New tax doubles price of cigarettes, energy drinks in Saudi Arabia

A man looks at an energy drink at a supermarket in Dammam. (Inset) ‘This product does not have any health benefits’ — new health warning of energy-drinks shelves as excise tax hits market. (AN photos by Imran Haider & Lulwa Shalhoub)
Updated 12 June 2017
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New tax doubles price of cigarettes, energy drinks in Saudi Arabia

JEDDAH: Prices of cigarettes and energy drinks have doubled with the implementation of an excise tax that became effective midnight Saturday in a measure unprecedented in the Kingdom.
The excise tax, commonly known as a “sin tax,” is imposed on “unhealthy products” that are likely to cause health problems and eventually increase medical expenses paid by individuals or the government, according to the General Authority of Zakat and Tax (GAZT) official website.
“We’ve communicated with the business sector and have set up many workshops to introduce the selective tax both at the GAZT and the Chamber of Commerce,” Mohannad Al-Madi, who handles public relations for the GAZT, told Arab News.
A few days prior to the implementation, some smokers struggled to find boxes of their usual cigarettes. Consumers attempted to stock up on cigarettes at their pre-tax price, while suppliers were trying to keep the products off the shelves until the prices rose.
“I went to several shops yesterday to buy the type of cigarettes I usually smoke. It was nowhere to be found,” Abdulghafour Ahmed, a middle-aged man who started smoking when he was 18, told Arab News.
Soft drinks were being placed on an empty shelf at one of the main supermarkets in Jeddah that Arab News visited Sunday afternoon. “There was nothing here yesterday,” the shelf stacker said, pointing at the shelf. “Yesterday, the price was normal. But today, a soft drink can is SR2.25 ($0.60).”
This price of a 355ml can of a soft drink matched that of another supermarket Arab News visited. The second supermarket had also kept the newly taxed drinks away from customers so they are sold 50 percent higher in price in the case of soft drinks, and double the price for energy drinks.
Consumers will now pay SR12 at one supermarket for a 250ml can of a popular taurine drink, which is priced at SR11.90 at another supermarket. Aside from tags of doubled priced energy drinks, a new sign has been posted on market shelves stating: “Energy drinks harmful to health.” The full warning matches the text on beverage cans.
The warning, written in English and Arabic, reads: “This product does not have any health benefits. Consuming more than two cans a day may negatively affect your health.” The warning mainly targets individuals under 16 years old, pregnant women, who are breastfeeding, people with heart conditions, individuals with high blood pressure or diabetes, people allergic to caffeine and athletes while exercising.
The tax authority urged producers and suppliers of taxable goods to register for the excise tax, the GAZT official website stated.
The statement read: “The GAZT has stated that every person who possesses excise tax goods should file a return for the transitional period starting Sunday (June 11) and pay accordingly within 45 days, to avoid being subject to legal penalties and fines.”
The taxing body expects to lower consumption by people with limited income of the taxed products after the price hike.
Yet Faizan Haider, a Jeddah-based Pakistani national working at a travel agency, said he would rather cut down on his food purchases than quit smoking.
“I will spend less on fast food and other stuff, but cannot quit smoking,” he told Arab News.
Haider, who has been in Saudi Arabia for 24 years, said that he was “disappointed” that the government has raised taxes on tobacco, “which is pointless.”
Regular smoker and energy-drinks lover 25-year-old Salma Walid, said the move would not make her quit.
“It’s an extra strain on the pocket, but it’s a habit that I can’t just quit or cut down on,” she said.
Walid bought her last pack of the cigarettes she smokes for SR12 one day before the tax into effect. Now it is SR24.
Gulf Cooperation Council (GCC) countries are also set to implement a value-added tax (VAT) of 5 percent on certain goods beginning in 2018.


