Coffee Break Dubai: Government Confidence, Market Shifts, and Hard Truths Facing the Coffee Industry

Dubai — Qahwa World

The first Coffee Break forum, held yesterday in Dubai, brought together senior leaders from the coffee, hospitality, logistics, media, and investment sectors to discuss the growing structural pressures facing the global coffee industry.

Organized by Mokha 1450 in partnership with Modora, the event went beyond discussion, offering a detailed real-time reading of how the sector is reacting to overlapping global disruptions.

Despite the complexity of challenges, a consistent theme emerged throughout the sessions: Dubai’s business environment continues to operate with a high level of institutional confidence, repeatedly linked by speakers to government crisis management performance and long-term economic stability.

  • SPEAKERS LIST (FULL PARTICIPANTS)

The session featured a high-level panel including:

  • Abdulla Al Shaibani — Group CEO, Axceed LLC
  • Garfield Kerr — CEO, Mokha 1450 and Former President of the Specialty Coffee Association
  • Khalid Al Mulla — CEO, Dubai Coffee Museum
  • Jennifer Pettinger-Haines — Founder and CEO, The GRIF Collective
  • Paul Clifford — Industry Editor and Analyst
  • Zeena Zalamea — Moderator, Broadcaster and Entrepreneur

GOVERNMENT CONFIDENCE AS A CORE BUSINESS FOUNDATION

A central thread across discussions was the role of government performance during crises, particularly the COVID 19 pandemic.

Speakers described how the UAE maintained operational continuity during global shutdowns, reopened faster than most major economies, and minimized long-term disruption to business ecosystems.

This experience created what participants described as a “structural confidence layer” that continues to shape decision-making today.

Rather than reacting defensively to current market pressures, companies are maintaining operations, focusing on internal stability, and prioritizing workforce wellbeing.

One speaker emphasized that during crises, the primary concern shifted away from business survival toward emotional and organizational stability within teams, supported by confidence in national systems.

  • ABDULLA AL SHAIBANI: LEADERSHIP UNDER STRUCTURAL CHANGE

Abdulla Al Shaibani highlighted that leadership in the current cycle is no longer defined by expansion, but by resilience management.

He emphasized that the priority for landlords and operators alike is stability rather than aggressive growth, stressing that maintaining continuity with tenants and partners is now the key objective.

He also noted that supporting smaller business ecosystems through flexible operational frameworks is essential during periods of uncertainty.

  • GARFIELD KERR: SUPPLY CHAIN DISRUPTION AND INDUSTRY PRESSURE

Garfield Kerr described significant disruption across global coffee logistics, particularly in air freight and container movement.

He explained that shipping costs have increased sharply, forcing businesses to pause shipments, delay projects, and reallocate inventory already positioned at origin.

He added that specialty coffee operators are now managing a fragile balance between cost pressure and quality preservation, especially as green coffee prices continue to rise globally.

  • JENNIFER PETTINGER-HAINES: THE TWO SPEED MARKET

Jennifer Pettinger-Haines presented data analysis covering approximately 400 venues across Dubai, revealing a clear structural divide:

  • Community cafés and neighborhood venues: growth of 30 to 40 percent in some cases
  • Fine dining restaurants: declines reaching 70 to 80 percent

She explained that this divergence reflects a fundamental shift in consumer behavior toward proximity, affordability, and familiarity.

Community driven venues are benefiting from consistent local demand, while high-end restaurants remain heavily dependent on tourism and discretionary spending.

  • PAUL CLIFFORD: PRICING STRATEGY AND BRAND RISK

Paul Clifford warned against aggressive discounting strategies, stating that repeated price reductions can permanently damage brand perception.

Once a brand is positioned at a lower price point, restoring premium positioning becomes significantly more difficult.

He noted that many operators are instead restructuring offerings by simplifying menus, reducing service formats, adjusting portions, and forming supplier collaborations rather than competing through pricing alone.

  • KHALID AL MULLA: LOGISTICS AND SYSTEM STABILITY

Khalid Al Mulla emphasized that government intervention extends beyond regulation into active operational support during crises.

He referenced past interventions that protected businesses from immediate financial collapse and ensured continuity of operations.

He also highlighted current logistics diversification strategies, including alternative shipping routes and regional port redistribution to reduce dependency on single supply corridors.

