EMKE puts annual Mid East private label market growth at 30 per cent

"EMKE was among the first in the region to introduce its own label food products, including frozen ready-to-eat and meat products, basmati rice, canned foods, pasta, ketchups, sauces, jams, tea, corn flakes among others" said Ashraf Emay, Executive Director, EMKE Group.

"We sell these products across the Middle East with considerable success and plan to launch our own brand of processed/canned seafood, milk powder and bottled water in the immediate future."

The Group, which started retailing its own label products two years ago under the Lulu brand across its outlets, says the regional market is now opening to the private label concept and expects it to grow rapidly.

"The launch of the first dedicated regional trade show to serve this sector is a key indicator that own brands have arrived in the Middle East," said Emay.

Private Label Middle East (PLME), the contract manufacturing event for the region organised by Channels Exhibitions, will be held at Dubai's World Trade Centre from September 14 - 16.

PLME provides retail chains, wholesalers, distributors and direct selling organisations, which want to create their own label products or source top-quality user-friendly products, the opportunity to meet with contract manufacturers and suppliers.

A study by the Holland-based Private Label Manufacturer's Association (PLMA) states that sales of own brands in US supermarkets increased by nearly US$ 1 billion in 2003, registering 2.2% sales growth versus 1.4% for national brands. Total sales for own brands reached a record US$ 42.9 billion.

"Combined with the total volume of drug chain own brands sold, the figure stands at US$ 48.4 billion. The Middle East, which is experiencing tremendous retail sector growth, holds tremendous potential, which is why we started PLME to address industry needs," said Justin Boutros, Managing Director, Channels Exhibitions.

According to a global study by ACNielsen last year, which researched 36 countries and 80 categories, consumers spent 15% of total value sales on private label consumer packaged goods. Europe remains the region with the largest private label share of total retail sales at 22%, with North America second at 16%.

"As demonstrated by its success in Europe, America and the Far East where industry growth has exceeded that of established national brands in some categories, we expect the concept to gain ground in the Middle East," said Emay.

"It comes at the right time when we are looking for top-quality products in various categories, which we can brand with our own label and retail through our stores."

Contract manufacturers and suppliers from over 16 countries including Belgium, Croatia, Cyprus, Finland, France, Germany, Greece, India, Italy, Poland, Saudi Arabia, Sri Lanka, Sweden, Syria, Turkey and UAE, will be exhibiting at PLME.

Industry sectors covered by the show include food and beverage, health and beauty, home and kitchenware, cleaning and hygiene, stationery, textiles and home textiles, paper and plastic, electronics and white goods, industrial consumables as well as market research and brand design services.

PLME is held under the patronage of the Department of Economic Development, Government of Dubai.

Channels Exhibitions, a pioneer of the trade fair industry within the Middle East, also organises Middle East Exclusive, the annual duty free travel retailing event and Premium, the annual exhibition for incentives, giftware, corporate gifts, festive decorations and stationery.