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With its strategic location between Europe and the Far East, the UAE is the location of choice for multinational companies wishing to tap into the lucrative Middle Eastern and North African market.
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The confectionery imports into the UAE showed a very steep annual growth of 14 % between 2005 and 2008, reaching AED 686 million. In total, the UAE imports increased by 45 % compared to 2008.
In 2008, Dubai exports of confectionery were valued at AED 399 million with an average annual growth rate of 25 % from 2005-2008.
GCC spending on food imports is set to reach AED 180 billion by 2020, with the sweets and confectionery market worth AED 300 million in the UAE alone, and growing at 10 % annually.
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Due to increases in Western-style eating, local population and tourism, future growth in the savoury snack sector is expected to continue at 15 % for the next few years, following a twofold increase over the last five years that brought consumption up to 10,000 metric tons per year.
Annual per capita consumption of savoury snacks accounts for about 2 kg a year. Consumers under the age of 18 contribute to about 60 % of snack food consumption.
In-store bakeries accross the Middle East, and especially Saudi Arabia, are growing as quality and choice became more important. The growth of in-store bakeries has benefited sales of bread and pastries in a whole.
Baked goods grew by 16 % in value in 2008, while pastries increased by 7 % due to higher demand for newer products.