WORLD TRADE  
ORGANIZATION   
WT/TPR/M/256 
6 March 2012 
 (12-1253) 
Trade Policy Review Body 
25 and 27 January 2012  
 
 
 
TRADE POLICY REVIEW 
 
THE KINGDOM OF SAUDI ARABIA 
 
Record of the Meeting 
 
Chairperson:   H.E. Mr. Mario Matus (Chile) 
  H.E. Mr. Eduardo Muñoz Gómez (Colombia) 
 
  Page 
 
I. INTRODUCTORY REMARKS BY THE CHAIRPERSON 3 
II. OPENING STATEMENT BY THE REPRESENTA TIVE OF THE KINGDOM OF       
SAUDI ARABIA  4 
III. STATEMENT BY THE DISCUSSANT 7 
IV. STATEMENTS BY MEMBERS 10 
V. REPLIES BY THE REPRESENTATIVE OF THE KINGDOM OF SAUDI ARABIA       
AND ADDITIONAL COMMENTS 34 
VI. CONCLUDING REMARKS BY THE CHAIRPERSON 41 
 
Note:   Advance written questions by WTO Members and the replies provided by the Kingdom of 
Saudi Arabia are reproduced in document WT/ TPR/M/256/Add.1 and will be available online 
at:  http://www.wto.org/english/tratop_e/tpr_e/tp_rep_e.htm.    WT/TPR/M/256 
 Page 3 
 
 
  I. INTRODUCTORY REMARKS BY THE CHAIRPERSON 
1. The first Trade Policy Review of the Kingdom of Saudi Arabia was held on 25 and 27January 
2012.  The Chairperson H.E. Mr. Mario Matus (Chi le) welcomed the delegation of the Kingdom of 
Saudi Arabia headed by H.E. Dr. Tawfiq Al-Rabia h Minister of Commerce and Industry, as head of 
the delegation, and the discussant, H.E.  Mr. Joakim Reiter (Sweden).   
2. The Chairperson recalled the purpose of the Trad e Policy Reviews and the main elements of 
the procedures for the meeting.  The report by the Kingdom of Saudi Arabia was contained in document WT/TPR/G/256 and that of the WTO Secretariat in WT/TPR/S/256. 
3. Questions by the following delegations had been  submitted in writing at least two weeks in 
advance and had been transmitted to the delegation of the Ki ngdom of Saudi Arabia:  India;  Pakistan;  
the United States;  Switzerland;  Canada;  South Africa;  Separate Customs Territory of Taiwan, 
Penghu, Kinmen and Matsu;  China;  Israel;  Ja pan;  European Union;  Hong, Kong, China;  
Australia;  Argentina;  and Turkey.
  The following delegation submitted written questions after the 
two-weeks deadline:  Indonesia. 
4. The Chairperson noted that he had considered the reports prepared for this meeting by the 
Kingdom of Saudi Arabia and the Secretariat.  He was pleased to note that, since its accession to the 
WTO in 2005, Saudi Arabia's economy had performed we ll.  This had been helped by Saudi Arabia's 
development strategy centred on a liberal trade regi me, with an applied MFN average tariff rate of 
5.2%, and significant oil and gas revenues.  Accord ing to the Government report, Saudi Arabia saw 
one of its key challenges as diversifying its ec onomy away from hydrocarbons.  He noted that 
Members would be interested to hear more from Sa udi Arabia about the steps it was taking to achieve 
this objective including the role of trade policy.  In this regard, a key element of Saudi Arabia's 
development process was its participation in the multilateral trading system and its full economic 
integration under the Gulf Cooperation Council (GCC), including harmonization of legislation on, 
inter alia,  customs, contingency trade remedies, SPS and TBT. 
5. He noted that overall the Review provided an opportunity to exchange views on matters of 
interest to all Members.  These included: 
 Encouraging Saudi Arabia to further boost its participation in the WTO 
commensurate with its growing importance regionally, worldwide and not least as 
member of the G20; 
 Saudi Arabia has improved its business environment  since its WTO accession, 
although this sometimes is not as apparent to the outside world as it should be. The authorities might like to elaborate on their plans to promote more transparency, 
including through WTO notifications, and further facilitate trade; 
 What role will trade policy play in Saudi Arabia's efforts to encourage more private 
sector (local and foreign) participation  in the economy and create more 
employment opportunities for all Saudi nationals, given that public -sector 
employment is not efficient in the long-run; 
 Delegations would appreciate learning more about the authorities efforts to  broaden 
the scope of competition legislation  since public and wholly state-owned 
corporations are exempted and there is a high level of State participation in the 
economy; 
 Saudi Arabia has been taking steps to improve the protection of  intellectual 
property rights , and Members would like to know what further actions are intended 
in this regard. WT/TPR/M/256 
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  II. OPENING STATEMENT BY THE REPRES ENTATIVE OF THE KINGDOM OF 
SAUDI ARABIA 
6. The Kingdom of Saudi Arabia has a long histor y of trading with other nations, and has a 
proud legacy of economic openness that our Government  continues to follow and develop.  Due to the 
openness of the Saudi economy and the principles the guide our society, my Government welcomes 
the application the rules of the WTO as they are fully consistent with a nd support our existing values 
and chosen path of economic and social development. 
7. Saudi Arabia successfully concluded its WTO accession negotiations in December 2005, 
following many years of negotiations.  I note in pa rticular that our bound market access commitments 
confirm Saudi Arabia's position among the most open economies of WTO Members. 
8. As this is the first Trade Policy Review sin ce our accession to the WTO, it represents our first 
chance to display directly in this context the pr ogress that we have made in economic development 
and diversification.  We are proud of the Kingdom 's achievements, and I look forward to discussing 
with you over the coming days the accomplishments we have made, the cha llenges we face, and to 
sharing our vision for continuing the development of  our economic and trade regime in a manner that 
benefits the Members of this Organization. 
9. The Kingdom of Saudi Arabia values the TPRM as it promotes transparency and provides a 
useful forum for peer review and helps to foster  understanding of the trade policies and practices of 
the Members. We attach much importance to th e Review and look forward to benefiting from 
constructive and insightful comments from Members.  For those of you who are not fully acquainted 
with Saudi economic and trade policy, I hope this will be an opportunity to learn about the many 
opportunities to develop trade and investment  relations with our welcoming country. 
10. I would like to recall a recent observation made at the Competitiveness Forum, that was held 
in Riyadh last week: The concern given by Saudi  Arabia to enhance th e competitiveness of its 
economy caused Saudi Arabia to be ranked 1
st in the Middle East and 12th at the global level 
according to the Business Facilitation Report issued  by the World Bank in 2011. Furthermore, Saudi 
Arabia was ranked 17th globally according to Global Compe titiveness Report issued by the World 
Economic Forum. 
11. Saudi Arabia with the guidance of the Custodi an of the Two Holly Mosques has adopted a 
development strategy that has resulted in positiv e economic performance in terms of GDP growth, 
moderate inflation, and surpluses in both its overa ll fiscal position and external current account. We 
fully expect this trend to continue into the futu re, and Saudi Arabia aims to increase real GDP from 
about 856 billion Saudi Riyals in 2010 to over 1.1 trillion Saudi Riyals  in 2014 (that is, from 228 to 
US$293 billion), at an average annual growth rate  of about 5.2% at constant 1999 prices. 
12. Furthermore, Saudi Arabia responded with a countercyclical policy to the global economic 
crisis mainly through a sizeable fiscal stimulus th at limited the impact of the world financial crisis, 
and contributed to reviving world demand. Moreov er, Saudi Arabia, as a member of the G20, has 
exercised restraint over the imposition of new tr ade restrictions despite the global economic 
downturn. 
13. Saudi Arabia's development strategy for our national economy has lead to improvements in 
our investment climate, including the opening  of key economic activities such as mining, 
petrochemicals, and telecommunication, to foreig n investment. Furthermore, Saudi Arabia has 
pursued an open investment policy by welcomi ng and encouraging both domestic and foreign 
investment and the Foreign Investment Law provided the legal structure necessa ry to attract additional  WT/TPR/M/256 
 Page 5 
 
 
  investment. All these positive developments lead Saudi  Arabia to become the eighth highest recipient 
of FDI in the world. 
14. I will now turn to our trade policy development. I will start by reaffirming Saudi Arabia's 
faith in and commitment to the multilateral trad ing system. Long before its WTO accession, Saudi 
Arabia observed the principle of free trade faithfully,  transparently and to the highest standards. WTO 
membership provides a framework to record our ow n commitments, and to obtain equal commitments 
from our trading partners. 
15. The benefits of a balanced and ambitious c onclusion of the Doha Development Agenda in 
strengthening the multilateral trading system and lib eralizing trade need no elaboration. As Saudi 
Arabia mentioned during the 8th WTO Ministerial Conference, we are very encouraged by the clear 
recognition of the need for intensified engagement in Geneva and for negotiating across the board to 
take us to a successful endgame. 
16. The benefits of the multilateral trading syst em have helped to stave off widespread 
protectionism despite the pressure from the global fi nancial crisis.  For its part, Saudi Arabia is 
committed to resisting all forms of trade protectioni sm. We call upon all economie s to remain vigilant 
and exercise restraint against protectionism. 
17. Within the WTO, Saudi Arabia spared no effort to participate effectively in the monitoring 
mechanism of trade and trade-related measures take n during the recent economic crisis that provides 
Members with regular updates. Saudi Arabia believes that peer assessment this mechanism is one of the best forms of policing to ensure compliance wi th the rules of the multilateral trading system, and 
we will continue to support this initiative. 
18. As regards intellectual property rights, Saudi  Arabia has established many committees and 
applied a set of procedures to enforce the protection of intellectual property rights. The Customs Authority established a unit for combating comme rcial counterfeiting and protecting intellectual 
property rights.  During the last year, this unit has succeeded in seizing 423,332 counterfeited items. 
19. Meanwhile, we have spared no effort to prot ect patents and industrial designs and have 
established the Committee for Examining Patents on Invention Lawsuits since its establishment, 
435 cases have been filed and 410 cases have been resolv ed. The Ministry of Culture and Information 
has also established the Violation Review Commi ttee on Copyrights that works with the General 
Directorate of Copyright to review cases related to the violation of copyright laws. 
20. The Kingdom of Saudi Arabia has been granted an observer status to the WTO Committee on 
Government Procurement in order to become ac quainted with the ongoing work of the Committee
 .
The Kingdom of Saudi Arabia welcomes the successful  deal reached by parties to the plurilateral 
Government Procurement revised agreement   .We would be grateful if the WTO Secretariat could 
organize for Saudi officials a national seminar and workshop on the WTO Government Procurement 
Agreement.  This would greatly help us in our examination of the issue in the light of the new 
agreement.  We hope that this request can  be met during the first half of 2012. 
21. Finally, I would like to touch briefly upon some social and public policy issues that have been 
highlighted in the Secretariat Report. Ever since the Saudi development planning system was initiated 
some forty years ago, economic diversificati on based on our abundant hydrocarbon resources has 
been recognized as a key objective that must be achieved to support Saudi Arabia's economic and 
social development. Thus, our development plans consistently focus on developing and enhancing the 
role of non-hydrocarbon sectors in the national economy.  As a result, the contribution of non-
hydrocarbon sectors has grown in value at an aver age annual rate of 5.5%, with its share in GDP 
growing from 51% in 1970 to 73.5% in 2009. WT/TPR/M/256 
Page 6  
 
  22. I have briefly outlined the framework that underpins our trade and economic policies, our 
goals for economic and social development, as we ll as trade policy initiatives implemented since our 
accession to the WTO. We believe that the multilatera l trading system, as embodied in the WTO, is 
crucial to the continued growth of our own economy, through the mutu al benefits gained through the 
efficiencies of trading with our trading and inv estment partners. The Kingdom of Saudi Arabia will 
continue to play an active role in the WTO to  support trade liberalization through the prompt 
conclusion of the DDA, but we also are committed to the institution of the WTO and the important 
work that it conducts, separate and apart from trade negotiations.  WT/TPR/M/256 
 Page 7 
 
 
  III. STATEMENT BY THE DISCUSSANT (H.E. MR. JOAKIM REITER (SWEDEN)) 
23. I want to focus on five things:  1) Saudi Arab ia's position in global trade and its challenge of 
diversification; 2) structural reforms to stre ngthen the private sector, including privatization, 
competition policy and procurement; 3) investment policy; 4) regulatory transparency; and 5) the potential role of the WTO in the future evolution of Saudi's trade policies and trading relations. 
24. First, in many ways, it would seem that the Kingdom of Saudi Arabia comes from a position 
of strength: it is a G20 country. It  is both dependent on trade (ranking 12
th among world merchandise 
exporters and 21st among importers) and it has performed well as a trading nation, maintaining 
persistent current account surpluses. It is su ccessful in attracting investments (being the 8th biggest 
recipient of FDI in the world). It has done well in reforming its business environment, climbing – at 
an impressive pace – in the World Bank's ranking on Ease of doing business  (to 11th place today, up 
from 67th in 2005). And, despite being badly hit by the economic and financial cr isis, Saudi Arabia is 
back to fiscal surpluses and its economic and growth outlook is generally positive.  
25. Equally important, in terms of its trade policy,  the Kingdom of Saudi Arabia seems to have 
made use of its WTO accession and GCC integration to reform its economy and attract investments. 
For example, as part of its accession, it has adopted a largely open tariff regime for goods and made 
extensive services' commitments. Within the framewo rk of the GCC, a common external tariff has 
been put in place, leading to applied tariffs well below Saudi's bound rates in the WTO, GCC Members have agreed to allowing free movement of  services and harmonization of certain trade rules 
has been achieved or is in the process of being ach ieved (e.g. customs; rules of origin; AD, CVD and 
safeguards; standards and technical regulations).   
26. Nevertheless, as the Secretariat Report indicates,  there are clearly economic and trade policy 
challenges on the horizon. Outside the control of the government, the geographical situation, climate 
conditions and geopolitical developmen ts in the region can significantly affect the country's outlook. 
(For example, fisheries was affected by the Gulf War and water shortage puts serious limitations to certain forms of agricultural productions.) 
27. But also within the control of the government , there remain some serious weaknesses in the 
economy and trade regime of Saudi Arabia. Irrespectiv e of the country's quick recovery, this became 
clear in the financial and economic crisis. Saudi Ar abia's fortunes still rest heavily with the export 
performance of one sector. In 2010, oil and gas re presented 23% of real GDP, but provided 91% of 
government revenue and 86% of export earnings. In contrast, while services and, albeit less, 
manufacturing represent a large share of GDP and total employment, they provide very limited 
contributions to public finances and export earnings  (in fact, both producing current account deficits 
in 2010 in the area of US$60 billion, respectivel y). This raises serious questions about the 
competitiveness of the bulk of the Saudi economy, as well as the vulnerability of public finances. 
There are surely obvious lessons to draw here a bout diversifying the export base, and the risks of 
excessive dependence. I wonder whether Saudi Arabia could share with us the lessons it has learned 
from the economic crisis and how it plan s to address some of these challenges?   
28. I will turn now to the second and closely related issue of structural reforms  to underpin the  
objective of diversification, specifically to rebala nce in the composition of growth and exports. Saudi 
Arabia, in its Development Plan, clearly recognizes that in order to achieve this aim, among other 
things, the role of the private sector should be strengthened. But there seems to be an underlying 
contradiction between this clearly defined objec tive and the significant government involvement in 
the economy. Besides petroleum, state-owned enterp rises exist in many sectors (such as insurance and 
banking, petrochemicals, electricity, air transport,  real estate, telecommunications, postal services, 
etc.), there are various financing and assistance programs as well as some price regulations. Even if such companies are suggested to operate on the b asis of commercial considerations, there is an WT/TPR/M/256 
Page 8  
 
