AGP Executive Report

Coca-Cola expansion in Egypt: Coca-Cola Hellenic Bottling Company will invest US$1.28B in Egypt from 2026-2030, adding a new Alexandria PET bottle line and boosting local manufacturing capacity for exports across the Middle East, Africa and Europe. Inflation pressure from food: Brazil’s May inflation hit 0.58%, with food and beverages driving the biggest monthly jump and contributing about half the inflation rate—another reminder that grocery costs can quickly spill into broader price pressures. Fuel surcharges hit restaurant supply chains: With diesel still elevated after the Iran-war spike, distributors are facing higher costs and some suppliers are asking restaurants to absorb fuel surcharges, squeezing margins on both sides. World Cup matchday food & drink push: Major venues and chains are rolling out tournament menus and themed offers, including soccer-themed beverage and snack programming designed to pull crowds during games. Hospitality closures signal strain: Rising costs and lease expirations are forcing restaurant shutdowns, with operators warning that 2026 could bring more closures as demand and tourism remain uneven.

Airline Food & Beverage Spotlight: Turkish Airlines won APEX’s Best in Class in Food and Beverages Execution for the fifth time, with passenger-rated catering and service across its global network. AI for F&B Operations: UAE-based Algebra AI launched with $7m funding to deliver managed, customised AI workflows for mid-market firms across the GCC, already serving sectors including food and beverage. Hospitality & Brand Moves: Emirates also picked up “Best Overall Airline in the Middle East” at the 2026 APEX Awards, again citing food-and-beverage experience among top categories. Local F&B Community Boost: A new Egyptian restaurant in Spokane, Washington, says attention around “Team Egypt” ahead of the 2026 World Cup helped drive demand for made-to-order Egyptian dishes. Food Culture & Travel: A World Cup watch-party push is underway across North America, with venues leaning on themed menus and drinks to pull in fans.

Saudi Food Exports Boost: Saudi Arabia resumes receiving Lebanese exports, a move Lebanon’s Agriculture Ministry says will restart production, revive sorting/packaging/export chains, and support farmers after years of disruption. Hospitality & Wellness: Hyatt’s Miraval brand debuts globally with “Miraval The Red Sea” on Saudi Arabia’s Shura Island, adding multiple F&B venues and culinary workshops to its wellness-led resort model. F&B Retail Premiumization: Americana Restaurants launches the first carpo store in Qatar under an exclusive partnership, bringing its nuts, coffee and chocolates into the premium retail segment with further expansion planned across Bahrain and Saudi Arabia. Inflation Watch for Food: S&P Global warns food prices may rise further as fertiliser and transport costs feed into inflation across emerging markets amid Middle East supply-chain risks. Weight-Loss Demand Signal: UK regulator MHRA clears the first oral Wegovy option (semaglutide tablets), expanding obesity treatment access and potentially shifting regional demand for meal-replacement and diet-related products. World Cup Food Culture: Jeddah’s “Live the World Cup” fan event adds a dedicated food and beverage zone, while FIFA World Cup viewing guides across host cities keep spotlighting match-day deals and themed menus.

Qatar Premium Retail: Americana Restaurants and carpo opened the first carpo store in Qatar at Vio Dome in Villaggio Mall, bringing its roasted nuts, handcrafted chocolates and premium coffee to the market, with further expansion planned across Bahrain and Saudi Arabia. Monaco Hospitality & F&B: Monte-Carlo SBM posted record FY2025/26 revenues of €861.6m, citing a shift toward younger guests and growing North American and Middle East casino demand—fuelled in part by the Formula 1 boom. World Cup Dining in Monaco: SBM venues are rolling out match screenings with set menus and spend tiers at Em Sherif and bar-style viewing at Blue Gin, as Monaco leans into football-fuelled dining. Airline Food & Service: Emirates was named “Best Overall Airline in the Middle East” at the APEX awards, with food and beverage among the scored pillars. Egypt Inflation Watch (Food Impact): Egypt’s annual inflation eased to 13% in May; CAPMAS data points to food and beverage price moves including cereals/bread, meat/poultry, fish/seafood and fruit, while dairy/cheese/eggs fell. Eid Dining in Bahrain: Four Seasons and Hilton Bahrain promoted Eid Al Adha brunch and dining packages featuring shawarma, lamb, wagyu, sushi, Korean fried chicken and festive sweets.

