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500 companies from 25 countries taking part in FHP exhibition
By Habib Shaikh
Published in The Saudi Gazette on 15 - 05 - 2010

Mahmood Bin Saeed Ahmed, director general for agriculture affairs, Makkah Region, will inaugurate the 15th International Food, Hotel, Propac Arabia (FHP Arabia) show, on behalf of the minister of agriculture, at the Jeddah Center for Forums & Events on Sunday.
Zahoor Siddique, exhibitions director, Al-Harithy Company for Exhibitions (ACE), organizer of the event, told Saudi Gazette that 25 countries, with 11 having national pavilions, and 500 companies are participating in the expo, which is held under the patronage of the Saudi Ministry of Agriculture and enjoys the support of Organization of the Islamic Conference (OIC), Islamic Center for Development of Trade (ICDT) and the Islamic Development Bank (IDB).
He said that national groups and individual companies include from Bahrain, Oman, the UAE, Egypt, Iran, Syria, Lebanon, Tunisia, Turkey, Malaysia, India, Pakistan, Sri Lanka, China, Korea, Taiwan, Thailand, Hong Kong, Indonesia, Germany, Italy, Poland, Tajikistan, and the United States, alongside a large contingent of leading Saudi companies.
Food Arabia covers food and beverages and catering, Hotel Arabia encompasses hotel equipment, supplies and services, and Propac Arabia includes processing, packaging, canning, bottling, labeling and plastics.
“The 2009 edition of FHP Arabia attracted more than 15,000 trade visitors, and participants concluded deals worth $30 million,” Siddique said, and added, “an exit poll of visitors showed that 94 percent expressed firm intent to return in 2010.”
According to the US Department of Agriculture (USDA) projections, because of water depletion Saudi Arabia will be one of the world's major importers of wheat, by 2016.
A report in the May 21 2008 issue of the US News & World Report says that grain production in Saudi Arabia is now down 42 percent from the peak of 4.9 million tons reached in 1994 and is on track to decline rapidly in the coming years.
Saudi Arabia has been reportedly seeking to invest in farms in Thailand, the world's largest rice exporter, to help secure its long-term supply.
Even today, Saudi Arabia's domestic resources are only capable of providing 40 percent of its dietary needs.
The remaining 60 percent is imported from more than 200 countries. Food worth $10 billion is imported annually. With the population set to grow to 50 million by 2020, the consumer base will expand immensely.
“Besides food, hotels also offer huge business opportunities in the Kingdom. A total of 50,000 new hotel rooms and 75,000 apartments are to be built by 2020. Restaurants fast-food outlets and a range of hospitality-related businesses will thrive in the new climate of growth,” Siddique said.
He added that the Kingdom's annual investment in packaging amounts to about $1.5 billion, of which 75 percent is in the food and beverage sector.
“This is not just for domestic purpose, but includes export as well and both are due to expand immeasurably over the next decade,” he said.


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