Binzagr

About the Founder

Mohammed Obeid Binzagr was born in 1857 in Jeddah.^[8] His father, Obaid Binzagr, had migrated from Wadi Doan in Hadhramout, Yemen, and settled in Jeddah, then one of the most prosperous cities along the Red Sea with a busy trading port and a transit hub for pilgrims arriving by sea. After settling in Jeddah, Obaid married Saadiya Zamka.^[9] Obaid passed away while Mohammed was still young. His mother remarried to a sea captain, Mansour Al Harbi, who owned a large ship and earned his living sailing to trade at ports such as Aden, Bahrain, Bombay, and Suez.^[10]

Mohammed’s stepfather became his guardian and took him along on seafaring trips by the time he was ten. They sailed the Red Sea, Indian Ocean, and Arabian Gulf, trading goods at ports often by barter.^[11] Mohammed became a skilled sailor, and after his stepfather’s death, he took over as a merchant sea captain, transporting goods to Jeddah.^[12] He married Jamila Abdullah and had two sons: Abdullah (b. 1909) and Saeed (b. 1910).^[13]

Founding Story

Mohammed decided to quit his career as a sea merchant due to the lengthy voyages, sometimes lasting for months, that kept him away from his family and caused him to miss the birth of his first son. Having accumulated capital from his sea trade and earned the trust of local merchants, he decided to become a land-based merchant in 1881, and opened a small shop, located on the ground floor of his Jeddah house, where he sold everyday goods and spices.^[14]

Mohammed passed away in Jeddah around 1925.^[15] After his death, the business was managed by his partner, Mohammed Shinkar, and Binzagr’s nephew, Saleh Awad, who had joined the business in 1920.^[16] By 1924, regional political tensions had escalated in the wake of the Arab revolt, disrupting their operations.^[17] In 1925, they relocated to Al Hudaydah, Yemen, where operations resumed and a formal partnership was established between Mohammed Shinkar, Saleh Awad, and the founder’s two sons: Abdullah and Saeed. ^[18] In 1926, they returned to Jeddah with King Abdulaziz’s appointment as King of Hejaz and Sultan of Najd and its dependencies, and business operations resumed under the legally registered name of Shinkar & Binzagr Company in Jeddah the same year.^[19]

Growth Phase

In the 1930s, the company experienced significant growth through the efforts of Abdullah and Saeed, who traveled to Europe in search of new opportunities. During this period, they shifted from bulk commodities to retail, introducing internationally branded products to the Saudi market.^[20] In 1931, direct imports from Unilever, France, began, and two years later, they entered into partnership agreements with Unilever, England, for a diverse range of personal care products.^[21]

The company expanded its international imports throughout the following decade. In 1942, it began importing corn from CPC (USA), confectionery from Finland in 1946, canned sardines from Norway, and powdered milk from FRICO (Netherlands) in 1948.^[22] In 1946, Al Sho’la Matches, a brand of Binzagr manufactured in Saudi Arabia, became the first registered trademark in the Kingdom of Saudi Arabia, according to the Ministry of Commerce and Investment.^[23]

In the 1950s, the company began constructing factories and industrializing the production of branded products locally.^[24] In the late 1950s and early 1960s, the company underwent restructuring following the passing of Saleh Awad and Mohammed Shinkar in 1958 and 1960, respectively, and their shares were subsequently settled with their heirs. Mohammed Shinkar’s son, Abdul Majid, joined as a partner alongside Abdullah and Saeed.^[25] During the 1960s, the business diversified and members of the third generation, namely Saeed’s sons, joined the business: Wahib in 1960, Faisal in 1967, and Mohammed Obaid in 1968.^[26]

In the 1970s, the business became more established in manufacturing, starting in 1973 with the establishment of a soap factory that produced Surf detergent, later adding Lux, Omo, and other Unilever products. The company underwent further restructuring following the death of the founder’s eldest son Abdullah in 1975.^[27] That same year, Saeed’s fourth son, Abdullah, joined the management of the business, which was rebranded as Binzagr Company.^[28] By the 1970s, Binzagr Company had become the exclusive partner and distributor of Unilever products in Saudi Arabia.^[29] In 1976, the company founded Binzagr CO-RO, a soft drinks factory producing brands such as Sun Top, Sun Cola, and Sun Quick for distribution throughout Saudi Arabia and abroad.^[30]

In 1980, the company founded the Binzagr Factory for Insulation Materials—now Binzagr for Industry and Maintenance Company.^[31] Around 1986, second-generation Saeed passed away and was succeeded by his sons.^[32]

The company grew its operations over the following decades. In 1992, Salama Road Company was founded as part of Binzagr Group, offering tire sales and auto services, and serving as the official Dunlop distributor in Saudi Arabia.^[33] In 2015, AS-Schneider, a German-based internationally established valve manufacturer, held initial discussions with Binzagr, which ultimately laid the groundwork for a future joint venture. In 2017, the two companies signed a cooperation contract to formalize the joint venture, opening access to the Saudi Arabian market and enabling faster local supply and support with high-quality products and services.^[34]

Today

The Jeddah-based group is now under the leadership of the third generation, with Abdullah Saeed Binzagr as president of the group.^[35] Operating predominantly in FMCG distribution and logistics, the company deals with 55 global brands, employing over 7,000 employees.^[36] Members of the family’s fourth and fifth generations hold positions across the business operations.^[37]