  apparent risk that they deter foreign as well as local  competition and investments. And even if various 
assistance programs can be useful for "start-ups", such support can over time lead to the propping-up 
uncompetitive activities.  
29. In short, there is a risk that such a high level of state interv ention functions as a "wet blanket" 
for private sector growth, innovation and investment s in services and manufacturing. This suggests a 
lot of unexploited potential in the economy and curre ntly high costs for Saudi Arabia's population and 
its international competitiveness. If diversification is the long term objective, this is neither viable nor 
in the interest of Saudi Arabia.  
30. In what seems to be recognition of the problem , Saudi Arabia has, during the review period, 
continued with its privatization programme.  But the reform programme he re seems not to have 
sufficient momentum, at least in relation to the si ze of the challenge. And while foreign investors may 
participate as "strategic partners" in privatizati ons, they cannot directly purchase shares of SOEs 
subject to privatization, thereby limiting not only in vestments but also the opportunities of transfers of 
know-how and technologies that forei gn owners otherwise might bring. 
31. In addition, the competition legislation of Saudi Arabia currently excludes from its 
application public and wholly stat e-owned corporations.  This would be an obvious area where some 
regulatory improvements could be made to alleviat e remaining concerns regarding the impact of 
SOEs on the current and future competitive climate of the economy.  
32. Another issue is, of course, public procuremen t. With substantial government resources to 
allocate, and the public sector being one of the larg est employers, there is a strong need to maintain 
pressure to ensure effective resource allocation a nd protect public funds. During the review period, 
Saudi Arabia has also put in place a number of government procurement frameworks. On the other 
hand, still today, foreign suppliers that participate in procurement are required, inter alia, to register 
with the investment authority and also establish a training programme for Saudi  nationals. Similarly, a 
preference of 10% is granted to Saudi products  and 5% for GCC products. Saudi Arabia could 
usefully pursue further improvements in procuremen t, including as part of future negotiations for 
GPA membership, which it undertook to initiate  as part of its accession commitments.   
33. All in all, therefore, it would be interesting for all of us to hear the authorities' views about the 
planned continuation of the structural reforms,  including privatizations, competition policy and 
procurement, as well as on the effects of government presence in the economy more generally? Is this 
really compatible, long term, with the diversification objective of Saudi Arabia? 
34. My third point is on Saudi Arabia's investment  policies and investment trends. As mentioned 
before, Saudi Arabia is clearly very successful in attracting FDI from abroad, especially in those 
sectors which have been gradually opened up and reformed (e.g. mining, petrochemicals, gas and 
telecom). It also has, more or less, a one-st op-shop in the form of the Saudi Arabia General 
Investment Authority, which has the assignment to facilitate investment, assist investors and foster 
investment opportunities.  
35. At the same time, it should be highlighted th at the FDI-inflows to Saudi Arabia remain 
largely concentrated in a few areas of its economy . (For example, with the exception of chemicals, 
coke and petroleum products, FDI in manufacturi ng remain rather limited. And in services, FDI 
predominantly go to contracting, real estate and financial services.) 
36. Moreover, even if foreign investment is permitte d, Saudi Arabia maintains that a system of 
prior approvals to all foreign investments. This requirement is not applicable to GCC or national 
investors. In addition, for a number of sectors, fo reign investments are not allowed on the basis of a 
negative list (which includes security services, audiovisual and media services, printing and  WT/TPR/M/256 
 Page 9 
 
 
  publishing, real estate brokerage and recruitment and employment services, as well as fisheries). 
Finally, as highlighted in the questions by a nu mber of Members, concerns seem to remain on 
possible informal barriers, including on the related issue of multiple entry visa, as well as the adverse 
effects on FDI caused by the "Saudization program".   
37. Therefore, what additional steps does Saudi Arab ia plan to take towards more liberalised 
investment (including through the possible revision of prior approvals and the negative list) in order to 
fulfil its ambitions of strengthening the private sector through domestic and foreign investment?  
38. Fourth, a cross-cutting issue that have been  touched upon in many Members' questions 
regarding Saudi Arabia's trade and trade-related regulations is the matter of transparency. Without full 
transparency, it is difficult for fo reign companies to comply and utilise existing access. Also, without 
notifications, it is hard for interested parties to  review and comment on proposed regulatory changes. 
And, without a guarantee of due process, the risk of cr eating real trade barriers is there. Such concerns 
have been raised in relation to Saudi Arabia's  regulatory frameworks – as well as the relationship 
between Saudi and GCC regulatory frameworks – on, for example, standards and technical regulations and SPS measures. Questions for clarifica tion have also been raised by Members related 
to intellectual property, export credits and other incentive programs, licensing requirements, etc.  
39. In this light, what steps is Saudi Arabia envisaging to improve transparency, including 
through enhanced notifications to the WTO as we ll as regarding the GC C frameworks, and their 
relationship (if any) with Saudi regulations and requirements?  
40. Fifth, and finally, I would like to end with a mo re systemic question about the future role of 
Saudi Arabia in the WTO and, vice-versa, the poten tial role of WTO in Saudi Arabia's future trade 
policy. Only one paragraph of the Secretariat Repor t was devoted to the DDA. At the same time, it is 
was highlighted that Saudi Arabia, in line with its  G20-pledge, fully supports the conclusion of the 
DDA as well as has exercised restraint over the impo sition of new trade barriers. Also, Saudi Arabia 
has now established a mission to WTO and appointed a very skilled Ambassador in charge of it.  
41. Notwithstanding, as a G20 country, considering its  trading regime, not least the substantial 
"water" existing between applied and bound ta riffs, and taking into account its policy of 
diversification, Saudi Arabia should be in a pos ition of constructively help ing to bridge positions, 
shouldering a greater responsibility for WTO, commen surate to its economic weight. Similarly, the 
WTO accession implied a major leap for Saudi Arabia , which put it squarely on a reform path. But the 
WTO accession was only the "end of the beginning" of  this reform path:  reforms should and will 
have to continue. 
42. There are certainly many other important issues in  the trade policy of Saudi Arabia that I did 
not touch upon in detail but that will be certainly enquired about by Members.  As a Discussant I chose 
to take a more comprehensive view on the trad e policy of Saudi Arabia, focussing on structural, 
regulatory and transparency aspects that are indicator s of Saudi Arabia's present and future position in 
the global economy and to sustained economic growth.  
43. It seems to me that, looking forward, Saudi Arab ia is at something of a crossroads, faced with 
some important decisions regarding the direction it wa nts its trade and its economy to take, in terms of 
diversification, transparency and efficiency, the role of the state and state-owned enterprises, and 
attractiveness to investors and identifying non- hydrocarbon sectors where economy can and should 
become competitive.  WT/TPR/M/256 
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  IV. STATEMENTS BY MEMBERS 
INDIA 
 
44. The performance of the Saudi Arabian economy since it joined the WTO in 2005 has been 
impressive and encouraging. Saudi Arabia is one of  the world's biggest producers of oil and natural 
gas and the largest exporter of oil in the world. We welcome the development strategy followed by 
the Kingdom of Saudi Arabia to diversify its ec onomy away from crude oil and natural gas by 
promoting downstream industries, and to open up key sectors like mining, petrochemicals, gas and 
telecom to foreign investment which has resulted in a positive economic growth of 3.2% per annum 
during 2005-10, moderate levels of  inflation and fiscal and external account surpluses. Its open and 
liberal foreign investment regime has attract ed FDI worth US$25 billion per annum since 2005, 
which, as the Minister said, has made Saudi Arabia the 8
th largest recipient of FDI in the world.  
45. As a member of the G20, Saudi Arabia has shown its commitment towards resisting 
protectionism and imposing new trade restrictions despite  fluctuations in oil prices.  We appreciate the 
steps taken by the Saudi Government to bind 100 % of its tariff lines as part of its WTO accession 
commitments and the extensive commitments it has ta ken in the services sub-sectors. More than 98% 
of its tariffs are on ad-valorem basis, with an av erage MFN applied tariff of 5.2%. Its harmonisation 
of standards and technical regula tions at the GCC level and the TB T code, adoption of the GCC treaty 
provisions on trade remedies and streamlining of customs procedures are all steps in the right direction.  
46. We are happy to note the positive outlook for the Saudi Arabian economy and hope that it 
will continue on a path of sustained economic grow th. We wish the Saudi government success in its 
endeavours to achieve its objectives of higher growth rates, enhanced productivity and 
competitiveness, increasing employment, improving standards of living, developing human resources, diversifying its economic base and meeting the ch allenges of infrastructure development, food 
security, education and health services.  
47. Trade relations between India and Saudi Arabia go back many centuries.  These ties have 
steadily expanded and strengthened through enhanced cooperation and interaction.  The Kingdom of 
Saudi Arabia is the 4
th largest trading partner for India with bilateral trade amounting to more than 
US$25 billion in 2010-11. India sees Saudi Arabia as an important economic partner for investment, joint ventures, transfer of technology and joint projects in third countries. 
48. Apart from trade, bilateral investment betw een the two countries has also witnessed steady 
growth since 2000.  A number of Indian companie s have established joint ve ntures or wholly owned 
subsidiaries in Saudi Arabia and vice versa. Indian investments approved so fa r are expected to bring 
total investments of approximately US$1,620 million into Saudi Arabia for projects in management 
and consultancy services, construction, telecom, IT, software development and pharmaceuticals.  
49. Our trade cooperation has been reinforced by the large number of Indian trade and industry 
delegations visiting Saudi Arabia to  explore opportunities for long term partnerships. There is good 
synergy between Indian and Saudi companies a nd considerable interest amongst businessmen to 
conduct business and commerce with each other. Indi a and Saudi Arabia are also actively engaged 
with each other in forums such as the India-GCC industrial conference and the India-GCC free trade 
agreement talks.  Progress on these is expected to provi de a further boost to bilateral trade.  While we 
are happy with the progress in our trade ties, we also recognize the immense untapped potential that 
exists and are looking at strategies for increasing the volume of trade and diversifying our trade 
basket.    WT/TPR/M/256 
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  50. The Saudi Arabian delegation in Geneva has pl ayed an active role in the WTO, both as a 
leader of the Arab Group and individually in its s upport for an early conclusion of the Doha Round. 
We share Saudi Arabia's commitment towards th e DDA and hope that it can be concluded soon in a 
fair, equitable and balanced manner.  
PAKISTAN 
51. The Kingdom of Saudi Arabia registered a positive economic performance during the period 
under review (2005-10) with an annual average GDP growth rate of 3.2%; along with surpluses in 
both its overall fiscal position and external current account. The IMF has forecast a real GDP growth 
rate of 6.5% for 2011.  The Kingdom of Saudi Arabia is the world's 8th biggest recipient of FDI. Its 
annual inflow of FDI jumped from an annual av erage of US$1,534 million during 1995-2005 to about 
US$25,000 million over 2005-09. It has one of the larg est financial services sectors in the GCC. The 
Kingdom of Saudi Arabia staved off the economic crisis with a fiscal stimulus of US$400 billion 
investment and a development programme for 2009-13. 
52. Saudi Arabia has recently released a revised Comprehensive Industrial Strategy and Future 
Vision for the Industrial Sector.  Its Ninth Develo pment Plan for 2010-14 adopts key macroeconomic 
objectives. The Ministry of Commerce and Industry is  preparing a vision of Saudi Arabia's industrial 
future up to 2020, and a strategy to accelerate competitive development and enhancing industrial 
diversification. 
53. Saudi Arabia's performance has been enviable in  terms of several other indicators. It ranks 
11th in the World Bank's Ease of Doing Business 2011 Index (up from 67th in 2005) and 2nd best in the 
region in terms of the World Bank's trading across borders index. Clearance of goods takes an average 
of one day, regardless of the mode of transport.  100% of its duties are bound with more than 95% of 
the applied duties having ad valorem  tariffs. It does not apply tariff quotas, nor does it impose VAT, 
excise duties or any other internal tax or charge on domestically produced or imported products. Saudi 
Arabia does not apply any local-content requirement s. Its privatization programme involves not only 
the sale of the companies but also their ex ante  restructuring.  It has never imposed any anti-dumping, 
countervailing or safeguard measures, and has no la ws or regulations on pr e-shipment inspection. 
54. Saudi Arabia is an important RAM in the WTO. It is actively taking part in the RAMs Group 
and is a Member of the WTO Arab Group.  A dedicated WTO Mission was recently established in Geneva which is reflecting the Kingdom of Saudi  Arabia's increasing presence in all WTO fora. 
55. Saudi Arabia faces important challenges including inordinate reliance on oil as a mainstay of 
the economy, huge predominance of the public sector for employment, and reforming domestic energy pricing to create a more energy-efficient eco nomy. The promotion of private sector investment 
from Saudi and foreign companies is an important  challenge for Saudi Arabia's economic program. 
Increasing production activities, high-value-added ser vices and the contribution to exports by the 
non-hydrocarbon sector remains a key challenge.  Stat e ownership remains significant throughout the 
economy. 
56. The ratio of merchandise and services trade (exports and imports) to GDP rose from 89% in 
2005 to 97% in 2010, with a peak of 105% in 2008. Saudi Arabia's tariff displays positive escalation, 
providing higher levels of effective protection to  some industries. Saudi Arabia's competition 
legislation applies to all establishments, with the exception of public and wholly state-owned 
corporations. 
57. As a part of its diversification away from oil, Saudi Arabia is encouraging domestic 
consumption of oil through gas replacement, and is trialling solar thermal and other sustainable 
electricity generation methods.  It now has a substantial downstream industry consuming and WT/TPR/M/256 
Page 12  
 