Saudi leaders congratulate Algerian president on re-election

Updated 09 September 2024
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Saudi leaders congratulate Algerian president on re-election

RIYADH: Saudi Arabia’s King Salman and Crown Prince Mohammed bin Salman sent a cable of congratulations to Algeria’s President Abdelmadjid Tebboune on Sunday on his re-election, the Saudi Press Agency reported.

The King and Crown Prince wished the Algerian people further progress and prosperity.

Tebboune won a second term as president with almost 95 percent of the vote, the country’s electoral authority ANIE said.

More than 5.3 million people voted for him, accounting for “94.65 percent of the vote,” ANIE head Mohamed Charfi told reporters.

ANIE said it only counted the number of voters who cast a ballot for one of the candidates, excluding blank votes.


Saudi FM receives International Organization for Migration chief in Riyadh

Saudi Foreign Minister Prince Faisal bin Farhan receives the Director-General of the IOM Amy Pope in Riyadh on Sunday. (SPA)
Updated 08 September 2024
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Saudi FM receives International Organization for Migration chief in Riyadh

  • During the reception, Prince Faisal and Amy Pope reviewed cooperation relations between the Kingdom and the IOM and ways to support and enhance them

RIYADH: Saudi Foreign Minister Prince Faisal bin Farhan received the Director-General of the International Organization for Migration in Riyadh on Sunday.

During the reception, Prince Faisal and Amy Pope reviewed cooperation relations between the Kingdom and the IOM and ways to support and enhance them.

The two officials also discussed regional and international developments of common interest.


Discover Jeddah brings the city’s soul to life

Updated 08 September 2024
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Discover Jeddah brings the city’s soul to life

  • Ali Almenaie’s tourism project resulted from the desire to tell the story of the ‘Bride of the Red Sea’

JEDDAH: Jeddah has long been the gateway to the Kingdom, playing a pivotal role in the nation’s economy through its historic ties to commerce and its unique position as a hub for religious tourism, primarily Umrah and Hajj.

With the launch of Vision 2030, the city was destined to be at the forefront of the National Transformation Program, which elevates the tourism sector and establishes an ecosystem capable of welcoming 100 million tourists annually.

Al-Balad, with its captivating historic charm and significant heritage, remains the most popular destination for local and international visitors. (Supplied/ Instagram/discoverjeddah)

In a stroke of serendipity, Discover Jeddah was founded in 2017 — the same year the program’s execution began. Today, the tourism startup is not just encouraging local and international tourists to visit Saudi Arabia, but to discover Jeddah, the Kingdom’s vibrant coastal hub.

The concept is pretty simple: it is all about telling the story of the “Bride of the Red Sea,” said Ali Almenaie, the CEO of the project with roots in Jeddah, where he was born and raised.

Ali Almenaie, Discover Jeddah founder

He told Arab News: “With too much information out there, I felt that there was a need to show Jeddah through the eyes of those who love it, so that those who have not visited Jeddah or those who have but did not experience the heart and soul of the city, fall in love with it.”

As demand for authentic experiences grew, Almenaie pursued certification from the Ministry of Tourism to become a registered tour guide.

Al-Balad, with its captivating historic charm and significant heritage, remains the most popular destination for local and international visitors. (Supplied/ Instagram/discoverjeddah)

In 2023, he launched Discover Al-Balad, a tour service offering an immersive experience of one of Saudi Arabia’s World Heritage Sites.

On Instagram, Almenaie has curated a visual love letter to Jeddah and Al-Balad, capturing people’s interest, sparking their curiosity and encouraging more people to visit.

I felt that there was a need to show Jeddah through the eyes of those who love it, so that those who have not visited Jeddah or those who have but did not experience the heart and soul of the city, fall in love with it.

Ali Almenaie, Discover Jeddah founder

“From a young age I found myself drawn to the art of curation, capturing and collecting images that resonated with the things I cherished most in life,” Almenaie explained.

