The Minister of Industry and Commerce, His Excellency Abdullah bin Adel Fakhro, recently issued a new regulation for virtual commercial registrations, which has caused concerns among home-based businesses. The new regulation excludes home-based businesses from its jurisdiction, as they fall under the Ministry of Social Development. This clarification was made to address worries raised by home-based businesses regarding the new regulation for online businesses.
The new decision allows holders of virtual registrations to sell 71 products online, while prohibiting the sale of only 12 products. It revokes three previous decisions related to commercial activities through virtual establishments. To obtain a virtual commercial registration, the applicant must be a Bahraini citizen, operate as a sole proprietorship, and provide a permanent correspondence address.
The decision prohibits the online sales of 12 products including food and beverages, medical devices, pharmaceutical goods, industrial chemicals, tobacco products, and weapons among others. It also outlines specific requirements for operating a “chef” activity through a virtual commercial establishment, such as displaying the commercial registration number, maintaining hygiene standards, and ensuring food safety.
Chefs can sell directly to consumers or through contracts with restaurants, hotels, or other entities. The decision permits online sales for various activities such as textile manufacturing, clothing making, electrical installations, plumbing, handicrafts, art exhibitions, and more. This list also includes services like interior design, translation, photography, and agricultural engineering.
Many home-based businesses have expressed frustration over the new regulations, as they do not seem to apply to production carried out at home. While the regulations aim to regulate online sales and virtual commercial activities, there is a perceived gap in addressing businesses operating from home. It is important for businesses to understand the new regulations and ensure compliance to avoid any potential issues in the future.