  processing raw mineral inputs and producing refi ned ores and other products like phosphate-based 
fertilizers and smelted aluminium.  Saudi Arabia has 4
th largest global gas reserves. But natural gas is 
currently not sold for export due to the high costs of  liquefying and transport.  Saudi Arabia can draw 
upon the experience of Qatar which has developed a sizable LNG export industry. The contribution of 
non-hydrocarbon sectors has grown in value at an aver age annual rate of 5.5%, with its share in GDP 
growing from 51% in 1970 to 73.5% in 2009. However, there is a visible scope for further 
diversification. 
58. Pakistan and the Kingdom of Saudi Arabia have  an old and time tested social, economic and 
commercial relationship. Pakistan mainly imports petroleum, chemical products, leather and paper 
from Saudi Arabia while its major exports to the Ki ngdom include rice, meat and meat preparations, 
machinery and textiles both cotton and synthetic. Th e value of trade has been steadily increasing over 
time. 
UNITED STATES 
59. The Secretariat tells us that since Saudi Ar abia's accession to the WTO in 2005, the Kingdom 
has continued a development strategy to diversify its economy away from crude oil and natural gas by 
promoting downstream industries, improving ed ucation and health services, and modernizing 
infrastructure.  Furthermore, the Secretariat points out that Saudi Arabia's development strategy has 
concentrated on a liberal trade regime and has b een accompanied by structural reforms that have 
created a more friendly business environment.  We not e that this strategy resulted in Saudi Arabia's 
positive economic performance during 2005-10, desp ite the challenges presented by the global 
economic crisis.  We also note that Saudi Arabia, as  a member of the G20, undertook restraint with 
respect to imposing new trade restrictions despite  the global economic downturn.  The trade policy 
practices of the government, including the commi tments it undertook to become a WTO Member, 
seem to be helping Saudi Arabia reach its development goals. 
60. Inasmuch as Saudi Arabia's economy is increasingl y dependent on international trade, we are 
pleased to note that the government is taking steps to boost its participation in the multilateral trading 
system, commensurate with Saudi Arabia's grow ing importance worldwide, including through the 
establishment of Saudi Arabia's WTO mission in June  2010.  Saudi Arabia is becoming a major world 
merchandise and services trader.  According to the Secretariat, in 2010, Saudi Arabia ranked 12th 
among world merchandise exporters and 21st among importers.  In services trade, Saudi Arabia ranked 
33rd among exporters and 11th among importers.  While companies still face investment restrictions in 
certain activities such as fisheries and oil explora tion/drilling/production, Saudi Arabia, the Secretariat 
reports, has become the 8th largest recipient of FDI in the world.   
61. The United States is proud to be a leading part ner in Saudi Arabia's economic growth and 
economic reform efforts.  The United States and Saudi Arabia enjoy a broad, deep and robust bilateral 
relationship, with cooperation sp anning many of the economic and security issues confronting the 
Middle East and the world.  On the commercial fro nt, U.S. FDI in Saudi Arabia was $8.0 billion in 
2010, and our bilateral trade is expanding.   
62. While Saudi Arabia has reason to be pleased with  the results of its economic reform efforts to 
date, the United States would like to highlight several ar eas that we believe need greater attention.  In 
particular, it is important that Saudi Arabia  fulfill its commitment to begin GPA accession 
negotiations, in accordance with Saudi Arabia's 2005 Working Party Report.  We strongly urge Saudi 
Arabia to begin its GPA accession by the end of April of this year.  The United States stands ready to 
work with Saudi Arabia on its GPA accession.  This  action would be a good way for Saudi Arabia to 
work toward boosting its participation in the multilate ral trading system, and we will be interested to 
hear the government's plans in this regard.  WT/TPR/M/256 
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  63. The United States would also like to see Saudi Ar abia continue to improve the adequacy and 
enforcement of IPR protection, including through th e imposition of penalties that will deter copyright 
violations, action to increase the use of legal softwa re within the government, and adequate protection 
for patented pharmaceutical products. 
64. According to the Secretariat's Report, Saudi Arabia is harmonizing its regime on standards 
and technical regulations at the GCC level, and we  are pleased to recall that the Kingdom accepted the 
TBT Code of Good Practice in 2006.  The United Stat es would like to urge Saudi Arabia to continue 
developing and expanding its efforts to ensure that technical regulations and standards are notified to 
WTO Members in draft form with enough advance noti ce that stakeholders have sufficient time to 
review and comment and that Saudi authorities can take those comments into account before 
finalizing the regulation or standard.  The Un ited States has found that consultation with, and 
involvement by, all interested parties in the regulat ory process lead to rules and regulations that better 
meet their objectives while minimizing trade distortin g effects.  U.S. firms are committed to ensuring 
that their products meet relevant Saudi and G CC technical regulations in order to access the Saudi 
market, and would like to avoid past instances wher e they were unaware of technical regulations in 
advance of implementation, leaving them with little or no time to modify their manufacturing 
processes.  The United States stands ready to  work with Saudi Arabia on this effort. 
65. In addition, Saudi Arabia is a leader within  the Gulf Cooperation Council as the GCC reduces 
trade barriers, harmonizes regulations, and increases transparency.  We encourage Saudi Arabia to 
work with its GCC colleagues to accelerate that important work in line, of course, with its WTO 
obligations.  We also request that Saudi Arabia, as well as its GCC partners, complete their review of 
the Secretariat's Factual Presentation on the GCC Cust oms Union, so that it can be reviewed in the 
Committee on Regional Trade Agreements.   
66. The United States shares a positive and supportive  economic partnership with Saudi Arabia, 
and we hope that Saudi Arabia will find this review to be useful not only in its reform efforts, but also 
in its efforts to increase its WTO participation.  We look forward to engagi ng constructively with 
Saudi Arabia, and all Members, on new approaches to achieving meaningful results in the Doha 
Round and on innovative approaches to the WTO's wo rk as an institution, where all major players do 
their part to liberalize trade and to create and apply meaningful trade rules.  As a friend and ally, the 
United States shares a strong common interest in Saudi Arabia's continued growth and prosperity.  It 
is with this perspective in mind that we look forw ard to working closely with Saudi Arabia to achieve 
our common goals.   
SWITZERLAND 
67. In my statement, I will focus first on the bila teral economic relations between Switzerland and 
the Kingdom of Saudi Arabia, and second on the economy and the trade policy of the Kingdom of Saudi Arabia. First, The bilateral economic rela tions between the Kingdom of Saudi Arabia and 
Switzerland. Switzerland and Saudi Arabia enjoy very good and long-standing bilateral economic 
relations. Over the last 20 years, the trade vol ume between Switzerland and Saudi Arabia has been 
constantly increasing. Today, Saudi Arabia is our second most important trading partner in terms of 
trade volume in the Middle East and North Africa (MENA) region. Before the global economic and financial crisis spread its effects on the worldwide trade flows, the bilateral trade volume between our 
two countries reached in 2008 almost 2 billion Swiss Fran cs. In the first 11 months of 2011, this trade 
volume totaled 1.57 billion Swiss Francs. Pharmaceu ticals, machinery and watches account for the 
majority of our exports, while Swiss imports from Saudi Arabia consist main ly of jewellery as well 
as, to a smaller extent, plastics. For years, the Swiss trade balance with Saudi Arabia has been 
positive. This for two reasons: (a) the Saudi export products have been little diversified so far, and 
(b) Switzerland does not import crude oil from Saudi Arabia directly. WT/TPR/M/256 
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  68. With regard to FDI, Switzerland - accordi ng to data from the Saudi Arabian General 
Investment Authority (SAGIA) - takes the 19
th position in Saudi Arabia. Still, Swiss companies are 
well represented throughout the pharmaceutical, f ood, financial and industrial sectors. We are 
convinced that the development of our bilateral tr ade and investment relatio ns will benefit further 
from the establishment of free-trade relations betw een the GCC and EFTA States. We hope that this 
free-trade agreement signed in June 2009 will soon be  ratified by all signatories. We look forward to 
seeing this agreement entering into force in the very near future. 
69. Second, let me now briefly comment on the ec onomy and trade policies of Saudi Arabia.  
Saudi Arabia was, like many countries around the wo rld, affected by the global financial crisis. 
However, following a decline in growth in 2009, it recovered quickly in the last two years both as a 
result of a strong rebound in oil prices a nd the recovery of the global economy.  
70. We note that Saudi Arabia uses its oil wealth not only as a means of diversification of its non-
oil GDP growth, but also to address its soci al challenges. According to the UNDP World 
Development Indicators, it has been able to achie ve progress in its social development. Particular 
challenges remain: these include high unemploymen t rates, especially among the youth, and the 
pressure on housing resources. The Saudi Govern ment addresses some of these challenges by 
investing in the housing sector, and by increased public-sector hiring as well as by the so-called 
saudisation policy. Current labor restrictions make  it, however, very difficult for a company to find 
suitable candidates both internally and from abroad . This represents a serious hindrance to the 
development of private companies. At the same time, the continued public-sector hiring might also temper Saudi Arabia's long-term strategy to en courage a greater role for the private sector. 
71. Over the last years, the Kingdom has become a leader in the Arab region in terms of 
regulatory reforms related to entrepreneursh ip. According to the last World Bank/IFC Doing Business 
Report 2012 , Saudi Arabia ranked 12
th among 183 countries. And the WEF Global Competitiveness 
Report 2011-2012 lists Saudi Arabia as the 17th most competitive economy worldwide. 
72. The Kingdom's economic reform policy was also  rewarded with important FDI inflows. 
According to the UNCTAD World Investment Report 2011, the stock of FDI in Saudi Arabia 
increased by a factor of 10 between 2000 and 2010. This tendency reflects the trust of foreign 
investors in the Saudi economy and the improving business climate. Furthermore, Saudi Arabia's accession to the WTO in December 2005 had no doubt a significant impact on investors' trust in the Kingdom's market. 
73. Regarding Saudi Arabia's trade policy, we note with satisfaction that the Kingdom is taking 
steps to simplify customs procedures. Nevertheless, th ere is still a lack of tran sparency in regulations 
as well as rising governmental restrictions and othe r administrative hurdles, which lead to even longer 
customs clearance procedures. Moreover, the Sa udi customs do not always accept electronically 
issued certificates of origin. Switzerland would theref ore strongly encourage Saudi Arabia to continue 
to simplify its customs procedures and the rela ted administrative burden and to improve the 
transparency in these matters. 
CANADA 
74. Canada's trade relations with Saudi Arabia are well established:  in fact, Saudi Arabia is 
Canada's second largest export market in the region.  Where foreign investment is concerned, Canada 
hopes to develop closer investment  relations with Saudi Arabia. 
75. Canada would like to take this opportunity to  congratulate the Royal Saudi Government for 
the achievement and progress made in the implementa tion of policies to liberalize trade and foreign 
investments since its accession to the WTO in 200 5. Canada also supports the Saudi Government's  WT/TPR/M/256 
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  Ninth Development Plan with an overall objective to  improve the standard of living, develop human 
resources, diversify the economic base and incr ease productivity. The rapid and ongoing development 
of, inter alia , infrastructure, healthcare, education and ne w sources of energy is very encouraging. 
76. Canada recognizes the challenges that the Governme nt of Saudi Arabia faces in reforming its 
international procurement contracting process. It is our hope that Saudi Arabia's observer status to the 
WTO Committee on Government Procurem ent will lead to eventual accession. 
77. Canada is pleased to note that Saudi Arabia is committed to strengthening and modernizing 
its IPR regime by establishing many committees and applied a set of procedures to enforce the protection of Intellectual Property Rights.  In conc lusion, Canada would like to express its support for 
Saudi Arabia's economic diversification and growth achieved since accession to WTO.   
SOUTH AFRICA 
78. Saudi Arabia is a critical trading partner for South Africa in the Middle East region, ranking 
as South Africa's third largest export destination to  the Middle East region (excluding Turkey) and the 
first largest source of imports in 2010.  South A frican exports to Saudi Arabia experienced a steady 
increase from 2007 to 2010, with a 6.3% annual grow th over the 2009-10 period. Over the period 
2006-10, total trade has been growing steadily. 
79. We would like to commend and congratulate  the Kingdom of Saudi Arabia on its recent 
positive economic performance, in terms of GDP growth , tempered levels of inflation, as well as 
surpluses both fiscally and with regard to its exte rnal current account. We furthermore encourage the 
Kingdom of Saudi Arabia in its efforts at furthe r diversification of its economy away from purely 
crude oil and natural gas, and to this end, we  laud the Kingdom of Saudi Arabia's endeavours to 
modernize its infrastructure and create four economic  cities to assist in its job creation and economic 
diversification goals. We also commend the Ki ngdom's newly launched privatization programme. 
80. We congratulate the Kingdom of Saudi Arab ia for its steady growth rates and the 
restructuring of Saudi Arabia's economy, as well as its policy goal to promote private sector investment. The removal of investment barriers si nce the Kingdom of Saudi Arabia acceded to the 
WTO have opened new horizons fo r exporters and investors, including from South Africa and the 
region. To further encourage inward FDI in th e Kingdom of Saudi Arabia we would encourage 
greater transparency, availability and accessibility of agents in the Kingdom to facilitate access to key 
sectors, as well as lifting any remaining ownership restrictions with respect to investments by foreign companies. 
81. On agriculture we are encour aged by King Abdullah's Agricu ltural Initiative, which seeks to 
improve long term food security by enabling th e investment by private Saudi enterprises in 
agricultural projects abroad.  We would like to urge  the Kingdom to use this as a basis for mutually 
beneficial collaboration with African countries in order to grow this crucial sector in Africa. 
SEPARATE CUSTOMS TERRITORY OF TAIWAN, PENGHU, KINMEN AND MATSU 
82. Since Saudi Arabia's accession to the WTO in  2005, the global economic climate has changed 
dramatically, due in great part to the financial cr isis. However, we were pleased to see how well the 
Saudi government has managed over the six-year period under review. Real GDP has grown at an 
average of 3.2% annually and inflation averaged 4.6% per year. While the crisis caused a sharp 
deterioration in 2009, and despite the global ec onomic downturn, the Kingdom of Saudi Arabia 
should be congratulated on having exercised rest raint over the imposition of new trade restrictions. 
We were pleased to see that its development strategy has resulted in such a positive economic 
performance over the period. It should also be co mmended on its special efforts made over the last WT/TPR/M/256 
Page 16  
 
  few years in such areas as its privatization strategy, its further liberalization of trade and services with 
a view to diversifying the economic base, improve ments in its investment climate, and so on.  
83. Bilaterally, the Kingdom of Saudi Arabia is an  important trading partner for us. In 2011, 
two-way trade grew by 24.1% to an annual total of US$13 billion. We have also established between 
us a regular bilateral conference, paving the wa y for further industrial cooperation in the energy, 
petrochemicals, fertilizers and construction sectors, among others. In the context of the Doha Round, 
we are fellow-members of the Group of Recently Acceded Members (RAMs), strongly supporting all 
efforts made to bring the negotiations to a successful conclusion. 
84. Furthermore, we are pleased to hear in Dr . Al-Rabiah's opening statement that the Kingdom 
of Saudi Arabia is committed to joining the GPA soon. My delegation welcomes this strong 
declaration of intent and looks fo rward to Saudi Arabia's accession to  the GPA in the not-too-distant-
future. 
85. Given our already close relationship and gr owing participation both bilaterally and 
multilaterally, we would encourage Saudi Arabia to further strengthen and expand cooperation on 
trade and investment, for the benefit of both our econo mies. We have noted, also, that its promotion of 
the Ninth Development Plan over 2010 to 2014 will create opportunities for a closer bilateral 
partnership in several areas in near future. 
86. Having studied very thoroughly the reports on Sa udi Arabia's trade policy regime and trading 
environment, we submitted a number of written qu estions in advance, seeking further detail and 
clarification on policy direction and approach. These qu estions specifically relate to: its foreign direct 
investment policy; the so-called "saudization" pr ogramme; the mining and energy sector; State-owned 
enterprises; the functions of SAGIA; and the services sector. We are grateful to our Saudi colleagues 
for their responses received today. 
CHINA 
87. China and Saudi Arabia have witnessed rapid tr ade growth over the past  decades.  According 
to the Chinese Customs, merchandise trade be tween China and Saudi Arabia amounted to 
US$43 billion in 2010, representing an increase of 33% .  The number for the first 11 months of 2011 
hit a record high of US$58 billion, representing a 50%  growth year-on-year.  Against the shadow of 
the global economic crisis, this sound trade perfo rmance proved the inter-dependence and mutual 
benefit of our economies.  Saudi Arabia has become the largest trading partner of China in the Middle 
East.  In addition to trade, we have also achieved fruitful results in various areas, such as investment 
and energy cooperation.  Last week, Premier Wen Jiabao of China paid a successful visit to Saudi 
Arabia.  The Leaders of both countries have agreed  to further enhance our bilateral relations in the 
future. 
88. After briefly touching upon the bilateral rela tions, I would like to make some comments from 
a more general perspective.  Firstly, China is gl ad to see that Saudi Arabia has achieved impressive 
economic performance during the review period.  Fr om 2005 to 2010, the real GDP grew at an annual 
average rate of 3.2% and the inflation rate aver aged 4.6% per year.  Although economic indicators 
experienced a sharp deterioration caused by the gl obal financial crisis in 2009, Saudi Arabia has 
successfully reversed the downward trend.  The real GDP growth rate is 4.1% in 2010 and is expected 
to reach 6.5% for 2011.  This is mainly attributed  to the structural reform and the counter-cyclical 
policy adopted by the Saudi Arabian Government.  As one of the major players in the global energy market, Saudi Arabia's growth and macroeconomic stability not only benefit Saudi people, but also 
contribute to the development of the global economy and the global energy market.  WT/TPR/M/256 
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  89. Secondly, we are pleased to note that Saudi Arabia has continued a development strategy 
centered on a liberal trade regime and a more busine ss-friendly environment.  As the result of steps 
taken to open up certain economic activities to fo reign investment, Saudi Arabia now is the 8th biggest 
recipient of FDI in the world.  However, as the Secretariat Report indicated, foreign companies still 
face investment restrictions in certain areas.  Th ere is still room for improvement, especially in service 
sector.  We also hope that the Saudi Arabian G overnment can provide more transparency in 
formulating and implementing its trade and investment  policies, which will help foreign investors to 
evaluate the situation and operate their businesses. 
90. Thirdly, we commend the active role played by Saudi Arabia in the WTO.  China and Saudi 
Arabia are both Recently Acceded Members.  We  fully understand the challenges faced by Saudi 
Arabia in the process of implementing the wide -ranging commitments.  We appreciate the efforts 
made by the Saudi Arabian Government to fulfil its commitments.  It is commendable that Saudi 
Arabia has refrained from imposing trade restric tions during the challenging economic times, which 
demonstrates its earnest support to free trade and th e multilateral trading system.  As the Coordinator 
of the Arab Group, Saudi Arabia is positively e ngaged in different areas of the DDA and committed 
to a successful conclusion of this Round.  We are al so glad to hear from Dr. Alkathiri during the MC8 
that Saudi Arabia is strongly supportive of Aid for Trade and Trade Financing, both of which have 
become increasingly important since the crisis. 
ISRAEL 
91. We thank Saudi Arabia for the replies provide d to our questions and we will study them 
carefully.  In this regard, we would like to confirm with the participating Saudi delegation, the replied 
statement that they accord MFN treatment to all trading parterns.  Israel notes if it accords MFN 
treatment to all WTO Members, and in this context,  Israel is looking forward to receive the Kingdom 
of Saudi Arabia's confirmation. 
JAPAN 
92. Saudi Arabia and Japan have a very str ong trade and economic re lationship, and the 
importance of Saudi Arabia to Japan cannot be ove remphasized. But let me concentrate on issues of a 
more general application today in the interest of time.  
93. I would like to start with Saudi Arabia's macroeconomic environment and investment 
policies. As pointed out by previous speakers, di versification is one of the major objectives in the 
development strategy of Saudi Arabia, given the huge reliance on crude oil and natural gas in its 
export earnings (86%) and government revenues (91%). Foreign direct investment particularly in 
areas other than oil and gas has an important role to play in industrial diversification. This would also 
promote the employment of the Saudi Arabian people,  which the Government of Saudi Arabia aims to 
achieve through its "Saudization" programme.  
94. In this context, Japan appreciates Saudi Arabia's  efforts to promote foreign investment, which 
resulted in Saudi Arabia's significant rise in its ranking in the World Bank's Ease of Doing Business 
Index (from 67th in 2005 to 11th in 2011). However, even for a country with such a good record, there 
is still room for further improvement. 
95. In order to explain our concern, let me cite a news article titled "Chaos in the functioning of 
the Saudi Arabian General Investment Authority (S AGIA)" in Arab News, dated 8 January 2012. This 
article says, and I quote, "SAGIA has been issui ng new requirements and procedures every now and 
then in a chaotic way and then cancelling them th ereafter … The acceptance of the activities of new 
projects differs from one SAGIA branch to another … Also, SAGIA requires investors to provide it 
with a very long list of documents in order to issue the investment licen se. Investors may spend WT/TPR/M/256 
Page 18  
 
