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Saudi: SFDA begins classifying fines according to size of establishment in bid to support MSMEs

RIYADH — The Saudi Food and Drug Authority (SFDA) has notified the establishments under its supervision that it will begin classifying violations, penalties and values of fine based on the size of the establishment and its commercial activity.

In a recent circular, the SFDA announced an update to its schedule of violations, in accordance with its regulations and the corresponding penalties. This update is based on royal order no. 32043, which pertains to classifying violations, penalties, and fines according to the size of the establishment and its economic activity.

The SFDA stated that it aims to achieve compliance and enhance support for micro, small, and medium enterprises (MSMEs) by amending the schedules and classifications of violations in accordance with the applicable regulations and the prescribed penalties.

The SFDA emphasized in its circular the necessity for establishments under its supervision to obtain a certificate of establishment size from the Small and Medium Enterprises General Authority. This certificate will ensure that the size of the establishment is taken into account when imposing fines on establishments classified as micro, small, or medium enterprises, according to the approved fine classification system. This will contribute to achieving compliance and enhancing support for these establishments.

The SFDA also stressed the need for all establishments to quickly obtain a "certificate of establishment size" from the Small and Medium Enterprises General Authority and to provide it to the SFDA upon request.