UAE fast-food industry on threshold of fast growth

The fast-food industry in the UAE is on the threshold of substantial growth with around 25 per cent growth year on year for the last three years,

By Moushumi Das Chaudhury

Published: Sat 28 May 2005, 10:53 AM

Last updated: Tue 29 Nov 2022, 2:45 PM

According to reports by the US government on franchising in the Gulf region.

The US dominates the fast-food industry in the UAE with more than 90 per cent of the non-traditional market. There are nearly 3,100 restaurants in the UAE, of which only 94 are fast food outlets but these are doing tremendous business.

Even though there are many popular fast food restaurants in the market, market sources say that demand is nowhere near saturation. According to Rami Wardeh, franchise development and marketing manager of Food and Life General Trading, “The fast food outlets achieved a huge growth of 180 per cent in the UAE and the company is planning to open five new outlets selling fast food in the near future apart form the existing ones.’’

According to a survey, “ The success of these restaurants is attributed to the population of UAE which is one of the most affluent in the world and is expected to grow at an annual rate of 5.7 per cent. Moreover, the number of tourists and business visitors are more than 1.5 million, which increases the sales in fast food restaurants. ’’

Apart from this, with more and more women entering the workforce, both dining out and bringing prepared food home several times a week are becoming increasingly popular.

According to an analyst, the UAE is set for a franchising boom with big names like Burger King, McDonald's, Kentucky Fried Chicken, Pizza Hut and local fast-food marketers, like the shawarmas and breasted chicken outlets that are traditional and modern fast-food outlets modelled on US operations.

The fast-food restaurants are also experiencing growth as they offer free home delivery and prices that are very affordable and reasonable alongwith variety to suit every budget.