Opportunities for Belgian F&B companies in Saudi Arabia
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1 SEMINAR FOOD EXPORT REGULATIONS TO SAUDI ARABIA AND THE UAE Opportunities for Belgian F&B companies in Saudi Arabia Mrs Ebtisam AHMED Mr Denis LAHAYE
2 We are close partners Trade = 4 billion in 2017 Saudi Arabia = 32 th Belgian client Imports = 1.7bn in 2017 Saudi Arabia = 27 th Belgian supplier Export = 2.6bn in 2017 Saudi Arabia food import from Belgium = 115,164 tonnes = 117mn in 2017
3 Saudi Arabian Food & Beverages Market The 6 th destination for EU Food Products
4 Why Saudi Arabia? Biggest market in the GCC Population = 33mn by 2021 Per capita = 48, Food demand = still growing Food consumption = 59% share of the GCC market Imported food = 80% Ready to absorb 5% VAT
5 Future Trends Increased number of retail outlets Private label 100% foreign ownership Rising health-consciousness Foodservice sales = 7.7 billion Food with entertainment = high demand 4 ready to eat meals Catering services = pilgrims = market larger share
6 Need our help to get into contact with Saudi importers? Flanders Investment & Trade / Brussels Invest & Export Embassy of Belgium - Riyadh - Saudi-Arabia E: riyadh@fitagency.com T: AWEX Riyadh Embassy of Belgium Riyadh - Saudi E: riyadh@awex-wallonia.com T:
7 SEMINAR FOOD EXPORT REGULATIONS TO SAUDI ARABIA AND THE UAE Opportunities for Belgian food companies in the UAE Mrs Evelien STAELENS
8 Market overview One of the main food consumption centres in the GCC Large consumer base Re-export hub Country-wise Composition of Net Food Imports Volume (2014) Source: Alpen Capital, Industry Report 2017
9 Current BE F&B exports to the UAE Some figures 2017: 80m EUR (-4% compared to 2016) What do we export? Confectionary Frozen food products (e.g. French fries) Drinks What about fresh products? Fresh fruit: 450 tons Fresh vegetables: 50 tons
10 Growth drivers
11 Growth drivers Population growth 3% growth rate mln Tourist arrivals: 25 mln (2020) Diverse mix of people Rising per capita income 4,1% growth rate Health awareness Sales channels Increasing penetration of organized retail formats Emergence of new food service channels
12 Food retail sales Growing expected food retail sales value (AED Billion) 40 Fresh Food Packaged food Past Expected Future Source: Fresh food in the United Arab Emirates, June 2017, Euromonitor International. Data from 2017 and onwards based on estimates/forecasts from Euromonitor International. Actual data may be different from estimates/forecasts
13 Niche markets
14 Muslim food market expenditure 2,000 1,600 Forecast for global Muslim food market expenditure (USD billion) 1,585 1,200 1, Source: State of Global Islamic Economy Report, 2015/16, prepared by Thomson Reuters in collaboration with DinarStandard. Actual data may be different from estimates/forecasts
15 Halal meat 12 Growing expected halal meat retail sales value (AED billion) Poultry Lamb, Mutton and Goat Beef and calf meat Source: Meat in the United Arab Emirates, June, 2017, Euromonitor International. Data from 2017 and onwards is based on estimates/forecasts from Euromonitor International. Actual data may be different from estimates/forecasts
16 Fresh food products sales growth ( ) CAGR, % Meat Vegetables Nuts Fresh Food average Pulses Fish and Sea food Fruit Source: Fresh Food in the United Arab Emirates, June 2017, Euromonitor International. Data from 2017 and onwards based on Euromonitor estimates/forecasts. Actual data may be different from estimates/forecasts
17 Fruit & vegetables sales growth ( ) CAGR, % Bananas Canned fruit, Cabbages fruit based products Potatoes Citrus fruits Leaf and stem vegetables Source: Business Monitor International (BMI) Data based on BMI estimates and forecasts. Actual data may be different from estimates/forecasts
18 Packaged food sales growth ( ) CAGR, % Savoury sacks Sauces, Dressings and Condiments Spreads Sweet Biscuits, Snack Bars/Fruit Snacks Processed Baby Food Meat and Seafood Packaged food average Source: Euromonitor International, Data based on Euromonitor International estimates/forecasts. Actual data may be different from estimates/forecasts
19 Need any help? Flanders Investment & Trade Mr Kris PUT E: T: AWEX / Brussels Invest & Export Mrs Anja HEINEN E: dubai@awex-wallonia.com T:
20
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