On behalf of the Amir of the Eastern Region, Prince Ahmed bin Fahad bin Salman launches the activities of the Eastern Region Trade Forum 2019.
The Eastern Business Forum 2019 highlights the aspects and developments of electronic commerce.
Al-Qasabi: The Ministry is in the process of establishing an e-commerce center that will serve as a nucleus for serving beneficiaries.
80 billion riyals is the size of the electronic commerce market in the Kingdom.
Al-Khalidi: E-commerce need to catch up and deal with the latest developments.
Al-Afaliq: Acceleration in e-commerce is one of the 2030 Vision data.
Under the patronage of His Royal Highness Prince Saud bin Nayef Sharaf, His Royal Highness Prince Ahmed Bin Fahd bin Salman, the Deputy Prime Minister was appointed for the opening ceremony of the Eastern Trade Forum 2019 "The Future of Electronic Commerce" on Wednesday (April 17th, 2019) at the headquarters of the Chamber.
It was held by Asharqia Chamber represented by the Commercial Committee with the presence of a large number of officials and businessmen and specialists.
HE Dr. Majed Bin Abdullah Al Qasabi, Minister of Commerce and Investment, said that the e-commerce system in its final stages after the approval of the Shura Council, as by its virtue, an e-commerce center will be established that will serve as a nucleus to serve beneficiaries of this type of commerce, which amounted to 30 trillion dollars at the global level and 80 billion riyals at the local level, according to statistics of the Ministry of Communications.
Al-Qasabi said during a televised speech to participants in the Eastern Trade Forum 2019 that the Kingdom is one of the ten largest countries in the world in the field of e-commerce, which is a trade mechanism that saves time and effort and allows consumers the freedom to choose the appropriate place and time and mechanism.
He added that electronic commerce depends on infrastructure, logistics services, and legislative systems, which is sought by all relevant bodies, including the Ministry of Commerce and Investment.
He explained that the e-commerce board will be established in the membership of 13 people representing government agencies and three members representing the private sector.
It has about 39 initiatives, as all of which aim to develop "consumer rights, infrastructure, postal services and logistics.
The Forum was launched under the patronage of His Royal Highness Prince Saud bin Nayef bin Abdulaziz, and the presence and honor of His Royal Highness Prince Ahmed bin Fahd bin Abdulaziz, Deputy Governor of the Eastern Province.
Two dialogue sessions were held in which a number of experts and specialists participated in the field of electronic commerce and a number of businessmen who presented their experiences in this regard.
He praised the role of Asharqia Chamber that is active in establishing events and forums that support the economic movement in the Kingdom.
He thanks His Royal Highness Prince Saud bin Nayef bin Abdulaziz, Governor of the Eastern Region, for sponsoring many events that support the activity and economic mobility in the region.
He also thanks His Royal Highness Prince Ahmed Bin Fahd, the Deputy Governor of the Eastern Region, for his patronage and for his honor of attending the Forum.
Accelerated Growth
For his part, the President of Asharqia Chamber, Abdul Hakim bin Hamad Al-Ammar Al-Khalidi, said that the e-commerce sector in the Kingdom is witnessing rapid growth and great expansion, so that it has become a reality of its obvious contributions to the national economy.
He noted that it is no longer an option we accept or reject, but we need to catch up with the ride and deal with the latest developments because it is the future, which must be reached in light of the promising opportunities.
Al-Khalidi pointed out to the Kingdom's keen interest in e-commerce, as it is a key part in supporting the ambitious strategic objectives of the Vision of the Kingdom of 2030.
It has continuously improved the quality and speed of services and strengthened its legislation to ensure the rights of its parties and launched initiatives that contribute to increased confidence, of which - an example not only - «Maroof» initiative that launched by the Ministry of Commerce and Investment for the service of e-commerce dealers, as well as the approval of the Council of Ministers on the establishment of the e-commerce council, which has enhanced the overall ease of business and keep abreast of international developments.
Al-Khalidi stressed that the high rates of the use of the electronic commerce in the Kingdom and the increase volume of transactions through consumers and companies require highlighting the available opportunities and experiences in the e-commerce sector and then determine the quality of service or product or technical project needed by the market to enter it with a competitive advantage, which called on the Chamber to set up this Forum to provide an objective reading of all e-commerce topics in the Kingdom and discuss the challenges faced by them and means of positive engagement with their steady growth.
