Dubai coffee trading businesses reinforce its reputation as global hub

A report released by the Business Registration and Licensing (BRL) of the Department of Economy and Tourism (DET) states that there are now 615 companies in Dubai trading coffee, one of the world’s most consumed beverages.

This reinforces Dubai’s reputation as a global trading hub for the commodity. Companies are involved in production, wholesale and retail, import and re-export, and retail hot coffee in cafes and restaurants, ready-to-drink coffee in grocery stores and retail outlets.

According to Research and Marketing’s 2021 Coffee Market Report, the global coffee market size is estimated at $108 billion in 2021, and is expected to reach $144.68 billion in 2025. Retail sales dynamics driven by e-commerce, rising preference for instant coffee, and demand for specialty coffee have led to an increase in the number of companies involved in the coffee business.

According to a BRL industry report, Bur Dubai has the largest share of coffee companies (368 licenses), followed by Deira (243) and Hatta (4 licenses), with the largest sub-regions located in Burj Khalifa, Al Ras, Al Barsha 1, Dubai Investments Park 1, Al Marar, Khor Al Anz East, Al Kuoz 3, Al Karama, Shopping Center 1 and Port Said.

The report showed that the total number of licenses issued during 2021 was up 148% from 2020, when 69 licenses were issued, compared to 171 licenses in 2021. Emiratis lead the list of investors in the coffee trade with 31% of the total, followed by other nationalities such as British, Italians, Turks, French, Egyptians, Jordanians and Kuwaitis.

Several Emirati coffee trading companies have entered global markets from Dubai and have also opened branches in several countries thanks to the services provided by Dubai Industry and Export, a DET agency, in a short period of time.

The increase in population, the rise in the number of visitors from all over the world, as well as the increase in income and the variety of coffee choices, the increase in the number of cafes and outlets were some of the reasons for the high consumption of coffee in Dubai. The market has become more competitive with the increase in the number of coffee companies and the emergence of high quality coffee to meet the needs of consumers.

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