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“Ralph’s Coffee” makes its debut in the UAE coffee market through Dubai

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Dubai,9March 2024(QW):- The luxurious and contemporary coffee chain, “Ralph’s Coffee,” has officially entered the United Arab Emirates market through Dubai, with the opening of its first branch in the Mall of the Emirates. This branch is the result of a partnership between “Ralph’s Coffee” and the Al Moajil Hospitality group, which was signed in June of last year (2023).

Situated next to “Polo Ralph Lauren,” this new café marks the third branch of “Ralph’s Coffee” in the Middle East, alongside other locations in Doha, Qatar. The brand has ambitious plans for expansion in the region, with the first café in Saudi Arabia expected to open in the first half of this year (2024) in Riyadh’s King Abdullah Financial District.

It’s worth mentioning that “Ralph’s Coffee” started serving coffee in August 2014 on the second floor of “Polo Ralph Lauren” store in New York. Since then, they have expanded globally, operating 28 cafes in 12 markets, including the United States, Japan, and China.

Dubai’s dynamic economy and vibrant commercial scene have attracted enthusiasts of specialty coffee. Most specialized reports in this sector highlight that the growth of the specialty coffee market is one of the most significant trends in the region.

Dubai has become a hub for global coffee brands, such as the Japanese “% Arabica,” the British “EL&N,” and the German “The Barn,” alongside popular local brands like “Boon Coffee,” “SHOT,” and “Absolute Zero Café.”

British café chain Black Sheep opens two branches in Dubai

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London-based Black Sheep Coffee has made a significant foray into the Middle East with the inauguration of two stores in Dubai, in collaboration with local franchisee Al Farran Group. This marks the brand’s debut in the region, as it aims to bring its unique blend of robusta coffee to the dynamic market of Dubai.

The newly opened outlets, located at ACT Towers and Boulevard Plaza Towers, are set to feature Black Sheep Coffee’s complete specialty coffee menu, distinguished by its use of robusta coffee instead of the more common arabica. In addition to its signature robusta brews, the menu will showcase regional products, including the enticing Arabic Latte and a delectable za’atar croissant.

Black Sheep Coffee is wasting no time in its expansion plans, with two more UAE outlets slated to open in the second quarter of 2024 at prominent locations – Dubai Mall and Yas Mall Abu Dhabi.

Gabriel Shohet, Co-CEO of Black Sheep Coffee, expressed his excitement on this historic occasion, stating, “A historic day as we opened our first shops in the UAE, in the heart of downtown Dubai. Thanks to our awesome Emirati customers for such a warm welcome and hats off to Mohamad Al Farran and his incredible team at the Al Farran Group on delivering two flawless openings in one single day. Stay tuned for more exciting updates from the Middle East.”

This expansion is part of a broader strategy, as Black Sheep Coffee had previously signed a 30-year franchise agreement with Al Farran Group in May 2023. The ambitious plan involves opening a total of 250 stores across the Middle East within the next 15 years, showcasing the brand’s commitment to establishing a significant presence in the region.

While already operating 80 stores in the UK and one in France, Black Sheep Coffee is set to make its highly anticipated debut in the United States later this year with an outlet in Dallas, Texas.

In a parallel move towards global growth, in December 2023, UK franchise operator Moonglow Trading secured a ‘seven-figure’ funding package. The funding aims to facilitate the opening of four Black Sheep Coffee stores in Cardiff and Oxford, as the chain strategically expands its footprint within the UK market beyond London.

As Black Sheep Coffee continues to make waves internationally, these strategic expansions underscore its commitment to providing coffee enthusiasts worldwide with its distinctive robusta coffee experience.

Colombian Coffee Chain “Juan Valdez” Strengthens Presence in the Middle East and Asia Through Dubai

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Dubai, January 30, 2024 (QW): The renowned Colombian coffee chain “Juan Valdez,” headquartered in Bogotá, has unveiled its new strategy to enhance its presence in the Middle East and Asia through Dubai. This comes with the opening of its first café in the Jumeirah Beach area in Dubai. The café, currently in a “preliminary opening” phase, is scheduled for an official launch on February 22, 2024.

Sebastián Mejía, Vice President of Juan Valdez International, considers the high tourist demand in the United Arab Emirates and its strong economy as key factors making it an ideal base for the coffee chain’s broader expansion strategy in the Middle East.