UAE Food Tech & SMEs: Keeta launched the UAE edition of “Programme ABAAD” with Khalifa Fund support, offering training, digital growth tools, and certification for Emirati F&B SMEs to scale on the delivery platform. Saudi Economy & Hospitality Demand: Saudi Arabia’s nominal GDP rose 6.3% YoY to SR1.274tn in Q1 2026, with CPI at 1.7% and restaurant/accommodation services up, pointing to steady consumer activity. Israel Border-Era Dining: A northern Israeli burger bar opened despite daily rocket/drone threats near Lebanon, highlighting how F&B operators keep serving communities amid conflict. Kuwait Summer Consumer Mood: With regional instability disrupting travel, Kuwait residents and expats are staying put, leaning on malls and indoor dining to cope with heat and safety concerns. Sharjah Tourism Push: Sharjah rolled out a summer calendar of offers, events, and family activities to boost visitor spending across shopping, entertainment, and cultural experiences. Restaurant Sector Compliance: A UK Turkish restaurant was “named and shamed” for underpaying staff minimum wage by £2,427.22, adding pressure on F&B payroll compliance. Market Watch: Sysco’s planned Restaurant Depot acquisition is raising price concerns among hospitality operators, with fears of reduced wholesale competition.

Food inflation watch (Egypt): CAPMAS says Egypt’s annual inflation eased to 13% in May, with food & beverage up 7.5%—driven by big jumps in vegetables (+46.4%) plus higher grains/bread, meat & poultry, fish/seafood, and oils/fats. Hospitality & wellness (Saudi): Hyatt’s Miraval brand expands to Saudi Arabia with Miraval The Red Sea on Shura Island, adding a major spa and three dining outlets built around plant-forward, regional ingredients. Coffee packaging (UAE): World of Coffee Dubai spotlights the push toward biodegradable, compostable coffee packaging that protects aroma while cutting non-recyclable laminate waste. Dubai real estate with F&B pull: BEYOND Developments unveils “The Yards” ($1.1bn) in City of Arabia and launches its first residential cluster, Arancia, positioning the inland district for long-term demand. Health/diagnostics (MENA-relevant): Contrast media market coverage points to rising imaging demand (CT/MRI/ultrasound/angiography) tied to cancer and chronic disease screening. Supply chain pressure (region-wide): H5N1 detections in U.S. poultry are expected to keep egg and poultry prices under summer pressure—an indirect reminder for global protein costs. War’s everyday hit (Egypt): Red Sea shipping disruptions are squeezing Suez Canal revenues and feeding through to fuel and fresh-produce prices at home. Antisemitism flare-up (UK): A new report highlights rising antisemitic harassment, underscoring how social tensions spill into public life.

Dubai Dining Buzz: A giant whale shark was spotted off Dubai’s Jumeirah waterfront near popular Asian restaurant 3 Fils, with the encounter shared via the venue’s Instagram Stories. North Coast Restaurant Return: Nobu will reopen for the 2026 season at SODIC’s Ogami in Egypt, bringing back its Japanese-Peruvian menu and signature dishes. Israel Luxury Real Estate Link (food-adjacent tourism): Compass and Montefiore Real Estate Group launched “The Global Bridge to Israel,” aiming to connect international buyers to Israel’s luxury property market. Iran War’s Local Business Impact: Xinhua revisits Tehran’s Enqelab Square area, where a renovated cafe is back in operation after U.S.-Israel strikes, though footfall remains below pre-war levels. Plant Nutrition Research: University of Calgary study finds drought can dial down plants’ iron uptake, potentially affecting crop nutrition under climate stress. Packaging & Retail Supply Chain: New reports project major growth in self-adhesive labels and sustainable plastic packaging—both key for food and beverage branding, compliance, and logistics.

Tea Diplomacy & Culture: Sri Lanka marked International Tea Day with Ceylon Tea tastings in Doha and Abu Dhabi, spotlighting the Lion-Logo heritage and the island’s global Orthodox black-tea leadership. Supply-Chain & Packaging Pressure: A Japan-focused analysis warns that Strait of Hormuz disruptions could tighten naphtha supplies used for plastics, pushing up costs and even shifting food packaging practices. AI for GCC F&B Ops: Dubai-based Algebra AI launched from stealth with $7M to build tailored, managed AI systems for mid-market firms, including food and beverage players. Dubai Hospitality Support: Dubai reiterated it remains “open and stable” and outlined a Dh1bn relief package for hotels, including deferring sales fees for rooms, food and beverage. World Cup Food Buzz: Multiple outlets highlighted World Cup matchday menus and fan-food tie-ins, with brands rolling out themed items and collectibles. Health Policy on Drinks: New research says sugar-sweetened beverage taxes are spreading fast worldwide, with South Asia leading adoption. Fermentation Inputs: Starter culture demand is forecast to grow from $1.6bn (2026) to $2.3bn by 2033, driven by gut-health and functional food use. Berlin Bakery Closure: A Jewish bakery in Berlin shut citing economic strain and antisemitic harassment, underscoring how social pressures hit local food businesses.

