United Arab Emirates Food & Drink Report

Published 16 February 2015

  • 112 pages
  • Instant access to your report online and PDF format through your account library
  • Includes 3 free updated quarterly reports
 
$1,295.00
United Arab Emirates Food & Drink Report

BMI View: We maintain our bullish outlook on the UAE's economy, even with weaker oil prices. Consumer and business sentiment remains positive, underlining our particularly upbeat views on household consumption and fixed investment over the coming quarters. Following estimated real GDP growth of 3.9% in 2014, we forecast the economy to expand by 4.0% in 2015. The non-o il sector will drive GDP growth and we therefore forecast real private consumption to accelerate from 6.5% in 2014 to 7.2% in 2015.

Headline Industry Data

  • 2015 food consumption growth (local currency terms): +5.7%; compound annual growth rate (CAGR) 2014 to 2019: +7.7%.

  • 2015 per capita food consumption growth (local currency terms): +4.6%; CAGR 2014 to 2019: +5.9%.

  • 2015 total soft drinks sales (local currency terms): +7.6%; compound annual growth rate (CAGR) 2014 to 2019: +7.7%.

  • 2015 mass grocery retail sales (local currency terms): +10.2%; compound annual growth rate (CAGR) 2014 to 2019: +10.2%.

Key Industry Trends And Developments

Dairy Queen Fast Food Outlets To Open In UAE : US-based Berkshire Hathaway has entered a franchise agreement with Bajco Group to open around 20 Dairy Queen fast food outlets in the UAE in 2015. The company will launch its first Dairy Queen Treat outlet in early 2015, and the first Grill & Chill restaurant by Q215, reported the National. C of Berkshire Hathaway, Jean Champagne, said: 'We are looking forward to expanding our global reach in the Middle East region,' reports FBR. The deal will allow the company to open more outlets in the UAE in the coming five years, but Champagne did not confirm how many new store locations the company planned beyond 2015.

BRF Opens New Factory : Brazilian poultry exporter and dairy products processor BRF has opened a new factory in the UAE with an investment of AED588mn (USD160mn). The plant, located in Khalifa Industrial Zone Abu Dhabi (Kizad), will have an annual production capacity of about 70,000 tonnes of food...

Table of Contents

BMI Industry View
7
SWOT
9
Food
9
Drink
11
Mass Grocery Retail
13
Industry Forecast
15
Consumer Outlook
15
Food
19
Food Consumption
19
Table: Food Consumption Indicators - Historical Data & Forecasts (United Arab Emirates 2011-2018)
20
Drink
21
Soft Drinks
21
Table: Soft Drinks Sales, Production & Trade (United Arab Emirates 2013-2018)
22
Hot Drinks
23
Mass Grocery Retail
24
Table: Grocery Retail Sales By Format
25
Table: Mass Grocery Retail Sales By Format - Historical Data & Forecasts (United Arab Emirates 2013-2018)
25
Trade
26
Table: Trade Balance - Historical Data & Forecasts (United Arab Emirates 2013-2018)
26
Macroeconomic Forecast
27
Macroeconomic Forecasts
27
Oil Sector To See Only Marginal Gains
28
Fiscal Position Remains Solid
29
Risks To Outlook
30
Table: Economic Activity (United Arab Emirates 2009-2018)
31
Table: GDP By Expenditure (United Arab Emirates 2011-2018)
31
Industry Risk Reward Ratings
33
Middle East And North Africa - Risk/Reward Index
33
Table: Middle East & North Africa Food & Drink Risk/Reward Index Q115
34
Table: Middle East & North Africa Food & Drink Risk/Reward Sub-Factor Index Q115 (scores out of 10)
38
UAE - Risk/Reward Index
39
Market Overview
40
Food
40
Food Production
40
Agriculture
41
Halal Food
41
Drink
42
Soft Drinks
42
Hot Drinks
43
Mass Grocery Retail
43
Table: Mass Grocery Retail Sales By Format (United Arab Emirates 2005-2014)
45
Table: Mass Grocery Retail Sales By Format (United Arab Emirates 2005-2014)
45
Industry Trends And Developments
46
Food
46
Key Industry Trends And Developments
46
Drink
57
Key Industry Trends And Developments
57
Mass Grocery Retail
62
Key Industry Trends And Developments
62
Competitive Landscape
67
Table: Key Players In UAE's Food & Drink Sector
67
Table: Key Players In UAE's Mass Grocery Retail Sector
68
Company Profile
69
Unilever North Africa Middle East
69
Foodco
71
Al Ain Dairy
73
Masafi
76
Al-Ain Mineral Water Company
78
Aujan
81
EMKE Group
84
Carrefour MAF
87
Spinneys Dubai
90
Global Industry Overview
92
Table: DOLLAR GENERAL AND FAMILY DOLLAR HISTORIC QUARTERLY SAME-STORE SALES GROWTH (% CHANGE Y-O-Y)
96
Table: SELECT US BEVERAGE COMPANIES - HISTORIC EVA SPREAD
101
Table: Food and Drink Team's Core Views
102
Demographic Forecast
104
Table: United Arab Emirates' Population By Age Group, 1990-2020 ('000)
105
Table: United Arab Emirates' Population By Age Group, 1990-2020 (% of total)
106
Table: United Arab Emirates' Key Population Ratios, 1990-2020
107
Table: United Arab Emirates' Rural And Urban Population, 1990-2020
107
Glossary
108
Food & Drink
108
Mass Grocery Retail
108
Methodology
110
Industry Forecast Methodology
110
Sector-Specific Methodology
111
Sources
111
Risk/Reward Index Methodology
112
Table: Food & Drink Risk/Reward Index Indicators
113
Table: Weighting
114