  • INDUSTRY TRANSFORMATION ACROSS OPERATIONS

Across the sector, businesses are adjusting core operations:

  • Reduced operating hours in line with demand
  • Workforce restructuring
  • Menu redesign due to cost inflation
  • Ingredient substitution and sourcing recalibration
  • Training program expansion

At the same time, companies are investing in internal capability development to prepare for post-crisis recovery cycles.

  • DIFFERENT ECONOMIC REALITIES WITHIN ONE MARKET

Speakers noted a widening gap between companies:

  • Well capitalized operators are investing and repositioning
  • Smaller operators are focused on survival and liquidity management

Overall performance remains below historical averages, with many businesses operating near break-even thresholds.

  • HOSPITALITY ASSET UNDERUTILIZATION

Hotel infrastructure was identified as an underutilized resource due to reduced occupancy rates.

Proposals included repurposing unused spaces into coworking environments, delivery kitchens, and hybrid operational models to improve asset efficiency.

  • SHIFTING CUSTOMER DEMOGRAPHICS

A key strategic concern raised was the under engagement of younger consumer groups.

Speakers noted that this demographic represents a growing opportunity but requires new approaches in branding, product development, and communication strategy.

  • ORIGIN LEVEL PRESSURE IN THE COFFEE CHAIN

At production level, rising costs and low farmer returns continue to threaten long-term sustainability.

Some producers are exiting the industry entirely, while younger generations are increasingly avoiding agricultural participation.

Sustainability investment and fairer value distribution were highlighted as critical structural requirements.

  • OUTLOOK: CONTROLLED OPTIMISM

Despite challenges, sentiment remained cautiously positive.

Most participants expect partial recovery within 12 to 24 months based on historical cycles in hospitality markets.

A widespread view emerged that current disruptions are cyclical rather than structural, shaping investment and operational decisions across the sector.

  • CONCLUSION

The Coffee Break forum in Dubai highlighted an industry under simultaneous global pressures but actively adapting across every layer of its value chain.

From supply chains to consumer behavior, the sector is undergoing structural recalibration.

At the center of this transition is sustained confidence in the UAE’s institutional stability and crisis management capability, which continues to influence strategic decisions across the industry.

Coffee Helps You Stay Persistent Under Stress

Dubai – Qahwa World

Coffee is already famous for keeping people awake and alert, but new research suggests it may do more than that. A study published in the journal Human Psychopharmacology: Clinical and Experimental reveals that caffeine can boost persistence in the face of complex or even unsolvable tasks, particularly when individuals are under stress.

The experiments, conducted by researchers at Amherst College in the United States, involved 329 student participants. Each was asked to perform tasks deliberately designed with unsolvable elements. In the first experiment, a low dose of caffeine amounting to 40 milligrams, roughly half a cup of coffee, had no measurable effect. In the second, a higher dose of 100 milligrams — about the same as a standard cup of coffee — encouraged participants to continue longer in a visual search task, although the effect did not carry over to a verbal task.

The strongest outcome came in the third experiment, which introduced mild stress through a cold-water immersion test. Students who experienced stress and consumed 100 milligrams of caffeine persisted significantly longer than the control group. By contrast, participants who had not been exposed to stress showed a slight decline in persistence after drinking caffeine.

Researchers believe the effect may be linked to the way caffeine stimulates neurotransmitters such as dopamine, norepinephrine, and adenosine, which are tied to motivation and attention. Stress hormones, particularly cortisol, appear to amplify this response, enhancing the brain’s receptivity to stimulants. A summary of the findings published by PsyPost noted that persistence in the visual task rose from 38 percent to 52 percent of the allotted time when caffeine was combined with stress, underlining the importance of context in determining the outcome.

The authors of the study caution that these findings are preliminary and highlight several limitations. Some participants reached the maximum time limit for the tasks, potentially affecting the results, and differences in regular caffeine use among individuals were not fully accounted for. They recommend further studies using physiological measures and brain imaging techniques to clarify the mechanisms behind the effect.

Caffeine is the most widely consumed psychoactive substance in the world, and billions rely on it every day to stay focused and productive. This study suggests its benefits may go beyond alertness, potentially helping people push through challenges in stressful situations. While more evidence is needed, the research adds to the growing body of knowledge about how coffee shapes not only our energy but also our resilience.