  months to prepare the required documents …". Regr ettably, we have to report that these complaints 
are quite similar to what we have heard from Japanese investors. SAGIA was established as a one-
stop shop to promote investment. Japan hopes that SAGIA will function more efficiently, following 
its principal objective, and regain confidence from investors.  
96. Let me move to trade policies. Here, we have f our comments. First, we would like to make an 
inquiry regarding the prospects of FTA negotiati ons of the Gulf Co-operation Council (GCC), of 
which Saudi Arabia is a major and leading member . The GCC is currently negotiating FTAs with a 
number of countries including Japan. However, Japan  understands that these negotiations have been 
virtually suspended for several years due to GCC re view. Japan would like Saudi Arabia to explain its 
view on how to proceed with these FTA negotiations. 
97. Secondly, on the issue of IPRs, Japan appreciates Saudi Arabia's efforts in strengthening IPR 
enforcement. However, there is still room for impr ovement in terms of transparency in relation to 
actual enforcement. We have learned that Japanese corporations operating in Saudi Arabia would like 
to have access to information on enforcement results concerning pir acy and counterfeit products. Such 
information would be useful for helping those compan ies further cooperate with the authorities. Japan 
encourages Saudi Arabia to consider the im portance of transparency in this regard. 
98. Thirdly, on tariffs, although Saudi Arabia has bound 100% of its tariff lines, as the Secretariat 
observes in its report, the gap between the average MFN applied tariff rate (5.2%) and the bound rate 
(10.9%) creates uncertainty. Any effort to reduce this gap will be highly welcome. 
99. Fourthly, Japan positively notes that Saudi Arabia  is an observer to the WTO Agreement on 
Government Procurement. Japan welcomes Minister Al-Rabiah's remarks in this regard in his opening 
statement and encourages Saudi Arabia to  take further steps in this area.  
100. With regard to sectoral policies, Japan not es the importance of the services sector which 
accounts for more than half (50.6% in 2010) of Sa udi Arabia's GDP. Despite its importance, some 
major sectors are subject to minimum capital requirements which act as substantial entry barriers. For example, the minimum capital requirement for the retail distribution sector is more than 
US$5 million. Such excessive entry barriers limit co mpetition and are likely to cause inefficiency in 
the economy. We would like to request Saudi Arab ia to review the rationale for those minimum 
capital requirements. 
101. Also, Japan has learned that business users ofte n experience delays and unreliable deliveries 
via local land transport service providers. Since land transport services provide important basic infrastructure for the whole economy, we hope that Sa udi Arabia will address this issue in order to 
improve the performance of land transportation servi ce providers and also the efficiency of its 
economic activities. For this purpose, prom oting competition would be very useful. 
102. In conclusion, Japan would like to reiterate its hope that Saudi Arabia will diversify its 
economy by promoting investment and competition, while it further enhances international trade and 
improves IPR enforcement. 
HONG KONG, CHINA 
103. Despite the challenging global economic envir onment of recent years, Saudi Arabia has 
registered continuous growth and maintained a s ound fiscal position since its accession to the WTO.  
There has been considerable growth in bilatera l trade between Saudi Arabia and HKC over recent 
years, with an average annual rate of almost 10% . Saudi Arabia is currently HKC's third largest 
trading partner in the Middle East.  We look forward to the further strengthening of our bilateral trade 
relationship.  WT/TPR/M/256 
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  104. Turning to some specific aspects of its trade po licy, it is notable that Saudi Arabia has bound 
all its tariff lines, but there is nevertheless a ga p of around 5% between the average MFN applied rate 
and the average bound rate.  We would encourage Sa udi Arabia to narrow this gap further downwards 
in order to provide greater predictability for traders. 
105. In 2011, in the World Bank's Trading Across Bo rders Index, Saudi Arabia was ranked second 
among the GCC members.  It has ma de positive efforts to facilitate trade by streamlining its customs 
procedures: these include pre-arrival document veri fication for certain products, fully automated 
customs services, and elimination of the requirement  to authenticate import documentation.  As trade 
facilitation measures do bring concrete  substantial benefits to trad ers, we would encourage Saudi 
Arabia to keep up the good work in this area. 
106. It is also satisfying to note that Saudi Arabia has stood firm in supporting the anti-
protectionist pledge – it has never imposed any an ti-dumping, countervailing or safeguard measures.  
Its continuous efforts and commitment in  this regard are to be applauded. 
107. While Saudi Arabia has observed the national treatment and non-discriminatory principles of 
TBT when adopting its technical regulations, we w ould like to see continuing efforts to introduce 
regulations that are only in place to the extent  necessary and to avoid the creation of unnecessary 
obstacles to trade.  We are also glad to see that harmonization of Saudi Arabia's technical regulations 
is materializing at the GCC level.  Traders can thereby have a unified standard to follow and this can 
definitely facilitate the free movement of goods. 
108. For agricultural products, there is a gap of about  9% between the average applied rate and the 
average bound rate.  This would allow some room for the authorities to increase applied tariffs.  
Moreover, there are seasonal tariff binding commit ments on some fruits and vegetables.  We would 
encourage Saudi Arabia to continue to liberalize its agriculture trade and to provide more certainty for 
traders. 
109. On the services front, Saudi Arabia has undert aken extensive commitments under the GATS.  
Services trade between HKC and Saudi Arabia has b een growing healthily, especially in merchanting 
and other trade-related services in recent years. Of particular interest is the vibrant development of 
financial, telecommunication and tourism services in Saudi Arabia, as its economy integrates more 
closely with global trade.  In the interests of furt her competition and liberalisation, it will be important 
for the Saudi Arabian authorities to continue to fa cilitate greater participation of foreign services 
suppliers in the process. 
110. Regarding investment, Saudi Arabia has taken ma jor steps to diversify its economy, and this 
will be conducive to more sustainable developmen t in the longer term.  For example, various 
initiatives have been put in place to open up certain  key economic activities to foreign investment, and 
the minimum capital requirement for starting a busin ess has been abolished.  We look forward to 
Saudi Arabia's continuous efforts to liberalize its investment regime further, and to improve its 
business environment for foreign investors. 
EUROPEAN UNION 
111. The EU is pleased to participate in Saudi Arabia 's first Trade Policy Review, which provides 
an excellent opportunity to look back at Saudi Ar abia's seven years of WTO membership and take 
stock on the implementation of its multilateral co mmitments and progress in its economic and trade 
policy developments.   WT/TPR/M/256 
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  112. The EU is Saudi Arabia's first trading partner - in 2011, trade in goods amounted to 
€39.4 billion. I would also note that Saudi Arabia is currently benefitting from preferential access to 
the EU market under the EU's Generalised System of Preferences (GSP).  
113. Our relations remain based, from a legal and institutional point of view, on the 
1988 Cooperation Agreement between the EU and th e Gulf Co-operation Council (GCC), of which 
Saudi Arabia is one of the founding members and is currently holding the rotating Presidency. The 
EU's trade with the GCC regionally has been relativ ely stable over the last few years (except in 2009), 
with potential for further growth. The latter coul d be best achieved by concluding our ongoing 
negotiations for a comprehensive region to regi on Free Trade Agreement as soon as possible. 
Concluding this FTA would enhance trade and i nvestment flows amongst our two regions, contribute 
to foster stability and also support economic dive rsification and sustainable development in the 
region.  
114. According to the reports presented for this Revi ew, Saudi Arabia has since its accession to the 
WTO in 2005 taken important steps to further improve its business and investment climate in order to 
enhance its economy and attract more foreign i nvestments. Largely due to these regulatory and 
institutional reforms Saudi Arabia is now the eighth biggest recipient of FDI in the world. However, 
FDI is often conditioned by compulsory stake of loca l ownership, in some fields of business with a 
local majority share. Also trade in services conti nues to face some restric tions, for instance through 
the legal obligation or practical necessity to use lo cal agents. The EU invites Saudi Arabia to reflect 
how to ease these restrictions.  
115. Attracting further foreign investment, achievi ng sustainable economic and social development 
continue to be main objectives according to Saudi Arabia's Ninth Development Plan for 2010-2014, 
together with the aim to diversify its exports a nd increase trade's contribution to GDP. This means 
also diversifying Saudi Arabia's economic base an d thus reducing dependen ce on crude oil products 
exports. As both reports state, this objective is one of the biggest development challenges Saudi 
Arabia is facing.  
116. As most of the countries in the world, also Saudi Arabia was affected by the global financial 
and economic downturn, mainly due to the drop in inte rnational oil prices. In this context, we would 
like to recognise Saudi Arabia's engagement and ro le in G20, both in emphasising the importance of 
keeping trade open (including through successful and ti mely conclusion of the Doha Round) and also 
in pledging to refrain from protectionist measures.  
117. While involved in promoting a multilateral trade agenda, Saudi Arabia is steadily enhancing 
its development through regional inte gration in the framework of the GCC, being one of its major 
partners. Although not yet completely harmonise d and finalised, the GCC's common market was 
launched in 2008 and progress is being made towa rds its establishment. When taking over GCC's 
rotating presidency in December 2011, Saudi Arabia  presented its views on further enhancing GCC's 
integration. The EU is certain that regional in tegration, including the establishment of a strong 
common market will become beneficial for the de velopment of Saudi Arabia and the other GCC 
members. While clearly supporting these integration efforts, we would also like to recall the WTO 
rules applied to regional integration initiatives. In particular, we note that Customs Unions are solely 
governed by GATT 1994 Article XXIV. Therefore, we invite Saudi Arabia to undertake the necessary 
measures to ensure that the GCC Customs Un ion complies with these legal requirements. 
118. Saudi Arabia's efforts to start diversifying its exports, its relative openness, stabile growth and 
overall economic performance are surely worth to be  recognised, but our ongoing review also allows 
for comments in those areas where Members think improvements enhancing Saudi Arabia's 
development could be made. We have submitted a number of detaile d questions in advance of the 
meeting, thus I would now like to draw attention to some particular issues.  WT/TPR/M/256 
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  119. While appreciating Saudi Arabia's efforts in complying with WTO requirements with regard 
to standardisation and in aligning their (or GCC' s) requirements with the relevant sanitary and 
phytosanitary international standards of the World Organisation for Animal Health, Codex 
Alimentarius and International Plant Protection Convention, our first concern relates to the uncertainty 
which results from the lack of full transparency  of import procedures and requirements. Some 
progress was observed but, up to now, the import into  Saudi Arabia of bovines (live animals, meat 
and meat products) is only possible from few EU Member States on grounds of bovine spongiform 
encephalopathy. The position of Saudi Arabia c ontradicts the requirements of the OIE and in 
particular its BSE risk categorisation. According to the OIE, most of the EU Member States have a "negligible" or "controlled" BSE risk status.  
120. The EU observes that Saudi Arabia differentiates,  without providing a scientific justification, 
imports from different EU Member States or other countries outside of the EU that have the same BSE risk category. We call on Saudi  Arabia to follow the OIE recommendations in this respect, or to 
present a scientific justification for not doing so. In addition, we encourage Saudi Arabia to continue 
its transparency efforts and provide further inform ation as regards existing or future SPS regulations 
and standards for the import of animals, plants and their products, including on the evaluation of 
competent authorities of exporting countries. In the SPS field, the EU also reite rates its availability to 
continue cooperating with the authorities of Sa udi Arabia to improve the understanding of our 
regulatory systems. 
121. Secondly, in light of an agreement reach ed in December 2011 on revised Plurilateral 
Government Procurement Agreement, and in the interest of Saudi Arabia's further economic 
development we urge Saudi Arabia to start negotiati ons to join this Plurilateral Agreement. Until then, 
we encourage Saudi Arabia to provide non-discrim inatory access for foreign bidders to the public 
procurement market.  
122. We once again welcome Saudi Arabia's ongoi ng efforts towards enhancing the overall 
economic environment in a sustainable way and to wards further regional integration within GCC. 
AUSTRALIA 
123. Australia values its long standing and friendl y relationship with the Kingdom of Saudi 
Arabia, underpinned by our strong economic and tr ade ties across a broad range of goods, services 
and investment.  As this is Saudi Arabia's first Trade Policy Review we would to take this opportunity 
to congratulate it on the economic reforms it h as taken, particularly through its WTO accession 
process which was concluded in 2005. 
124. The Australian Government welcomes steps taken in recent years by the Saudi authorities to 
further open its economy to international trade and investment.  Saudi Arabia's increasingly strong 
and active participation in the WTO, which we welcome,  has been an important catalyst in this regard.  
Australia is looking to capitalise on its continuing st rong trade and investment ties with Saudi Arabia 
through a number of channels.  Importantly, this includes the FTA negotiation we have embarked on 
with the GCC where Saudi Arabia is a key player.  Delays in this negotiation have slowed progress in 
recent years and we are hoping for an early resumptio n of negotiations so that progress can be made. 
125. Such an agreement would give a boost to our ec onomic ties to mutual benefit us both.  Key 
interests include improved access for Australian goods including agricultural and industrial products 
as well as services where there is strong interest from Australia in areas like construction, engineering, 
architecture, health care, hospitality, education a nd financial services and of course we are pleased to 
welcome the thousands of students from Saudi Arabia who are undertaking tertiary studies in 
Australia.  Developments in the automotive sector are of particular interest to Australia given that 
Saudi Arabia and the GCC is Australia 's number one export for motor cars. WT/TPR/M/256 
Page 22  
 
