Leading International Franchisers expected to converge at Franchising Middle East 2005

The second edition of this premier tradeshow will commence at the Dubai International Trade Centre Exhibition Halls on 28 February 2005.

FME 2005 is presented by the Mohammed Bin Rashid Establishment for Young Business Leaders, the pioneering foundation initiated by the Government of Dubai to nurture and reinforce the entrepreneurial spirit among UAE locals, particularly in the Small & Medium Business sectors. Over 75 exhibitors representing varied business interests will be exploring new business opportunities at this landmark franchising exhibition that is organized by International Expo-Consults LLC and supported by the International Franchise Association (IFA), the trade body uniting franchisors globally.

In a Pre-Show message to exhibitors and visitors, Abdul Baset Al Janahi, CEO, Mohammed Bin Rashid Establishment for Young Business Leaders was upbeat about the prospects and potential for both the franchisors and franchisees. "The franchising community has come to the exhibition to showcase the best international and globally recognized brands and visitors will gain from the expertise FME 2005 exhibitors have to offer to regional sectors. As the economies of the GCC countries enter a new phase of development, the emphasis on Small and Medium Enterprises (SME) opens new vistas for the franchising business," affirmed Al Janahi. "SMEs are a significant source of new business leads and have a progressive and crucial role to play in stimulating local and regional economic development, opined Al Janahi

Franchising in the Middle East is on the threshold of extraordinary projected growth, according to industry sources. The all-pervading open-door economic policies now being diligently pursued by all GCC economies to attract new investments implies that the region is rapidly becoming a gateway for new brand names for more and more products and services. Investors are increasingly gravitating towards franchising to open new business possibilities. The exhibition is expected to further boost the claim of Dubai and indeed the UAE as the Franchise hub of the Middle East.

FME 2005 has received interest from several International Franchise Associations which are in the forefront of developing and exploring Franchise markets of their Countries and/ or Regions. These Associations have been recommending and encouraging the Middle East & North Africa (MENA) Region to their country franchisors through successive FME exhibitions. Additionally, these Associations have also been instrumental in the industry's development by virtue of lobbying special government subsidies, incentives and other facilities.

The Malaysian, Thai and Singapore Governments have extended their full support to the show and have demonstrated their interest by acquiring large Country Pavilions and bringing in high-power delegations. The Middle East is also a special region of interest for companies from countries as diverse as Brazil, Egypt, Germany, Italy, India and South Africa. Apart from the Franchise associations, Trade & Export Promotion bodies and Export Councils have also worked alongside to build up interest in the region. The international web and print media have also played their part to stress the strategic location and importance of the Middle East as growing markets for access and development of this cash rich Region and its vast hinterland.

Current projected high demand growth areas for franchising in the Middle East include restaurant and fast-food outlets, quick printing, laundry & dry cleaning, temporary office services, retail and convenience stores. This is in addition to other identifiable high growth sectors like automotive, apparel, education, beauty, IT, hotels, car rentals, retail goods, food products and much more. Heavyweights such as Toys R Us, Burger King, McDonalds, Avis, Hertz, Kentucky Fried Chicken (KFC), Pizza Hut and Holiday Inn are already well entrenched franchise businesses in the region.

Mohammed Falaknaz, Vice President, International Expo Consults (IEC), organizers of the Show also expressed optimism for the success of the Exhibition and the positive impact it would have on exhibitors and visitors alike. "The retail industry in the Middle East is trundling along at a frenetic pace and at AED 30 billion, is already the fourth largest contributor to the UAE's GDP," said Falaknaz in Pre-Opening press remarks intended for the proposed gathering of professionals associated with the franchising community. "As a fall out of this phenomenal expansion, there is also increased and intense competition between new incoming and established brands, retailers, vendors and other service providers and this presents new opportunities and challenges for the business community" continued Falaknaz.

The exhibition will serve as an ideal platform to integrate franchisors and franchisees in the UAE's commercial capital as the Middle East emerges as one of the fastest growing franchising destinations for marketers from all over the world. The Region is probably the most investor friendly Region with full support from the Government, attractive tax-free facilities and world class infrastructure. Additionally, improved intellectual property legislation and enforcement, a large number of residents with high disposable incomes and a young, upwardly mobile consumer market keen on leisure and consumer spending make the Middle East an ideal place for franchising opportunities.

Industry estimates the annual growth rate of 27% currently evaluated at over USD $ 14 billion across the Region. Fast foods account for a whopping 40% of the total market but other sectors are also registering healthy growth figures. All this augurs well for an industry which is currently on the throes of an accelerated thrust in the region evidenced from exhibition sources, industry indicators and both exhibitor and visitor interest.