GULFOOD 2013 PARTICIPATION REPORT

Spices Board

Submitted By

K.P.GovindanP.P.Gopalakrishnan

GULFOOD 2013

PARTICIPATION REPORT

Introduction

Gulfood, the world’s largest annual trade show for the food and hospitality industry took place at the Dubai World Trade Centre, UAE from 25th to 28 February 2013, with a record participation of 110 country pavillions and 4200 exhibitors. Gulfood enables global and regional players in the food industry from ingredients to finished foods to tap the prospective growth of food imports to the GCC which totalled USD25.8 billion in 2010 and expected to rise to USD53.1 billion in 2020. Location

Dubai is a long established gateway to the Middle East, strategically located at the crossroads of important shipping routes across the Atlantic, Indian and Pacific oceans. Dubai is well-connected to the Gulf states, North, South, West and East Africa and the Indian subcontinent. The city’s state-of-the art business infrastructure and logistical facilities make it an important market for food products. Nearly 50 per cent of the food imported by the UAE is re-exported to other GCC countries, Russia, East Africa, Pakistan and India.

Gulfood 2013

Gulfood 2013 was inaugurated by H.H.Sheikh Hamdan Bin Rashid Al Maktoum, Deputy Ruler of Dubai and UAE Minister of Finance, in the presence of H.E Sheikha Lubna bint Khalid Al Qasimi, UAE Minister for Foreign Trade on 25th February 2013. The 18th edition of Gulfood witnessed tens of thousands of trade visitors from all over the world with record participation of 4200 companies from 110 countries.

Spices Board’s Participation

Spices Board participated in the exhibition by taking 45 sq.meter stall in the Indian pavilion, Zabeel pavallion, Stand XD 68. 11 exporters co-participated with Spices Board in the stall. Out of which two exporters were given separate stalls with an area of 6 sq.meters each. The Spices Board’s participation was organized by Smt.Vandana Yadav IAS, Director (Plantations), Ministry of Commerce & Industry, Shri.K.P.Govindan, Asst.Director (Accounts), Spices Board and Shri.P.P.Gopalakrishnan,Market Intelligence Officer, Spices Board.

The Spices Board’s stall showcased the Indian potential in offering various spices and its value added forms. The India’s capabilities in assuring quality of the produce and technological developments in processing and value addition were highlighted in the show. Various Indian spices, various brands of spice mixes, ground spices, curry paste, ready mixes, spice oils, oleoresins, freeze dried spices and herbs etc were displayed in the Board’s stall.

Spices Board’s stall in Gulfood 2013

The following exporters participated in the fair through Spices Board’s stall.

Independent stall

1. Chandan Mukhwas, STC India Pvt Ltd., Mumbai – Independent stall

2. M/s.Evergreen Exports, Mumbai – Independent stall

Common Area

1. M/s.Visnukumar Traders Pvt Ltd, Chennai – Common stand

2. M/s.RNP Group, S K Tripathy, Raghunath Panda & Sons Pvt Ltd, Bhubaneswar

3. M/s.Selmax Exports Pvt Ltd., Mumbai

4. M/s.Jaguarpaw Exports, Combatore

5. M/s.Saraogi and Company, Neemuch

6. M/s.Aum Agri Freeze Foods, Vadodara, Gujarat

7. M/s.Malligha Asafoetida Company, Madurai

8. M/s.Parasmal Jasraj, Jodhpur, Rajasthan

9. M/s.Mathewsons Exports & Imports Pvt Ltd, Cochin

Visitors from various stakes of the food industry around the world visited Spices Board’s stand and held discussions. The visitors include importers from various countries, exhibitors in the exhibition, fair organizers, food magazine publishers and representatives of various Indian companies and Indian nationals.

The major visitors include Mr.Narayanan Raman, Country Manager, FMCG Distribution, Lulu Group International, EMKE Group, Mr.Jiri Zavadil, Director, Czech Trade Promotion Agency, Dubai, Mr.Aldrid Fernandez, General Manager, Al Kamali Group of Companies, UAE, Director, Shama Foods, UAE, Mr.Sameer Qasim Shaikh, Business Development Manager, Oman Fahad Al-Hajri Trading Est., Saudi Arabia, Mr.Fariza A Aghababayeva, Manager Import & Export Dept., Silkway Trading Company, Azerbejan, Mr.Yussur Laher, Executive Manager, Agro-Incomati, LDA, Mozambique, Mr.Samuel Hermena, Director, Commex International, Australia, Mr.Arun Lal, Trading Manager, Koul Food Group, Kuwait, Mr.Mirza Muhammad Attique, Purchase Executive, Al Mariah Roayal Food Stuff Tradiing, UAE, Mr.Kirit K Pathak, Chairman, Patak’s Foods India, UK, Mr.Ali Al Balushi, Director, Yummi Yummi Catering & Hospitality, Sultanate of Oman, Mr.Rajeswar Manadal, Pt.Rajdular Brothers, IndonesiaMr.Wail Abu Qayyas, Mohamed Saleh Abu-Qayyas Sons Tradiing Company, Jordan, Mr.Sh.Umer Iqbal, Managing Director, Rozi Enterprieses, Pakistan.