  126. We acknowledge the important strategic role of  Saudi Arabia in the region and globally, 
including as the world's largest oil exporter and fellow member of the G20.  We also note the 
resiliency of the Saudi economy and its  strong recovery from the global fina ncial crisis.  In  this regard 
we would like to commend Saudi Arabia's careful fi nancial management of its external reserves 
through the Saudi Arabian Monetary Authority (SAM A). Saudi Arabia entered the crisis on a solid 
financial footing and took rapid, decisive acti on through a sizeable financial stimulus to support 
aggregate demand, while setting early targets to restore budgetary balance. 
127. We also applaud the restraint that Saudi Arab ia has shown in refraining from the imposition 
of new trade restrictions in response to the global economic downturn.  Australia notes that Saudi Arabia has made great strides in diversifying its economy away from the oil sector through the 
promotion of downstream industries (particularly petrochemicals and plastics), improving education 
and health services and the rapid development of infrastructure.  We also note Saudi Arabia's initiatives to enhance food security. 
128. This Trade Policy Review provides an opportunity to gain further insights to the important 
changes occurring in the Saudi Arabian economy as we ll as to highlight where further changes could 
be made.  We have asked a number of questions in this regard in areas including incentives that affect 
production and trade, competition polic y and intellectual property.   
ARGENTINA 
129. Since its accession to the WTO in December 2005, the Kingdom of Saudi Arabia has pursued 
a development strategy aimed at diversifying its ec onomy;  the strategy is centred on a liberal trade 
regime and is accompanied by structural refo rms that have created a more business-friendly 
environment. 
130. Bilateral trade between Argentina and the Kingdom  of Saudi Arabia has shown sustained and 
robust growth over the last five years, a trend interr upted only in 2009 as a result of the deep financial 
crisis.  Our annual imports from the Kingdom of Sa udi Arabia amounted to 19.6 million in 2007 and 
28 million in 2011, and consisted almost entirely of pl astics and mineral fuels.  Argentina's exports to 
the Kingdom of Saudi Arabia amounted to 372.5 m illion in 2007 and 525 million in 2011, distributed 
between three main product areas:  cereals, so ybean flour and seamless steel pipes.  The 
non-competing, and in some cases complementary, na ture of the sectors involved in this bilateral 
trade, coupled with the growth in the GDP of bot h economies in recent years, explains the significant 
increase in trade between Argentina and th e Kingdom of Saudi Arabia since 2007. 
131. As the world's largest exporter of oil, Saudi Ar abia has benefited from high crude oil prices in 
recent years, and in this context it has encourag ed public and private investment in a number of 
infrastructure and industrial megaprojects in th e Kingdom.  The current economic policy has also 
given rise to an increase in both private sector par ticipation and FDI, to such an extent that the 
Kingdom of Saudi Arabia is now the eighth biggest recipient of FDI in the world. 
132. Worth noting in this connection is the establishm ent in Saudi Arabia of Imbab, an Argentine 
company engaged in the design and construction of complex technological systems.  Nevertheless, it 
must also be pointed out that foreign companies stil l face investment restrictions in certain activities, 
including fisheries and oil exploration/drilling/production. 
133. Where the agricultural sector is concerned, in 2009 the Kingdom of Saudi Arabia launched 
the King Abdullah Agricultural Initiative, aimed at offering credit facilities for the establishment of 
partnerships with third countries that have the potential to produce foodstuffs which are considered 
strategic for the food security of the Kingdom.  An example of this is the recent acquisition by the  WT/TPR/M/256 
 Page 23 
 
 
  Saudi company Almarai Co. of the Argentine co mpany Fondomonte S.A., wh ich owns and operates 
three large farms in our country. 
134. With regard to phytosanitary matters, while Sa udi Arabia has already taken certain measures 
to harmonize its certification, standards and metr ology system, our country's experience shows that 
the time-frame for processing certificates for the e xport of Argentine products  (including bovine and 
caprine meat, poultry and chicken meal) is so protract ed as to constitute, in practice, an import barrier.  
For this reason we would like to encourage the Government of the Kingdom of Saudi Arabia to 
explore the possibility of simplifying the pro cedures for obtaining certificates for the export of 
Argentine products to the Kingdom. 
TURKEY 
135. We are very much pleased to be part of this first Review of Saudi Arabia. At the outset, we 
must acknowledge that following its accession more th an a decade ago, Saudi Arabia, as the biggest 
economy and a member of the G-20 has become an active contributor to the work of various bodies of this Organization. Active participation of the capita l based Saudi experts in the regular work of the 
WTO has been well recognized. Howe ver, recent appointment of Ambassador Al Otaibi to the WTO 
has been an obvious indication of the significance Saudi Arabia has been giving to the WTO. We 
witness and cherish the growing impact of Saudi Arabia delegation.  
136. Turkey and Saudi Arabia enjoy very good political  and economic relations. In terms of trade, 
we enjoyed trade turnover of almost US$6 billion in  2011. Turkey has been an important supplier of 
certain iron and steel products in Saudi Arabia wh ile sourcing a large amount of oil and chemical 
needs from Saudi Arabia.  
137. This is the first opportunity to examine Saudi Ar abia's trade and invest ment policies since its 
accession. The reports prepared for these meetings reveal that Saudi Arabia has implemented its 
commitments under the accession package and maintain ed a liberal trade regime. It has an open 
economy with a liberal and simple trade and inv estment regime. We also  commend them for their 
simple taxation regime with modest levels of local taxes. 
138. In terms of the trade policies of Saudi Arabia, we have identified a few issues which are of 
interest to us. First, while Saudi Arabia has an  open trade regime, due to its obligations under the 
GCC, in terms of implementation and policy changes,  there is a greater need for timely coordination 
among the GCC members to have a clear picture in certain areas. The free trade agreements, common 
customs controls, technical regulations and establis hment of a single contingency authority are some 
specific examples. As the leading economy in its re gion, we hope that Saudi Arabia will take a more 
active role in this regard to harm onize the GCC wide trade policies.  
139. Second, we note that most of the energy produc ts have regulated local prices, and some of 
them have been used inputs in a number of sectors like cement. We hope that Saudi Arabia will consider moving to market pricing in energy products as used in other areas of the economy.  
140. Thirdly, Saudi Arabia which has one of the mo st liberal foreign investment regimes in the 
world with a few limitations implements investment  cap in commercial activities as a foreigner has to 
establish a joint venture with a Saudi citizen with a minimum share of 25%. This is an important obstacle, particularly for the small and medium si zed enterprises. We hope that this policy will be 
reviewed in the future.    
141. Lastly, on a bilateral basis, we noted that in accordance with a 2008 d ecision by the GCC, 
Saudi Arabia has been adopting some technical re gulations based on GCC standards concerning the 
importation of fresh tomatoes. While the notification to the TBT Committee concerning this standard WT/TPR/M/256 
Page 24  
 
  covers only fresh tomatoes, the implementation is ex tended to all fruits and vegetables which are now 
required to be imported only in certain quantities in packaged forms. We hope that this new 
implementation will be notified to the TBT Co mmittee, and Saudi Arabia will provide more 
information on the new policy. We have not been ab le to receive information about this issue from 
Saudi Arabia's TBT inquiry point. 
THAILAND 
142. The Kingdom of Saudi Arabia ranks as the sec ond trade partner of Thailand from the Middle 
Eastern region.  During 2008-10, the total trade va lue between Saudi Arabia and Thailand averaged at 
US$7.66 billion per year.  In 2011, the total trad e value increased by 21.26% to approximately 
US$9.64 billion.  Our exports to Saudi Arabia increas ed by 6.45% to US$2.25 billion, and our imports 
from Saudi Arabia rose by 26.63% to US$7.39 billion.   Our main exports to Saudi Arabia include 
motor cars, chemical products, and air conditioners.  Our main impor ts are crude oil, chemicals, 
fertilizer, pesticide, and natural gas.  We do hope  that our trade relationship will continue to be 
stronger and prosper as the two regimes become more and more integrated.  
143. Reading the Secretariat's Report on Saudi Arabia's past progress and reforms, Thailand would 
like to congratulate Saudi Arabia for her deve lopment strategy which has resulted in a positive 
economic performance of steady GDP growth rate and stability in terms of inflation, fiscal policies and external current account. 
144. Thailand would also like to applaud Saudi Arab ia's commitments to the WTO as indicated by 
binding 100% of its tariff lines as well as its extensiv e commitments in trade in services.  We are also 
very impressed with Saudi Arabia's relatively si mplified MFN tariff with no tariff quotas, no other 
duties or charges on imports, and a low average MF N applied tariff of 5.2%, of which agricultural 
products average at 6.1% and non-agricultural ones av erage at 5%.  Saudi Arabia also notably shows 
its willingness to welcome foreign investments w ith its import duty concessions and other general 
incentives to all investors.   
EGYPT 
145. Saudi Arabia is a major and trading partner  for Egypt.  Co-operation between Egytp and 
Saudi Arabia covers a lot of fronts and at many levels.  Egypt presented a number of questions to 
Saudi on the occasion of its first TPR and we tha nk Saudi Arabia for providing responses to those 
questions. 
MOROCCO 
146. For several years, the Kingdom of Saudi Arab ia has been introducing a series of bold and 
continuing reforms to reflect the trend in intern ational trade relations, to adapt itself to new 
requirements and to meet the challenges of globa lization.  As a consequence the Kingdom has seen 
encouraging economic growth, thanks to its policy of  promoting investment and the preparation of its 
development plan.  The privatization measures ta ken by Saudi Arabia have contributed to the 
country's economic development.  Morocco welc omes the privatization plans which are being 
finalized in the airline and telecommunications sectors in particular. 
147. The expansion of Saudi Arabia's economy is also  the fruit of targeted reforms in the areas of 
its open and liberal investment policy, the furthe r liberalization of its economic activities, closer 
partnership with the private sector, proper management of the business environment, and the identification of centres of growth to ensure its economic development.  Morocco welcomes 
Saudi Arabia's progress in the investment field, where it advanced from 16
th place in the World Bank's 
Doing Business rankings in 2008 to 13th in 2009 and to 11th in 2010.  WT/TPR/M/256 
 Page 25 
 
 
  148. As part of the development of its trade polic y, Saudi Arabia has bound all of its import duty 
rates and has voluntarily decreased its customs duties.  In this connection, Morocco is pleased to note 
that the Kingdom has completed the incorporation of the 2012 Edition of the Harmonized System Convention, which came into effect in January 2012. 
149. Morocco also welcomes the application of trade remedy measures by the Kingdom and the 
advances made in the tax area, resulting in compliance with the rules set by the relevant organizations.  
Morocco welcomes the measures taken by Saudi Ar abia to make the institutional and regulatory 
environment more favourable for the development of trade. 
150. The data on the country's economy show that th e prospects are reassuring despite the current 
turbulence of the global economic environment.  The rate of growth of GDP and the increase in 
foreign direct investment are testimony to its vitality and adaptability.  The performance of 
Saudi Arabia's economy has provided further reassu rance for foreign operators, whose investments 
are increasing at a promising rate thanks to govern ment reforms in various sectors of the national 
economy.  Along the same lines, these advances are serving as an effective and ambitious means of 
establishing the mechanisms for an economy that is modern, open and competitive. 
151. Convinced that progress in modernizing the economy can be achieved only by opening up to 
the outside world, the country is actively particip ating in the negotiations within the WTO and has 
chosen to diversify its trading partners by particip ating in free trade agreements in the framework of 
the Gulf Cooperation Council Customs Un ion and the Pan-Arab Free Trade Area. 
152. In this respect we call on the WTO and its partners to provide Saudi Arabia with the 
appropriate technical assistance, as stipulated in  the WTO's existing instruments, to enable it to 
become fully integrated into, and benefit from, the international trading system. 
153. In its efforts to modernize its structures and its economic and fi nancial institutions, 
Saudi Arabia now needs substantial technical assist ance in the sectors covered by the WTO and its 
various Agreements.  Within this framework, it is necessary to mobilize the m eans that will allow the 
country to make the most of the satisfactory performance of the past few years. 
154. Likewise, as a Member with an interest in the affairs of the WTO, Saudi Arabia should 
receive assistance from the WTO to enable it to pursue its policy of reform and modernization in order to participate in a beneficial and constructiv e way in multilateral trade.  Finally, allow me to 
congratulate the Government of Saudi Arabia on its fi ne record of achievement in recent years as well 
as its fierce commitment to multilateral trade integration. 
QATAR ON BEHALF OF THE ARAB GROUP 
155. May I congratulate H.E the Minister for his th rough, clear and comprehensive introductory 
statement this morning. This statement has given us a comprehensive update on trade regime of the 
Kingdom of Saudi Arabia. The strong support of th e Kingdom of Saudi Arabia to multilateral trading 
system can also be seen in its determination to  honor its huge WTO commitments undertaken during 
the accession process. Furthermore, and despite the gloomy global economic conditions, Saudi Arabia 
has exercised restraint over the imposition of new trade restrictions. 
156. The Kingdom of Saudi Arabia is one of the leaders in the South-South cooperation, which 
remain complement to, and not a substitute for the multilateral trading system. The Kingdom of Saudi Arabia is a party in a number of bilateral and re gional agreements which pr ovide welcome potential of 
south-south trade. WT/TPR/M/256 
Page 26  
 
