Report Description

The UAE Catering Services Market is anticipated to project robust growth in the forecast period with an impressive CAGR of 6.71% and reach USD 4,160.42 million by 2027. The catering service industry is also referred to as the food service industry, which is the business of delivering food and beverages to a large population satisfyingly and affordably. The growing popularity of theme-based parties and weddings in UAE is fueling an increase in the demand for catering services all around the nation. Large-scale meetings, conferences, parties, and other events can all benefit from catering services. For institutions like schools, colleges, and businesses, meals may be provided as part of their services. They either employ their in-house catering team or hire a third party to source the food. Emirates Flight Catering, National Catering Services & Foodstuff, Royal Catering, etc., are some of the best catering services providers in the UAE. Additionally, some businesses offer full catering services, required during an event. Cater Tech Food Catering Services L.L.C. is one of the catering companies offering an all-in-one service to fulfill event's needs, including service crew supply, custom event management, and high-quality equipment with excellent service.

Additionally, catering services are thriving because of the growing customer health consciousness by offering nutritious meal options such as organic foods, nutritious snacks, and a well-balanced vegan diet. Offshore catering services is one of the leading segments in the UAE., which is boosting the catering services market in UAE. Another significant factor expected to boost the UAE. Catering Services Market in the coming years has the growing emphasis of catering service by improving the entire customer experience by delivering high-quality meals & ensuring minimal waiting time. Moreover, in 2022, Abu Dhabi National Oil Company (ADNOC) signed contract worth over USD272.31 million with four Abu Dhabi companies to provide food catering services to all ADNOC Group companies from 2022 to 2027. The contract was signed during the first Abu Dhabi International Food Exhibition with Royal Catering, Apex National Catering, National Corporation for Tourism & Hotels (NCT&H), and Sodexo Kelvin. In 2022, during UAE National Day celebrations, Emirates Flight Catering announced the launch of its unique private catering service, which offers customized menus featuring outstanding Emirati cuisine. Emirates Flight Catering also introduced Emirati Kitchen, where local cuisines are prepared for private parties by Emirati chefs, as part of the new special events catering portfolio.

The COVID-19 pandemic had a significant negative impact on the UAE. Catering Services Market in 2020. The authorities implemented periodic lockdowns and strict movement restrictions that prevented people from using public eating services to stop the virus' exponential spread. Due to the ban on public gatherings and the consequent postponement of events like weddings and business meetings, the catering industry suffered enormous financial losses. While 2021 displays a phase of slow market recovery for the top companies in the UAE. catering services market, the upcoming years hold lucrative potential.

Rising Demand for Corporate Catering Services Drives The Market Growth

The corporate sector places a high value on catering services because of their benefits, including hassle-free food arrangements, saving time and money, providing a variety of cuisines, and menu customization. Therefore, the corporate sector's expanding infrastructure expansion, such as creating new offices, has fueled the sector's demand for catering services. To recruit and keep the greatest talent by raising employee happiness and morale, businesses are increasingly providing personalized menus and dining experiences to the staff at discounted rates, boosting the catering services market in UAE.

Rapidly Growing Medical Sector Fueling the Market Growth

Hospital catering services have a significant part in the catering service market in recovering patients admitted to the hospital. Therefore, the food provided to patients must be nourishing, clean, and delivered on time to aid in their faster recovery. Most hospitals offer good, nourishing food tailored to each patient's disease and nutritional needs, and since COVID-19, the importance of nutrition and hygiene has grown significantly. As a result, there is a significant need for the hospital food catering service to manage the patients' dietary plans. Over the past years, the healthcare sector in the UAE has grown dramatically. This is motivated by the demands of an expanding population and the UAE's initiatives to establish itself as a regional center for medical tourism. These advancements have increased the need for catering services in new hospitals for patients.

Growing Air Transport Aids The Market Growth

The demand for an expanded plane has grown because of rising air traffic in the United Arab Emirates, rising tourist numbers brought on by popular tourist destinations such as the Burj Khalifa, Sheikh Zayed, etc., as well as an increase in business travel. Airlines are concentrating on providing cutting-edge services through digitalization. Some of the newest trends in the market for in-flight catering services include in-app ordering and contactless payments. As a result, airlines are growing their fleet size to meet the growing number of passengers, increasing demand for inflight catering services.