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09 September 2024

Saeed Alsuwaidi: 8.4% Growth in UAE Coffee Market by 2029

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By E247

The UAE and regional coffee markets are experiencing significant expansion, with the per capita coffee consumption in the UAE rising to 1.36 kg in 2023, and coffee market sales exceeding AED 1 billion. The UAE coffee market is expected to grow at an annual rate of 8.4% until 2029.

Saeed Alsuwaidi, Director of Agri Commodities at DMCC, stated that the flourishing coffee market in the UAE opens up vast opportunities for companies in the coffee value chain, enhancing the demand for specialty and premium coffee products. This creates extensive opportunities for companies in the coffee value chain to go beyond their roles as part of the supply chain and benefit from the immense investment and trade opportunities offered by this thriving market. DMCC, through its Coffee Centre, plays a pivotal role in this successful trade.

In an exclusive interview with Al Bayan, Alsuwaidi revealed that Dubai is solidifying its position globally in the production and trade of high-quality coffee. He highlighted that the DMCC Coffee Centre, established in 2019, provides advanced infrastructure and comprehensive services for coffee traders and companies, including secure, climate-controlled warehouses, modern coffee processing and roasting facilities, and a training center accredited by the Specialty Coffee Association.

How important is hosting the UAE Aeropress Championship to the DMCC Coffee Centre and Dubai’s coffee culture? How do you see the impact of this event on the coffee industry in the UAE?

We are delighted to host the UAE Aeropress Championship for the fifth consecutive year. This year’s theme, "Pressing Boundaries," reflects the challenges faced by our baristas and highlights how pressure drives excellence. The championship, the largest coffee competition in the region, is significant for the DMCC Coffee Centre and Dubai’s coffee sector. It brings together coffee enthusiasts, baristas, and industry professionals from across the UAE and beyond, facilitating networking and showcasing skills through coffee tastings and workshops.

Hosting the Championship enhances the UAE coffee industry by cultivating a strong coffee culture, driving growth, and creating numerous business opportunities. This contributes to Dubai's ambition to be a central hub for coffee trade, attracting international attention and promoting the city as a destination for high-quality coffee.

What preparations have been made to ensure the success of the UAE Aeropress Championship 2024? Are there any new elements or surprises planned for this year's tournament? How many participants are expected this year, and what are their backgrounds?

We are set for a hugely successful event, focusing on top-notch organization and engaging participants. With over 400 participants, this will be the largest edition yet! We’ve expanded the competition to welcome more participants and addressed past space concerns. Registration opened in July, allowing each Emirate to accept up to 81 competitors on a first-come, first-served basis, ensuring a diverse mix of baristas and coffee lovers from across the UAE.

The event will also feature a unique cross-collaboration with the DMCC Gaming Centre, providing new networking opportunities with industry professionals, café owners, and coffee enthusiasts. Attendees can enjoy coffee tastings, workshops, and exclusive AeroPress merchandise.

How does the DMCC Coffee Centre engage with the local and international coffee community through this event?

The UAE Aeropress Championship is a premier event where participants showcase their coffee brewing skills and creativity, fostering community interaction and networking. Through AeroPress, we position Dubai and the UAE as key players in the global coffee trade. Winners of the national championship will represent the UAE at the World AeroPress Championship finals in Lisbon, Portugal, enhancing the UAE's coffee industry on the world stage.

 What are your future plans for the UAE Aeropress Championship, and how do you envision it growing in the coming years?

Our plans focus on expanding the scope and impact of the competition. The Centre aims to host the event annually, making it larger and more inclusive. We plan to increase participant numbers, enhance the competition's presence, and incorporate diverse activities and workshops to engage a wider audience. We envision the Championship growing into a key event in the global coffee calendar, attracting international competitors and visitors.

 Could you give us an overview of the DMCC Coffee Centre and its core mission? What unique facilities and services does the Coffee Centre offer to traders and businesses?

