Con­sumer Spend in the f&b Sec­tor to rise across the mid­dle east

CateringNews Middle East - - What's Cooking? -

The Mid­dle East and Africa (MEA) will de­liver the strong­est re­gional growth for the in­ter­na­tional food and bev­er­age in­dus­try, a re­port has found.

High birth rates, ex­pand­ing cities and grow­ing em­ploy­ment will be the key fac­tors be­hind a pos­i­tive out­look in the re­gion ac­cord­ing to the Gul­food Global In­dus­try Out­look Re­port.

The re­port fol­lows a Euromon­i­tor In­ter­na­tional mar­ket study based on pub­lished sources and trade sur­veys with lo­cal and global man­u­fac­tur­ers, dis­trib­u­tors, trade as­so­ci­a­tions and govern­ment en­ti­ties.

The re­port cited that the com­bined con­sumer spend in the food and bev­er­age sec­tor in MEA and Asia Pa­cific is fore­cast to rise to 60% of global ex­pen­di­ture by 2030, up from 53% to­day.

“With greater dis­tri­bu­tion of wealth, grow­ing eco­nomic and po­lit­i­cal sta­bil­ity and rapidly de­vel­op­ing in­fra­struc­ture, con­sumers have greater ac­cess to a wider range of foods and bev­er­ages,” the re­port stated, which also adds that de­spite lower growth rates, the sheer size of the Asia Pa­cific pop­u­la­tion and dis­pos­able in­come growth “also of­fers an en­tic­ing growth mar­ket in all cat­e­gories.”

The in­de­pen­dent re­port was com­mis­sioned by Dubai World Trade Cen­tre (DWTC).

“The find­ings show that with a rapidly grow­ing and highly ur­banised pop­u­la­tion, de­mand across the globe for pro­cessed and pack­aged food and bev­er­ages is set to in­crease,” Trixie Lohmir­mand, se­nior vice pres­i­dent, ex­hi­bi­tions & events, DWTC said.

“Yet while there’s more con­sumers to go around, over­all con­sumer spend­ing is set to drop from 8.5% of GDP to 8.0% by 2030 as prod­ucts be­come rel­a­tively more af­ford­able and make up a smaller pro­por­tion of over­all con­sumer spend­ing,” she added.

“De­tail­ing trends, chal­lenges and op­por­tu­ni­ties, the re­port iden­ti­fies an in­dus­try en­ter­ing a mas­sive trans­for­ma­tional era with in­no­va­tion on prod­uct, pro­duc­tion, pack­ag­ing and delivery in the van­guard.

“As can be tracked an­nu­ally at Gul­food, con­sumers are ac­tively tran­si­tion­ing to health­ier, more ad­ven­tur­ous foods and bev­er­ages while still look­ing for con­ve­nient pack­ag­ing and prod­uct delivery. In­ter­net buy­ing is also chang­ing prod­uct delivery not just for home-delivery but also in terms of ac­cess to lo­cal brands and short or­der sup­ply,” Lohmir­mand ex­plained.

Don’t miss our ex­clu­sive Gul­food re­view start­ing on page 46.

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