작성일자: 2014.7.10

작성자: 쿠웨이트 무역관 송세현 (shsong@kotra.or.kr)

 

 

1. Market Overview & Demand

 

쿠웨이트 식품전 내 참치캔 진열 사진

 

□ Market Size

 

      (Unit: US$ Million, %)

2010		2011		2012
Value	Change	Value	Change	Value	Change
27	20	35	30	50	43

       Source: Sultan Center   

 

□ Prospect

 

 ○ Tunas have become one of the world's most popular food items owing to their versatility and convenience. This product is one of the first ready-to-eat foods launched widely in the global food industry and now it has successfully become an important part of modern food consumption. Kuwaiti people as well as foreigners now consuming tuna more than before and it can be used widely in office, schools, home …etc.

 

 ○ As you see from above that there is more demand to import and use tunas, so Korean companies has good chance to enter Kuwait market.

 

 ○ Kuwait is the country where most of the people like to have different types of food because many different nationalities people are existing in this country as Kuwait has 65% foreigners and 35% local Kuwaiti. Tunas available in Kuwait market from countries like Thailand, Philippines & Indonesia.

 

 ○ Here Kuwaiti people not familiar with Korean Tunas brands, mainly it comes from Thailand, Philippines & Indonesia, but there is a chance for Korean companies to enter Kuwait market because tunas have become one of the world's most popular food items. The most required brands are Rio Mare, Americana, California Gardens, Al-Wazzan, …etc.

 

 ○ Kuwaiti Muslims must also ensure that all foods (particularly processed foods), as well as non-food items like cosmetics and pharmaceuticals, are halal. Frequently, these products contain animal by-products or other ingredients that are not permissible for Muslims to eat or use on their bodies. It should not contain any pork meat or fat.

 

□ SWOT Analysis for Food Market in Kuwait

 

 ○ Strengths

  - Per capita food consumption is high in Kuwait.

  - Kuwaiti consumers are brand-loyal and receptive to new products and innovations.

  - The country benefits from a growing high-spending expatriate population.

  - Kuwait is a member of the Gulf Cooperation Council(GCC) common market, providing companies free-trade opportunities.

  - The country benefits from a fairly business-friendly regulatory environment.

  - Kuwait has a fairly large population by Gulf region standards.

  - The dropping of the currency peg to the dollar has given Kuwait's monetary authorities greater power to tackle inflation than its GCC neighbors.

  - Per capita consumption of meat in Kuwait is the highest in the Gulf.

 

 ○ Weaknesses

  - The trend towards premium trend has been slowed by the financial downturn.

  - The country is heavily reliant on food and drink imports.

  - The agricultural sector is held back by severe natural limitations caused by the hot and arid climate.

  - Most of the vast expatriate population are low-income earners.

 

 ○ Opportunities

  - Despite modest forecast headline food consumption growth, a number of food segments remain fairly fragmented, creating opportunities for new product launches.

  - Premium trend is likely to become as a strong growth driver.

 

 ○ Threats

  - Food price inflation has been an ongoing concern and could seriously affect consumer confidence and spending on food in the long term.

  - Persistent political tensions between parliament and the government will raise questions regarding Kuwait's political stability and reform momentum, which will, in turn, act as a drag on the country's investment climate.

 

 

2. Import Trend

 

□ Import Tendency

 

HS Code 16041400 Tunas, Skipjack Bonito (Sarda Spp.)

(Unit: US$ thousand, %)

No.	Country	Value			Market Share
		2010	2011	2012	2010	2011	2012
1	Korea	-	-	-	-	-	-
2	Indonesia	1,270	2,317	1,659	7	12	6
3	Philippines	5,468	2,948	3,398	31	15	12
4	Thailand	10,124	13,866	20,370	58	70	71
5	Others	659	752	3,188	4	3	11
6	Total	17,521	19,883	28,615	100	100	100

 Source: Kuwait Central Statistical Bureau  

 

 ○ Exchange Rate

  - 2010, US$ 1 = KD 0.28664

  - 2011, US$ 1 = KD 0.27601

  - 2012, US$ 1 = KD 0.27991

 

 ○ From the statistics table we can see that Thailand, Philippines & Indonesia origins are dominating the market. And demand to import tunas is increasing annually and gradually.

 

□ Import Regulation System

 

 ○ Kuwait does not implement any customs duties on food, agricultural items, or essential consumer goods, or on imports of some machinery, most spare parts, and all raw materials. The General Administration of Customs collects a 5 percent general tariff on most imports, which includes the cost, insurance, and freight value of the goods. The Ministry of Commerce and Industry may impose higher protective tariffs, up to around 25 percent, on imports that compete with goods manufactured in smaller local industries.   

 

 ○ Imports to Kuwait from any country should have three certified and legalized copies of the commercial invoice, three copies of the bill of lading (air waybill), and a certificate of origin. The certificate of origin should:

  - Be duly certified by Chamber of Commerce. Legalization is done by the Kuwait Consulate or Embassy in Origin Country.  

  - Contain the full name of the manufacturing plant or producer as well as the full name of the freight forwarder.

  - Show the means of transportation.

  - Indicate the country of origin.

 

 ○ Invoices and documents should be available to the importer before the arrival of goods in Kuwait, as goods cannot be cleared through customs without these documents.
 

□ Custom Tariff

 

 ○ Custom tariff is 0% on foodstuff. Kuwait prohibits the importation of pork, pork products, alcoholic beverages, products containing alcoholic beverages, gambling machines, and pornographic materials.

 

 

3. Distribution Channel

 

□ Main Distribution Channels

 

 ○ Foodstuff companies, mega store (Sultan Center, City Center, Carrefour, Giant0 are the main importer for tunas in Kuwait and it can be distribute to retails, co-operatives, restaurants, people as per their request.  

 

 

4. Competition Tendency

 

□ Competitive Product

 

Company	Brand	Price (Retail) (US$/Tin)	Market Share (%)	Origin
Rio Mare	Rio Mare	2	10	Italy
Century	Century	1.5	10	Philippines
Rifi	Rifi	1.7	5	Thailand
Monarch	Monarch	1.4	4	China

Source: Al-Yasra Food Company