Juan Valdez plans to establish more company-owned and franchised stores in the UAE while also focusing on developing its online and horeca (hospitality and catering) channels within the country.

The debut of “Juan Valdez” in Dubai marks the beginning of the company’s extensive expansion plans across the Middle East and Asia. Mejía emphasized the strategic importance of Dubai, stating, “This key and strategic market represent a great opportunity for Juan Valdez’s expansion in the Middle East. Dubai, with its tourism levels and dynamic economy, is the perfect place to showcase our coffee.”

Currently operating around 560 stores globally, including 200 in 17 international markets, Juan Valdez, originating from Bogotá, entered the Middle East market for the first time with a store in Kuwait in 2013, followed by expansions into Qatar in April 2022 and Egypt in October 2023.

The United Arab Emirates, being the second-largest market for branded coffee shops in the Middle East, has become an attractive hub for international coffee operators. Major brands such as Starbucks, Costa Coffee, Tim Hortons, Dunkin’, and Caribou Coffee have significantly expanded their presence in the UAE in recent years.

In 2024, the UAE is set to welcome more international coffee brands, including the UK’s Black Sheep Coffee, the boutique label Ralph’s Coffee, California’s Reborn Coffee, the South Korean bakery cafe chain Paris Baguette, London-based specialty coffee group Grind, and the Brazilian small-format concept The Coffee, alongside the bubble tea giant Gong cha. Many of these brands have either signed or are actively seeking franchise agreements to establish their presence in the country.

“Reborn Coffee” allocates one million dollars for global expansion with entry into the markets of the UAE and Korea

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California-based “Reborn Coffee” has announced a one million US dollar investment commitment from its Chairman, Farooq Arjomand, to expand globally, with plans to open stores in the UAE and South Korea.

This investment from the company’s chairman is considered a “significant endorsement,” expressing appreciation for the company’s current value and growth opportunities. Following the successful opening of its first international store in Kuala Lumpur, Malaysia, in November 2023, “Reborn Coffee” aims for further expansion into the United Arab Emirates and South Korea.

Farooq Arjomand expressed his confidence in the company’s mission and vision, stating, “My commitment to Reborn Coffee is more than just a financial decision; it’s confirmation of my belief in our mission and vision for the future. The coffee market is evolving rapidly, and I am confident that Reborn Coffee will continue to lead the way with its innovative approaches and dedication to quality.”

It is expected that this announcement will be followed by additional expansion into Singapore and Indonesia, as well as the opening of a store in Dubai, UAE, and Daejeon, South Korea.

“Reborn Coffee” currently operates 14 stores in California and one location in Malaysia. The company plans to open two flagship stores in California cities, San Francisco and San Diego, this year, alongside its first locations outside the state in Texas and Missouri.

In July 2023, “Reborn Coffee” secured a one million dollar credit facility from real estate development firm DRE Inc. to accelerate company initiatives, including new products, outlet expansion, and e-commerce operations. Dennis Egidi, Founder of DRE Inc., serves as Vice Chairman on Reborn Coffee’s Board of Directors.

As part of its international expansion plans, in October 2023, “Reborn Coffee” entered into a strategic partnership with Millennium Hotel in Abu Dhabi, aiming to open a store in the hotel this year and approximately 10 stores in the UAE within five years. This strategic alliance aims to bring “Reborn Coffee’s” unparalleled quality, innovation, and sustainability to the UAE.

Millennium Hotels and Resorts, a subsidiary of the Singapore-listed global real estate company City Developments Limited (CDL), manages 29 premium hotels across the UAE and has a strong presence in Saudi Arabia, Oman, Qatar, and Kuwait.

This partnership marks another significant step for “Reborn Coffee” towards opening its first international stores. The specialty coffee roaster and café group completed a $7.2 million IPO in August 2022 and, in December of the same year, acquired a coffee shop, roastery, and R&D facility in Daejeon, South Korea, intending to house its first international store, expected to open before the end of 2023.

Founded in 2015 by Jay Kim, “Reborn Coffee” posted net revenues of $2.6 million and a net loss of $2.3 million for the six months ending on June 30, 2023. Despite the net loss, the company remains optimistic about its future, supported by its commitment to quality and its strategic vision for global success.

ITC creates pioneering alliances for sustainable coffee and circular economy initiatives during COP28 in Dubai

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The International Trade Centre (ITC) has taken decisive steps towards fostering a circular economy and promoting sustainable coffee value chains by solidifying strategic partnerships during the UN Climate Change Conference (COP28) in Dubai. The move aims to amplify the voices of producers and small businesses in critical climate discussions.

