Use of Agents/Distributors - Finding a Partner
According to the Commercial Agents and Middlemen Law No. 28 of 2001 foreign
firms interested in exporting to Jordan are required to appoint locally registered
Jordanian agents or distributors.
For the full text of the above law, please contact the Ministry of Industry
and Trade at the following address:
Ministry of Industry and Trade
P.O. Box: 2019
Amman 11181 Jordan
Tel: +962 6 5607191
Fax: +962 6 5684692
Direct marketing of foreign products and services is usually handled by agents/distributors.
Firms may also use tele-marketing media or the Internet, to launch direct marketing
programs in Jordan.
Thousands of local wholesalers, semi-wholesalers and retailers operate in a
competitive Jordanian market. Pricing, financing arrangements and credit terms
are essential criteria to the Jordanian importer in making a buying decision.
Freight charges and delivery terms are also strong determinants. Training of
sales people and engineering support are becoming important factors.
Local importers base their product pricing on the export price, freight costs,
applicable import tariffs and taxes, the sales tax and profit margin. The government
of Jordan is gradually lifting price controls on non-strategic food items. A
new antitrust legislation, protecting consumers, should pass soon. The legislation
will safeguard against price fixing, collusion, product hoarding, and dumping
of foreign goods and services. Due to unclear policies on customs valuation,
exporters and suppliers should coordinate the pricing of their goods and services
with local representatives before assigning a final price to a product.
Selling to the Government
The General Supplies Department is the Government's central procurement agency.
Direct offers for local bids are not permitted (i.e. a local agent/distributor
or representative must be appointed to act on the potential supplier's behalf).
Direct bids for tenders financed by international donors or the World Bank are
permitted as stated in tender documents.