Dubai’s trade in fragrance, beauty and fashion-related products reached AED 206 billion in 2013, a rise of 8% from 2012, according to a new report issued by the export promotion agency of the Department of Economic Development (DED), Dubai Exports. The numbers for the previous year also reveal a 10% rise of exports and re-exports in the sector.
The Fragrance and Allied Sectors Capability Report, issued Wednesday, was compiled in collaboration with the Fragrance Foundation Arabia. It comprises of three analyses for each sector – fragrance, fashion and beauty, and shows the current development of this industry, as well as the various opportunities for traders, manufacturers and exporters.
According to the statistics, the trade value of the sector was worth AED 206 billion in 2013, up from AED 191 billion in the previous year. Leading sector is fashion with a trade value of AED193 billion in 2013, followed by AED 7.3 billion-worth beauty, and fragrance at AED 5.6 billion.
Fashion-related products are playing a major role Dubai trade, particularly in the retail and luxury goods industry. The fashion, fragrance and beauty sectors have a great potential, which should be further explored, as the emirate popularity grows rapidly not in the region only, but as an emerging global hub for travel, retail, finances and business in general. The positive image of Dubai in combination with the growing manufacturing and export industries are driving the rise of the fashion sector. Dubai Design District, the multi-billion project under way right now, will also influence the design and fashion industries, being a home and destination for local and international designers, especially Asia and Africa. Fashion events and other similar conventions and exhibitions, which draw attention to fashion and style products, are another essential factor. And the massive retail infrastructure also eases the growth of the total trade value in these sectors.
The report also says that Dubai is one of the top consumers of personal care products in the world in terms of capital spend, which is a strong indicator of future growth in the beauty and fragrances sector. Moreover, the large elite consumer segment, the varied demand linked with the multicultural population, the arrival of international luxury cosmetic brands and the growth in tourism will further sustain the sector. Fragrance trade is expected to grow by around 15 percent in the next year.
Currently, 35 percent of the exports of fragrance are directed to Oman, exports to Saudi Arabia account for 26 percent, while only 5 percent of the products go to Sudan and 4 percent – to Kuwait. Overall, exports and re-exports in fashion, beauty and fragrance sectors increased by 10 percent from 2012.