  157. As a GCC member, the Kingdom of Saudi Arabia is a party to the GCC customs union 
promulgated January 2003. The membership of the Kingdom of Saudi Arabia in the GCC has 
contributed to GDP growth by improving competition in the economy and hence promoted its participation in the multilateral trading system. 
158. Since the early 90s the Kingdom of Saudi Arabia has embarked on implementation of a 
comprehensive and successful trade policies in view of diversification of the economic base and 
ensuring intergenerational economic equity in the ex ploitation of its non-renewable natural wealth. As 
a result, the contribution of non-hydrocarbon sectors h as grown in value at an average annual rate of 
5.5%, with its share in GDP growing from 51% in 1970 to 73.5% in 2009. 
159. While preserving the role of the State in promoting development, these policies have included 
a substantial privatization programme and the crea tion of an enabling environment for growth and 
development. This has a result in an impressive ec onomic performance in the past few years. As noted 
in the Secretariat Report, real GDP growth rate of the Kingdom of Saudi Arabia grew at an annual 
average rate of 3.2% during 2005-10. During the same period the ratio of merchandise and services 
trade to GDP rose from 89% to 97%.  This dem onstrates the importance of trade in promoting 
economic growth and developments  in the Kingdom of Saudi Arabia. Trade liberalization at the 
multilateral, regional and bilateral levels has contributed greatly to  the expansion of the Kingdom of 
Saudi Arabia exports and attraction of FDI inflows.  In this regard, the Kingdom of Saudi Arabia has 
become the eighth biggest recipient of the FDI in the world. 
160. The Kingdom of Saudi Arabia is a firm believer in foreign trade. Its economy had expanded, 
with GDP and productivity increasing significantly. Its reliable financial system, coupled with a 
strong drive towards a diversified economy, and investment-friendly environment ,and a sound trade 
regime had resulted in impressive growth rates.  The Kingdom of Saudi Arabia has become now one 
of the most diversified economies in the region. As a member of the GAFTA and of the GCC, it 
proved its commitment to free trade policy and the multilateral trading system. Saudi's continuous 
economic reforms have had a positive impact on its economy, telecommunications, construction, 
health and education services. The Arab States will  continue to work with the Kingdom of Saudi 
Arabia to promote regional economic development a nd to better integrate in the multilateral trading 
system.  
161. In conclusion, we would like to reiterate our support to reform undertaken by the Kingdom of 
Saudi Arabia in order to adapt its policies to the WTO rules. We are also confident that the current 
development strategy in the Kingdom of Saudi Ar abia will contribute further to the economic and 
political stability in the region.  
OMAN 
162. The Sultanate of Oman and the Kingdom of Saudi Arabia have the closest of relations in all 
areas, including cultural, historical, political, economic and trade.  We are partners in the GCC, with a customs union and a common market.  Our economies ar e closely linked and Saudi Arabia is one of 
Oman's leading trading partners. 
163. The reports by the Kingdom of Saudi Arabia and the WTO Secretariat clearly show that Saudi 
Arabia has an open and liberal trade policy rooted in the basic principles of the multilateral trading 
system.  The Kingdom has bound tariffs on all agricultu ral and industrial products at low rates.  Its 
actually applied tariffs are around 5%, which put s Saudi Arabia, along with other GCC Member 
States, among the few WTO Members with very low applied rates. 
164. The Secretariat Report shows that Saudi Arabia has no tariff quotas, no applied seasonal 
tariffs, and no other duties and charges on imports.  It does not impose VAT, excise duties or any  WT/TPR/M/256 
 Page 27 
 
 
  other internal taxes or charges on domestically produc ed or imported products.  Saudi Arabia has also 
made substantial and commercially meaningful commitments on trade in services.  The Kingdom of Saudi Arabia has not lagged behind in the area of IPR protection and enforcement. 
165. Saudi Arabia's economy is robust and open.  The GDP has been growing at a healthy rate of 
3.2%, with low inflation.  According to the lat est development plan of Saudi Arabia, the GDP is 
expected to grow at an annual rate of 5.2%  Th e Kingdom of Saudi Arabia is following an economic 
policy based on privatization and diversification of  the economy to reduce its dependence on oil.  It 
investment regime is open and liberal resulting in making Saudi Arabia as the eight biggest recipient 
of FDI in the world. 
166. The Sultanate of Oman congratulates the Ki ngdom of Saudi Arabia on its impressive 
achievements in the area of economic and trade polic y.  The Kingdom has been faithfully adhering to 
the rules and disciplines of the WTO and has been  strictly abiding by its commitments.  Saudi 
Arabia's policies and practices have a positive impa ct on the functioning of the multilateral trading 
system. 
MOZAMBIQUE 
167. Saudi Arabia is a Kingdom that is currently experiencing remarkable  economic and social 
development thanks to effective targeted polici es that all along have been under implementation. 
Positive economic performance in the past few years in terms of the GDP, moderate inflation, and 
surplus in both its overall fiscal position and exte rnal current account featured the Saudi economy. 
168. We praise the government for its Development Program as it is a feasible framework to 
continue the economic growth, combating inflatio n, and promotion of exchange rate stability, 
symmetric economic development of all regions , private sector development and employment, 
efficiency of the markets and balance of payment improvement.  In order to  respond to international 
economic and financial crisis, the government stepped in and put in place several efficient 
countercyclical measures mainly through fiscal s timulus, without imposing commercial restrictions 
despite the fall of oil prices. As a result, the economy rebounded. 
169. Saudi Arabia realized that trade had to be part  and parcel of the overall strategy for economic 
and social development.  The Government also rea lized that the attainment of sustainable and long 
lasting trade would require the adoption of measur es for the diversification of its economic base, 
which is dominated by the export of hydrocar bon goods.  Consequently, hydrocarbon and mining 
sectors contribution to real GDP in  1999 declined. Conversely, the contribution of non-hydrocarbon 
sectors has grown in value.   
170. Additional steps were undertaken which include d among other, private sector promotion, 
agriculture, manufacturing, fishery and service deve lopment, FTAs, and trade policy development. 
171. The competition Law promulgated in 2004 brought about an efficient competitive 
environment and a fair dealing in commercial exchanges. 
172. The steady implementation of tariffs commitments  resulted in the decrease of costumes duties 
and to an increase in duty free goods, which led to significant and direct impact on the flow of 
imports.  The Kingdom has followed a sweeping and liberal investment policy which encourages both 
domestic and foreign investment. Given to all these positive developments, today Saudi Arabia is the 
8
th highest recipient of FDI in the world, and occupies a commendable position in the ranking of the 
World Bank and IFC Doing Business Report. Furthermore, Saudi Arabia is a member of the G20. WT/TPR/M/256 
Page 28  
 
  173. No doubt that the accession of Saudi Arabia to the WTO in 2005 was a major milestone in the 
overall efforts for development and modernization of this country trade and trade policies.  We should 
also be mindful of the fact that Saudi Arabia in pu rsuit of its resolve to develop trade became one of 
the main founders of the Organization of Gulf States,  where the country plays a pivotal role. For all 
these, Saudi Arabia deserves our full commandment . The Kingdom merits all support it needs as a 
recently acceded country to the WTO, within and without RAMs group of countries. 
174. Historical ties between Mozambique and Saudi Arabia can be anchored to ancient times. 
Ancient traders from your region reached the coast of Mozambique several centuries ago.  We highly 
value the existing ties of cooperation between Mozam bique and the Kingdom of Saudi Arabia, and we 
look for a further strengthening of our relationship. 
BAHRAIN ON BEHALF OF THE GCC COUNTRIES 
175. This esteemed body is reminded that Saudi Arabia  is an active participant in the WTO, since 
joining the WTO, by taking steps to boost its pa rticipation in the multilateral trading system, 
commensurate with its growing importance worldw ide, including through the establishment of its 
WTO mission in June 2010. 
176. Without the slightest doubt, we appreciate Saudi Ar abia's efforts;  and we should note that the 
country has adopted a development strategy that  has resulted in a positive economic performance in 
the past few years.  The Kingdom of Saudi Arabia has become the eight highest recipient of FDI in 
the world; this achievement has been resulted fro m the positive developments in the national economy 
and steps taken by the country to improve its investment climate. 
177. Moreover, the Kingdom of Saudi Arabia believe s that regional trade agreements can be a 
useful complement to the multilateral system, by deepening the integration of markets, reinforcing the 
role of trade in economic growth promoting ga ins of scale for domestic firms and providing an 
expanded base to face global competition. 
178. With the Kingdom of Saudi Arabia embarking on policies and measures designed to promote 
investment and attract FDI, which demonstrate a strong commitment to an open multilateral trading 
system.  The Arab States will continue to work  with the Kingdom of Saudi Arabia to promote 
regional economic development a nd to better integrate in the multilateral trading system. 
179. In conclusion, the GCC countries would like to reiterate our outmost support to the reforms 
undertaken by the Kingdom of Saudi Arabia.  We are also confident that the current development 
strategy in the Kingdom of Saudi Arabia will cont ribute further to the economic and political stability 
in the region. 
ECUADOR 
180. Despite the obvious cultural, geographical and language differences, the Kingdom of 
Saudi Arabia and the Republic of Ecuador are very  similar in many respects.  Both economies are 
heavily dependent on the exploitation and export of o il and its derivative products, and their monetary 
policies are limited and are subject to fluctuations in the US dollar;  both count ries have identified the 
creation of jobs for their citizens as a priority objec tive, and have made a commitment to invest in the 
education sector.  Likewise, both countries have la unched projects for the planned construction of 
cities such as the "King Abdullah Economic City" in Saudi Arabia's case, and the "Ciudad del 
Conocimiento" in ours. 
181. Ecuador wishes to congratulate the Kingdom of Sa udi Arabia on the management of its trade 
and economic policy which has made it possible, d espite the global downturn in 2009, to maintain  WT/TPR/M/256 
 Page 29 
 
 
  a growth rate of around 4 or 5% in recent years.  This strong growth can be attributed to the 
consolidation of public finances, an appropriate economic policy stance and high global oil prices. 
182. We have noted with interest that the deve lopment objectives of the present Government 
which attach particular importance to the creatio n of jobs for Saudi citizens - are underpinned by 
initiatives such as the "Saudization" programme.  The Saudi Government's commitment to the 
multilateral trading system and to the Saudi  Arabian Negotiating Team, embodied by the 
establishment of a Permanent Mission to the WTO in Geneva in 2010, is also worthy of special 
mention. 
183. Saudi Arabia's international trade is one of the driving forces of its economy.  However, 
exports comprise mainly oil and its derivative products, making the economy more vulnerable to 
fluctuations in the international markets, and espec ially in the price of crude oil.  This forces our 
countries to constantly strive to diversify our ex port destinations and exportable supply and to 
increase the share of manufactured goods. 
184. Ecuador and the Kingdom of Saudi Arabia maintain  close ties of friendship.  However, trade 
in goods and services is still in its early stages.  One reason for this is the lack of logistics chains to 
facilitate trade flows, coupled with limited awarene ss on both sides of the potential of our respective 
markets.  This represents an opportunity, as well as a challenge, for our governments. 
SINGAPORE 
185. For Saudi Arabia, the keen interest Members ha ve in the Kingdom as a trade and investment 
partner is evident. The questions, views, and feedback  at this review session are testament to this. The 
progressive steps Saudi Arabia has taken to b ecome more business-friendly over the years has no 
doubt played a crucial role in harnessing Saudi Arabia's economic potential and capturing such 
interest. Key to this is Saudi Arabia's commendabl e efforts in diversifying its economy, cultivating a 
liberal trade regime, creating a welcoming investment  environment, developing its education, health, 
and infrastructure services, and refraining from imposing trade protectionist measures during the global economic crisis.  
186. It is important that this positive direction c ontinue through constant improvements that Saudi 
Arabia can make to its trade policies and practi ces. Such improvements include further lifting of 
investment restrictions, eliminating export restric tions, and controlling tariff escalations. We also look 
forward to Saudi Arabia eventually progressing fro m being an observer to becoming a member of the 
GPA.   
187. Singapore has strong economic relations with the Kingdom of Saudi Arabia. Our bilateral 
trade and investment with Saudi Ar abia have been on an increase. Ou r companies are active in several 
areas of Saudi Arabia's economy, not only in the pe troleum sector, but also in non-oil sectors, such as 
in infrastructure, logistics, power, banking, engin eering, IT, and food and beverage. Singapore is also 
in an FTA partnership with the GCC and we look fo rward to Saudi Arabia's ratification of the GCC 
FTA. We are confident that our g ood economic relations with Saudi Ar abia will continue to grow.  
188. We are also confident that Saudi Arabia will continue to develop, implement, and advocate 
open and forward-looking trade policies and practices. Saudi Arabia is well placed in the WTO to lead 
by good example. Its liberal and progressive regime  has contributed to Saudi Arabia constantly 
deepening its integration into the global economy through the strengthening of trade and investment 
ties with all Members. And its trade-led growth h as greatly developed and benefitted its economy, and 
contributed to its success.  WT/TPR/M/256 
Page 30  
 
