Indian companies rarely come to Saudi Arabia cold. Many already sell into the Kingdom, serve Saudi clients from India or the UAE, or have people on the ground. The harder question is how to move from exporting or project work to a properly structured local presence. This guide maps the main decisions for an Indian company planning that step.
Why Saudi Arabia matters for Indian companies
The relationship is anchored in the India-Saudi Arabia Strategic Partnership Council, set up in 2019. It has two pillars, one of them dedicated to economy and investment, co-chaired on the Indian side by the Minister of Commerce and Industry and on the Saudi side by the Minister of Energy. The Council's second leaders' meeting was held in Jeddah in April 2025.
According to the Embassy of India in Riyadh, Saudi Arabia is India's fifth largest trade partner and India is Saudi Arabia's second largest. In FY 2023-24, India's exports to Saudi Arabia were about US$11.56 billion and its imports from the Kingdom about US$31.42 billion. The Embassy also notes a deliberate push to diversify trade beyond oil into areas such as housing, tourism, renewable energy, health and entertainment.
What changed in 2025
- Investment registration, not an investment licence. Under the updated Investment Law, in force since February 2025, a foreign investor registers with the Ministry of Investment (MISA) before starting an investment activity. The registration replaced the old licensing procedure.
- Commercial Registration without an expiry date. Under the new Commercial Register Law, effective April 2025, the CR no longer carries an expiry date. Instead, the business submits an annual confirmation of its registration data, and a registration can be suspended if that confirmation is not filed within 90 days of its due date. Each establishment is identified by a unified national number starting with 7.
Both reforms simplify the process, but they do not remove sector rules, activity restrictions or ongoing compliance. Confirm the current requirements for your activity with MISA, the Ministry of Commerce or a licensed provider.
Entry models in brief
- Distributor or commercial agent: the lightest way to test demand without a local entity. See our guide on finding a distributor or local partner.
- Locally registered company: typically a limited liability company registered with MISA and the Ministry of Commerce. Whether full foreign ownership is possible depends on the activity.
- Branch of the Indian company: an extension of the parent rather than a separate legal person, which affects liability and how parent documents are used.
- Regional headquarters: relevant for groups running several Middle East markets. See Saudi regional headquarters.
- Joint venture with a Saudi company: useful where local capability or relationships matter, but it is a long-term governance commitment.
For a fuller comparison, read Saudi market entry options and how to set up a company in Saudi Arabia.
Documents from India: apostille, not consular legalisation
India has been a party to the Hague Apostille Convention since 2005, and the Convention entered into force for Saudi Arabia on 7 December 2022. In India, apostilles are issued through the Ministry of External Affairs. For public documents moving between the two countries, an apostille generally replaces the older chain of consular legalisation.
Typical parent-company documents include the certificate of incorporation, memorandum and articles of association, a board resolution approving the Saudi investment, recent financial statements, a power of attorney and identity documents of directors and signatories. Saudi authorities and banks often require Arabic translations, and some documents, such as board resolutions, may need notarisation beforehand to become public documents. Check names, numbers and dates for consistency across every document before you apostille anything; a mismatch is one of the most common causes of rework.
Saudization for a new entity
Once the Saudi entity employs staff, it falls under the Nitaqat programme run by the Ministry of Human Resources and Social Development. Its Nitaqat level affects access to services such as work visas, so it directly shapes how quickly an Indian company can bring in its own engineers, managers or project teams. Plan the hiring sequence early, including which roles will be filled by Saudi nationals. See Saudization and Nitaqat for foreign companies and our workforce planning support.
Banking
A corporate account with a Saudi bank is usually opened after the commercial registration is in place. Each bank applies its own know-your-customer checks, often covering the ownership chain up to the ultimate beneficial owners and the authorised signatories. Requirements differ between banks and change over time, so compare them early and prepare a consistent document pack.
Where Indian companies are active
The Embassy of India describes Indian investment in the Kingdom as spread across management and consultancy services, construction projects, telecommunications, information technology and software, financial services and pharmaceuticals. These are broad observations, not a promise of opportunity: each sector has its own regulators, procurement practices and localisation expectations.
Bilateral channels worth using
- Embassy of India, Riyadh, and the Consulate General of India, Jeddah: the commercial section publishes business contacts, event information and a registration link for Indian companies operating in the Kingdom.
- Saudi-India Business Network (SIBN): an Embassy-supported business forum with regional chapters.
- Saudi Indian Business Council: the joint business council that works through the Federation of Saudi Chambers.
- Indian chambers: FICCI and the Confederation of Indian Industry engage with Saudi counterparts, and registration with a regional Saudi chamber follows once the entity is set up.
Practical pitfalls
- Treating Saudi Arabia as an extension of a UAE set-up. The regulators, platforms and labour rules are different.
- Choosing a partner or distributor before deciding the entry model.
- Assuming Indian documents will be accepted without apostille, translation or consistent details.
- Planning headcount around Indian staff without modelling the Nitaqat effect.
- Treating registration as a one-off event and missing the annual CR confirmation.
- Applying Indian tax assumptions. Saudi VAT and zakat or income tax are administered by ZATCA; confirm your position with a licensed tax provider.
A 90-day starting outline
- Assess: define the activity, target customers and the realistic entry model.
- Clarify: confirm activity eligibility, ownership rules and any sector licences with the competent authorities.
- Prepare: assemble, notarise and apostille parent documents in India and arrange translations.
- Register: complete MISA investment registration and commercial registration, then chamber registration.
- Set up operations: compare banks, plan Saudization and the hiring sequence, and register with the relevant government platforms.
- Follow up: keep a compliance calendar, including the annual CR confirmation.
Timings depend on your activity, your documents and the authorities involved, so treat this as a sequence rather than a schedule.
How TAQUDI helps
TAQUDI, owned and operated by ALDUR Holding in Riyadh, acts as one point of contact between your team and Saudi stakeholders. We assess your route, compare options, shortlist licensed providers where regulated work is needed, and coordinate the steps through company setup, licensing coordination and partner selection.
The simplest place to begin is the Saudi Entry Diagnostic, which maps your route and priorities before any commitment. You can also contact us directly.
Frequently asked questions
Can an Indian company own 100% of a company in Saudi Arabia?
In many activities full foreign ownership is possible, but some activities are restricted or carry additional conditions. Ownership rules depend on the specific activity, so confirm them with the Ministry of Investment or a licensed legal provider before you structure the entity.
Do Indian corporate documents need consular legalisation for Saudi Arabia?
Both India and Saudi Arabia are parties to the Hague Apostille Convention, which entered into force for Saudi Arabia in December 2022. For public documents an apostille issued through India's Ministry of External Affairs generally replaces consular legalisation. Arabic translation and prior notarisation may still be required, so check with the receiving authority.
Is a MISA investment licence still required?
Under the updated Investment Law, in force since February 2025, the investment licence was replaced by investment registration with the Ministry of Investment. Sector licences and activity rules still apply where relevant.
Does a Saudi commercial registration still need renewing?
Since April 2025 the commercial registration no longer has an expiry date. Instead, the business submits an annual confirmation of its registration data, and the registration can be suspended if this is not done within 90 days of the due date.
How does Saudization affect bringing Indian staff to Saudi Arabia?
A company's Nitaqat level affects access to services such as work visas. Planning which roles are filled by Saudi nationals and in what order helps keep the entity in a level that supports bringing in staff from India.
Is TAQUDI a law firm or licensing agent?
No. TAQUDI is an advisory and coordination firm. We assess, compare options, shortlist providers and coordinate. Regulated services such as legal, tax or banking work are delivered by appropriately licensed providers.