Issue link: https://read.dmtmag.com/i/1056740
48 STiR coffee and tea / Issue 6, 2018 (December / January 2019) By Dan Bolton ndustry leaders are broadly positive about trading conditions in the Middle East, but operators must navigate a range of economic and political challenges across the region to ensure success, according to a new report by Allegra World Coffee Portal. The report forecasts significant growth in branded coffee shops which now number 9,084 outlets in 12 countries* including major markets in Iran, Egypt, the United Arab Emirates, and Saudi Arabia. Full-service coffee port Coffee that once sailed past Dubai began offloading to a new warehouse and pro- cessing facility in November. The DMCC Coffee Center will initially process 20,000 metric tons of green coffee, valued at $100 million. Much of this coffee originates with China's Yunnan State Farms Group following a 2016 deal negotiated with Hong Kong-based Mega Capital Halal. Yunnan State Farms produces 90% of the arabica coffee grown in China. The 7,500 m 2 facility near the Port of Jebel Ali will store, process, warehouse, and deliver coffee globally, according to Ahmed bin Sulayem, executive chairman of DMCC (Dubai Multi Commodities Center). This is the first temperature-controlled coffee warehouse located in the Middle East. The center is already doing business but the official public opening will be in February during Gulfood 2019. Dubai is the focal point for Middle Eastern café innovation, according to Allegra Group c.e.o. and founder, Jeffrey Young. "The UAE has experienced huge growth in both domestic and foreign-invested specialty coffee shop chains," according to Young. "In Dubai, an influx of artisan food and beverage brands has capitalized on the consumer appetite for premium coffee shop experiences. A clear majority of UAE industry leaders surveyed told us there is still plenty of growth potential in the branded coffee shop market. But even amid the growing popularity of specialty coffee, industry leaders cite convenience as the number one factor behind coffee shop success – ahead of coffee quality and service," he said. Middle East Coffee Trends Attest to Strong Growth I Coffee trading commences at DMCC Arabic coffee brewed in traditional Ibrik