The United Arab Emirates and Israel recently signed an economic and trade deal following the normalization of relations between the two countries last year (see 2106070068), the Hong Kong Trade Development Council reported July 9. Under the agreement, signed June 29, both countries will allow the “free flow of goods and services,” promote more industry collaboration and find ways to improve trade and eliminate trade barriers, HKTDC said. The deal will be in effect for five years once it’s ratified, then automatically renewable for consecutive five-year periods.
Qatar became the fifth member of the Gulf Cooperation Council region to adopt the Transports Internationaux Routiers transit agreement, a global transit system that allows for sealed cargo transport between member countries, the Hong Kong Trade Development Council reported July 7. The TIR, which is backed by the United Nations, will help Qatar reduce transit time for certain imports by up to 92% and will ensure goods arrive at their destination “with the highest security standards,” HKTDC said. It said Qatar’s June implementation of the TIR will “boost the country’s position as a strategic trading partner.”
Saudi Arabia recently issued rules for determining the origin of imported goods, KPMG said July 6. The rules, which took effect July 2, “reiterate” the Gulf Cooperation Council origin conditions and also require a minimum 25% nationalization threshold “with respect” to the entity that manufactures the GCC-origin goods, KPMG said. Saudi Arabia also will treat goods manufactured by free-zone businesses as foreign goods even if those goods include raw materials of GCC origin. KPMG said the rules “appear to exclude any duty-exemption benefit to free zone businesses.” The rules also include more information about the definition for “direct consignment.”
South Africa recently reintroduced restrictions on the sale, dispensing and distribution of liquor products for two weeks due to a surge in COVID-19 cases, the U.S. Department of Agriculture Foreign Agricultural Service said in a July 1 report. The prohibition, which took effect June 27, is the fourth ban on liquor since lockdowns began in March 2020 and will affect imported liquor products, USDA said. The agency said this could “dampen the recovery and growth” of U.S. liquor exports this year.
Kenya will introduce changes to customs duties for various imports for the coming fiscal year, including agricultural products, jewelry and motorcycles, the Hong Kong Trade Development Council reported July 5. The country will increase duties from 25% to 30% on a range of food goods -- including peas, tomatoes and potatoes -- and place a 10% duty on luxury goods and jewelry made from precious metals and a 15% duty on imported motorcycles. Other duties were maintained, including a 25% duty on iron, steel and raw materials for manufacturing leather and footwear and a 35% duty on imported furniture. HKTDC said Kenya will also extend a duty exemption for imports used to manufacture personal protective equipment and other items to combat COVID-19.
Nigeria recently opened a railway connecting two of its most populous cities, which is expected to “radically improve” the flow of goods and freight, the Hong Kong Trade Development Council reported June 30. The Chinese-backed railway connects Lagos to Ibadan and will help goods more easily flow from Lagos’ Apapa port complex and “substantially reduce the time and money lost to persistent traffic gridlock” at seaports, the report said. The railway will also benefit landlocked importers in countries bordering Nigeria.
Saudi Arabia recently suspended poultry imports from three key trading partners, making it unclear how the country will meet domestic poultry consumption demand, the U.S. Department of Agriculture Foreign Agricultural Service said in a June 21 report. FAS said Saudi Arabia suspended imports from 11 Brazilian poultry plants in May and placed restrictions on imports from France and Ukraine this month, moves that will have “serious repercussions on the Saudi import poultry market.” U.S. poultry exporters can’t ship to Saudi Arabia because the country imposes a “strict ban” against “stunning during the poultry slaughtering process.”
Ghana recently introduced an e-payment portal to allow traders to do business “more conveniently” with the Ghana Ports and Harbours Authority (GPHA), the Hong Kong Trade Development Council reported June 22. All terminal charges can be paid through the new portal 24 hours a day, which officials described as “very secure,” the report said. The portal will help traders save time and money and reduce “the problem of fake GPHA invoices being used to defraud port clients,” HKTDC said.
Starting July 1, Egypt will ban imported cargo that is not registered on its new cargo information system, the Hong Kong Trade Development Council reported June 18. The country is requiring importers to register with the Advance Cargo Information system, which will help traders and customs officials speed up clearance procedures. After they are registered, importers must send their shipping and cargo data and documents, including packing lists and invoices, before they can ship cargo.
Kenya recently launched a single window system for all arrivals and departures through the Port of Mombasa, the Hong Kong Trade Development Council reported June 17. As of June 2, all licensing shipping lines and agents had to begin using the new Kenya Maritime Single Window System, which allows for the “one‑off submission” of pre‑arrival and pre‑departure declarations to government agencies at Mombasa port, HKTDC said. The system is expected to help traders “substantially” reduce times loading and unloading cargo, decrease port congestion and lead to savings on demurrage charges by “accelerating cargo throughput.”