Thursday, May 27, 2010
Gulf News
Company is experiencing double-digit growth and wants to sell $1b worth of chocolate in GCC countries by 2015
Dubai Mars GCC, the regional manufacturer of chocolate products in the Middle East, opened its new chocolate-bar factory in Dubai yesterday.
The factory, which involves an investment of over $40 million (Dh147 million) and covers 6,000 square metres, will produce Mars and Snickers bars for the GCC markets.
Mars GCC has been experiencing double digit growth year on year since the beginning of the decade.
In 2009, Mars GCC net sales exceeded $450 million. By 2015, the company hopes to cross the $1 billion mark and more than double the current business, according to Ahmad Bayoumi, general manager of Mars GCC.
Mars GCC currently has 900 suppliers in the UAE with Galaxy taking up a quarter of the consumption of chocolate in the region. The GCC has been growing at a compounded annual rate of almost 15 per cent in the last five years.
“We are please that consumer demand in the Middle East has and continues to generate opportunities for stable long term growth. This has led to the investment of more than $100 million in our manufacturing unit since 1998,” Bayoumi told a press conference.
The UAE comprises about 20 per cent of the GCC market with Saudi Arabia holding first place as the biggest market in the region.
“When we started in 1993, Dubai was the ideal location given the openness of the country and its port facilities and redistribution capabilities. That was the ideal starting point for us. Over the years we’ve been building up the factory to realize its critical mass and build scale,” Bayoumi told Gulf News.
The initial Mars GCC factory which was established in 1998 will continue to produce the complete range of Galaxy chocolates including Galaxy Jewels specifically developed in the Middle East to meet the tastes of local consumers.
These manufacturing facilities will continue distributing products to more than 20 countries in the GCC, Africa, Asia, Europe and the Middle East. Exports from the UAE have experienced steady growth. In 1993 exports hit $3.5 million and increased to $200 million this year.
Bayoumi says Mars has been working hard at acknowledging and combating the high levels of diabetes and obesity in the region.
“The issue of diabetes and obesity is a very complex one that involves nutrition, dietary and lifestyle habits,” he said.
“As a leading food manufacturer in the world Mars has been taking a very active and responsible approach to this topic. We are working very closely with key international organisations such as the World Health Organisation as well as on a local level such as the Arab Centre for Nutrition and the Ministry of Health and Education.
“Our commitment on that front is multiple. For example our responsibility in the marketing of our products means we’re committed to focusing on adults and not children.”
Supplied picture
Marathon effort
Mars’ new $40-million factory in Dubai will supply Snickers and Mars bars to Gulf markets.
Snack attack
When we started in 1993, Dubai was the ideal location given the openness of the country and its port facilities and redistribution capabilities. That was the ideal starting point for us. Over the years we’ve been building up the factory to realise its critical mass and build scale.”
Ahmad Bayoumi
General Manager, Mars GCC
By Aya Lowe?Staff Reporter
Gulf News 2010. All rights reserved.
