Food from Britain
Market insights to grow your business
Focus on the Gulf States
The food and drink market in the Gulf States grew again in 2006 and now accounts for 3% of all British food and drink exports. Following a successful Gulfood, UK confectionery companies should consider the opportunities offered by November’s Sweets Middle East exhibition in Dubai.
According to new statistics recently released by FFB, exports of UK food and drink to the Gulf States increased by 4.3% in 2006, totalling almost £300m and accounting for 3% of all British food and drink exports. The sectors of premium biscuits, breakfast cereals, chocolate confectionary and luxury, niche products are growing rapidly, with dairy offerings also showing healthy market gains.
Most goods enter the Gulf States via Dubai, which provides an easier means of access for British products to other markets in the region. However, it is a profitable market in its own right, totalling £69.1m in 2006 – an increase of 4.9%. Growth in the expatriate community in the region and the burgeoning tourist market means that premium hotels and restaurants are increasingly looking for high-quality British products to serve their guests.
“With up to 650,000 Britons visiting Dubai every year, and in excess of 115,000 ex-pats currently living in the United Arab Emirates, UK producers should take notice of this potentially lucrative market,” said Emma Walters, Development Markets Manager at FFB.
“Although the market is still a relatively new target for British suppliers, it is possible to identify opportunities for certain sectors. Bread, pastry and cakes increased by 10.5% to total £5.1m, with chocolate confectionery growing by an impressive 31% to account for £5.6m.”
The popularity of the Gulf States as an export market for British products has been highlighted by the recent Gulfood exhibition in Dubai, where 31 British companies displayed their products to a host of international buyers and distributors. With early estimates suggesting that British exhibitors generated at least £900,000 of business while at the show, more UK companies are considering the region as a potential target market.
“There’s no doubt that there are opportunities for British companies to export to the Gulf States,” said Emma. “The trick is recognising the opportunities and also the best way to go about introducing your products to market.
“Attending events like Gulfood ensures your products are placed in front of key buyers and distributors, and the British companies that took part in this year’s event have generated new sales and valuable new leads.”
British confectionery companies will soon have the chance to display their produce to key industry buyers in the region when a new satellite show of ISM (the world's largest confectionery show) called Sweets Middle East premiers in Dubai this November.
With UK confectionery exports to the region worth over £12m, it is becoming an increasingly important export market. The rapidly growing young population and the ever-increasing number of ex-pats makes the region one of the top destinations for food and drink, with 80% of food sold in retail outlets being imported.
For further information on attending Sweets Middle East, contact Sandra Sullivan on ssullivan@foodfrombritain.co.uk or visit the Sweets Middle East page.
11 April 2007