Monday, June 2, 2008

Strategic ties

"DUBAI — Food companies across the Middle East are looking to develop closer relationships with the producers of raw materials and ingredients, as the price of foodstuffs globally continues to rise.

A study by Dubai Chamber, based on figures from the Economist Intelligence Unit (EIU), suggests that ten major food groups — including flour, milk and rice — have posted significant price increases in the UAE over the past year, with flour experiencing the highest average rise of 57.72 percent, according to a Press release.

While the authorities' agreements with retail outlets have provided some immediate relief, many companies within the region are looking to forge a direct relationship with ingredient producers to manage price rises in the short-term and ensure greater stability in the long-term. To provide support for companies looking to develop strategic ties, Dubai World Trade Centre is organising Ingredients Middle East, a trade show supporting the food manufacturing and processing industries. Exhibitors from around the world will showcase products including dairy ingredients, fruit products and extracts, herbs, spices and organic ingredients."

From Khaleej Times. Controlling the food system: now that's a plan.

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