Bahrain Chamber, in cooperation with The Ministry of Industry and Commerce, organized a seminar for business owners on the regulations for the “Authorized Distributor” activity, with the aim of spreading awareness and introducing the conditions necessary to practice the authorized distributor activity.
The meeting provided a detailed presentation on the authorized distributor by representatives from the Ministry of Industry and Commerce, led by Assistant Undersecretary of Commercial Registration & Companies, Faisal Saleh, Director of the Registration Department, Bader Al-Saad and the Legal Affairs Advisor, Mohamed Al-Eid.
The ministry representatives explained the process for individual establishments and companies to register as authorized distributors, which requires having a Bahraini partner with at least 51% ownership and the company’s headquarters being in Bahrain. Applicants must also have an active Commercial Registration (CR) and provide documentation of a distribution agreement with the trademark owner.
The ministry clarified that multiple authorized distributors can be registered for a single trademark. However, if the trademark owner refuses to grant distribution rights to a non-Bahraini majority-owned company by more than 49%, both parties must notify the relevant ministry department. The ministry will maintain a record of all distribution contracts and any amendments.
Concluding the Seminar, the representatives stressed the need for compliance with Bahraini laws and the requirement to register the activity and distribution contracts in the authorized distributors’ registry. Existing distributors were reminded to regularize their status by October according to the new regulations.