In Dhu al-Hijjah, 1344 AH (1926), King Abdulaziz issued what is known as the Sunni Will, wherein the Ottoman law provisions, consistent with Islamic Shariah, are still in effect so far. After issuing this Will, a number of rules had gradually appeared, as there was not any government body interested in regulating commerce in the country.
The mentioned instructions provided that commerce comes under the internal issues in the Kingdom. Three months after the issuance of the Will, His Majesty King Abdulaziz issued an order to set up a commercial body to settle disputes among traders; it came out under the name" Council of the Traders".
In 1347 AH, company registration system appeared, by the virtue of which a position was initiated associated with the prosecutor-general; its title was Company Registrar. Thus, the system obliged the registration of all the commercial companies and associations at the company registrar. As such, the company registration system was first stepping stone in terms of regulating the commercial issues in the country.
In 1349 AH, the customs system was issued, then in 1350 AH the Royal Decree No. 32; on 2/6/1931, was issued approving the commercial system in the Kingdom, called the Commercial Court System.
In 1358 AH, the Royal Decree No. 8762, on 18/4/1939, was issued approving the Benchmark Registration System, then the Royal Decree No. 8117, on 27/6/1941, was issued approving Goldsmith's system.
Issuance of Commercial Chambers System
In 1365 AH (1946AD), the Royal Decree No. 23/3/2558 was issued approving the establishment of the Commercial, Industrial Chamber in Jeddah, as an institution working on improving commerce and industry in the country and protecting them against foreign competition. And by virtue of the commercial, industrial chamber system, the Government had the right to monitor and supervise over all commercial chambers and their accounts.
The decision of the Shura Council No. 259, on 19/9/1948, was then issued to establish the Commercial, Industrial Chamber in Makkah. This was followed, in 1368 AH, by issuing the first commercial, industrial chamber system; by the virtue of which, the Eastern Region prince issued letter No. 140806, on 15/6/1953, establishing the Commercial, Industrial Chamber in the Eastern Region.
Foundation of Ministry of Commerce and Industry
As a result of the expansion of the commercial works and activities and their growth, Royal Decree No. 5703/5//22/10, on 17/3/1954, was issued to establish the Ministry of Commerce. It was tasked with regulating domestic and foreign trade and its development. Also, having been established, a number of bodies interested in commercial issues joined it. And the Benchmark Registration section was moved to it from the Ministry of Finance; in addition to supervising over the commercial, industrial chambers in the Kingdom.