- Salem Al Shamsi: “We are committed to providing comprehensive support to help local food companies grow and expand into new markets while promoting Dubai’s competitive advantages.”
- Value of the UAE’s food services sector to reach US$ 22.7 billion by 2028.
- US$ 932.1 million in venture capital investments in restaurant technology in the UAE between 2020-2024.
- US$ 9.1 billion in fresh food retail sales in the UAE during 2024.
Dubai, UAE, 18 February 2025 – Dubai International Chamber, one of the three chambers operating under Dubai Chambers, hosted a business networking event today on the sidelines of Gulfood, the world’s largest food exhibition and conference, which is taking place at the Dubai World Trade Centre from 17-21 February 2025.
The event attracted the participation of 415 representatives from leading local and international food and beverage companies, who learned more about the latest market data and key trends shaping the UAE’s food sector. The discussions also highlighted Dubai’s strategic position as a global hub for the trade and production of food products.
Salem Al Shamsi, Vice President of International Relations at Dubai Chambers, commented: “Dubai’s food and beverage sector is continuing to achieve sustained growth, driven by a rising population, a flourishing tourism and hospitality industry, and the government’s focus on innovative solutions to meet the growing demand for food products. Dubai’s advanced infrastructure, advanced logistics capabilities, and dynamic business environment further cement its position as a key global hub for the food industry.”
Al Shamsi added: “Gulfood is the largest dedicated event for the food and beverage industry worldwide. By hosting this leading exhibition, Dubai plays a vital role in driving the growth of the sector and fostering new partnerships. Dubai International Chamber is committed to providing comprehensive support to help local food companies grow and expand into new markets while promoting Dubai’s competitive advantages and the exciting investment opportunities emerging across all segments of the food and beverage industry.”
Market Insights and Growth Projections
According to data from Euromonitor International cited by Dubai International Chamber during a presentation at the event, the UAE’s retail sales of fresh and packaged food products reached US$ 16.3 billion in 2024. Meanwhile, consumer spending on food purchases via e-commerce platforms totalled US$ 1.1 billion in 2024, with projections indicating a compound annual growth rate (CAGR) of 12.2% between 2025 and 2028. In addition, the UAE’s food services sector is expected to grow from US$ 17.2 billion in 2023 to US$ 22.7 billion by 2028, registering a CAGR of 5.7%.
Investment Appeal
The presentation highlighted that Dubai’s food and beverage sector attracted US$ 370.3 million in new foreign direct investment (FDI) between 2020 and 2024, according to data from FDI Intelligence. The UAE also secured the largest share of venture capital investments in RestaurantTech across the Middle East between 2020 and 2024, with investments totalling US$ 932.1 million according to PitchBook.
In addition, the UAE ranked second in the Middle East for venture capital investments in agritech during the same period, attracting US$ 386.1 million in funding.
Fresh Food Segment
The presentation highlighted that the UAE’s fresh food retail sales are projected to increase from US$ 9.1 billion in 2024 to US$ 11.3 billion by 2029, reflecting a CAGR of 4.48%. Meat products accounted for the largest share of fresh food sales during 2024, generating US$ 2.9 billion in retail sales, and have a projected CAGR of 5.5% from 2024 to 2029. Vegetables ranked second, with sales totalling US$ 2.6 billion in 2024, and are expected to grow at a CAGR of 4.2% over the same period, according to Euromonitor data.
Packaged Food Segment
Retail sales of packaged food products in the UAE are forecast to rise from US$ 7.2 billion in 2024 to US$ 9 billion by 2029, reflecting a CAGR of 4.53%. Essential food staples such as maize, rice, and wheat accounted for the largest share of sales within this category, amounting to US$ 2.5 billion in 2024. Sales of these products are projected to grow at a CAGR of 4.9% from 2024 to 2029. Dairy products ranked second, generating sales of US$ 2.2 billion in 2024, with a CAGR of 3.8% forecast over the same period.
Beverage Segment
Dubai International Chamber’s presentation indicated that retail sales of beverages in the UAE are set to increase from US$ 1.7 billion in 2024 to US$ 2.3 billion by 2029, achieving a CAGR of 5.7%. Bottled water continues to dominate this category, having generated US$ 667 million in sales in 2024 and with projections for a CAGR of 5.7% from 2024 to 2029. Carbonated drinks followed, with sales reaching US$ 401 million in 2024.
