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  • Exporting goods to Saudi Arabia: Ministry of Industry and Trade issues recommendations 01/29/2024

    Jan 29th, 2024

    Exporting goods to Saudi Arabia: Ministry of Industry and Trade issues recommendations The Import-Export Department (Ministry of Industry and Trade) has just issued recommendations for businesses exporting to the Saudi Arabian market. Specifically, the Import-Export Department received information from the Vietnam Trade Office in Saudi Arabia, announcing internal information from the Saudi Food and Drug Administration (SFDA) to the leaders of the Federation of Departments. Commerce, Chamber of Commerce Riyadh, Jeddah, Dammam regarding the fact that some food products exported to Saudi Arabia have Halal certificates but the agency issuing these certificates is not on the list approved by SFDA or authorization. This will result in suspension of customs clearance or return of goods to the export port due to SFDA regulations under Royal Decree (M/1) dated October 30, 2014 and the Law on Food Hygiene and Safety Management No. 3-16-1439 dated December 27, 2017 issued by SFDA. The Import-Export Department recommends that member businesses exporting food to the Saudi Arabian market need to monitor, capture information and comply with regulations on Halal certification. In case a business is exporting goods, the goods have been or are on their way to the ports of Riyadh, Jeddah, Dammam, we recommend accessing the Halal certificate of the unit authorized by SFDA to avoid having the goods detained or returned. According to data from the General Department of Customs, in the first 10 months of 2023, Vietnam's export turnover to this market reached 938.22 million USD, an increase of 61.03% over the same period last year. In October alone, this turnover increased by 63.94% over the same period last year, equivalent to 89.68 million USD. Vietnam's 5 main export product groups to Saudi Arabia in the first 10 months of 20203 include: Phones of all types and components; other machinery, equipment, tools and spare parts; Seafood; cashew; textiles. Previously, Vietnam's Commercial Counselor in Saudi Arabia informed that this country has great demand for agricultural products, food, Halal, organic food, fresh vegetables and fruits. Imports from Vietnam reach 200 million USD/year, of which agricultural and aquatic products reach over 80 million USD. The country also has strict regulations when goods must be registered with the Saudi Arabian Food and Drug Authority and must be accepted by this agency. In addition, this agency also enforces very strict inspections and examinations. They have the right to officially inspect the operating procedures of competent authorities in the exporting country to verify that legal regulations are followed. The laws and management systems in that country comply with Saudi Arabia's food laws …. However, to ensure successful trade, Vietnamese businesses should go through reputable units to verify partners and better understand corporate culture, as well as the contents of commercial contracts.