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The Ministry of Industry and Mineral Resources logo
The Ministry of Industry and Mineral Resources is working to protect local industries from unfair competition, by enacting policies that contribute to empowering them and increasing their competitiveness, SPA reported.
The ministry stated that this is being done in a manner that does not contradict the Kingdom's obligations arising from its accession to the World Trade Organization (WTO), Gulf and international agreements, in order to create a fair competitive environment and attractive to industrial investments.
The ministry is working to create this environment by applying several tools in cooperation and coordination with various government agencies.
The unfair competition exists in several aspects, including flooding local markets with goods at lower prices than the country of origin, unjustified increase in imports, support provided by the exporting countries’ governments, non-conformity of specifications and standards, in addition to the violation of the standards of origin, as well as the provisions of the competition system and some local regulations.
The ministry indicated that it works through committees and teams and in coordination with the concerned government agencies, such as the General Authority for Foreign Trade; the Saudi for Standards, Metrology and Quality Organization; the Customs Authority; the Food and Drug Authority; and other government agencies related to activating the appropriate protection tools that fall within the powers and responsibilities of each party.
The tools to protect against unfair competition are represented in the application of technical regulations and standard specifications for a number of affected industries, raising the customs tariff for a number of goods to the customs ceilings that are bound by WTO, and the application of the principle of reciprocity on the Kingdom's imports from countries that impose measures or precautionary measures against Saudi exports, in addition to the application of import licenses.
The ministry also emphasized that it is in the process of implementing other protection tools, in coordination with the concerned government entities, to protect the national industry from harmful practices, and to activate the available tools that would contribute to encouraging national industries.
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