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19 | Page UAE – Market Entry handbook

2.2.1 Overview of urban markets

The capital of the UAE is Abu Dhabi city. Both Abu Dhabi and Dubai are considered two of the country's
cultural and commercial centres. Table 2-1 presents an overview of key data relating to each of the
seven emirates. As can be seen, the most populous emirates by far are Dubai, followed by Abu Dhabi.
However, the GDP of Abu Dhabi is almost twice that of Dubai. Indeed, Abu Dhabi is commonly
recognised as one of the world’s richest cities.
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Table 2-1: Summary of the Emirates constituting the UAE and related data (2017)

Abu Dhabi Ajman* Fujairah Sharjah* Dubai Umm al Qaywayn Ra's al-Khaimah

Population 2.9m 0.24m 0.16m 1.4m 3.1m 0.1m (estimated) 0.3m

GDP (AED) 832bn 17bn 15bn 114bn 411bn No data 30bn

Major Mining, quarrying Finance; Mining and Manufacturing Wholesale, retail Fishing, tourism Real
industries and oil extraction; manufacturing quarrying; and trade; estate/construction
Finance and manufacturing financial services; ; tourism;
insurance; transportation; agriculture and
Manufacturing manufacturing fisheries

Sources: Statistics centres of UAE, Abu Dhabi, Ajman, Fujairah, Sharjah, Dubai, Ra's al-Khaimah
* Data only available for 2014
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The population of all Emirates is predominantly urban. The capital of each emirate shares its name
with the corresponding emirate, which also reflects the high concentration of population in
respective capital cities. With the exception of Al-Ain (Abu Dhabi Emirate), major cities are located
along the coast (Figure 2-3).

Figure 2-3: UAE Emirates and main population centres

Ras al-
Khaimah
Ras al-Khaimah
Umm al-Quwain
Ajman
Ajman Fujairah
Sharjah
Dubai Fujairah

Dubai

Sharjah
Abu Dhabi

Al-Ain

Abu Dhabi

State names in grey bold italics.


Territory in black divided between two Emirates.
Source: Agra CEAS

2.2.2 Snapshots of important markets

Details on the key urban markets in the UAE are presented below.
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Dubai

Key facts (2017):


Total GDP: EUR 99bn (+/- EUR 33 000 per capita)
GDP growth rate: 2.8%
Population: 3 million

The capital of the Emirate of Dubai; the home of an estimated 95%+ of the population of the
Emirate; and the largest city in the UAE. Dubai is often misperceived as a country or a city-state and
sometimes the UAE is described simply as "Dubai," indicating how influential and well-known the
city has become.

It is indicative of its position as a global business hub that an estimated 1.2 million non-resident
individuals are active in Dubai during peak business hours (i.e. Saturday to Thursday, 6:30 to 20:30).
This partly also reflects cheaper accommodation in neighbouring emirates which lead public and
private sector employees in Dubai to reside in neighbouring emirates. This effectively makes Dubai
the focal point of the wider Dubai-Sharjah-Ajman metro area, which itself constitutes around 60% of
the population of the UAE.

In line with the general population fabric across the UAE, the age and sex structure of Dubai
population is considered as unbalanced (unnatural), with almost 75% of the population being male,
with the majority in the 25-44 age group. This reflects the majority of expatriate workers – over 70%
of the population - who are young working age males not accompanied by their family members.
Roughly 85% of this expatriate population comes from Asia – mainly the Indian sub-continent –
though Dubai has an expanding European population as well.

Dubai is described by official Dubai government sources as a global gateway status and re-export
hub that provides an opportunity to develop business in this fast-moving sector. In particular,
reflecting the UAE's strategic position as an international halal food trading centre, Dubai is targeting
the worldwide halal food and lifestyle market - forecasted to reach US$3.7 trillion by 2019. The
value of the UAE halal food industry is currently estimated at US$18.8 billion. The importance of
Dubai as a regional trading hub has progressed steadily since initial investment in the 1950s to
provide greater access to larger vessels. The latest development is the free zone of Dubai Food Park,
a new commercial project due for completion in 2020.
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There are more than 9,000 restaurants in Dubai representing cuisines from across the globe.
According to head chefs from Michelin starred restaurants they could access a range and variety
comparable to the Rungis market in Paris and often in a quicker time that ordering it in Europe.

Dubai Food Park


The aspiration for the Dubai Food Park is that it will be the region’s largest free zone dedicated to
serving the food sector. By providing a one-stop shop for a comprehensive range of food-related
services within a dynamic hub, the aim is to solidify the city’s regional standing for food production,
import and re-export. The Food Park will offer a complete range of services including customs and
quarantine clearance, licensing, food safety and supervision, processing, packaging & re-packaging,
logistics and government services. Two key aims of the free zone are to help reduce supply chain
costs and foster innovation.
Sources: Dubai Statistics Centre; Visit Dubai (https://www.visitdubai.com/, https://www.visitdubai.com/en/business-in-
dubai/food-and-agriculture)

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