In a pivotal move, ITC and the International Coffee Organization (ICO) inked a memorandum of understanding (MoU) on December 3, outlining plans for groundbreaking projects across the ICO’s 75 member countries. Under this agreement, coffee producers will undergo comprehensive training covering value addition, circular economy practices, sustainable production methods, enhanced productivity, coffee quality improvement, and resilience to climate change—all geared towards generating decent and living incomes.

A second milestone occurred on December 10, as ITC, ICO, and the Center for Circular Economy in Coffee (C4CEC) joined forces through another MoU. This collaboration is designed to empower coffee farmers and producers to derive sustainable value from traditional waste streams. Both agreements are contingent on final validation by the International Coffee Council (ICC).

Historic Momentum in ITC and ICO Partnership

The partnership between ITC and ICO, spanning several years, gained fresh momentum with the recent appointment of Dr. Vanúsia Nogueira as Executive Director of the ICO. Activities under this historic alliance include collaborative efforts in coffee data management, sustainability initiative mapping, circular economy initiatives, compliance with the European Corporate Sustainability Due Diligence Directive, value addition at coffee origin, and innovative financing for the coffee sector.

Through these newly established partnerships, ITC aims to formalize and expand its collaboration, building upon the foundation laid by their initial MoU in 2000, which aimed to create a more inclusive coffee sector for producers.

Accelerating Circular Economy in the Coffee Sector

The Center for Circular Economy in Coffee (C4CEC), a global precompetitive platform funded by the Lavazza Foundation, the Polytechnic of Turin (PoliTo), and the University of Gastronomic Sciences (UNISG) in Italy, is at the forefront of advancing circular economy in the coffee sector. Supported by ICO, ITC, and the United Nations Industrial Development Organization (UNIDO), C4CEC is set to put circular economy principles into practice.

The collaboration between ITC, ICO, and C4CEC aims to disseminate knowledge to small businesses, value chain operators, farmer organizations, and consumer-facing companies worldwide. This initiative builds upon the partnerships established through the ITC Coffee Guide Network and the circular economy working group co-facilitated by ITC, ICO, and the Lavazza Foundation.

COP28 Trade House: A Platform for Circular Economy Exploration

The COP28 Trade House provided a platform for ITC and its partners to delve into the circular economy within the coffee sector. Hernan Manson, Head of Inclusive Agribusiness, Food Systems, and Trade at ITC, moderated a session titled ‘Global Green Deal: How would it fit the Global South?’ The panel explored transformative measures for global food systems in the face of climate change.

Mario Cerutti, Lavazza Foundation Secretary, and Lavazza Group Head of Institutional Relations & Sustainability, emphasized the necessity for unified action within the coffee industry, highlighting the potential of the Center for delivering environmental benefits and improved incomes for coffee growers and stakeholders.

Dr. Vanúsia Nogueira, Executive Director of the International Coffee Organization, affirmed the commitment to drive impactful change in the coffee sector through the enduring partnership with ITC, marking the alliances formed at COP28 as a significant step towards a sustainable future for coffee farmers and advancing circular economy practices.

International Coffee Organization (ICO):
The ICO is the sole intergovernmental organization supporting exporting and importing countries to enhance the sustainability of the coffee sector, providing a high-level forum for stakeholders and official statistics on coffee production, trade, and consumption. ICO Website

International Trade Centre (ITC):
ITC, the joint agency of the World Trade Organization and the United Nations, assists small and medium-sized enterprises in developing and transition economies to become more competitive in global markets. The Alliances for Action initiative seeks to transform food systems through ethical, climate-smart, and sustainable agricultural value chains.

World of Coffee Dubai 2024 highlights promising prospects for development and expansion of coffee industry in UAE

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DXB Live, the integrated event management and experiential agency of the Dubai World Trade Centre, continues the preparations for the 3rd edition of the World of Coffee exhibition, which will be held from 21st to 23rd January 2024.

With expectations that the coffee market in the UAE will grow at an annual rate of 8.4 per cent between 2023 and 2029, and by about 7.5 per cent annually in the Middle East and Africa between 2022 and 2027, the exhibition is witnessing a wide regional and global interest from industry leaders, experts and specialists.

