GCC Common External Tariff
Standard rate: 5% CIF value. Applied uniformly across all GCC states on imports from non-GCC countries. Certain goods attract higher rates (tobacco: 100%). Over 700 items classified as exempt (basic foodstuffs, medical equipment).
Free Trade Agreements
🇺🇸 Bahrain-US FTA — zero duty on most goods originating from US since 2006
🇸🇬 GCC-Singapore FTA — preferential rates on qualifying Singapore goods
🇪🇫🇹🇦 GCC-EFTA FTA — reduced duty with Switzerland, Norway, Iceland, Liechtenstein
🌏 GAFTA — Pan-Arab free trade area covering 18 member states
Customs + VAT at Import
VAT is charged at import on the CIF value + customs duty. For a BD 10,000 import: customs duty = BD 500, VAT = 10% × BD 10,500 = BD 1,050. Import VAT is recoverable as input tax on your next VAT return (if for business use). The customs declaration is your VAT invoice for import VAT recovery.