The United Arab Emirates Food & Drink Report features Business Monitor International (BMI)'s market assessment and independent forecasts for food and drink expenditure, consumption, sales, and imports/exports and forecasts for the mass grocery retail sector. The report also includes analyses of major regulatory developments, the background macroeconomic outlook and competitive landscape comparing national and multinational companies by leading products and services, sales, investments, partners and expansion strategies.

BMI's United Arab Emirates Food & Drink Report provides industry professionals and strategists, sector analysts, business investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the food and drink industry and the mass grocery retail market in United Arab Emirates.

Key Benefits

  • Benchmark BMI's independent food and drink industry forecasts for United Arab Emirates to test other views - a key input for successful budgeting and strategic business planning in the Emirati food and drink market.
  • Target business opportunities and risks in United Arab Emirates through our reviews of latest industry trends, regulatory changes and major deals, projects and investments.
  • Exploit latest competitive intelligence on your competitors, partners and clients via our Company Profiles (inc. SWOTs, KPIs and latest activity) and Competitive Landscape Tables.

Coverage

BMI Industry View

Summary of BMI’s key industry forecasts and views, covering food and drink manufacturing and consumption and the mass grocery retail market.

Industry SWOT Analysis

Analysis of the major strengths, weaknesses, opportunities and threats within the food, drink and mass grocery retail sectors and within the broader political, economic and business environment.

BMI’s Food and Drink Risk Reward Index

BMI’s Risk Reward Index provides investors (food and drink manufacturers and mass grocery retailers) looking for opportunities in the region with a clear country-comparative assessment of a market’s risks and potential rewards. Each of the country markets are scored using a sophisticated model that includes more than 40 industry, economic and demographic points. These provide indices of highest to lowest appeal to investors, with each position explained.

Food Forecasts

BMI’s food chapter is divided into sections such as meat, fish, confectionary, dairy and canned foods, and provides insight into each market’s food industry, centred on a forecast to end-2019 for the sector. The chapter includes the following elements:

  • Industry Forecast Scenario: Historical data series and a forecast to end-2019 for growth of key indicators within a market’s food industry. Indicators include food consumption, food consumption as % of GDP, canned food sales, confectionery sales and food and drink imports and exports, among others.
  • Industry Developments: A summary of corporate developments, including news on M&As, FDI, expansions, closures and financial results, in addition to analysis and explanation of the latest industry events and how these could influence further investment.
  • Market Overview: An overview of the structure of the market, introducing the key players and discussing underlying trends.

Drink Forecasts

Segmented the same way as BMI’s food chapter, the drink section provides insight into each market’s drink industry, centred on a forecast to end-2019 for the sector. Forecast indicators include alcoholic and soft drink sales by value, volume and sub-sector and tea and coffee sales, among others.

Mass Grocery Retail Forecasts

Segmented the same way as BMI’s food and drink chapters, the mass grocery retail section provides insight into each market’s grocery retail industry, centred on a forecast to end-2019 for the sector. Forecast indicators include mass grocery retail sales by format (including supermarkets, hypermarkets, convenience and discount stores) and a breakdown of the organised retail sector versus the traditional sector, among others.

Competitive Landscape

Illustration of the mass grocery retail and food and drink industries via rankings tables comparing revenues, number of outlets and number of employees. This chapter also includes data-rich, in-depth regional analysis of the market position, business strategies and investment potential of the region’s leading mass grocery retail and food and drink operators.

Company Profiles*

Examines the competitive positioning and short- to medium-term business strategies of key industry players. Strategy is examined within the context of BMI’s industry forecasts, our macroeconomic views and our understanding of the wider competitive landscape to generate company SWOT analyses. The latest financial and operating statistics and key company developments are also incorporated within the company profiles, enabling a full evaluation of recent company performance and future growth prospects.

Sources

The Food & Drink reports draw on an extensive network primary sources, such as multilateral organisations, government departments, industry associations, chambers and company reports.

*Company profiles are not available for every country. Those reports instead contain information on the current activities of prominent companies operating in the market.

secure
Benefit from discounts when you add multiple products to your basket
2 Products SAVE 10%
3 Products SAVE 15%
4 Products SAVE 20%
5 Products SAVE 25%
6 Products SAVE 30%
7 - 20 Products SAVE 35%
21 Products or more SAVE 40%

Testimonials

'An essential, multi-faceted research tool. BMI’s thorough understanding of the major market players enables an informed – and informative – review of the sector’s actual performance, together with useful insights into current industry issues, which are topped-off with detailed and invaluable forecasts of industry and macroeconomic trends.’

Senior Research Analyst, ABC International Bank plc