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| Practical
Guide | Export Procedure |
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Saudi Arabia |
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Bahrain |
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Egypt |
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United Arab Emirates |
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Kuwait |
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Oman |
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Syria |
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Yemen |
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1. Local
representation / agents and distributors agency legislation
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Goods are
usually sold through a local agent who has exclusive rights
to the distribution and sale of the relevant product. |
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It is not
obligatory to have an agent in order to sell products in Bahrain,
although establishing new business works best with a carefully
chosen Bahraini partner or advisor, who is able to keep in
contact with customers, seek business and provide information
on the latest market trends. |
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A 'commercial agency' exists wherever a foreign company
appoints a Bahraini agent as the exclusive representative
of its product or service.
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This relationship
is governed by local law. Detailed investigation by the importer
is necessary in order to find a good agent. |
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2. Exchange
controls |
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There are
no restrictions on the outward or inward flow of funds for
either nationals or locals. There are no exchange control
formalities on the investment of foreign capital once the
investment has been approved. |
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3. Import
controls |
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Most exports
to Bahrain are subject to pre-shipment inspection. Most goods
may be imported and exported. However, trade with Israel is
banned and an Israel Boycott Office administers the ban. |
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Items prohibited
for import include irradiated food products, pornography,
wild animals, radio-controlled model airplanes, children's
toys containing methyl chloride, and foodstuffs containing
cyclamate. Drugs and medicines may only be imported by a pharmacy
licensed by the Ministry of Health. |
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4. Import
licensing |
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All importers
must be registered with the Bahraini Ministry of Finance as
well as the Bahrain Chamber of Commerce.
Major companies with Bahrain Government shareholdings, such
as Gulf Air and ALBA, may import goods directly. |
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Import licenses
for items to be sold in Bahrain are issued only to locally-established
companies which are 51% Bahraini-owned. Under the Commercial
Agency Law, goods manufactured by a firm with a registered
agent in Bahrain may only be imported by that agent, or upon
payment of 5% commission to the registered agent by a third
party. |
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Special import
licences are required to import alcoholic drinks, ammunition,
weapons, pharmaceutical and artificial pearls. Imported foodstuffs
are subject to inspection by the Director of Public Health.
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5. Standards
and technical regulations |
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For food products,
shelf-life standards are enforced. Production and expiry dates
must be printed on the original label or container. |
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Pharmaceutical
products must be imported to Bahrain directly from a manufacturer
which has a research department. Products must be licensed
in at least two other Gulf Co-operation Council (GCC) countries,
one of which must be Saudi Arabia. |
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Bahrain has
an ongoing commitment to adopt international standards for
manufactured and imported products. |
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Imported beef
and poultry products require a health certificate from the
UE and a halal certificate issued by an approved Islamic centre
in the manufacturer country. |
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6. Labelling
and packaging regulations |
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- All labelling
must be in Arabic or Arabic/English.
- Stickers are not accepted as adequate labelling.
- Food labels must include: product and brand names, production
and expiry dates, country of origin, name of manufacturer;
net weight (metric units) and a list of ingredients and additives
in descending order of importance. |
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7. Export
controls and licensing |
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The European
Government maintains export controls to prevent the export
of goods, including technology, for a variety of reasons including:
- the collective security of the European States and its
allies in NATO
- national security and foreign policy requirements
- international legal obligations and commitments
- non-proliferation policy
If goods or technologies are subject to your State export
controls, a licence is required to gain the legal authority
to export them. |
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8. Documentation |
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All documentation
must be in either Arabic or English.
A certificate of origin, issued by an authorised Chamber of
Commerce and verified by an Arab Embassy, is also required.
The importer must produce a commercial invoice in duplicate
with the supplier's certification of the actual manufacture.
Four copies of bills of lading are required, as well as a
copy of an insurance policy, if applicable. If the exporter
does not have a properly authorised agent in Bahrain, customs
officers are at liberty to impound goods and, on occasions,
demand the equivalent of the agent's profit or commission.
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Fax signatures
are not accepted by customs. Documents, whether originals
or duplicates, must all have original signatures. |
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9. Commercial
samples and Temporary Imports |
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There
are two free-trade zones which may be used for goods to be
re-exported. |
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Samples of
no commercial value may be imported duty free.
Samples in saleable condition may be imported on a cash deposit
of 15% of the normal duty, plus a 50% surcharge. The deposit
is repaid when the goods leave Bahrain. |
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Small quantities
of goods with English-only labels are accepted on a case-by-case
basis for use in test marketing.
Jewellery samples Valuable jewellery
and precious stones are allowed in on payment of a deposit
of 10% of value or against a bank guarantee, provided that
one presents a full list, with values, on arrival.
Duty will then be charged only on the items which are actually
sold. Cultured pearls are prohibited. |
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10. Customs
duties |
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Customs duties
are usually 5% on foodstuffs and necessities.
However, from 1 January 2000, 51 food commodities have been
exempted from liability. These include all kinds of meat,
fish, diary products, fruit, vegetables, rice, flour, sugar,
barley, baby food and sweets, books, newspapers, magazines,
unfinished silver, gold, platinum and wheel chairs for the
disabled and their parts.
5%-10% on non-essential goods, 20% on motor vehicles.
50% on tobacco and tobacco products.
125% on alcoholic drinks and 20% on fully-processed corn and
palm oils.
The cuts in import tariffs stem from the GCC customs union
agreed at the 20th GCC summit in Riyadh. Under the new regime,
to be fully implemented by March 2005, luxury goods will attract
only 7.5% duty compared with 20% at present. |
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There are
free trade zones : north Sitra, the Mina Sulman port. In these
zones, no tax or duty is payable on imports of raw materials
or semi-finished goods for manufacture, and imports for development
projects, trans-shipment or re-export. |
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