Private label industry on growth path across the Middle East

Dubai is already establishing itself as the gateway to this lucrative market and is currently hosting top companies from the world over. Over 100 exhibitors from more than 20 countries have come together at the Dubai World Trade Centre to showcase the global trend - with private labels showing sales growth at double the rate of branded counterparts.

The PLME - Dubai 2007, which continues till tomorrow (October 25), is attracting over 5,000 trade visitors from more than 40 countries, according to the organisers, Channels Exhibitions. The three-day exhibition specialises in the research, development, design and packaging of in-house brands that are manufactured under contract for sale under private labels.

In his comments, Mr Justin Boutros, Managing Director, Channels Exhibitions, said:

"The range of private label products on display is beyond recognition. The exhibition has grown 30 per cent over last year and we project approximately 40-50% year-on-year growth, which reflects the demand for private labels. Last year, we had nearly 65 exhibitors and we next year, we envisage close to 200 exhibitors, which reflects the growing trend in private labels."

The exhibition hosts national pavilions from Germany, Italy and Turkey, along with manufacturer groups from Croatia, Bulgaria and Italy. "Though the national pavilions from more from Europe, we have on show strong branded products from Kuwait, Iran and the Sultanate of Oman. With the rapid expansion of supermarket and hypermarket space across the region, private label producers can't afford to ignore the opportunities on offer," Mr Boutros said.

In the UAE almost 84% of the consumers are aware of at least one private label; whereas in Kingdom of Saudi Arabia, this rate is around 67%, according to a report by The Nielsen Company, the world's leading marketing information company.

The exhibition focuses on a wide array of products, ranging from food and beverages, home care, hygiene, electronics, white goods, clothing to stationery and disposable industrial items.

On the sidelines of the exhibition, the Private Label Seminar was held on the second day of the exhibition, which reflected on the regional and international markets for private labelling, where awareness levels of private labels ranges between 60% and 80% amongst the regional consumers.

At the seminar, Sevil Ermin, Head of Retailers Services at The Nielsen Company, shared insights in the global private label growth trends as also predicted its future. The Nielsen Company was also a moderator at a special panel discussion during the seminar.

A synopsis was presented by Christopher Hudson - General Manager, Channels Exhibitions, which was followed by a guided tour of the exhibition - exclusively for seminar delegates.