feedback on a number of draft new legislations.  
 
• Please identify the specific IP legislations that SAIP is reviewing, and those it is amendi ng, 
and provide timelines for when they will be completed.   
•  Will all drafts be published for comment by the public?   
 
Answer  
SAIP on 2020 requested public consultations in regard to the following:  
• The draft Law of Geographical indications.  
• The development of the Law of Patents, Layout Designs for Integrated Circuits, Plant Varieties 
 and Industrial Designs.  
• The Regulations of Utility Models.  
• The Regulations for Licensing of IP agents.  
• The Regulations for the Protection of Confidential Commercial Information.  
 
Recently, Saudi Arabia centralized public consultations at National Competitiveness Center (NCC) to 
be the authority responsible for the address of the public consultations.  
 
__________