The food and beverage (F&B) sector based in Jebel Ali Free Zone (Jafza), the UAE’s premier regional business and logistics hub, showed significant growth in 2017 reflecting continuing confidence in the industry in the UAE.

The sector’s volume of trade rose to 3.5 million metric tonnes, valued at AED 11.1 billion which accounted for 17.85 per cent and 15.37 per cent of Dubai’s total F&B volume and value respectively.

Continuous industry growth has been supported by high disposable incomes in the country with major investment in grocery retail over the past few years (BMI Report).

F&B is a major focus of Jafza’s business portfolio with over 570 companies from 75 countries. They regional and global brands such as Unilever, Mars, AGC, and Gulf Food Industries.

Sultan Ahmed bin Sulayem, Group Chairman and Chief Executive, DP World, said: “The growth of the food and beverage sector highlights Jafza’s success in establishing itself as a destination of choice for companies in the MENA region, in line with UAE Vision 2021 as outlined by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the UAE and Ruler of Dubai.

“Our range of business friendly services and facilities provides gives companies the ability to leverage the potential Dubai offers the industry by allowing them to focus on their operations and the opportunities the regional market presents.

“Continued F&B growth also underlines our commitment to the government’s goals for economic diversification. By creating a world class business environment, we are encouraging manufacturers to establish themselves here and develop new products and commodities that meet consumer demand.  Given the dynamic nature of the industry, we will continue to assess market conditions and position ourselves to meet customer requirements.”

Of the F&B companies based in Jafza, 37% are from the Middle East; 24 percent from Asia-Pacific; 19 percent from Europe; 10 percent from the Americas and 10 percent from Africa.

The UAE’s F&B sector has seen steady growth over the past two years. According to a BMI report, food sales are expected to grow at an annual average of 6.6% over the next five years.