As per a report by Statista, coffee markets in Dubai and the region are experiencing substantial growth, with individual coffee consumption in the UAE expected to reach 1.36 kg in 2023 and the coffee market in Dubai expected to generate sales of over AED 1 billion this year. These figures reflect the industry’s attractiveness and growing demand for coffee products, as Dubai provides an ideal environment for the growth of the coffee market, owing to the presence of global coffee shop brands and the emirate’s role as a regional coffee trade hub, with export revenues exceeding AED 3.5 billion over the last decade.

The World of Coffee Dubai 2024 represents a turning point for the sector in the UAE, which has surpassed the tangible effects of this growth in the coffee market and has reached neighbouring Arab markets, attracting more specialised international brands, in light of the attention given to coffee culture and the variety of offerings provided by Dubai, which is famous for providing innovative experiences in this industry.

Khalid Al Hammadi, Senior Vice President at DXB LIVE, emphasised that Dubai’s economic status and distinctive infrastructure have positioned the emirate as a leading destination for organising and hosting prominent events at regional and worldwide levels. Al Hammadi said: “Through the World of Coffee Dubai exhibition, we hope to contribute to Dubai’s efforts in achieving its strategic goals by developing and diversifying various economic sectors. Additionally, we aim to facilitate building and strengthening relations between participants and companies within the coffee market of UAE and the region.”

“The participation of major brands, companies, and specialists underlines the exhibition’s importance and the international community’s trust in it, and the major role of Dubai in enhancing the regional and international trade movement.” Al Hammadi added.

Technology

Omran Al Hammadi, CEO of Que Trading Group, said: “We are excited to participate for the third time in the World of Coffee Dubai 2024. The exhibition provides us with the remarkable opportunity to explore new avenues, strengthen their presence, and contribute to the growth of this booming industry. During the exhibition, visitors will have the opportunity to discover our most recent products, which include modern and high-quality coffee makers and a wide range of advanced tools and accessories.”

“At our booth, we will conduct in-depth evaluations of the Coffee Tech Engineering Roaster Machines. Additionally, our expert team will showcase the industry’s leading commercial coffee machines, such as the Rocket Sotto Banco, Rocket R9V, and Rocket Appartamento TCA, which integrate cutting-edge technology of the highest quality. By participating in this exhibition, we further reaffirm our dedication to offering coffee aficionados the greatest products. We also look forward to developing fruitful connections and solid collaborations through this significant regional event.” Omran added.

Status

Dubai has a unique status because it is home to several international coffee shops and companies. The World of Coffee Dubai gives companies and cafés the opportunity to provide new and unique experiences for coffee lovers who want to stay up with Dubai’s fast-paced lifestyle. According to Statista predictions for 2022, 82 per cent of worldwide coffee revenues are created by consumption in cafes and restaurants, while 18 per cent of revenues are generated by domestic consumption, which is anticipated to fall by two degrees by 2025.

The current lifestyle trend has been propelling the coffee industry forward, with increased consumption and the development of places that provide it. This tremendous success has compelled major Emirati coffee businesses to expand locally, regionally, and globally to express the Emirati hospitality culture to the globe and strengthen its position as a leading global coffee hub.

Opportunities

Vinícius Estrela, Executive-Director at Brazilian Speciality Coffee ‘BSCA’, said: “We are thrilled to participate in the World of Coffee for the third consecutive year. Our commitment to participating in this event stems from our conviction that the exhibition is particularly significant as it sheds light on the most prominent trends within the coffee industry. Given that the MENA region is one of the biggest markets for Brazilian products in general and coffee in particular, the exhibition serves as a prominent venue for examining innovative prospects to enhance cooperation between the sector’s major players as well as the opportunities provided by local coffee markets.”

“At BSCA, we are excited about this participation, in line with our commitment to fostering collaborations between Brazilian and international coffee markets. We seek to share our knowledge of utilising technology to enhance coffee production, promote sustainable and environment friendly industrial and commercial methodologies in the coffee sector, and highlight Brazil’s remarkable legacy in coffee production.” Estrela added.

Diversity

The exhibition represents the UAE’s significant demographic and cultural diversity, which are essential aspects of the country’s coffee market that has witnessed a high demand for varieties of coffee. Meeting all these demands necessitate the availability of a diverse range of coffee varieties and preparation styles, allowing global companies to participate in broader opportunities to strengthen their presence locally and regionally.