Al-Khalidi appreciated the great attention that the business sector receives from the Custodian of the Two Holy Mosques and his faithful Crown Prince and the support extended by His Highness the Amir of the Eastern Province and his Deputy, as well as the great efforts exerted by the Ministry of Commerce and Investment and its affiliates to strengthen the e-commerce system in the Kingdom and improve consumer confidence in them.
Unprecedented growth:
For his part, the Chairman of the Commercial Committee in Asharqia Chamber Hani bin Hassan al-Afalq, said that it is the result of the Vision of the Kingdom of 2030 from comprehensive visions and ambitious programs of the national economy based on diversification and optimal utilization of available resources and the promotion of innovation and entrepreneurship.
The Kingdom witnessed an unprecedented economic growth and an active movement that we all feel at all levels.
With the launch of Vision 2030 in April 2016, E-commerce has emerged as a sector that supports the realization of the aspirations and objectives of the Vision, whether through the inflow of foreign investment or generating new jobs or providing new channels that have a major impact on the development of local industry.
It has made significant progress that requires all to be sustained by cooperation among all stakeholders within the e-commerce system.
He pointed out that despite the acquisition of transactions through the Internet from the momentum and rapid growth among consumers and companies in the Kingdom, our access to our national e-commerce options has risen from the 63rd to the 35th ranking of the Kingdom's position in the United Nations E-commerce Index.
This needs continuity of work to further improvement of the regulations and legislation, implementation of further development of infrastructure in the areas of communication, the improvement the efficiency of the logistics system and development of a digital payment system and facilitating business start-ups and other topics.
During the opening session, the Deputy Emir of the Eastern Region His Royal Highness Prince Ahmed bin Fahad bin Salman received a gift that is presented by the Chairman of the Board of Directors of the Chamber, Abdul Hakim Al-Ammar Al-Khaldi, to the Prince of the Eastern Region, His Royal Highness Prince Saud bin Nayef bin Abdulaziz for patronizing the Forum.
His Highness the Deputy Governor of the region also received a commemorative gift on his honor in attenging the opening ceremony.
Al-Khalidi also presented a commemorative gift to His Excellency the Minister of Commerce and Investment Dr. Al Qasabi for his participation in the Forum.
His Royal Highness Prince Ahmed bin Fahd bin Salman bin Abdulaziz honored the sponsors, supporters and speakers of the Forum.
Experts at the 1st and 2nd sessions of the Eastern Region Trade Forum 2019:
Advocacy of legislation to develop electronic commerce and protect the merchant and consumer.
Saudi Arabia's e-commerce is expected to reach SR 130 billion in 2030.
Participants in the first session of the Forum of Eastern Region Trade 2019 stressed the importance of the existence of regulations and legislation to regulate and develop e-commerce to protect the merchant on the one hand and the consumer on the other.
They pointed out that the future will be for e-commerce, especially as the Kingdom is among the ten most developed countries in this area.
The session was held under the title (Electronic commerce legislation and regulations and their impact on the retail sector) and was conducted by the Marketing Professor at King Fahd University of Petroleum and Minerals, Dr. Saleh bin Abdulaziz Al-Shibl.
The session monitored the reality of e-commerce in the Kingdom.
The Kingdom is among the ten most developed countries in the world in e-commerce, and that the Eastern Region is the most developed regions in this regard.
The Ministry of Commerce and Investment's website includes 32,000 online stores, including 17,000 stores with official license to trade in the kingdom.
During the session, the Assistant Undersecretary of Technical Affairs Agency at the Ministry of Commerce and Investment / Abdulaziz bin Saud Al-Deheem stressed the importance of legislation as it should be applied to both local and international shops.
The regulations, if enacted, will apply to all that includes procedures on the validity of withdrawing advertisements and blocking the website if it does not comply with the system.
Several aspects of protection witnessed by electronic commerce, both for the trader and the consumer alike, as certain limits are required to disclose the specifications of the commodity.
He added, "We have many stores that do this to provide the consumer the right to see the commodity and the right of return even if it has no defect, therefore, there are several options in front of the consumer."
He expressed optimism about the future of electronic commerce, especially in light of the amendments and regulations issued by the Ministry or will be issued in the future.