“I was captivated by the power of visuals to tell a story. This love for storytelling naturally extended to Jeddah, the city of my heart. I began to gather images that could capture its essence, hoping to piece together a narrative that was both personal and profound.”

A brief tour of Al-Balad takes about 1.5 hours, while a more in-depth exploration, including its hidden gems, can last three to four hours. (Supplied/ Instagram/discoverjeddah)

Almenaie added that he felt there was “a glaring absence, a silence where there should have been a vibrant, visual tale of Jeddah.”

He said: “The city’s story was out there, waiting to be told, but it was missing the richness that only images could convey. I realized that what was lacking was a visual narrative — one that could bring to life the soul of Jeddah, beyond words, in a way that was immediate and impactful.”

Kholoud Abdulwassie, tour guide.

In addition to guided tours, Discover Jeddah offers advertising services that include storytelling about significant locations in Jeddah.

It also offers multilingual tours to ensure that everyone can easily appreciate the city’s significance and its heritage sites. It also suggests optimal times for tours, so visitors can make the most of their experience, capturing beautiful moments to cherish and share.

Domestic tourists have mostly been Saudis, and British, German, Russian, and Egyptian residents. (Supplied/ Instagram/discoverjeddah)

One tourist from Ghana provided feedback, which said: “This tour doesn’t just show you the structures and tell you the facts, it takes you back in time to sense, see, and feel the old city. The tour is very family-friendly and tailored to the interests of the audience.”

Almenaie said: “We are planning to add more tour guides who can communicate in Japanese, Chinese, Urdu, Hindi, and Malayalam.”

There are only five tour guides, including Almenaie, at present. The reason for the small number is to ensure that quality does not get compromised while giving tours.

And while the focus is on Jeddah, the company occasionally runs tours in Madinah, Makkah and Riyadh in Arabic, English, German, Italian, French, and Spanish.

To Almenaie, running a tourism operation means avoiding “a purely transactional approach to business.”

He added: “This helps us identify people who have a genuine interest in discovering the city, allowing us to focus our efforts on them and save time by not pursuing those who may not fully appreciate what we offer.”

The most common nationalities using the services of Discover Jeddah are Americans, Brazilians, Europeans, Indians, and Ghanaians. Domestic tourists have mostly been Saudis, and British, German, Russian, and Egyptian residents.

One of the veteran tour guides is Kholoud Abdulwassie, who used to live in Germany. She graduated with a bachelor’s degree in zoology from King Abdulaziz University, which gave her valuable insights into the fauna of Saudi Arabia.

She has been with Discover Jeddah for two years now, and told Arab News: “My love for my city, especially the historic Al-Balad, where my family’s roots are and our houses still stand, drew me to this role. After learning about Discover Jeddah, I was eager to join a team that felt like the perfect match.”

Abdulwassie believes that each day brings something new, and added: “On tour days we welcome guests and lead them through the wonders of Jeddah. On days without tours, we focus on brainstorming and creating fresh experiences to offer.”

Al-Balad, with its captivating historic charm, remains the most popular destination. Other must-see highlights in Jeddah include the bustling fish market, the luxurious Jeddah Yacht Club, the serene Al-Rahma Mosque, popularly known as the “Floating Mosque,” and the picturesque Al-Hamra Corniche, home to the stunning King Fahd’s Fountain.

A brief tour of Al-Balad takes about 1.5 hours, while a more in-depth exploration, including its hidden gems, can last three to four hours. Full-day tours, which cover multiple locations, typically extend to around eight hours. These experiences often include tasting traditional Saudi food and learning about the daily life of a typical Saudi family.

Abdulwassie said that to engage with tourists from different cultural backgrounds was crucial.

She added: “It allows me to tailor each experience to the unique interests of our guests.

“As Jeddah natives, we’re accustomed to interacting with people from all over the world, especially during Hajj. My personal experiences, having visited around 25 countries and lived in Germany and Egypt, provide me with a broad cultural perspective that I bring to every tour.”