  JORDAN 
189. The remarkable figures shown in the reports related to investment and GDP are a result 
of a wise development strategy followed progressively by the Kingdom earlier.  The ambitious plan 2010-14 with its main macroeconomic objectives is pur sued wisely through diversification of the 
economy, balanced privatization plan, liberal inv estment regime and trade openness. This coupled 
with the courageous domestic reform and socio economic plan will reflect positively on the economy 
of the Kingdom.  
190. The measures taken by the Government of Saudi  Arabia in order to implement the plan 
agreed upon by the leaders of the G20 together  with its wise economic policy which focuses on 
maintaining an investment friendly environment, and motivating the private sector to take the lead in 
driving the economy helped in reducing the effect of  the financial crisis and resulted in a sustained 
high economic growth. 
191. Saudi Arabia is a pro free econom ic policy and this is clear looking at the high ranking, the 
Kingdom obtained, in the free economic indices by international institutio ns. Furthermore, the 
Kingdom of Saudi Arabia as a recently acceded Me mber was ready to pay more to join this 
Organization. The membership of the Kingdom of Saudi Arabia in the GCC and the Pan Arab Free 
Trade Area in addition to other FTAs that the Kingd om is negotiating prove the commitment to free 
trade policy and the multilateral trading system from which its economic sectors will benefit and 
prosper. 
192. The sustained economic growth rates and the ambitious economic policies are remarkable; 
Jordan congratulates the Saudi Government and the business society for such achievements and would 
like to wish the brotherly Saudi Arabia more prosperity.  In addition to the brotherly ties between 
Jordan and the Kingdom of Saudi Arabia it is noticeab le that the Kingdom of Saudi Arabia is one of 
our major trading partners and we look forward to  further strengthening our trade and investment 
relations.  Jordan appreciates the role that the Ki ngdom of Saudi Arabia is playing in our region and 
will be always working with Saudi Arabia as well as  other Arab countries to promote the Arab region 
economic development.  To conclude, Jordan fully associates itself with the statement made by Qatar 
on behalf of the Arab Group. 
THE STATE OF KUWAIT 
193. I congratulate the Kingdom on its recent economic  performance. The long-term vision of the 
Kingdom includes improving the standard of living, developing human resources, diversifying the economic base, and increasing the productivity of the economy. 
194. Trade and economic relations between Kuwa it and the Kingdom of Saudi Arabia had 
expanded rapidly in the recent years in many ma jor areas under the umbrella of the GCC Common 
Customs and market laws. 
195. Kuwait commends Saudi Arabia for its strong supp ort of the multilateral trading system, for 
implementing trade and economic policies that had fo stered an open trade and economic environment, 
and for its significant steps to improve its investment climate, including the opening of certain key 
economic activities such as mining, petrochemicals,  and telecommunications to foreign investment, 
and has exercised restraint not to impose new trade restrictions despite the global economic downturn. 
196. Kuwait and the Kingdom of Saudi Arabia work  together for better inclusion of the 
development dimension in the results of the Doha  negotiations.  Kuwait hoped that the WTO and its 
partners would meet the technical assistance n eeds identified by the Kingdom of Saudi Arabia.  WT/TPR/M/256 
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  BRAZIL 
197. The Secretariat and the Government reports emphasize the priority assigned by Saudi Arabia 
to modernizing its economy and to pursuing its de velopment strategy while at the same time 
diversifying its foreign trade away from exports of cr ude oil and natural gas. We are pleased to note 
that such a strategy has been carried out hand in  hand with the improvement of the education and 
health systems, the implementation of structural economic reform and infrastructure modernization. 
198. We note with satisfaction that Saudi Arabia has chosen to build its social and economic 
development on the solid basis of openness to in ternational trade flows and to foreign direct 
investment. The message about the country's commitm ent to a rules-based system has been heard by 
foreign investors, and the results of this choi ce are clear enough:   annual growth rate for FDI 
amounted to over 11% during 2005-09 . In the process, the country has become the eighth biggest 
recipient of FDI in the world.  
199. Such an increase in FDI led investment rate to have reached 28% of the GDP in 2009. We 
share the belief that this higher investment rate  has been playing a crucial role in pursuing the 
objective of economic diversification, as envisaged in Saudi Arabia's Ninth Development Plan. We 
are confident that the Kingdom of Saudi Arabia  will maintain its efforts to increase production 
activities in the non-hydrocarbon sector, in such a way as to assure economic, environmental and social sustainability.  
200. Diversification will not only contribute to a lleviating Saudi Arabia's dependency on fossil 
fuels prices, but will also have a positive impact on ge neral living standards to the extent that the oil 
sector is not labour-intensive, and polices aimed at the increasing public sector employment might not 
be sustainable in the long run. We observe, in th is regard, that the challenge posed to the Saudi 
Government is not a minor one, considering, as the Secretariat estimates, that the country needs to 
create over 5 million jobs by 2030 to meet requirement s of Saudi citizens arriving in the labor market. 
201. Turning to the bilateral relations, trade vol ume between Brazil and Saudi Arabia had a 
significant decrease of about 33% in 2009, due to th e global economic crisis. Ho wever, at the end of 
2010, it had already recovered its pr e-crisis level, and figures for 20 11 were 22% higher than in 2008 
and more than twice that of 2006. We gladly note  that Brazilian growing exports to Saudi Arabia 
includes diversified products such as airplanes, pou ltry, minerals, sugar and agricultural machinery. 
Imports by Brazil from Saudi Arabia, however, are still heavily concentrated in fossil fuels, which 
account for over 95% of the total, despite efforts being made by Riyadh to expand exports of other 
goods. 
202. In any event, bilateral trade is still modest. Th ere is plenty of room for expansion. Such 
potential has been confirmed both during the visit by the Minister of Agriculture from Saudi Arabia to 
Brazil in October 2010, and the visit of the Braz ilian Minister of Commerce and Industry to Saudi 
Arabia, two months later. 
203. At the regional level, MERCOSUR and the GCC signed an economic cooperation agreement 
in 2005, and are currently negotiating a Free Trade Agreement. We consider that a positive outcome 
in such negotiations would certainly contribute to the further expansion and diversification of our 
bilateral trade. 
NEW ZEALAND 
204. New Zealand's trade and economic relationship w ith Saudi Arabia is the most extensive we 
have with any trading partner in the Middle East  region.  Saudi Arabia is New Zealand's most 
significant export market in the region, with e xports worth over NZ$698 million in the year ended WT/TPR/M/256 
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  June 2011, an increase of 36% over the previous year .  While the majority of our exports to Saudi 
Arabia remain our traditional agricultural commod ities, especially dairy products and meat, our 
exports have undergone substantial diversification over the last decade.  Larger quantities of New 
Zealand wood products, machinery and technical e quipment are now being shipped to the Kingdom 
than in previous years. 
205. Saudi Arabia is also a key source of goods imported into New Zealand – with imports from 
that country topping half a billion New Zealand do llars in the year ended June 2011, more than 
doubling the previous year's figure.  The primary focus of these imports remains supplying New Zealand's energy needs, with nearly 60% of the va lue of Saudi imports being made up of crude oil. 
But significant quantities of fertilizers and polymer s are now being imported in addition to the 
petroleum products. 
206. Saudi Arabia has, in recent years, also become a significant source of students for New 
Zealand secondary schools, plus both private and pub lic sector tertiary establishments.  More than 
7,000 Saudi students per year now study in New Zealand. 
207. New Zealand offers its congratulations to Sa udi Arabia on its impressive rate of economic 
growth over the past decade.  Staying in positive growth over the past five years in particular, 
throughout the Global Financial Cris is, and achieving a very credible  rate of GDP growth in 2011 – 
estimated in excess of 6% - are indicative of a count ry with a well-managed economy.  It is clear that 
reforms undertaken to date have positioned Saudi Arabia well to w eather the impacts of the economic 
downturn.  As Saudi Arabia continues to implemen t further economic and regulatory reform, we will 
continue to look to identify those areas – for in stance, the provision of education services and high 
quality food products – where New Zealand is ab le to co-operate closely with the Kingdom. 
208. In closing, I would like to emphasize the va lue we place on the mutually respectful working 
relationship which New Zealand enjoys with the G overnment of Saudi Arabia as we seek to progress 
a range of both bilateral and regional initiatives,  including a Free Trade Agreement between New 
Zealand and the six states of the GCC, of which the Kingdom is a key member. 
TUNISIA 
209. My delegation associates itself with the statement made by Qatar on behalf of the 
Arab Group, and is in full agreement with the anal yses and conclusions contained in that statement.  
My delegation wishes to congratulate Saudi Arabia on the considerable efforts it has made since its 
accession to the WTO to pursue its economic and trad e liberalization policy, in particular through the 
adoption of a development strategy that has resu lted in a positive economic performance in the past 
few years. 
210. Furthermore, Saudi Arabia responded to the gl obal economic crisis through a sizeable fiscal 
stimulus that limited the impact of the world fina ncial crisis and contributed to reviving world 
demand;  also, it has exercised restraint over the imposition of new trade restrictions despite the global economic downturn. 
211. Tunisia welcomes the positive developments in Saudi Arabia's economy and the steps taken 
by the country to improve its investment climat e, including the opening of certain key economic 
activities, such as mining and telecommunications, to  foreign investment, making Saudi Arabia the 
eighth highest recipient of foreign direct investment in the world. 
212. Saudi Arabia believes that regional trade agre ements can be a useful complement to the 
multilateral system, by deepening the integration of markets and reinforcing the role of trade in 
economic growth.  In this framework, Saudi Ar abia has adopted a strategy of openness and  WT/TPR/M/256 
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  liberalization at regional level.  It is one of th e founding members of the GCC and, like the other GCC 
member States, it applies the Common Customs Law wh ich provides for a common external tariff.  In 
2008 the GCC also formed a common market, allowing the free movement of services between the members.  Saudi Arabia is also a member of the Pa n-Arab Free Trade Area Treaty, which entered into 
force on 1 January 1998. 
213. My delegation would like to congratulate the Saudi authorities on the vision for the future 
presented in the government report, that includes im proving the standard of living, diversifying the 
economic base and increasing the productivity of th e economy, in the framework of Saudi Arabia's 
Ninth Development Plan which covers the period 2010-2014. WT/TPR/M/256 
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  V. REPLIES BY THE REPRESENTATIVE OF THE KINGDOM OF SAUDI ARABIA 
AND ADDITIONAL COMMENTS 
214. This first Trade Policy Review is an impor tant milestone for the Kingdom, a little over six 
years after its accession to the WTO.  It has allowed us all to reflect on the reforms that the Kingdom 
has continued to undertake and to assess the progress made.  As mentioned in my introductory 
statement on Wednesday, the Kingdom remains comm itted to complying with its WTO obligations 
and fully supports the world trading system, as embodied by the WTO. 
215. The reports issued by both the Secretariat and the Government in the fra mework of this trade 
policy review have detailed the achievements of the Kingdom over the last six years. It is not my intention to restate the points raised during our  first session, today.  I intend to focus on the 
observations that were made on Wednesday and to develop some of the issues that are key to the 
continued development of the Kingdom within the world trading order. 
216. I would first like to thank all the Members for their recognition and their appreciation.  All 
have acknowledged that the Saudi Arabian economy is robust, as a result of sound, liberal and 
transparent economic and trade policies.  The Kingdom  has, even during the global financial crisis, 
lived up to its commitment by not imposing any trad e protectionist measures.  The attractiveness of 
the Saudi economy for FDI is a sign of its openness and efficiency. 
217. I have structured my comments on the observations made around the five themes that were 
addressed by the Discussant in his perceptive and insi ghtful statement, as most of the Members also 
referred to issues relating to these themes.  I will then address other issues of importance that were 
raised by some Members in their presentations. 
218. First, Saudi Arabia's position in global trad e and its challenge of diversification. The 
diversification of the economic base of the Saudi  economy is a necessity.   The Kingdom has, well 
before it applied to join the WTO, started to u ndertake reforms to build a stable modern economy, 
based on a broad range of varied economic resource s and characterized by a high degree of internal 
integration.  The Kingdom has naturally benefited from its WTO accession to continue to diversify its 
economy, while recognizing that the road ahead is long. 
219. The Kingdom believes that diversification is to be based on market principles and the 
competitiveness of the Saudi economy.  Investment is  important to the sustainable development and 
economic diversification of the Saudi economy.  Hence,  the steps that have been taken to improve the 
investment climate and to encourage doing business in Saudi Arabia.  As a result of these policies, 
there has been a significant incr ease in FDI.  We recognize that it is important to increase the 
contribution of non-hydrocarbon sectors, including sma ll and medium enterprises, to the economy and 
have established the framework for sustained and balanced growth. 
220. Second, structural reforms to strengthen the private sector. The issues of privatization and the 
application of State competition policies to stat e-owned enterprises were raised.  Some Members 
noted that state ownership remains significant in the economy.  The Government Report sets forth the 
details for its continued privatiza tion efforts.  As discussed in the report, privatization contracts for 
several port facilities were completed in 2007, and plan s for other privatizations have been completed 
or are underway.   Other sectors, such as telecommunications, have been further opened up to 
competition. 
221. Third, investment policy.  The Foreign Investme nt Law allows foreign investors to invest in 
local or foreign ventures, provided that general co nditions applicable to new investments are met.  
The Saudi Arabian General Investment Authority (SAGIA) imposes no requirements for new 
investments or foreign investment s other than those in the Foreign Investment Law of 2000 and its  WT/TPR/M/256 
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  Implementing Regulations.  Furthermore, SAGIA established a new department for Government 
relationships to coordinate with Government en tities regarding specific issues faced by local and 
foreign investors.   
222. The impressive standings of the Saudi ec onomy in surveys conducted by international 
institutions, which were referred to in the reports issued by the S ecretariat and the Government, are 
clear indicators that the Saudi investment regime  is attractive.  The Kingdom will continue to 
undertake the necessary actions to en sure that capital inflows into Sa udi Arabia remain significant and 
contribute to the diversification of the economy. 
223. Fourth, transparency.  Let me reiterate that transparency is of utmost importance to the 
Kingdom.  We believe that an open system provides certainty to economic operators.  Since it joined 
the WTO, the Kingdom has observed its notificat ion obligations and has used the opportunities 
available to it to share information on its trade and economic policies with other Members.  The 
Kingdom notifies trade measures to the responsible WTO bodies and responds to request for 
information. As regards regulatory transparen cy, public consultations are becoming a common 
practice. Government authorities are associating the private sector and taking the public interest into 
account when drafting new regulations. 
224. Fifth, the role of the Kingdom of Saudi Arabia in the world trading system.  Since it joined 
the WTO, the Kingdom has actively contributed to the work of this organization.  The size of the 
Saudi delegation today is a sign of the importance of the world trading system for the Kingdom; the 
growing expertise on WTO-related issues amongst a ll government entities; and the interest in WTO 
issues.  The Kingdom has weighed on the DDA nego tiations and will continue to do so.  The 
Kingdom, as an active WTO Member and of the G20,  will spear no efforts to enable the DDA to 
progress towards a successful and balanced outcome. 
225. Before concluding, let me address a few other important issues that were addressed by some 
Members. First, the question of the difference between bound and applied duty rates. The actual 
weighted average customs duty was 3.7% in 2010.  The 5.3% mentioned in the Secretariat Report 
does not take into account preferential trade.  At present, more than 763 products, accounting for 30% 
of total imports, can be imported into Saudi Ar abia duty free. The Kingdom remains committed to 
meet its obligations and will con tinue to provide its trading partners access to the Saudi market. 
226. Second, the protection of intellectual propert y rights in Saudi Arabia. Some delegates 
expressed concerns over enforcement of intellectual property rights in Saudi Arabia.  I would like to 
assure our trading partners that Saudi Arabia is  giving this matter its utmost attention. All 
government-related agencies responsib le for the protection of intellectual property are dedicated to 
strengthening their capacities to fight piracy and counterfeiting. 
227. Third, the question of the future participation of the Kingdom to the Government 
Procurement Agreement (GPA).  I have noted with in terest that Members that are not party to this 
Agreement have commented on the issue.  The re vised GPA that was adopted in December 2011 now 
needs to be reviewed by the Kingdom.  For that purpose, we have requested technical assistance from 
the WTO Secretariat to organize a seminar and a workshop, in the near future. 
228. Last but not least, the Kingdom has provided written answers to the additional written 
questions.  Remaining questions w ill be addressed in due course.  
DISCUSSANT 
229. For our discussions today I would like start by  looking back on the main messages from the 
first day – both positive as well as critical – that Saudi Arabia could take back home for further WT/TPR/M/256 
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  reflection. In a nutshell, what I have heard made  me think about an old Swedish slogan: "Proud but 
not satisfied".  
230. First, as this exercise has shown, Saudi Arabia  has much to be proud of. To recall just a few 
of the positive points that have been raised: Member s have recognized Saudi Arabia's leadership role, 
through its G20-participation, as c oordinator of the Arab Group in the WTO, as well as in its region, 
reflecting Saudi Arabia's growing importance worl dwide; Members have strongly welcomed Saudi 
Arabia's commitment to the multilateral trading syst em, to the work of this Organization and to the 
conclusion of the DDA, and have commended Saudi  Arabia for firmly resisting protectionism; 
Members have expressed appreciation that Saudi Arabia, not least as part of its WTO accession, adopted an open trading regime and for its continue d commitment to this important policy orientation; 
and Members have acknowledged and we lcomed many of the structural and regulatory reform efforts 
of Saudi Arabia to fulfil the objectives of its De velopment Plan and aiming at improving the business 
environment, at facilitating trade and foreign in vestments, as well as at improving intellectual 
property rights, procurement, cust oms, competition policy and alike. 
231. The mere fact that many Members have used  this occasion to express a strong desire to 
deepen their trade ties with Saudi Arabia is, no doubt, evidence of the keen interest that many 
Members have in Saudi Arabia, in its growing wei ght as a trading nation and in the continued success 
of its reforms.  
232. On the other hand, as also highlighted by many Members' interventions and questions, while 
Saudi Arabia has many reasons to be proud – and rightly so – it should not be satisfied. Concerns 
have been voiced on some of the trade and investme nt policies of Saudi Arabia, regarding outstanding 
reforms and on the issue of transparency.  
233. Among them we heard critical messages about the remaining barriers in Saudi Arabia's 
investment regime. Current restrictions were ques tioned, especially in the services sectors and with 
regard to investment caps and compulsory st ake of local ownership. Some minimum capital 
requirements were described as substantial entry barrier s. In this context, problems were also raised 
concerning labour restrictions and the "Saudizati on" program, the functioning of the investment 
agency, as well as the differential tax rates between local and foreign companies.  
234. Furthermore, question-marks have been raised  about the government's excessive and direct 
involvement in the economy, the effects of numerous  state-owned enterprises – also considering their 
exclusion from the scope of the competition legislat ion, the continued use of price regulations for 
some products including energy, and the various  forms of assistance measures and incentives 
schemes. Timetables were enquired for the implemen tation of some pending privatizations. A number 
of Members also called on Saudi Arabia to initia te negotiations for its accession to the GPA and to 
improve the adequacy and enforcement of IPR protection. 
235. On SPS and TBT, concerns were expressed over la ck of information, lack of advance notice 
and, in some case, lack of justification or even compliance with international standards (specifically 
OIE-compliance). Questions were raised about th e mandatory Conformity Certificate for imports. 
Problems of insufficient transparency and predictabil ity were also raised by some Members in relation 
to, inter alia , customs procedures and various administrative hurdles. Saudi Arabia was encouraged to 
narrow (downwards) the gap between its applied and bound tariff rates, to control tariff escalations 
and to review the required certificate of origin fo r imports not subject to preferential treatment.  
236. Finally, while general support was expressed fo r the integration efforts in GCC, it was 
recalled by some Members that such efforts must respect WTO obligations, including on notifications. 
In conclusion, this Review seems to have confirmed that Saudi Arab ia is, overall, on the right track, 
but that reforms should continue. Also, the exerci se has given Saudi Arabia a wealth of advice on  WT/TPR/M/256 
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  where – and in some cases how – it could make impr ovements to its trade policy. Thereby, this first 
Trade Policy Review of the Kingdom of Saudi Arabia  provides a unique opportunity and, if properly 
harnessed in the years to come, I am convinced that  the Kingdom will be reaping even greater benefits 
from the reform path that it has so clearly set out for itself. 
PAKISTAN 
237. We are pleased to note that the country is on th e right path, and as the Discussant just said, the 
country has much to be proud of.  This is supporte d by one single indicator, it ranks eight in FDI 
intakes which speaks not only of the internationa l environment confidence in its predictability, 
openness and security of trading and investment regi me, but also the right path that it various 
institutions has got. 
238. This period was marked by the acute financ ial and economic crisis which has caused a 
shadow on several countries in the region, and Saudi Arabia by adopting prudent policies has come out of it unescaped.  Looking at some of the indicat ors one of my comment is that it looks like some 
of these policies are probably ultra-conservatives.   
239. Due to stability of oil supplies as well as good oil prices, the short or medium range of 
projections of the financial health is good, but looking beyond the medium range and the long range 
there is a great need for diversification away from ove r reliance on one thing which is oil.  Oil has got 
both positive and negative points, for example Saudi Arabia plays the major part in ensuring the 
stability of supply as well as prices of oil.   
240. A country like Pakistan benefits by providing labor to Saudi Arabia as well as a big amount of 
remittances for us by Saudi Arabia. But at the same time, Saudi Arabia  needs to diversify and look at 
its efforts to diversify and there is still a lot more ne eded to do in this direction which is going to put 
some strain on Saudi Arabia's fiscal position. If I could explain that along with that Saudi Arabia would also need to enhance social sector expendi ng, one primary objective has been given to increase 
local level participation through "Saudization".  That will also entail some loss of control in the state 
sector and stimulation of the private sector which will involve more fiscal outlays.  But at the same 
time I must say that so far the social expenditure th at they have undertaken has reflected some very 
good indicators in terms of FDI, life expectancy, in fant mortality rate, expected years of schooling. 
241. While they increase their expenditure for dive rsification as well as foreign investment for 
future arrangements in the social sector, I think th ey will have the problem of controlling overheating 
of the economy and also they are suffering from the high inflation as we know.  The inflation is largely because they have to import their food items , and therefore the highline inflation figures are 
higher than the core inflation, and there is little that they can do about it.  But at the same, when they 
are making a switch towards their capital market devel opment there are two things that I have to say.  
They also have this housing stress and rents are higher and probably they will have to develop a 
secondary market for mortgage finance. 
242. Saudi Arabia has a problem in the agricultural sector.  They made efforts to stimulate the 
agricultural production but we have seen that they have  to scale back production.  I am not sure if they 
have also experimented with biotechnology in a m eaningful way to come off with varieties which 
consume less water.  Services are a very major sector . What it is noticeable is the running of balance 
of payments deficit of over US$66.000 million.  They ha ve to look into the reasons and to remove this 
imbalance, on probably there are several r easons including investment caps on sectors. 
243. We have read on the Report that they are becoming a part of the Monetary Union.  Their 
exports are now increasingly weighing to emerging economies like China and India, and therefore I 
can see their business cycle getting more to the East than to the West.  They are also showing a WT/TPR/M/256 
Page 38  
 
