UAE Retail Market to Witness Skyrocketing Growth; Distributors to Benefit

There is increasing traction witnessed for leading distribution companies in UAE since the UAE retail market is witnessing exponential growth. There are innumerable reputed food distribution companies in UAE that are striving to bring the finest food products from leading brands to the fingertips of customers in the region. The valuation of the retail market in the United Arab Emirates (UAE) touched approximately $55 billion in the year 2019 and this may increase to approximately $75 billion by the year 2025 owing to multiple reasons including increasing per capita income, fast growth in the tourism sector, an increasing population of expatriates and also the rising number of upcoming projects in the pipeline including big names such as the Dubai-based Deira Mall, Cityland Village in Dubai, Tilal Mall in Sharjah, Reem Mall in Abu Dhabi, Al Maiyah Central in Abu Dhabi and a lot more.

Key events such as the World Expo and other trade shows will also boost tourism and manufacturing industries along with the mainstream food and beverages sector. Technological factors will also come into play for food distribution companies in UAE which are looking to leverage possibilities of future retail growth. There has been higher traction for distribution companies in UAE since categories like ready to cook items are witnessing greater demand while leading global brands are making a beeline for one of the most lucrative markets in the world. The market is distributed evenly into segments like exclusive retail stores, specialty and department stores, hypermarkets and supermarkets along with general merchandise stores and more.

Growing prowess in logistics and distribution has empowered retail growth for several global brands. Companies like Al Maya Distribution (under the aegis of the Al Maya Group) are playing a major part in enabling retail growth and also bringing numerous global brands to the UAE. The Al Maya Group has brought more than 50 of the best food brands to the UAE and possesses more than a million square feet of space in warehousing. It is one of the biggest logistics and distribution companies in the UAE while ensuring smooth supply of said brands for major supermarket chains and retailers alike. The Group continually upgrades overall infrastructure including introduction of latest technologies like WMS (warehouse management system). It also has more than 100 delivery vehicles.

Comments are closed