The Secretary of the e-Commerce Council / Abdullah bin Ibrahim Al-Saleh pointed out that the 39 initiatives were adopted by the Council for the development of electronic commerce and consumer protection that provide support to the small investor to enter into electronic commerce through the provision of free consultations and professional training courses.
He revealed that the website of the Ministry has about 32 thousand electronic stores, including 17 thousand with commercial records of the practice of electronic commerce that includes detailed information about each store, whether it has complaints or the like.
He pointed out that the challenges facing us in the logistics, external freight, internal freight, delivery and licenses. Therefore, we need a legal framework to overcome these challenges and stimulate growth.
The Managing Director and Chief Executive Officer of United Electronics Company (eXtra) Mohamed Jalal Fahmy said that legislation is necessary to provide competitive advantage between domestic companies and international companies in order to prevent any commercial fraud that gives a bad reputation to companies working in the field of electronic commerce, as about 50% of electronic commerce currently comes from outside the Kingdom.
Fahmi pointed out that the legislation goes beyond the regulatory process and the principle of competition, but we look forward to legislation that guarantees the added value of electronic commerce that is to provide jobs, as the systems should be supportive of this major strategic objective.
He pointed out that e-commerce, with its many fields, offers job opportunities that should be used to serve the national economy.
He stressed the need to benefit from the countries that preceded us in this area.
For his part, the Chief Executive Officer of the Commercial Section of Noon Saudi Arabia / Engineer Tariq Fadel said that retailers are the only one who understand to deliver the commodity quickly.
Therefore, e-commerce is the ideal choice, and even succeed in need of a technical base and to reach the level of confidence of the consumer.
He pointed out that electronic commerce is growing rapidly and will not stop.
It is expected to reach 20 billion riyals in 2030 and we expect to increase the number of enterprises dealing with this type of trade.
Therefore, there must be systems that are consistent with this growing situation.
E-commerce will be part of every Saudi's daily life, as the Kingdom is now one of the first developed countries in this field.
The Kingdom will have an awareness, trust and government support.
He pointed out that electronic commerce involves many details.
Its growth will be reflected on the growth of business activities themselves, so the career opportunities will be and will come out, as we have to qualify for all these developments.
The second session was entitled (Successful Stories, Challenges, Difficulties and Solutions), which is conducted by Abdulrahman bin Ali Abu-Malh.
During this session, the CEO and co-founder of Dokkan Afkar Ammar Maatouq said that many young people who want to start their business in e-commerce believe that work is easy, and even surprised by the huge budgets spent on this trade.
This is a big mistake to make.
Electronic commerce is a different thing and a big job, not an easy one.
It needs a solid base and big business.
He pointed out that investors in electronic commerce need fair competition.
He pointed out that this could happen if the orders are decreased on the domestic traders, they will be able to supply their goods easily and can compete with traders from the same sector abroad.
For his part, the CEO of Rqmnh for electronic solutions said that the trader should understand the market before entering it, as some new traders buy goods with a huge budget and cannot sell them and here the capital is lost along with the loss of goods.
Al-Taweel explained that the new trader should not be dragged behind temptations if he bought goods of the same kind to get a discount, but to diversify the products that he imports so that he can satisfy all tastes and sell his goods.
Al-Taweel agreed with the speakers that e-commerce is difficult and needs to be done.
He pointed out that the companies measure the level of the market size of applications and hence comes the importance of understanding the depth of electronic work.
On the subject of competition, one of the founders of the company Carriage Musab bin Jihad Al Mutawa said that the consumer benefit from the competition in the market.
He pointed out that senior companies may intend to enter as a major competitor in the local market that is dominated by small players, but it cannot be done even if they spend huge budgets.
Hence, the idea of acquiring small players in the local market so that they can compete through the market people themselves.
For his part, the owner and founder of the application "Sokkat alteeb" Abdulaziz bin Abdullah Al-Matroudi said that investment opportunities are huge.
They are larger than those in the market.
From my point of view, opportunities are now available for investment.
He is advising young people to think about building brands first and then starting towards innovation and investment.
Al-Matroudi said that e-commerce is an integrated and not an individual business.
There are services related to this trade that are necessary to continue this sector.
He pointed to different sectors needed by the electronic business.
