Ireland’s Minister for Agriculture, Food and the Marine, visits Saudi
Minister Charlie McConologue’s first trade mission to Saudi Arabia featured a full day’s programme in Riyadh, focused on launching Bord Bia’s (Irish Food Board) three-year Middle East business strategy.
Signifying the importance of KSA as a priority growth market for Bord Bia in the region, the Irish Minister met with the Minister for Environment, Water and Agriculture, Abdulrahman Abdulmohsen A. AlFadley, and Hisham Bin Saad Al-Jadhey, CEO of the Saudi Food and Drug Authority (SFDA).
New Bord Bia insights from surveying Saudi Arabia consumers reveal that almost 9 in 10 Saudi shoppers (85%) claim a health focus is important in the food that they buy and over 6 in 10 Saudi consumers claim to be familiar with Irish food and drink.
Minister McConalogue also paid a visit to the Almarai headquarters together with Bord Bia to officially announce the Origin Green Ambassador placement into the company.
Riyadh, Tuesday, February 15th, 2022: Launching Bord Bia’s (the Irish Food Board) new three-year business strategy for the Middle East market which aims to significantly increase the export of Irish food products, Ireland’s Minister for Agriculture, Food and the Marine, Charlie McConalogue T.D will lead Ireland’s trade mission to Saudi Arabia today seeking to boost food exports.
The visit to the Kingdom coincides with new Bord Bia survey results of Saudi consumers being released which paints an insightful picture of the changed behaviors of people, because of the COVID-19 pandemic. The survey results commissioned by Bord Bia, shows that the pandemic has helped Saudi adults place a greater emphasis on the nutritional content of their food – especially around engaging with immune boosting credentials. These more health-conscious behavioral changes correlate with healthier food choices, with almost 9 in 10 Saudi shoppers (85%) saying that a health focus is important in the food that they buy. With 76% claiming to have increased their intake of food products with immunity boosting claims such as dairy. This is good news for Irish dairy exports to the Kingdom, which last year were valued at €91 million.
Ireland already exports agri-food to over 180 countries worldwide, reaching a new record of €13.5 billion in 2021. The industry-led strategy for the growth of the agri-food sector, Food Vision 2030, provides an ambitious and clear roadmap for the development of the sector and its aim is to increase agri-food exports to €21 billion by 2030.
Bord Bia has identified the Kingdom of Saudi Arabia (KSA) and United Arab Emirates (UAE) as key priority markets as it sets it sights on significantly growing Irish food and drink food exports to both countries, accounting for a combined 50% of current Irish trade to the Gulf states. In 2021, exports to the Middle East were estimated at €311 million, led by dairy, and dairy ingredients (€272 million), followed by consumer foods at €21 million. Fat-filled milk powder (FFMP) and infant food are the largest categories within dairy while consumer foods are led by ice cream, juices, and meal solutions across the Middle East.
Signifying the importance placed on trade with Saudi Arabia Ireland’s Minister for Agriculture, Food and the Marine, Charlie McConalogue T.D. said, “The Middle East represents an important and rapidly growing market for Ireland and a market that is valuing the quality of Irish food and drink products. On this trade mission to Saudi Arabia, our goal is to explore developing closer links with key partners as we aim to grow food exports to the country alongside promoting the reputation of Ireland as a source of high-quality sustainably produced meat, dairy, and other food products. There is enormous potential for the Irish food and drink industry in Saudi Arabia and through the support of Bord Bia, we will be looking to build further on the opportunities that exist in the country”.
Over 6 in 10 Saudi consumers are familiar with Irish food and drink, Ireland looks to build further into the KSA market
With Saudi Arabia identified as a priority market with significant opportunities to increase food exports, Ireland is ambitiously aiming to strengthen the presence of Irish food in this important market. With exports to Saudi Arabia estimated at just over €100m in 2021, the new Bord Bia Middle East strategy aims to significantly grow this over the next three years.
80% of Saudi consumers state that they are willing to spend more on quality produce including fresh meat since the start of the pandemic. With around half (49%) of Saudi consumers reporting the growing importance of ‘naturalness’ as a criteria of food and drink purchasing, because of the pandemic, Irish food producers are well placed to meet this demand with products which are globally recognised for their premium quality and naturalness.
This ambitious new regional strategy will directly contribute to the global Bord Bia strategy which sets out the objective to help grow the value of Irish dairy exports by 10.5% or €508 million to a value of €5.6 billion through investment in the market development in markets including the Middle East. Another key objective in Bord Bia’s three-year global strategy is to help grow the total value of consumer foods exports by 14% to the value of €2.8 billion by 2025 in priority markets.
