Abu Dhabi’s food and beverage sector is entering a pronounced high-growth phase, underpinned by accelerating business formation, expanding production capacity and rising export potential.
Rapid growth and ecosystem expansion
As of September 2025, the emirate recorded 24,594 active F&B licences. Moreover, new business registrations rose 42.2% in the first half of 2025 compared with the same period a year earlier, following 40% growth in 2024. As a result, the sector delivered a compound annual growth rate of 23.8% between 2019 and 2024.
The report shows that the food value chain is advancing from primary production through manufacturing, retail and exports. Meanwhile, global demand for healthier, premium food is rising; therefore, investment in agri-tech, such as hydroponics and precision farming, is boosting productivity to multiples of traditional methods.
Manufacturing, retail and resilience
Midstream activity continues to expand, with food processing and manufacturing forecast to grow about 7 percent annually through 2029. Additionally, a growing share of output is directed to international markets, supporting export-led value creation. Retail and dining performance remains strong; however, logistics integration and tourism linkages are further strengthening demand.
Despite supply-chain pressures, the sector has remained resilient. Consequently, diversified trade routes, regulatory enhancements and sustainability standards continue to reinforce investor and consumer confidence.
Strategic alignment and outlook
Ali Mohamed Al Marzooqi, Director-General of the Abu Dhabi Chamber of Commerce and Industry, stated, “The food and beverage sector in the Emirate of Abu Dhabi is undergoing a rapid and qualitative transformation, reflecting the success of strategic visions that support food security, economic diversification, and the consolidation of the Emirate’s position as a regional and global hub for innovation in this vital sector. This transformation is underpinned by an integrated ecosystem encompassing smart agriculture, advanced technologies, high-quality manufacturing, and value-added exports, all within a flexible and investment-friendly business environment. The continued growth in the number of newly established companies and active sector members clearly demonstrates the expanding opportunities for the private sector to play a central role in building a competitive and sustainable food ecosystem.”
He added, “This progress extends beyond economic expansion alone. It also reflects strong alignment with sustainability objectives, the adoption of advanced technologies, and enhanced efficiency across supply chains, contributing to improved quality of life and reinforcing the confidence of investors and international partners. Through its institutional and international partnerships, the Abu Dhabi Chamber remains committed to enabling the sector’s growth, directing investment towards areas of long-term impact, and ensuring that the food and beverage sector continues to serve as a cornerstone of comprehensive economic development and regional leadership for the United Arab Emirates.”
Therefore, aligned with national industrial priorities, domestic food production capacity is expected to rise by 30–40% over the next decade, supporting long-term diversification and export growth.