Large number of trade enquiries was received during the fair. Most of the trade enquiries received are for supply of bulk spices and for cardamom small. Good number of enquiries for supply of cardamom and spices received from Pakistan. The trade enquiries are from UAE, Saudi Arabia, Jordan, Oman, Algeria, New Zealand, Malaysia, Canada, USA, UK, Czech, Mozambique and Pakistan. The co-participant exporters have also got large number of business deals for supply of spices/spice products. The co-participants expressed satisfaction on the business deals received by them. Most of the participants are regular participants in the Gulfood. For them it was a place for renewing their trade relations and getting together point.

In addition to Spices Board’s stall several leading spices exporters from India were also participated in the Gulfood 2013 by taking independent stalls. They include M/s.Synthite Industries, Jabs

International, La-shive Exim, Anil & Company, Om Shree International, Ramdev Foods, Kitchen Express, Adani Foods etc. We have also visited many of these stalls and enquired about their participation. Many of them are regular participants in the Gulfood and they expressed satisfaction with the outcome of the fair participation.

United Arab Emirates

India and UAE have shared trade links through the centuries. The trade, which was dominated by traditional items such as dates and fishes, underwent a sharp change after the discovery of oil in UAE. With the emergence of UAE as a unified entity in 1971, exports from India started growing gradually over the years. The real impetus, however, started after Dubai positioned itself as a regional trading hub by early 1990s and about the same time, the economic liberalization process started in India.

India-UAE trade, valued at US$ 180 million per annum in the 1970s, is today is close to US$ 72 billion making UAE, India’s 2nd largest trading partner for the year 2011-12. Indian exports to UAE mainly include gems and jewelry, vegetables, fruit, spices, engineering goods, tea, meat and its preparations, rice, textiles and apparel and chemicals. Indian imports from UAE mainly include crude & petroleum products, gold & silver, pearls, precious and semiprecious stones, metal ores & metal scrap, electronics goods and transport equipment.UAE’s total food imports were $7.7 billion last year, which is expected to reach 9 billion this year. The UAE has become a major global hub for major food items due to its strong connectivity. Food consumption in the UAE had been growing at the rate of 12 per cent per year and; therefore, the demand for food staples had increased by 30 per cent.One of the main reasons for the increasing demand was the UAE’s steadily growing population. Over the past five years, the country’s foodstuff foreign trade was worth Dh295 billion, achieving a total growth of 84 per cent, with food imports constituting the largest share (Dh194 billion — 66 per cent) of the total amount. The major trading partners to UAE in food and beverage were as per market share: India 18 per cent, China 12 per cent, USA 10 per cent and Australia 8 per cent and others by 39 per cent. The UAE top agriculture imports were fats and oils, wood products, meat products, prepared foods and vegetables products.The spices exports to UAE from India is also showing considerable growth. The major items exported to UAE are Cardamom, Seed spices, chilli, turmeric, ginger , pepper, nutmeg & mace and curry powder/mixtures. The estimated export of spices to UAE during 2011-12 was 60945 tons valued Rs.588.22 crores.

The notable reason of strong demand for Indian spices and spice mixes is the huge expatriate Indian population in UAE. Almost 2 million Indian expatriates currently live and work in the UAE, comprising more than 30 per cent of the national population and constituting the Emirates’ largest expatriate group.

All the major Indian brands viz., Eastern, MTR, Nirapara, Agri Gold, Mothers, Saras, Everest, Priyom etc., of spices/spice products in consumer packs are popular in the UAE market. There are also brands like Shama, Sona, Daily Fresh, Green Farm, Alwan processed and packed in UAE. These brands are also mainly procuring spices from India. Another important brands seen in all the major super markets are Shaan, Mehran and National from Pakistan and Pran from Bangladesh. Indian brands are most popular among the consumers.

Small Cardamom

Middle East countries are the major market for small cardamom. Guatemala is the major supplier to the Middle East countries. We exported 1000 to 2000 tons of cardamom small on an average

per year, during the last few years with an exception in last year which showed an export of 4650 tons due to the crop failure in Guatemala. The price competition from Guatemala is the major reason for our reduced share in the market. During the exhibition lot of enquiries were received for cardamom small from the Middle East countries and from Pakistan. A promotion drive highlighting ‘Indianness’ with Geographical tag may help to improve our share in the market.

Display of spices in the Spice souk/super markets.

Suggestions:

The following observations are made during the participation in the exhibition.

1. The stall allotted to Spices Board in the new Zabeel pavallion was far away from the main entrance and main exhibition halls, which effected the free flow of visitors. The same feeling was also echoed by the co-participated exporters.

2. The common area 33 sq.meter provided for 9 exporters and Spices Board is very less and the stand was congested with representatives of co-exhibitors, furniture and trade visitors. More area with separate small stands for co-participants is desirable.

3. Participation of Spices Board with more area in a prominent location in the Gulfood 2014 is recommended. Independent small stalls under the Spices Board’s umbrella, suitably designed for co-participants is desirable. The exporters co-participated in the Spices Board’s stand is also of the same view.