Saudi Arabia Implements New Delivery Sector Regulations, Restricts Expats Self-Employment

Saudi Arabia Implements New Delivery Sector Regulations, Restricts Expats Self-Employment

In a move to regulate and enhance the efficiency of the burgeoning delivery sector, Saudi Arabia's Transport General Authority (TGA) is set to enforce new regulations in April. The key change includes prohibiting expatriates from self-employment in the delivery sector.

The TGA has outlined a set of rules, including the introduction of a uniform for non-Saudi workers in the delivery sector. Additionally, delivery companies are required to implement a face-verification feature for their drivers through a system directly linked to the TGA. Non-Saudi delivery drivers will now be obligated to gradually transition to working through light transport firms within a 14-month timeframe.

Self-employment remains permissible for Saudi nationals in the delivery sector, aligning with the aim of motivating more Saudis to work in the industry and creating additional job opportunities.

Furthermore, the new regulations permit the use of light transport vehicles for advertising, provided it is coordinated with the Ministry of Municipal and Village Affairs. The overarching goal of the system is to elevate the efficiency of delivery drivers and related services while improving safety and trust levels.

TGA spokesman Saleh Al Zuwayed emphasized the significance of regulating the delivery sector, stating, "The delivery sector is among the important sectors in the kingdom. Regulating and boosting its efficiency is among our principal objectives."

Currently, there are 37 licensed companies operating in the delivery sector in Saudi Arabia, with over 200 million delivery operations conducted last year. Al Zuwayed stressed the need for regulation to ensure safety and trustworthiness while creating multiple job opportunities for Saudis. Additionally, there are 100 licensed light transport companies collaborating with delivery apps to provide services in delivering parcels and other orders in the kingdom.

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