The General Authority of Customs (GAC) has launched a new service named “Importing for re-export”, it was announced in a statement yesterday. 
Under the service, goods can be imported into the country with the purpose of re-exporting them in whole or part without paying the customs duties within six months from the day they are released by the GAC, subject to certain conditions and bank guarantees.
The conditions include: The total value of the merchant’s imports should not be less than QR50mn throughout the year, the importing company should not have records of any customs violations for the last two years, the value of each cargo should not be less than QR20,000, and a bank guarantee letter with the value of annual imports should be submitted, with a minimum value of QR1mn.
The system is applicable on vehicles, automotive, equipment, machinery, and all that are included in chapter 87 of the customs tariff, in addition to the infrastructure and construction materials, and the electric appliances in chapters 84 and 85 of the customs tariff. This also covers jewellery and luxury watches. The merchants willing to benefit from this service can submit an online application through the single window clearance system, Al Nadeeb. 
GAC pointed out that in case of using this service of importing to re-export, the value of the customs duties on the goods would be deducted from the bank guarantee amount, and all the imports would go through the normal customs clearance procedures. 
However, the importer can sell the imported goods or part of them in this way at the local market within six months of being released by GAC and accordingly pay the customs duties.
In case of re-exporting the goods imported through this service, the ownership of the goods can be also transferred to another merchant, but the goods have to be re-exported within six months of the customs clearance day. 
When the goods are re-exported in whole or part, the customs duties deducted will be refunded to the bank guarantee account of the importer. The goods can be re-exported in batches but not to the GCC countries unless there is a statement and the due fees are paid.
The system will notify the merchant through an SMS 15 days before the expiry of the six month grace period, which can be extended to 15 days more. After that the customs duties would be deducted from the bank guarantee. 
The new services would have several advantages and benefits for the importers and ease the entry and exit of goods in and out of the country.