Middle East Food & Beverage Watch: Food & drink openings (Jordan): Amman’s The Deek and Batta launched “Draft Kings,” billed as Jordan’s first dedicated draft beer bar, with eight taps (12 planned) mixing local brews like Petra Gluten Free with global brands such as Heineken and Stella Artois. Food & drink openings (Egypt): Nestlé Egypt inaugurated a new production line for Maggi Double Chopped in 6th of October City, citing investment confidence, more jobs, and stronger export capacity. Industry deal (UK/ingredients): Ingredion won unanimous board support to acquire Tate & Lyle in an all-cash offer valued around £2.7bn, aiming to build a larger ingredient solutions platform for food and beverage manufacturers. Restaurant spotlight (U.S., not ME but food-led): Sadie’s in the U.S. is drawing attention for its Mediterranean-style mezze and standout pita. Food & drink business climate (wider): Reports highlight consumers reassessing spending as fuel and food costs stay high, pressuring restaurant and retail margins.

Egypt F&B Manufacturing: Lipton Teas & Infusions inaugurated a new production line at its New Borg El Arab factory in Alexandria, highlighting automated processing, quality systems and a 25,000-ton annual capacity for tea bags and loose leaf. Gastronomy Education: Türkiye is rolling “mother recipes” into gastronomy high school curricula, using a national student competition in Istanbul to preserve regional dishes and culinary traditions. Saudi Restaurant Scene: Gault&Millau Saudi Arabia launched its first-ever guide, spotlighting nearly 250 restaurants across key cities including Riyadh and Jeddah. Ingredient M&A: Ingredion announced a recommended all-cash acquisition of Tate & Lyle (about £3.7B enterprise value), aiming to expand specialty ingredients across texturants, sugar reduction and fortification. Food Culture Event: Cairo Food Week returns Sept 24–Oct 3, expanding its platform for Egyptian culinary voices with more dinners and talks. Market Watch: Drinking yogurt is forecast to jump from $34.0B (2021) to $62.8B by 2031, driven by health and wellness demand. Turkey Breakfast Diplomacy: Turkey’s Kuwait embassy hosted a World Breakfast Day event promoting Turkish breakfast culture with a curated regional spread and tea.

Turkish Breakfast Diplomacy in Kuwait: Turkey’s embassy hosted a World Breakfast Day event at Namlı Gurme Restaurant, spotlighting Turkish breakfast as a culture of sharing with cheeses, olives, honey, pastries and tea for diplomats and business leaders. UAE-Slovakia Food & Agri Collaboration: The UAE and Slovakia met in Bratislava for their second Joint Economic Committee, discussing cooperation across energy, digitalisation, healthcare and agriculture/food industry, with non-oil trade at $812.7m in 2025. Oman Luxury Hospitality Hiring: Al Husn Hotel Muscat appointed Eugène de Rooze as hotel manager, bringing senior Middle East and global luxury hotel experience including food & beverage oversight. Deli Innovation in the Region’s Supply Chain: Dietz & Watson launched two new sliced-to-order chicken breast flavors—Heritage Roast and Cantina—at IDDBA 2026, targeting service deli demand. Israel Security Shock Near West Bank: A Palestinian man with Israeli citizenship carried out shootings in central Israel, killing one and wounding five; police arrested a second suspect. School Food Crackdown in Greece: Greece moved to ban processed meats and soft drinks in school canteens from 2026-27, pushing fresher, traditional options to curb childhood obesity. Energy Pressure on Hospitality Costs: Reports link higher fuel and energy costs to tighter consumer spending and rising operating pressures, with knock-on effects for foodservice budgets.

Tourism & Spending: KPMG Türkiye’s 2025 report says Türkiye drew 52.8m visitors and $64.4bn revenue, with tourists staying an average 10.7 days—more than double Spain (5.3) and well above Italy (7.8) and France (7.2). Food & Beverage Innovation: Egypt’s New Cairo spot NOT JUNK is pitching “better-for-you” versions of burgers, pizzas, tacos and desserts, built from scratch to boost nutrition without killing cravings. Wine & Tourism: Israel’s Mateh Yehuda wine festival (28th edition) runs from June 4 with tastings, tours and winemaker events across the region. Sustainability in the F&B Chain: Nestlé Nigeria launched a multi-stakeholder coalition for 2026 World Environment Day, pushing circular-economy waste recovery and cleaner communities. Agriculture Cooperation: Azerbaijan and Moldova agreed to expand agriculture ties, including food security, climate adaptation, tech transfer and winemaking. Regional Business Climate: Kamco Invest reports GCC listed companies’ Q1 2026 profits rose 15.5% to a record $67.9bn, with gains in food and beverage among other sectors.

