This month we bring you a special focus on a continent that boasts the world’s largest free trade area, a diverse economic make-up and increasing political stability. The latest edition of Law Update focuses on Africa, a territory that continues to be an attractive business and investment destination.
Like the rest of the world, Africa is still re-building from the impact of COVID-19, however, there continues to be an optimistic view of the opportunities the continent presents. An example of the appetite for investment into Africa was captured in a report we commissioned, titled Legal Leaders in MENA. Our survey of legal leaders revealed a resounding desire to expand into new territories, with 81% naming Africa as their investment destination of choice.Read the full edition
The KSA Zakat, Tax and Customs Authority has on 2 July 2021 issued an immediately effective new decision No. 3852 (the “Decision”) setting new customs regulations. The Decision relates to GCC countries only.
Goods that moved from free zones and duty-free markets to the customs department shall be treated as foreign goods, even if they include local raw materials or items for which customs duties were paid before entering the free zones and duty-free markets.
Verification of Origin
Rules and conditions of origin verification shall be issued under a resolution of the Governor of Zakat, Tax and Customs Authority.
Non-National Origin Commodities
A commodity shall be a non-national origin one, if any of its components is produced or manufactured in the Zionist Entity or any of the neutral elements set forth in Article (9) of the capital producing it is owned, in whole or in part, by Israeli companies or companies listed in the Arab Boycott of Israel.
There was no explanatory memo issued with the Decision. The scope of the Decision implementation including whether it will apply to all other GCC countries equally or if some countries will be exempted is still yet to be inquired.
Our Transport & Logistics sector team are available to advise on further details and product specific queries based on the Decision.