Transit fees at Saudi ports: Exemptions cancelled and new fees imposed
The Saudi Ports Authority (Mawani) has approved new and stricter regulations aimed at organizing the movement of goods and improving logistical performance. These regulations eliminate the previous exemption periods from storage fees for transit and transshipment goods. This decision, coupled with the imposition of immediate fees on general cargo, bulk cargo, and vehicles upon unloading, highlights the ongoing updates to transit fees at Saudi ports to expedite operations and prevent cargo congestion.
The strategic transformation of Saudi ports and Vision 2030
Through its ambitious Vision 2030, Saudi Arabia aims to transform the country into a global logistics hub connecting three continents: Asia, Africa, and Europe. Historically, Saudi ports offered flexible payment plans and exemptions to attract international shipping lines and increase their market share in the transshipment sector. With the significant development of digital and operational infrastructure, the focus has shifted to enhancing operational efficiency and reducing cargo dwell time at ports to prevent congestion. This explains the move towards eliminating exemptions and imposing immediate fees to ensure the smooth flow of goods and streamline operational processes.
Details of the new decision regarding transit fees at Saudi ports
The new regulations outlined in Circular No. 11 of 2026 issued by the General Authority of Ports stipulate a daily storage fee of 10 riyals per ton, or part thereof, for these goods. The Authority clarified that this fee applies directly to all types of goods except containers, flatbeds, and trailers arriving under transit or transshipment agreements.
The regulatory authority clarified that these costs are calculated immediately upon unloading of the goods and continue until their actual departure from the port. It noted that this oversight procedure relies meticulously on the time stamp used in the operational systems of each port to ensure maximum transparency and fairness for all beneficiaries and logistics companies.
Economic dimensions and expected impact on trade
This decision is expected to have repercussions on several levels: locally, regionally, and internationally. Locally, it will contribute to increased efficiency in the use of storage space at Saudi ports such as Jeddah Islamic Port and King Abdulaziz Port in Dammam, preventing cargo congestion and expediting unloading and shipping processes, thereby reducing indirect costs resulting from delays.
At the regional and international levels, this stringent policy is driving global shipping companies to optimize their supply chains and adhere to precise schedules for cargo transport. While the imposition of these fees may appear to be an additional financial challenge for some traders in the short term, in the long run it ensures a more reliable and efficient operating environment, thus enhancing the competitiveness of Saudi ports as a major hub for global transit trade.
Regulatory exceptions to ensure the resilience of supply chains
The General Authority of Ports, through its Vice President for Regulation, Yousef bin Mohammed Al-Hassan, emphasized the complete absence of any exemption periods from storage fees for all types of goods subject to this circular until they leave the port. However, the new regulations have maintained certain exceptions to ensure that critical logistics activities are not disrupted. The new instructions exempt containers, flatbeds, and trailers, which will continue to be treated according to the two specific clauses in the Port Services Fees and Charges System. This maintains the balance of flowing standard containers, which form the backbone of international maritime trade.
