Dubai Exports, the export promotion agency of Dubai Economy, led manufacturers and exporters from the food and beverages sector in the UAE to World Food Moscow, Russia’s largest and long running food trade exhibition.
It was the fifth consecutive year for Dubai Exports at the event, which provided food manufacturers, distributors and suppliers worldwide a strategic opportunity to explore the Russian market, where a population in excess of 140 million and growing demand for premium products offer excellent prospects for consumer goods.
Dubai Exports had 15 of its members participating in the exhibition with a variety of products, including dried fruits, nuts, rice, canned vegetables, beverages, oils and confectionery. The members were briefed on the size and dynamics of the Russian market, including tariffs and taxes on various products, as part of the support services provided by Dubai Exports.
The Dubai Exports Overseas Trade Office in Russia organized a number of B2B meetings between the participating members and wholesalers, distributers, as well as major hypermarkets such as the Tvoy Dom alongside the exhibition.
“Russia is an extremely promising market for our growing foods sector. In fact food and beverages (F&B) account for a significant share of the strength the UAE has continued to add in terms of manufacturing and exports as well as our trade with Russia. Dubai Exports already provides a bridge for local exporters to connect to Russia through our support programs and our overseas office in Russia. ” said Ahmed Al Omari Director of Export Markets Development Department
“In 2016, when trade between Dubai and Russia for the whole year was 5.5 billion AED, the share of exports and re-exports was 35%. The pattern seems to evolve – exports and re-exports accounted for a total trade worth of 1.5 billion AED between Dubai and Russia, and it includes over 19 million AED worth of tea & coffee and almost 12 million AED worth of chocolate, among other F&B products,” added Al Omari.
Tea & coffee are among the top Dubai exports to Russia along with gold, jewelry and mechanical appliances. Russia is known as the second largest tea market by value and volume, behind the UK. Currently coffee and tea account for 85% of the F&B products being exported to Russia with oils, nuts and other products constituting the remaining 15%.
Mohammed Al Mheiri, Senior Manager in Dubai Exports, added that World Food Moscow provided a new frontier to for traders in the UAE looking at growing globally.
“Overall, rising food consumption and growth of the mass grocery retail industry opens vast and efficient avenues for bringing products to Russia. Total food sales in Russia is estimated to grow 8% and reach 880 billion AED in 2017 and food products, fish, dairy and soft drinks, and fruit juices are expected to perform well through 2017. The Russian market is significant lever than can elevate the diverse F&B capabilities of our local trade to the next level,” Al Mheiri concluded.
