The Jebel Ali Free Zone(JAFZA)’s Food and Beverage (F&B) sector which is a subsidiary of global trade enabler DP world witnessed a growth of 12 percent in 2017. The F&B sector companies rose from 507 to 570 in 2016 with 8,600 employees. This ascertained the attractiveness of company formation in JAFZA by entities seeking to launch and expand their business.
Sultan Ahmed Bin Sulayem, Group Chairman and Chief Executive Officer, DP World, said: “Jafza is building on its track record as the region’s hub for this key sector of the economy, in line with U.A.E. Vision 2021 launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice-President and Prime Minister of the U.A.E. and Ruler of Dubai. The growth reflects our continued focus on developing this industry and attracting more F&B manufacturing businesses to establish themselves here.”
“We are committed to building on our infrastructure, providing a world-class business environment for F&B companies and this event provides a major platform to showcase our business-friendly services and our capacity to support Dubai and the UAE’s economic diversification strategy.”
“The vision of our leadership to establish Dubai as the global Islamic economic capital provides a major boost to our economy by attracting foreign investment, especially those that are Halal food related. The Dubai Industrial Strategy also complements the competitiveness of the food industry where local companies can partner global counterparts to increase exports. We are also focused on research and development in the industry to develop new products and commodities that will suit different tastes and attract consumers.”
JAFZA has F&B business from 75 countries that have a reach of more than 2.5 Billion consumers in the countries of Middle East, Africa, South and East Asia and the CIS. This F&B sector also includes international brands like the AGC, Unilever, Mars, Food Specialities Limited (FSL), Gulf Food Industries, Hunter Foods, and many others. The percentage of F&B companies in the JAFZA; 37 percent are from the Middle East,24 percent from Asia,19 percent from Europe and 10 percent each from Africa and America.
The reason as to why the entities prefer company formation in JAFZA is the high occupancy rate of facilities like land, warehouses, showroom, and offices. These spaces are spread over 1.85 million square meters and accelerate the growth of the F&B industry. JAFZA also featured its F&B track record during the Annual Gulfood 2018 event from February 18 to 22nd.
The Business Monitor International (BMI) research recent reports conclude that the food sales in the region of the Middle East and North Africa will increase by 6.3 percent annually between 2015 and 2020. It will also witness a 7.1 percent annual growth till 2020 due to the factors of robust retail sector investment, the rise of tourists and expatriate population in the coming years.
