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| Accueil
| Guide pratique | Réglementations commerciales
au Moyen-Orient |
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Arabie Séoudite |
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Bahrein |
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Egypte |
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Emirats Arabes Unis |
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Kowait |
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Oman |
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1. Local
representation / agents and distributors agency legislation |
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In general
a locally-based distributor or agent will have a better
understanding of the marketplace than staff from the foreign
company who visit Yemen only occasionally. |
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An aggressive
campaign carried out in conjunction with the local distributor
or Agent is probably the best marketing strategy. |
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It is not
a legal requirement to appoint an agent unless a foreign
company is involved in a government tender for vehicles,
machinery or equipment. |
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Agents should
be appointed with care.They should be appointed on a 12
months trial basis or, if more appropriate, on a project
by project basis. The letter of appointment should state
the duration of the agency (it is advisable not to enter
into an open-ended relationship) and the percentage of commission.
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There
are two types of Agent in Yemen: the Importing Agent and
the Commission Agent.
The Importing Agent's duties are:
- To place orders to satisfy the local market.
- To raise Letters of Credit to enable the principal
to execute orders for goods.
- To provide maintenance and spare parts for machinery
and equipment.
- To establish a distribution network and provide suitable
vehicles for distribution.
The Commission Agent's duties are:
- To notify the principal of any tender on the day of
announcement or in advance, if possible.
- To purchase tender documents and to promptly deliver
them to his principal.
- To clarify any vague specifications or conditions
in the tender document.
- To obtain the bid bond from the bank. To submit it
along with the bid to the client and attend the envelope
opening ceremony.
- To follow up the bid with the client and notify the
principal as to who the competitors are and thereafter
keep him up-to-date on progress.
- To assist the principal in understanding the local
laws and regulations, avoiding loopholes and give guidance
as to how to execute the contract. The Agent would also
be expected to provide office facilities for the principal.
The normal rate of commission for a Commission
Agent is:
- 2 - 3% if the contract's total value is over US$1million
- 4 - 5% if the contract's total value
is between US$500,000 and US$1 million
- 5 - 10% if the contract's total value is less than
US$500,000.
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There is
nothing unusual in an Importing Agent representing two or
three competing brands of product.
Some of the larger trading houses cope with this by creating
subsidiary companies. In some cases principals, despite
having an Agent, may export their products directly to end-users. |
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Should a
dispute occur between a principal and his Agent, any correspondence
relating to the dispute should be copied to the Ministry
of Supply and Trade. It is recommended that commercial disputes
should, if at all possible, be settled out of court. The
local Chamber of Commerce might be able to help. |
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2. Labelling
regulations |
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The production
and expiry dates, in both Arabic and English must be printed
clearly on the packaging of all foodstuff or pharmaceutical
products imported into Yemen. |
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For
all other products, GCC or international standards apply. |
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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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3. Exchange
controls |
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There are
no restrictions on the import of foreign currency into Yemen.
Central Bank approval must be sought if exporting foreign
currency in excess of US$10,000. |
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4. Import
controls |
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Information
about import duties, import control regulations and other
relevant legislation can be obtained from either your commercial
attache in Yemen. |
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5. Export
Controls |
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The Europeans
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
- concerns about terrorism
- internal repression
- other human rights violations
If goods or technologies are subject to your States export
controls, a licence is required to gain the legal authority
to export them. |
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6. Documentation |
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The
following documents must be presented to Customs Officers
on importation:
- Bill of lading
- Delivery order from the company
- Insurance certificate
- Purchase invoice
- Packing list
- Certificate of origin (this is not always required)
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7. Customs
duties |
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Customs
Duties are charged according to the value of the goods -
ex-works price, shipment charges and insurance:
- Raw materials -5%
- Semi-manufactured materials -10%
- Ready materials -15%
- Highest rate of Duties -25%
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Commercial
samples and Temporary Imports
- These are carried by the visitor and the details are
recorded in the visitor's passport. The note is deleted
when the samples are taken out of the country.
- Where significant quantities of samples are being
imported (eg for an exhibition) the Customs Authority
will require the company, or its Yemeni Agent, to provide
a bank or cash guarantee covering the liability to customs
duty and taxes. If any of the samples are sold or disposed
of a deduction will be made and the balance of the guarantee
returned.
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