Among the most challenging situations Abdulwassie encounters is dealing with Jeddah’s humidity and blistering summer heat.

She said: “Summer weather can be challenging, so we design special routes with frequent air-conditioned stops to keep our guests cool and hydrated.”

She added: “I once had the privilege of guiding a UK traveler who was visiting Saudi Arabia as her 198th country. It was an honor to show her around, and she later invited me to her home in London. Together, we enjoyed marking Saudi Arabia on her travel map.”

 


Saudi Arabia’s Hilwah Al-Jouf: A timeless bond between people and dates across generations

Updated 08 September 2024
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Saudi Arabia’s Hilwah Al-Jouf: A timeless bond between people and dates across generations

  • With nearly one million palm trees, Al-Jouf region produces more than 43,000 tonnes of dates each year, including the popular Hilwah Al-Jouf

RIYADH: Generations of Al-Jouf natives have been associated with palm trees, underlining the deep connection between them and their homeland.

Palm trees provided essential sustenance to community members in the past, but also served purposes beyond food. Palm trunks, fronds and branches provided the basis for building shelters, the skill and knowledge passed down from generation to generation.

Hilwah Al-Jouf symbolizes the identity of the region, embodying traditional values, and serves more than just as food. (SPA)

Young people today maintain their connection to palm cultivation, learning from their fathers and grandfathers, and celebrating the region’s rich agricultural heritage.

Hilwah Al-Jouf cultivation, in particular, is a source of pride for date farmers and an important element of the region’s economy. The Hilwah Al-Jouf date is known not only for its flavor, but also for its cultural significance in the Al-Jouf region.

Hilwah Al-Jouf cultivation, in particular, is a source of pride for date farmers and an important element of the region’s economy. (SPA)

When English traveler Lady Anne Blunt visited the region in 1879, she noted that these dates were of exceptional sweetness and quality.

Hilwah Al-Jouf is in great demand in local markets, particularly during the harvest season, which begins in September. With nearly one million palm trees, Al-Jouf region produces more than 43,000 tonnes of dates each year, including the popular Hilwah Al-Jouf.

Hilwah Al-Jouf symbolizes the identity of the region, embodying traditional values, and serves more than just as food. (SPA)

Dates support the local economy by providing the produce sold at regional festivals and holding contests honoring the best dates every year.

Farmers using a careful harvesting and production process, transform the dates from their initial red appearance, known as basr, into fully ripened varieties. The dates are carefully stored and pressed, ready to be enjoyed during the winter months, when they are known as Al-Majrash, a local delicacy characterized by its sugary texture and molasses-like.

Hilwah Al-Jouf represents more than a simple food item, it is the center of the Al-Jouf region’s culture and economy, embodying traditional values that are central to the community’s identity.

 


Saudi interior minister received by Egyptian president

Saudi Minister of Interior Prince Abdulaziz bin Saud bin Nayef bin Abdulaziz meets with Egyptian President El-Sisi on Sunday.
Updated 08 September 2024
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Saudi interior minister received by Egyptian president

  • Prince Abdulaziz arrived in Egypt on Saturday evening

RIYADH: Saudi Arabia’s Minister of Interior Prince Abdulaziz bin Saud bin Nayef bin Abdulaziz met with Egyptian President Abdel Fattah El-Sisi in Cairo on Sunday.

During the meeting, relations between the Kingdom and Egypt and security cooperation between the two countries were reviewed.

Prince Abdulaziz was also received by his Egyptian counterpart Major General Mahmoud Tawfiq. 

Prince Abdulaziz is received by his Egyptian counterpart Major General Mahmoud Tawfiq on Sunday. (SPA)

The two ministers discussed security cooperation between their countries as well as ways to develop them in the areas of combating crime, tracking down criminals, and confronting international drug smuggling networks. Topics of common interest were also discussed. 

Prince Abdulaziz arrived in Egypt on Saturday evening.