Established in 2019, the DMCC Coffee Centre aims to position Dubai as a global hub for coffee trade and processing by offering world-class infrastructure and services. The Centre provides secure, climate-controlled storage for up to 9,500 metric tonnes of green coffee, advanced processing equipment, specialty and commercial roasting facilities, an instant coffee repacking machine, SCA-certified training facilities, and comprehensive logistics support, including customs services. It also offers commercial office spaces, Q Grading cupping rooms, and a demonstration café, fostering a collaborative environment for coffee businesses.

In addition to its physical resources, the Coffee Centre hosts educational programs and training sessions, enhancing skills across the coffee value chain. It serves as a networking hub, organizing events that connect producers, roasters, and consumers. With its strategic location in Dubai, the Centre offers efficient logistics and delivery services, positioning the city as a leading global hub for coffee trade and innovation.

What is the size of the UAE's coffee trade during the first half of 2024?

The coffee market in Dubai and the region is experiencing substantial growth, with individual coffee consumption in the UAE reaching 1.36 kg in 2023 and coffee market sales exceeding AED 1 billion. The UAE coffee market is forecast to grow by 8.4% annually through to 2029. DMCC plays a significant role in this growth through the Coffee Centre, which processed over 7,330 metric tonnes of green coffee last year. The Centre facilitates trade for key markets in Central and South America, Asia, and Africa, addressing a market need for cost-effective, comprehensive, and efficient trade hubs.

What is the number of companies operating in the Coffee Centre currently?

The DMCC Coffee Centre has over 130 registered members, including leading companies from across the world. This reflects the Centre's role as a central global hub for coffee trade, providing comprehensive services and infrastructure to support coffee businesses. The Centre enables the trade of over 100 coffee varieties from major growing regions across Central and South America, Africa, and Asia.

How does the Coffee Centre ensure sustainability and ethical practices in the coffee supply chain?

The DMCC Coffee Centre is committed to sustainability and ethical practices, utilizing solar power as a main power source, promoting ethical sourcing, obtaining sustainability certifications, and offering specialized training. The Centre emphasizes direct trade relationships, supporting certifications like Fair Trade and Rainforest Alliance, and provides courses on sustainable coffee production and ethical sourcing practices. Advanced processing methods minimize waste and reduce the environmental footprint, ensuring a responsible and sustainable coffee supply chain.

What trends are you currently observing in the global and local coffee markets?

Key trends include the rise in popularity of flavor fusions and specialty coffees, a growing interest in single-origin and micro-lot coffees, and a focus on sustainability and ethical sourcing. In the UAE, there is robust growth in the specialty coffee sector, a rising demand for premium coffee products, and an increase in coffee-related experiences, such as tastings and educational events.

How is DMCC’s Coffee Centre adapting to these trends and capitalizing on new opportunities?

Innovations in coffee production and consumption, such as precision agriculture and new brewing technologies, are transforming the industry. Disruptive weather events are affecting coffee-growing regions, bringing renewed consumer pressure on sustainability. DMCC adapts to these trends through dedicated ecosystems and services, including the DMCC Sustainability Hub and tech-focused ecosystems that support the latest technological innovations.

How does the Coffee Centre support coffee entrepreneurs and startups?

The DMCC Coffee Centre provides innovative solutions and services to support entrepreneurs and startups. It connects growers and exporters with international markets, facilitating the trade of over 100 coffee varieties. This extensive sourcing capability enhances Dubai's position within the global coffee supply chain, allowing it to meet the growing demand for specialty and ethically sourced coffee.

Are there any success stories or notable partnerships that have emerged from the Coffee Centre?

The DMCC Coffee Centre has supported numerous success stories and partnerships, significantly impacting the coffee trade in Dubai and the region. One prominent partnership is with Boncafé Middle East, focusing on producing locally roasted coffee at the DMCC Coffee Centre, enhancing Boncafé’s brand presence across the GCC.