The United Arab Emirates has emerged as the leading destination for Arab investment in the food and beverage sector, according to fresh data from the Arab Investment and Export Credit Guarantee Corporation (Dhaman). The figures highlight the UAE’s success in attracting capital and steering it towards food security and sustainable economic development.
UAE food sector investment driving regional growth
Dhaman’s report shows the UAE accounts for 45% of all intra‑Arab projects in the food and beverage industry and 58% of the total investment value of those projects. That concentration of projects and capital underscores the country’s role not only as a trade and re‑export hub but increasingly as a centre for advanced food manufacturing and modern agricultural technologies.
The report places these achievements in the context of the UAE’s National Food Security Strategy 2051, which aims to position the country among the top performers on the Global Food Security Index by 2051. The strategy emphasises sustainable local production, smart food technologies, world‑class logistics and flexible economic policies to attract investment and build resilient supply chains.
Across the wider Arab region, the food and beverage sector attracted significant foreign interest between January 2003 and December 2024. Investors funded 516 foreign projects totalling nearly $22 billion, delivering around 93,000 direct jobs. These investments have become an important driver of social development and stability in several countries.
Intra‑Arab investment in the sector amounted to about $6.5 billion, roughly 30% of the total cost of foreign projects. The UAE’s dominance in this segment reinforces its role as a magnet for Arab capital and a conduit for regional economic integration.
International investors are also active in the region. The United States tops the list of foreign investors with about $4 billion invested across 74 projects, representing around 18% of total foreign investment in the sector. This international interest reflects the region’s growing purchasing power and youthful population.
The UAE’s approach links investment policy with technology and knowledge‑based initiatives. Authorities are supporting food tech and agri‑tech through research centres and specialised incubators, including the Food Technology Valley project in Dubai. These efforts aim to boost local production, reduce import dependence and export innovative technologies beyond the region.
Market forecasts point to sustained expansion. Sales of food and beverages in the Arab world were expected to rise by 8.6% to surpass $430 billion by the end of 2025, with projections reaching $560 billion by 2029. Meanwhile, the UAE, together with four other Arab countries, accounts for about 70% of trade volume in the sector, underlining its strategic commercial and logistical position.
The data and policy alignment suggest the UAE will continue to consolidate its leadership in food sector investment, serving both national food security goals and broader regional economic integration. By combining capital, logistics and technology, the UAE aims to convert food‑security challenges into commercial and strategic opportunities for the Arab world.
Key Takeaways:
- The UAE accounts for 45% of intra‑Arab food sector projects and 58% of their investment value, signaling dominant UAE food sector investment.
- Arab and foreign investments totalled about $22bn across 516 projects from 2003–2024, creating roughly 93,000 direct jobs.
- Intra‑Arab investment reached $6.5bn, roughly 30% of foreign project costs, reflecting growing regional economic integration.
- Projections expect food and beverage sales in the Arab region to exceed $430bn by 2025 and reach $560bn by 2029, reinforcing long‑term opportunities.
