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Wholesale and Retail Food in Egypt 2019

Wholesale and Retail Food in Egypt 2019

  • February 2019
  • 69 pages
  • ID: 5748380
  • Format: PDF
  • By Who Owns Whom

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Wholesale and Retail of Food in Egypt :
The wholesale and retail of food in Egypt has been under pressure since the floating of the Egyptian pound in 2016 which drove up inflation and put pressure on import prices. This was coupled with the introduction of value-added tax and the withdrawal of several fuel and food subsidies. Over-crowding, lack of parking facilities and out-of-stock situations are all commonplace experiences for shoppers. However, there is long-term growth potential given that on average Egyptians spend 35% of their income on food, and more than 40% of the population are under 30, the generation widely regarded as most likely to understand the benefits of the one-stop approach to shopping.

Growth Opportunities :
Egypt’s food retail sector is fragmented and dominated by small, traditional, grocery retailers, whose 115,000 outlets account for 98% of the nearly 119,000 stores in the country and 80% of sales. The growing formal sector of modern supermarkets, hypermarkets and convenience stores makes up the remaining 2% comprising 1,500 outlets and representing around 20% of total sales. It is dominated by five major retailers. The modern grocery retail market is forecast to double between 2017 and 2021.

Report Coverage:
This report focuses primarily on the retail of food in Egypt, current conditions and factors influencing the sector’s success. It contains profiles of 12 companies including UAE-based Majid Al Futtaim, which holds the Carrefour franchise in Egypt and growing local and regional chains such as Metro and Spinneys.

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