  greater involvement in the GCC so we would be witnessing greater harmonisation and greater 
regulatory harmonisation within the GCC itself.  Anot her point which I also noted is that they are 
providing subsidies to petrol and water.  I can understand subsidies in wate r but I cannot understand 
why they are subsidizing petrol.    
UNITED STATES 
244. We have reviewed your answers carefully with our experts in Washingt on D.C. and we would 
like to offer some additional follow-up questions. 
245. The first follow-up question is with respect the first U.S. question that we posed, which said 
"According to the GCC Common Law, would an antidumping, countervailing duty or safeguard 
measure apply to imports into all members of th e GCC or may such measures be applied only to 
imports into certain members of the GCC?  The response of Saudi Arabia was as follows:  The 
Implementing Regulation stipulates that, as a rule , anti-dumping, countervailing duty and safeguard 
measures apply to all imports into the GCC.  However, the application of anti-dumping, 
countervailing and safeguard measures may be limited to one or several Member States of the GCC, 
as per the exceptions provided in the Implementing Regulation.  We would ask to please clarify what 
these exceptions are.  Please also clarify how the injury, dumping and subsidization determinations 
will be made (whether on GCC-wide basis, or country specific basis)? 
246. Also in question No. 1 we asked if there is a discrepancy between the GCC Common Law  
and Saudi Arabia's national laws, wh ich law will prevail?  The response indicated that "there will be 
no discrepancy between the laws because the am ended GCC Common Law will be ratified by Saudi 
National Authorities and will be published in the Saudi  Official Gazette."  Please clarify whether your 
response means that GCC Common law will become Saudi Arabia's national law.   If not, please 
explain why there will be no discrepancy between the two laws.     
247. The third follow-up question is on Saudi Arabia 's response on the questions on paragraph 2 of 
the WTO Secretariat Report.  Saudi Arabia indicated  that certificates of origin are required for all 
products, including non-preferential im ports, and that the certificate must be issued by "the competent 
authorities in the exporting country in accordance with procedures of these countries."  Can Saudi 
Arabia please explain who are such competent authorities?  In cases wh ere neither the exporting 
country's government ministries nor the local Chambe r of Commerce will issue a certificate of origin, 
how would a company obtain an appropriate certificate of origin?  In connection with that, has Saudi 
Arabia considered less burdensome measures to ac complish its goal of combating fraud and obtaining 
trade statistics?  
248. Turning to IPR issues, Mr. Minister I would not e your remarks this morning and we welcome 
them regarding your dedication to strengthening the capacity to fight piracy.  We posed a question 
(U.S. question No. 19), does Saudi Arabia plan  to accede to the World Intellectual Property 
Organization's Copyright Treaty (WCT) and/or WIPO's Performances and Phonograms Treaty 
(WPPT)?  In Saudi Arabia's response you indicated th at they are currently being reviewed by the IPR 
Standing Committee to evaluate the pros and cons of acceding to th em. As a follow-up we kindly ask 
that you identify each of the IPR treaties that are currently under consideration by the IPR Standing 
Committee.   
249. For the fourth follow-up question (U.S. question on page 50, paragraph 106), "The Secretariat 
indicates that the Copyright Law protects works "as far as their distribution is allowed in Saudi 
Arabia."  Please explain this statement and whethe r copyright protection for copyrightable works in 
Saudi Arabia is subject or conditio ned upon any type of content revi ew.  Saudi Arabia responded that 
content review is carried out to ensure that work s do not conflict with public  morals. Prohibited works 
do not enjoy any benefits in Saudi market anyhow .  As a follow-up question we would ask if a work  WT/TPR/M/256 
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  fails Saudi Arabia's content review mechanism, is it stripped of or otherwise denied copyright 
protection in Saudi Arabia?  If Sa udi Arabia denies copyright protec tion to such works, please explain 
that practice in light of Article 5(1) of the Bern e Convention, as incorporated by Article 9.1 of the 
TRIPS Agreement. 
250. And finally with respect to a question we posed  referencing page 50, paragraph 107 of the 
Secretariat Report:  The Secretariat indicates that Saudi Arabia's Copyright Law provides a 
reproduction right.  Is this covere d in Article 9: Financial Rights under "The author, or whoever he 
delegates, shall have the right to exercise all or  any of the following ... all forms of material 
exploitation of the work in general"?  If not, pl ease indicate which provision of the Copyright Law, 
and/or the Implementing Regulations, provides for a ri ght of reproduction.  Saudi Arabia's response:  
yes, Article 9 of the Saudi Copyrights Law warrants reproduction rights in accordance with Article 9 
of the Berne Convention of 1886.  Our follow-up qu estion is if you could please identify the specific 
language from Article 9 of the Saudi Copyrights Law that provides a right of reproduction.   
EUROPEAN UNION 
251. Saudi Arabian replies to our questions provi de us with essential information necessary to 
understand the situation in Saudi Arabia on issues rai sed in our first submission. However, we have 
prepared some follow-up questions in some ar eas where we would appreciate some further 
information. 
252. First, our questions on trade-re lated labour and social issues, which have not been answered 
by Saudi Arabia with the explanation that these questions are outside "the WTO scope". The EU 
would like to clarify that WTO TPRs address a wide  range of issues such as macroeconomic policy 
and other policies that have an impact on trade pol icy, including thus a country's contribution to 
sustainable development and labour policies that are conducive to fostering trade and development. 
Therefore, the EU would like to emphasise that trad e-related labour and social issues do form part of 
this exercise, and note that TPR reports either partially or under separate section (in case of some Members' policy statements) cover these policies. 
253. The EU would also like to recall that sustainable development is an overarching policy 
objective of the international community. Social development, economic gr owth and environmental 
protection are inter-related and mutually reinforcin g components of sustainable development. It is 
incumbent upon WTO Members to ensure both that in ternational trade contributes to – and certainly 
does not undermine – sustainable development a nd that goods and services which may be traded 
internationally are produced in a manner that does not violate the fundamental principles and rights at 
work as set out by the ILO.  The EU remains convinced that trade-re lated labour and social issues do 
fall within the ambit of the WTO TPR process and therefore, we kindly invite Saudi Arabia to 
respond fully to these questions, now presented as follow-up questions. 
254. Secondly, we have a follow-up question relate d to The King Abdullah Agricultural Initiative, 
allowing private Saudi Arabian businesses to invest in agricultural projects in other countries; here we 
have asked for further details on "off-taking agreemen ts" referred by Saudi Arabia in its reply to our 
initial question. 
255. We have also presented few additional questions  on IPR, SPS measures and on Saudi Arabia's 
plans to put in place a duty-free-quota-free scheme for goods from LDCs. We will submit our follow-up questions to Saudi Arabia in writing via the WT O Secretariat and hope Saudi Arabia will provide 
its replies within 1 month after the meeting, according to rules of TPRs.  
256. We would also like to touch upon an issue ra ised in our statement on Wednesday, namely - 
recalling the WTO rules applied to regional inte gration initiatives and in particular, as regards WT/TPR/M/256 
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  customs unions, which are solely governed by GATT 1994 Article XXIV. In this context, allow us to 
again invite Saudi Arabia to undertake the necessar y measures to ensure that the GCC Customs Union 
complies with these legal requirements. 
257. The EU hopes that this first Trade Policy Re view meeting has given Saudi Arabia some 
valuable feedback from other WTO Members on its trade policies and measures. The EU encourages 
Saudi Arabia to continue its efforts toward s further facilitating trade, including simplifying 
requirements and procedures related to imports and exports, and enhanc ing the overall economic 
environment in a sustainable way. 
JAPAN 
258. Japan has a follow-up question regarding the r esponse to question No. 11 of the European 
Union.  According to "the list of agricultura l and industrial goods of different customs duties 
percentage in Saudi Arabia from the rest of the GCC countries" submitted by Saudi Arabia in 
response to the EU question, there are about 560 goods in 8-digit HS codes which Saudi Arabia 
reserves its right to impose differential duties from th e rest of the GCC countries. Could Saudi Arabia 
elaborate on the reason for keeping higher tariff ra tes for these goods?  Is there any prospect that 
Saudi Arabia might eliminate or cut the tariff rates on these goods in the future?  WT/TPR/M/256 
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  VI. CONCLUDING REMARKS BY THE CHAIRPERSON 
259. This first Trade Policy Review of the Kingdom  of Saudi Arabia has given us a better 
understanding of the evolution of its trade and rela ted policies since its accession to the WTO in 2005, 
and enabled us collectively to measure the challenge s it faces in maintaining its economic prosperity.  
Our discussion has proved more engaging thanks to the full and open participation of the 
Saudi delegation, led by H.E. Dr. Tawfiq Al-Rabia h, Minister of Commerce and Industry, and by the 
insightful remarks made by the discussant, H.E. Amb assador Joakim Reiter of Sweden, as well as the 
active participation by numerous Members. 
260. Saudi Arabia's sound economic po licies and its outward-looking tr ade regime have enabled it 
to successfully weather the global crisis without  backsliding on trade liberalization despite a 
deterioration of certain macroeconomic indicators in 2009. Saudi Arabia has been encouraged by 
Members to continue its structural reforms and de velopment strategy which, together with high oil 
export earnings, have contributed to a positive ec onomic performance during th e period under review.  
Saudi Arabia is also taking steps to divers ify the economy away from hydrocarbons and ensure 
intergenerational equity in the exploitation of its no n-renewable resources through the improvement 
of education and health services and modernization of its infrastructure. A key challenge of Saudi 
Arabia's development process is to increase the partic ipation of the private sector (local and foreign) 
in the economy and scale-back reliance on th e public sector to absorb domestic labour. 
261. Members welcomed Saudi Arabia's commitmen t to the multilateral trading system and 
encouraged it to further foster its participati on and leadership in the WTO commensurate with its 
growing importance, regionally, worldwide and not le ast as a G20 member, given that it benefits from 
the open trading system and is relying on trade for its own goals of economic diversification. Saudi 
Arabia's market for all products is open. Saudi Ar abia participates in two overlapping regional trade 
agreements: the Gulf Cooperation Council (GCC), where full implementation of the customs union is 
expected to take place by the end of 2015, and the Pan Arab Free Trade Area (PAFTA).  
262. The numerous statements, questions and replies voiced in the course of this Review have 
highlighted the fact that there is room for fu rther streamlining of Saudi Arabia's trade and 
trade-related policies. There are in fact a number of areas where reforms could be both beneficial to Saudi Arabia and would help strengthen its in ternational trade, which Saudi Arabia itself 
acknowledged as being integral to its continued pros perity. The Saudi authorities might give thought 
to improvements that could be made in the following spheres: 
 Tariffs:  Despite Saudi Arabia's relatively low leve l of tariff protection, some Members called 
for further action, including bringing its tariff bindings down close to its applied tariff rates. 
 SPS and TBT:  Saudi Arabia was encouraged to improve  transparency by allowing interested 
parties more time to review and comment on  standards and SPS measures, and eliminate 
certain technical requirements to further reduce costs for traders. 
 Investment and business environment:  Members acknowledged the recent measures taken 
by Saudi Arabia to improve its investment and business environment. They requested Saudi 
Arabia to communicate this better through activ ely promoting policy transparency as well as 
through enhanced WTO notifications, which w ould further facilitate trade and investment. 
 Government procurement:  Some Members encouraged Saudi Arabia to amend its 
government procurement regime to remove the price preferences for domestic and GCC 
products, and accede as soon as possible to the G overnment Procurement Agreement (GPA).  WT/TPR/M/256 
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   Competition:  Saudi Arabia was requested to c onsider broadening the scope of its 
competition legislation and to cover public and wholly state-ow ned corporations given that 
State ownership remains significant throughout the economy . 
 Intellectual property: Several Members noted the steps taken by Saudi Arabia to improve 
the protection of intellectual property and the Saudi delegation also emphasized the 
importance of a strong and efficient intellectual property system.  However, some Members 
encouraged Saudi Arabia to further strengthe n its implementation and enforcement actions.  
 Agriculture:  Some delegations welcomed Saudi Arab ia's programme to encourage private 
companies to invest in farm projects abroad for food security purposes and encouraged the 
Government to use this as a basis for deepen ing mutually beneficial collaboration with host 
countries.  
 Energy:  Some Members encouraged Saudi Arabia to review its domestic prices on energy 
products in view of its plans to become a more energy-efficient economy. 
 Services:  Despite progress in the liberalization of trade in services, Members continued to be 
concerned by foreign ownership and market access restrictions in some areas, such as audio-visual, media, and land transportation. 
263. This successfully concludes our first Review  of the Kingdom of Saudi Arabia. The large 
number of advance questions and the many interven tions by Members indicate the important role 
played by the Kingdom of Saudi Arabia in the multilateral trading system. Following the global 
financial crisis that started in 2008 and current uncertainty in the global economy, the policy direction 
that the Kingdom of Saudi Arabia is going to take will be very important for its future development 
and for the world economy at large. 
 
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