|
|
Kuwait Food and Drink Report Q1 2008Published by: Business Monitor International Published: Feb. 20, 2008 - 58 Pages Table of Contents
AbstractThe Kuwaiti food and drink industry continues to attract a number of Western food and drink companies,as discussed in BMI’s recently published Kuwait Food & Drink Report for Q108, as consumer habitscontinue to shift towards more western patterns of consumptions. For example, in November 2007,American restaurant chain Pizza Inn announced its plans to open 20 new outlets in Kuwait , partneringwith Raja Company, which will utilise the support services of United Food Company, Pizza 'Inn'smaster licensee for Saudi Arabia and Qatar. Such a major expansion plan reflects the growing demand forWestern food and drink products throughout the Gulf states, and also that Kuwait is a popular entry pointfor companies looking to expand in the region.Kuwait has attracted a large number of Western food and drink companies thanks to its attractive businessenvironment and surging demand, as both the population and disposable incomes continue to grow.Kuwaiti consumers, with their high spending power, have increasingly Western tastes, making them keento experiment with new foods and restaurants. Expats make up around 80% of the population, and theinfluxes of expatriate workers in Iraq coming over the border into Kuwait for time off and holidays alsocreates increased demand for food and drink products inside Kuwait, further stimulating the market. Aswith many other Gulf States, the Kuwaiti economy is dominated by oil, and has therefore beenexperiencing booming growth on the back of consistently high oil prices. The country's overridingpolitical stability has been another major draw for foreign investors, particularly given the volatility of theMiddle East region. Another reflection of changing consumer preferences is the ice cream sub-sector, which is taking off inthe region’s high-income, high-growth markets, such as Kuwait, fuelled by rising disposable incomes andgrowing competition among key players. It is mostly international companies that are involved in the icecreamsub-sector in the Middle East, for this is not a traditional food in the region, given its hot climate.However, in line with the economic growth that is spreading across the region, the demand for luxuryfoods such as ice cream is skyrocketing. Ben & Jerry's, Häagen-Dazs and Marble Slab are all wellestablishedbrands in the region and have continued expansion plans. Of course a key driver behind this growth and assumption behind such expansion plans is the country’scontinued economic prosperity. We are forecasting real GDP to accelerate to 6.8% in 2008, on the backof strong net export growth, as the factors that have buoyed the Kuwaiti economy over the last few years- high oil prices, abundant liquidity, strong consumer confidence and overall political stability - look setto remain in place. Although the outlook is somewhat clouded by the prospect of a US slowdown and anunwelcome rise in inflationary pressures, but we remain confident in continued economic growth, andtherefore, continued development in the country’s food and drink industry Get Full Details About This Report >> |
|
|||
|
About MarketResearch.com
|
||||