Open to Imports

OTA estimates total organic market consumer sales of Kuwait at about $12.6 million USD per year.

QUALITATIVE ANALYSIS

Quick Facts

  • Organic packaged food and beverage consumption in Kuwait is expected to see a 10.1% CAGR and $3.3mn absolute value growth over the forecast period (2015–2018).
  • Kuwait’s economy is the third largest of the Gulf Coastal Countries, after Saudi Arabia and the UAE. Real GDP is projected to grow by 2.5% in 2016.
  • Kuwait’s population has been rising at a steady pace and reached 4.5 million in 2015; it is projected to reach 5.9 million in 2030.

General Economic & Demographic Landscape

Economy: 

  • Kuwait is the third-largest economy of the Gulf Coastal Countries, after Saudi Arabia and the UAE.
  • In 2016 real GDP is expected to grow by 2.5% after gains of just 1.2% in 2015. Supported by domestic demand, the non-oil sector will be the main driver of economic growth. Both exports and investment are weak owing to the fall in oil prices.
  • Despite its strong macroeconomic position, including sizable fiscal and trade surpluses, Kuwait is seeking to diversify its economy away from its near total dependence on oil revenues and state subsidies. Currently, the country relies on oil revenue for 90–95% of total export earnings and about 50% of GDP. 
  • Kuwait channels around 10% of its oil revenues into the Future Generations Fund for the day when oil income runs out. The Fund is worth more than US$65 billion.
  • The government accounts for about 75% of GDP. Most industries are subsidized, and many Kuwaitis depend on government-run companies for their jobs.
  • Kuwait’s economy has slipped in and out of recession in recent years due to the fall in oil prices and a decline in capital inflows. Many of the country’s largest investment banks encountered difficulties recently, with several defaulting. 
  • The economy slowed in 2013 owing to a fall in oil output and sluggish implementation of public investment plans. 

Population demographics: 

  • Kuwait’s population has been rising at a steady pace, reaching 4.5 million in 2015. 
  • The population is projected to grow to 5.9 million in 2030. 
  • Fertility has been falling for several decades, but was still slightly higher than replacement level in 2015 at 2.2 births per female. 
  • A factor offsetting the decline in fertility is a large increase in the number of women of childbearing age (15 to 49 years old). 
  • The median age was 30.3 years in 2015, well above the regional average. By 2030 Kuwait’s median age will be 35.1 years.
  • Immigration has shaped Kuwait’s demographic landscape. It has fluctuated in more recent years, but the number of immigrants is expected to be about 20,000 per year in the medium term. In 2014 Kuwaitis made up just 32% of the population.

Income & expenditure: 

  • The savings ratio in Kuwait is substantial, amounting to 17.6% of disposable income in 2015. The ratio will dip to 17.4% in 2016.
  • Consumer expenditure per capita totaled KWD2,328 (US$7,737) in 2015. An increase of 2.2% (in real terms) is expected in 2016. 
  • Hotels and catering will be the most dynamic spending category from 2015 to 2030, followed by communications.
  • Total consumer expenditure (in real terms) will rise by 4.7% in 2016. 
  • In the 2015–2030 period, total consumer expenditure will grow at an average annual rate of 3.7%. 
  • Total consumer expenditure will represent 29.8% of GDP in 2016, half the regional average.

QUANTITATIVE ANALYSIS

Organic packaged food & beverage data

Data type

2012

2013

2014

2015

2016

2017

2018

CAGR
(12-15)

CAGR
(15-18)

                   

Health & wellness products consumption

302.0

338.2

396.1

344.9

362.5

381.1

400.5

4.5%

5.1%

Organic packaged food and beverages consumption

5.8

7.2

8.5

9.9

10.9

12.1

13.2

19.5%

10.1%

Organic packaged food consumption

2.2

2.6

3.0

3.0

3.2

3.3

3.4

10.9%

4.3%

Organic beverages consumption

3.6

4.6

5.5

6.8

7.8

8.8

9.8

23.6%

13.0%

Organic packaged food and beverages consumption as a % of total health & wellness products consumption

1.9%

2.1%

2.1%

2.9%

3.0%

3.2%

3.3%

-

-

Economic & demographic data

Data type

2012

2013

2014

2015

2016

2017

2018

               

Total population

3.7

3.8

4.0

4.1

4.2

4.3

4.4

% Middle and upper class of total population

36.3%

36.2%

36.2%

36.1%

36.1%

36.0%

36.0%

% Population aged 65+

1.8%

1.8%

1.9%

2.0%

2.0%

2.1%

2.2%

% Population aged 0-14

24.1%

23.3%

22.8%

22.5%

22.4%

22.4%

22.4%

% Population with higher education degrees

12.2%

12.3%

12.4%

12.6%

12.7%

12.7%

12.8%

Average number of children per household

1.6

1.5

1.4

1.4

1.4

1.3

1.3

GDP per capita

43,800.1

42,934.2

39,032.3

27,790.8

27,750.7

27,906.1

28,177.5

Consumer expenditure per capita (US$)

