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What is CIF value and why does Saudi customs use it?

CIF = cost of goods + insurance + freight to the Saudi port. ZATCA values every import on CIF regardless of your Incoterm — under FOB or EXW, declared value must still add freight and insurance. Duty applies to CIF; VAT applies to CIF plus duty.

This is why identical goods carry different duty bills depending on freight costs, and why underdeclaring freight is treated as undervaluation.

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