Tara McCarthy, Chief Executive of Bord Bia, said, “Saudi Arabia is a priority market for Bord Bia as we aim to significantly grow the value of Irish food exports to the country from just over €100 million last year. This trade mission to Saudi Arabia will mark the start of an intensified programme of activity undertaken by Bord Bia to promote Irish food products and their producers to local partners who place a value on high-quality food products. Trade missions such as this are a valuable means of raising the profile of Ireland as a food producing nation and unlocking commercial opportunities for Irish food and drink companies.”
On the KSA leg of the Irish trade mission, Minister McConalogue will meet with Hisham Bin Saad Al-Jadhey, CEO of the Saudi Food and Drug Authority (SFDA) to discuss areas for greater cooperation between Ireland and Saudi Arabia.
Being more sustainably focused is on the rise with Saudi consumers
The pandemic has also contributed to a greater focus on the reduction of food waste in Saudi Arabia while also seeing a greater emphasis on the importance of longer shelf life. Half (51%) of Saudi consumers are trying to reduce food waste now, more so than they were prior to Covid-19, with 1 in 3 of these claiming that they are continuing to do so. The environmental impact of the food choices they make is at the forefront of 4 in 10 consumers’ minds. Reducing packaging and plastic are of more importance to Saudi consumers now when buying food.
Sustainability will be at the heart of all of Bord Bia’s work over the next three years and building on its strength in sustainability is a strategic enabler for the industry. Bord Bia’s Origin Green programme is the only sustainability programme of its kind in the world that operates on a national scale in uniting the government, the private sector, and food and drink producers to ensure that all foods are produced more sustainably.
Almarai Hosts Origin Green Ambassador
The Irish trade delegation will visit Almarai, the largest vertically integrated dairy company in the world and the biggest food and beverage producer and distributor in the Middle East, with an estimated turnover of €2.4 billion.
With sustainability as a key element of the Saudi Vision 2030, Bord Bia welcomed the announcement that Almarai will host an Origin Green Ambassador placement in Saudi Arabia. Placed with global businesses that are playing leading roles in sustainability development, Origin Green Ambassadors become the conduit between global commercial businesses and Ireland’s unique Origin Green programme as they focus on developing sustainability-focused initiatives.
Commenting on Almarai hosting an Origin Green Ambassador, Tara McCarthy said, “In a world of challenged resources, the case for sustainability has become largely self-evident. Within the food industry, it is now recognised as a priority issue. I’m proud to say Ireland has been a leader in this area for the last decade - since its launch in 2012, Origin Green has put the Irish food and drink industry to the fore of this global conversation. I am delighted that Almarai joins the ranks of globally leading and successful businesses that partner with Origin Green by hosting Ambassadors who help develop sustainability-focused initiatives backed by Bord Bia”.
Bord Bia is the Irish government agency that manages the promotion, trade development, and marketing of the Irish food, drink, and horticulture industry. Headquartered in Dublin, Bord Bia supports the national and international ambitions of Irish food, drink and horticulture businesses through its highly focused organisational structure and its network of offices in EMEA, Asia, and the USA. Based in the Dubai office, Kieran Fitzgerald, the newly appointed Regional Director of Middle East for Bord Bia will look to drive further growth across the Middle East region.
ENDS
Note to Editors
About Bord Bia
Bord Bia (Irish Food Board) is the Irish government agency that manages the promotion, trade development and marketing of the Irish food, drink, and horticulture industry. Headquartered in Dublin, Bord Bia supports the national and international ambitions of Irish food, drink and horticulture businesses through its highly focused organisational structure and its network of offices in EMEA, Asia and the USA.
Bord Bia launched Origin Green in 2012, making it the worlds’ first and only national food and drink sustainability programme. Origin Green essentially commits Irish producers and processors to reduce their carbon footprint and to use less energy and resources in food production. It does so by placing environmental targets on each individual business, resulting in over 90% of Ireland’s food and drink exports now being Origin Green certified.
Kieran Fitzgerald, Regional Director of the Middle East leads the Bord Bia team in the region.
About the KSA Research Findings
Bord Bia partnered with Opinions Research to conduct an online survey of young adults in Saudi Arabia in 2021. The sample covered consumers from across the country including 38% based in Riyadh, 23% in Jeddah, 10% in Dammam, and the remaining spread out in other parts of the country.