7,871.6

8,125.3

8,233.4

8,469.1

8,676.3

8,915.8

9,104.0

Consumer expenditure per capita on food and non-alcoholic beverages (US$)

1,461.3

1,502.6

1,510.2

1,537.7

1,555.4

1,576.0

1,585.0

 

Retailer & urban area data

Data category

Rank

Urban Area/retailer

Population
(mns)

       

Top urban areas by population (2015)

1

Kuwait Urban Area

3.0

Top urban areas by population (2015)

2

-

-

Top urban areas by population (2015)

3

-

-

Top urban areas by population (2015)

4

-

-

Top urban areas by population (2015)

5

-

-

Top grocery retailers by sales (2015)

1

-

-

Top grocery retailers by sales (2015)

2

-

-

Top grocery retailers by sales (2015)

3

-

-

Top grocery retailers by sales (2015)

4

-

-

Top grocery retailers by sales (2015)

5

-

-

USDA GATS data

Rank

2015

2014

2013

2012

1

Grapes

Tomato Sauce

Grapes 

Tomato Sauce 

2

Coffee Roast

Grapes

Celery

Brocolli

3

Tomato Sauce 

Coffee Roast

Lettuce 

Grapes

4

Apples

Brocolli

Carrots 

Lettuce

5

Berries

Cauliflower

 

Cauliflower

Policy Information

Government Agency(s)/Competent Authority

Authorized Government Agency(s): 

Kuwait is a member of the Gulf Cooperation Council (GCC) that includes Bahrain, Oman, Qatar, United Arab Emirates (UAE) and Saudi Arabia. Gulf Standards Organization (GSO) is responsible for developing food and non food standards in the GCC. Once a new standard is approved by the GSO food standards committee, each member country officially adopts the standard, thus making it a national standard as well as a GSO standard. 

The Department of Standards and Metrology, Public Authority for Industry (PAI), in cooperation with the Kuwait Municipality (KUM), the Ministry of Public Health (MOPH), the Ministry of Commerce and Industry (MOCI), the Public Authority for Agricultural Affairs and Fish Resources (PAAFR), the Consumer Protection of the Ministry of Commerce, Customs, Chamber of Commerce and the Kuwait Institute for Scientific Research (KISR) constitute the “National Food Safety Committee” which is responsible for establishing local food safety regulations. 

Regulatory enforcement is divided between the KUM, MOPH and PAAFR. 

The Imported Food Department within KUM has responsibility for the initial inspection of imported food products, including verification of compliance with label requirements and collection of samples for laboratory analysis. 

Agency(s) Contact Information: 

GCC Standardization Organization (GSO)
Riyadh - Kingdom of Saudi Arabia
AlGadeer - Olaya Street
P.O.Box 85245 Riyadh 11691
Phone: (+96611) 2746655
Fax: (+96611) 2105391
Email: csc@gso.org.sa
Website

Public Authority for Industry (PAI)
PAI Reception
Phone: (+965) 25302222
Fax: (+965) 25302190
Email: indust@pai.gov.kw
Website

Kuwait Municipality
Website

Organic Regulations and/or Standards

Name(s) of Regulation and/or Standard: 

Regulation and/or Standard Scope: 

The standard applies to unprocessed plants and plant products, livestock and livestock products, and processed agricultural crop and livestock products intended for human consumption. A product will be regarded as bearing indications referring to organic production methods where, in the labelling or claims, including advertising material or commercial documents, the product, or its ingredients, is described by the terms “organic”, “biodynamic”, “biological”, “ecological”, or words of similar intent including diminutives which, in the country where the product is placed on the market, suggests to the purchaser that the product or its ingredients were obtained according to organic production methods.

Imported Products Requirements

Imported Products: 

All food products must be accompanied by a health certificate issued by the appropriate government agency in the country of origin, attesting to the product's fitness for human consumption. Meat and poultry products must be Halal slaughtered. Halal slaughter certificates accompanying meat and poultry shipments are required to be notarized by the Kuwaiti Embassy in the country of origin. If not available, notarization from any of GCC or other Arab countries will suffice. Animal fat should be sourced only from Halal slaughtered animals. The importation of alcoholic beverages and pork, and food products containing alcohol or pork, is prohibited.

GCC Guide for Control on Imported Foods is useful for all food imports.

Definitions

Review definitions of terminology included in this website.