Agriculture & Food Security Diplomacy: Azerbaijan and Türkiye hosted talks with Moldova to expand cooperation in agriculture, focusing on food security, climate adaptation, tech transfer, and boosting competitiveness in global markets, with an invitation for Moldova to join Azerbaijan’s Caspian Agro exhibition. Circular Packaging Push: Türkiye’s Deposit Management System starts July 1, paying consumers 1 lira per returned beverage container via “DOA” labels and reverse-vending across supermarkets, restaurants, cafés, hospitals and malls—aiming to cut waste and recover packaging for reuse. Local F&B Operations & Compliance: A Hong Kong food factory was suspended after beef samples (including beef congee) were found to contain sulphur dioxide above regulated limits, with authorities tracing supply links and ordering follow-up testing. Istanbul Dining Culture: Istanbul’s newer “curated palate” dessert-and-coffee scene highlights a shift toward smaller, design-led concepts where scent, music and packaging shape the dining experience. UAE Workspace for F&B-adjacent Businesses: Dubai’s Sweid & Sweid signed The Executive Centre to run premium flexible workspace at Sweid One in JLT, reflecting demand for hospitality-led office setups in key commercial zones.

World Cup hospitality in the UAE: Fan zones and sports bars across Abu Dhabi, Dubai and other emirates are rolling out match-day food and drink offers, with venues promising big screens, competitions and stadium-style atmospheres for the June 11–July 19 tournament. Public health watch in the UAE: The WHO says Ebola risk is low after DRC case figures were revised down; the UAE is adding contact-tracing and entry precautions for travellers linked to the outbreak. Iran-linked supply pressure: Reports highlight how the Iran war is shaking food supply chains, with knock-on effects for energy prices and costs that ripple into grocery and restaurant pricing. Local dining and culture: Saadiyat Cultural District’s museum shops and cafes are spotlighted, while Lebanon’s north coast continues to see Eid and summer crowds despite security strain in the south. Food business signals: THAIFEX–Anuga Asia in Bangkok showcased drinks, fine food and meat sectors, underlining ongoing regional demand for new flavours and partnerships. Iranian cuisine in the UK: A new Iranian restaurant in Bradford is opening to bring Persian dishes to local diners.

UAE–Italy Cultural & Trade Showcase: Sheikh Nahyan bin Mubarak attended Italy’s National Day celebrations in Abu Dhabi, where the embassy highlighted “Made in Italy” across luxury, fashion, and food & beverage, noting the UAE as Italy’s top Middle East trading partner and pointing to expanding investment ties. Turkmenistan–Türkiye Food & Agriculture Talks: The Turkmen-Turkish Intergovernmental Commission meeting flagged cooperation priorities including the food industry and agriculture, alongside construction, energy, and transport, with a focus on boosting commodity producers’ market access. Food Industry Investment (EMEA): Cargill invested €56m in Belgium to expand edible oils bottling and gourmet chocolate production, adding a pilot plant for product development serving customers across Europe, the Middle East and Africa. Automation & Packaging Trends: New market reports project robot kitchens growing to $7.62bn by 2030 and plastic waste management reaching $53.32bn by 2030, while packaging/labeling services are forecast to keep expanding—signals for operators planning for labor-saving and sustainability-driven packaging changes. Restaurant Sector Watch: A major bakery in Wales, Brace’s Bakery, was acquired to protect 250 jobs, underscoring ongoing pressure on food businesses and the role of consolidation.

Celebrity Chef Tie-Up: PepsiCo is using Gordon Ramsay to build “Doritos Loaded” recipes for restaurants and hospitality, signaling how major food brands are chasing trust and new consumption occasions via culinary authority. Reusable Packaging Push: A coalition has launched a new global reuse symbol (PR3) to help consumers and operators identify reusable cups, bottles and return systems—positioning reuse as more than just recycling. UAE Dining Tech: Deliveroo UAE rolled out in-app restaurant reservations powered by SevenRooms, aiming to shift the platform from delivery discovery to booked dining experiences. Saudi Hospitality Marketing: Shangri-La Jeddah appointed Lina Khan as Director of Marketing & Communications, with a mandate spanning brand strategy and PR for the luxury property. Foodservice Demand Shift: UK data shows delivery sales holding up while takeaway/click-and-collect keeps sliding for the 13th straight month, reshaping how operators plan menus and channels. Sustainable Aviation Feedstock: Japan is ramping “Fry to Fly” used-cooking-oil collection as SAF supply remains tiny, linking household food waste to airline decarbonisation. Middle East-Linked Cost Pressure: Thailand’s inflation rose again in May, with prepared food costs climbing as fuel and transport pressures tied to Middle East tensions feed through to shoppers.