Catering services offer food for events like weddings, corporate meetings, parties, and conferences, among others. These services are also well-adopted across colleges, schools, and corporate offices, either through their in-house cooking staff or a third-party source. The various applications & equipment involved in catering services include basic cooking utensils, refrigeration, storage & handling, serving, food preparation, sanitation, etc. Of all countries across the Middle East, the UAE witnesses maximum tourists and attracts several international F&B brands. As a result, it is the leading Food & Beverages (F&B) market in the region, owing to which the demand for catering services is also considerably rising in the country.
The UAE Catering Services market has experienced robust growth during 2018-2021. One of the key factors attributed to the growth includes the execution of various events such as Expo, trade fair such as Intersec, etc., throughout the year in the UAE. Moreover, the increased number of air travel passengers has boosted the focus of the UAE airlines to expand their fleet size. Consequently, this would further lead to the establishment of partnerships between the catering service providers & airlines, which is anticipated to strongly contribute to the growth of the UAE catering services market in the forthcoming period.
The UAE Catering Services Market is expected to grow at a CAGR of around 6% during 2023-28. The growth of the market attributes principally to the increasing inflow of tourists in the UAE and the extensive presence of renowned catering service providers like Emirates Flight Catering, National Catering Services & Foodstuff, Royal Catering, etc., and the convenience of catering service in schools, colleges, restaurants, offices, cafeterias, etc.
|Study Period||Historical Data: 2018-21|
|Base Year: 2022|
|Forecast Period: 2023-28|
|Region Covered||Abu Dhabi & Al Ain, Dubai, Sharjah & Northern Emirates|
|Key Companies Profiled||Kuwait Catering Company, Mais Catering, Kuwait Pearls Catering, Aswar National Catering Company, Anaar Catering|
|Unit Denominations||USD Million/Billion|
Additionally, since the competition in the UAE's catering industry is cutting edge, there's an increasing focus of catering service providers on presenting healthier meals prepared from fresh ingredients & reducing dependence on frozen prepared foods. Besides, the soaring trend of theme-based parties & weddings among foreign delegacies in the UAE is also contributing to the surging demand for catering services across the country.
Moreover, with the rising consumer health consciousness, catering services are gaining traction by providing healthy eating options, like organic foods, healthy snacks, and a balanced vegan diet. Furthermore, the mounting emphasis of catering service providers on improving the overall customer experience by providing high-quality food & ensuring less waiting time is another crucial aspect expected to drive the UAE Catering Services Market in the coming years.
Covid-19 Catastrophically Impacted the UAE Catering Services Market
In 2020, the Covid-19 pandemic severely impacted the UAE Catering Services Market. To curb the exponential spread of the virus, the government imposed frequent lockdowns and stringent movement restrictions, which restricted people from public dining services. As a result, the catering industry observed massive financial losses as the public gatherings were prohibited & people postponed their events like weddings, corporate meetings, etc.
However, with the gradually declining number of Covid-19 cases, the government uplifted restrictions with social distancing norms & other preventive measures, owing to which the market witnessed a hike. Yet, a limited number of people at any event remained a crucial policy to avoid the virus spread. While 2021 displays as the phase of slow market recovery, the coming years promise profitable opportunities for the leading players in the UAE Catering Services Market.