Industry Ministry launches 15 enablers, incentives for Saudi AEO program

The Ministry of Industry and Mineral Resources launched 15 enablers and incentives for establishments that are members of the Saudi Authorized Economic Operator (Saudi AEO) program.

The ministry said in a statement that it believes in the program’s importance in supporting the competitiveness of Saudi exports and enhancing their access to global markets, which supports the Kingdom’s position as a global logistics hub.

The ministry provides administrative support to national entities, encompassing the assignment of liaison officers and account managers to facilitate investor engagement and address their concerns. Furthermore, incentives include long-term industrial land leases (up to 30 years) and access to on-demand product manufacturing.

It offers financial support through the Saudi Industrial Development Fund (SIDF), including up to 75% project financing with extended repayment terms (up to 20 years) and grace periods (up to 36 months). It also provides access to SIDF's advisory services and SIDF Academy’s programs.

The Saudi AEO contributes to enhancing the customs and logistics services system, facilitating trade exchange and reducing the time spent on commercial operations, in addition to developing the efficiency of supply chains, and supporting the competitiveness of national exports, in accordance with the best international standards and practices.

According to the data available on Argaam, the Zakat, Tax and Customs Authority’s (ZATCA) board of directors recently approved to update the policy of the Saudi AEO program.

The ZATCA, in cooperation with 15 government agencies, worked to develop the Saudi AEO program by adding new benefits and incentives for importers and exporters who are members of the program.

This collaborative effort strengthens partnerships between government agencies and businesses in the import-export sector, enhances global supply chain security, and provides significant advantages to the Saudi AEO program members.

Since its inception in 2018, the Saudi AEO program has enrolled over 550 commercial establishments. Recognized globally by 80 countries, the AEO program, aligned with the World Customs Organization’s (WCO) standards, offers benefits to commercial establishments. Mutual recognition agreements between countries are crucial for facilitating trade and maximizing the benefits of AEO membership.