Opportunities for Belgian F&B companies in Saudi‐Arabia
Mrs Ebtisam AHMED Mr Denis LAHAYE
SEMINAR FOOD EXPORT REGULATIONS TO
SAUDI‐ARABIA AND THE UAE
• 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
We are close partners
Saudi Arabian Food &
Beverages Market
The 6 th destination for EU Food Products
• Biggest market in the GCC
• Population = 33mn by 2021
• Per capita = € 48,608.60
• Food demand = still growing
• Food consumption = 59% share of the GCC market
• Imported food = 80%
• Ready to absorb 5% VAT
Why Saudi Arabia?
• 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
Future Trends
Flanders Investment & Trade / Brussels Invest & Export Embassy of Belgium - Riyadh - Saudi-Arabia
E: riyadh@fitagency.com T: +966 11 480 1760
AWEX Riyadh
Embassy of Belgium – Riyadh - Saudi E: riyadh@awex-wallonia.com
T: +966 11 480 8614
Need our help to get into contact with Saudi
importers?
Opportunities for Belgian food companies in the UAE
Mrs Evelien STAELENS
SEMINAR FOOD EXPORT REGULATIONS TO
SAUDI‐ARABIA AND THE UAE
• One of the main food consumption centres in the GCC
• Large consumer base
• Re-export hub
Market overview
Source: Alpen Capital, Industry Report 2017
Country-wise Composition of Net Food Imports Volume
(2014)
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
Current BE F&B exports to the UAE
Growth drivers
• Population growth
• 3% growth rate 2016-2021 11.4 mln
• Tourist arrivals: 25 mln (2020)
• Diverse mix of people
• Rising per capita income
• 4,1% growth rate 2016-2021
• Health awareness
• Sales channels
• Increasing penetration of organized retail formats
• Emergence of new food service channels
Growth drivers
Past
Expected Future 30
35 40
25 20 15 10 5 0
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
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
Growing expected food retail sales value (AED Billion)
Fresh Food Packaged food
Food retail sales
Niche markets
Forecast for global Muslim food market expenditure (USD billion)
1,585
1,128 2,000
1,600
1,200
800
400
0
2014 2020
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
Muslim food market expenditure
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
3.9 4.2 4.5 4.9 5.2
2.6 2.8 3.0 3.2 3.4
1.2 1.3 1.4 1.5 1.6
0 2 4 6 8 10
Growing expected halal meat retail sales value (AED billion)
12
2017 Poultry
2018 2019
Lamb, Mutton and Goat
2020 2021
Beef and calf meat
Halal meat
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
CAGR, %
7.4
6.3 5.9 5.7 5.5
4.0 4.1
4
2
0 6 8
Meat Vegetables Nuts Fresh Food average
Pulses Fish and
Sea food Fruit
Fresh food products sales growth
(2017-2021)
Source: Business Monitor International (BMI) 2017. Data based on BMI estimates and forecasts. Actual data may be different from estimates/forecasts
CAGR, %
8.8 8.7
8.0 7.9
6.3 6.3
Bananas Canned fruit, Cabbages fruit based
products
Potatoes Citrus fruits Leaf and stem vegetables
Fruit & vegetables sales growth (2017-2021)
Source: Euromonitor International, 2017. Data based on Euromonitor International estimates/forecasts.
Actual data may be different from estimates/forecasts
