Export opportunity – Middle East value added or speciality food ingredients

Middle East – value-added or speciality food ingredients opportunity summary 

The Gulf Cooperation Council (GCC) is a trade bloc comprising Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and the United Arab Emirates (UAE). Many of these markets import a large proportion of the food and drink products they consume. In 2022, UK food and drink exports to GCC countries were worth around £870 million.   

As companies expand into the GCC region, the suggested route is to gain a foothold in the UAE first, and then build on that success in the surrounding markets. 

Scale of export opportunity

• UAE - currently imports around 85% of the food it consumes. UK exports to the UAE equated to around $365m in 2020 due to various factors including strong tourism.
• Saudi Arabia - imported approximately $2.8bn of food products in 2021. UK exports to Saudi are considered to be growing consistently, with food exports at around $152m in 2020.
• Qatar - imports approximately 90% of the food it consumes and UK exports were valued at $62m in 2020.
• Kuwait - imported around $126m of food and drink related products from the UK in 2020. It is the most health-conscious country in the Middle East which is driving demand for sports nutrition products and healthy organic foods.
• Oman – a key driver of demand for international food and drink products is tourism and Oman significantly increased its tourism figures in 2022 to 2.9m from 652,000 in 2021.
• Bahrain - imports approximately 14% of the food it consumes and UK food exports were valued at around $39m in 2019. 

Company suitability

Scottish companies best positioned to win this type of business will fit with some of the following: 

• Providers of value-added and speciality food ingredients to food processing, manufacturing industries and the food service sector
• Companies which have an extensive range of value-added ingredients and can become a one-stop solution for buyers
• Suppliers of products within the following categories:
  • seafood 
  • confectionery 
  • premium grocery 
  • dairy 
  • alcoholic and non-alcoholic drinks  
• Suppliers of functional food ingredients which enhance food ingredients’ basic nutritional values
• Companies that already trade internationally