

The Binzagr company took a strong step forward as a manufacturer and supplier of consumer and household products with the recent inauguration of expansion facilities at the Binzagr Lever factory in Jeddah.
Leveraging Unilever’s world-scale technology and expertise, Binzagr Lever expects to capture a greater slice of the Saudi and regional markets in brands that are already household names. The upgrade will help raise volumes of existing lines while also facilitating the production of new items and variations in existing products.
Total production capacity has been yanked up by 25 per cent. Actual production in 2006 was estimated at 64,000 tonnes. The factory produces 52 variants of eight main brands including Lux and Lux Progress; Sunsilk, Dove, Jif, Close-up, Signal, Comfort and Lifebuoy. The main product categories are hair care, fabric softener, home care, personal wash (liquid and soap) and oral care.
The Binzagr factory is said to be the biggest manufacturer of personal care products in the Middle East, and demand for that category is growing substantially.
Commenting on the enlarged factory, Shaikh Wahib Binzagr, a member of the Binzagr house, remarked: “We are proud of this facility here in the heart of Saudi Arabia and are confident this latest expansion plan will further propel it into a world-class manufacturing facility for consumers globally.”
Binzagr Lever Factory’s works director Yasir Jamal observed that the competitiveness of the factory was driven by a strong local market that gave critical scale to operation and platforms of expansion.
“For this latest phase of expansion, the ability to leverage superior Unilever technology and access to global R&D resources has enabled us to achieve improvements in capacity at minimum cost,” he said.
The expansion includes a new oral care line that allows for innovative formats to Close Up and Signal tooth paste. Under the co-excursion technology it will use, there will be flexibility to produce core-in-sheath (centre-filled gel) products for the first time in the Arab market. Using new specially designed equipment, a Close Up milk calcium nutrient variant has recently been launched incorporating gel as an outer layer and paste as inner layer in the toothpaste.
Recently, the factory started production of a new anti-dandruff haircare brand called Clear.
Unilever has made known that the latest expansion will not be the last. “We are starting from a position of significant strength. Unilever has strong heritage and roots in the kingdom and we will continue to invest in our business here,” said Jan Zijderveld, chairman of Unilever Arabia.
“Our strong performance in manufacturing global brands suited for local and regional needs is driven by great people with strong capabilities and local insight combined with world-class technical capability. The new expansion plans will provide us further competitiveness to deliver the latest global innovations for both local and regional markets,” Zijderveld added in remarks to the Saudi press.
A join venture between Unilever Arabia and the Binzagr Group, the Binzagr Lever factory was established in 1978 to produce global Unilever and personal care brands for Saudi Arabia.
However, it exports its surplus to the Gulf Co-operation Council region and the wider Middle East including such markets as Yemen, Iran, Sudan, Tunisia, Morocco, Algeria and Libya. The factory was awarded the TPM Excellency Award in 2002 and the TPM Consistency Award in 2004. It is certified for ISO 9001/14001 and OHSAS 18001.
The House of Binzagr has been active in Saudi business for over 120 years, since the time it traded on the ancient spice route between Europe and the East. According to the company’s historical account, the business got a boost when it formed a partnership company called Shinkar and Binzagr Company.
The Binzagr company distributes its products through a network of 16 branches in Saudi Arabia, the brands reaching wholesale markets, supermarkets and street corner groceries.
As well as Unilever, Binzagr lists principals including Bruce Foods, Co-Ro Food A/S, Dunlop Tires, Hershey’s, Highland Spring, Kellog’s, Kikkoman, Kraft Foods, Lactofil, Moussy, Otsuka, International Foodstuffs Company and Unipath.
Also in the list of principals is Binzagr Products, which comprises the company’s own-brands business. Binzagr Products’ offerings, the company says, “compete aggressively with international and local brands in the market and reflect the diversity of the people and tastes that make up Saudi Arabia today.”
The products, sourced from several countries and suppliers, include dry, canned, chilled and frozen foods as well as home care products all sold under the Binzagr company’s registered brand names including Hanaa, Nakhatain Vegetable Oil, Shahea, Harvest, Black and White Corned Beef, Plyms, Abu Zahira, Maxim Jam, Regal Diamond Furniture Polish and Binzagr Matches.