Latest news with #Baqalas
Khaleej Times
26-06-2025
- Business
- Khaleej Times
Saudi Arabia bans sale of tobacco, dates, meat, fruits, vegetables in grocery stores
Small grocery stores in Saudi Arabia, commonly known as Baqalas, are now prohibited from selling several products, including tobacco, dates, meat, fruits, and vegetables, the Saudi Ministry of Municipal and Rural Affairs and Housing announced. The ban, issued by Minister Majed Al-Hogail, is aimed at reorganising the retail structure and enhancing public health and safety standards across Saudi Arabia. The new regulation takes effect immediately, but existing establishments have been granted a six-month grace period to comply with the new rules. Conditions of the new regulation Under the amended rules, grocery stores, kiosks, and mini markets are no longer permitted to sell: Tobacco products (including regular cigarettes, electronic cigarettes, and shisha) Dates Meat Fruits and vegetables These items may only be sold in: Supermarkets, provided they obtain a separate licence for selling meat Hypermarkets, which are permitted to sell all of the above without additional licensing The sale of charger cables and prepaid recharge cards is permitted across grocery stores, supermarkets, and hypermarkets. Stay up to date with the latest news. Follow KT on WhatsApp Channels. New space requirements The regulations also redefine the required minimum space for retail categories: Grocery stores must have a minimum floor area of 24 square metres Supermarkets must be at least 100 square metres Hypermarkets must have a minimum space of 500 square metres Implications for retailers The move is expected to impact thousands of small grocery stores across the Kingdom, many of which have traditionally relied on the sale of fresh vegetables, tobacco, and dates as core parts of their stock. Retailers will need to reassess their product merchandise and expand their space to upgrade their classification if they wish to continue selling restricted items. For consumers, the changes may mean fewer options for convenience purchases at neighbourhood stores. However, the revised regulations will result in improved product handling and safety in larger, better-regulated establishments. The Ministry has stated that enforcement teams will monitor compliance during the six-month transition period, after which violators may face penalties, including fines and closure orders.
Al Etihad
25-05-2025
- Business
- Al Etihad
UAE retail set to reach $162b by 2028, leads GCC in e-commerce: Report
25 May 2025 23:10 KHALED AL KHAWALDEH (ABU DHABI) The UAE's retail market is forecast to reach $162 billion by 2028, growing at an average annual rate of over 5% from $127.2 billion in 2023, according to a new report by Logic Consulting. According to the Middle East-based group, the UAE leads the region in innovation, digitalisation, and sophisticated e-commerce offerings, despite having a smaller market than neighbouring Saudi Arabia. Titled "Revolutionising Retail: Unveiling GCC's Five-Year Transformation", the study positions the UAE as the most digitally advanced retail market in the GCC.E-commerce sales, which reached $3.9 billion in 2020, growing more than 50% year on year, are expected to become increasingly dominant. According to Logic, this is reflected in consumer preference, with 69% of UAE shoppers saying their loyalty increased for brands that allowed them to shop online and return-in-store. "As GCC nations continue to transition away from oil dependency, retail has become a key enabler for fostering domestic consumption, attracting private investment, and catalysing the development of adjacent industries, including logistics, real estate, technology, and tourism," the report said. The report outlines how major UAE-based retailers are leading the charge, using big data and AI to forecast demand, reduce waste, and personalise consumer journeys. Innovations such as click-and-collect, virtual fitting rooms, and loyalty-integrated apps are becoming the includes success stories from the likes of Majid Al Futtaim, Lulu Hypermarkets, and Noon – with many offering expanded services, same-day delivery, and increasingly competitive ways to shop, and receive items on demand. Moreover, the report details the rising appetite for luxury items and notes the UAE's leading role as a luxury hub in the region. According to Logic, approximately 70% of consumers in the GCC report increased spending on luxury items. "The UAE hosts a substantial number of high-net-worth individuals and millennials who drive the demand for luxury goods and immersive shopping experiences. This cohort values exclusivity, personalised services, and innovative retail environments," the report said. "'Phygital' experiences cater to their desire for interactive and seamless shopping journeys. For instance, luxury brands in the region are adopting augmented reality (AR) and virtual reality (VR) to enhance customer engagement and provide unique in-store experiences." Despite rapid changes in the retail landscape, traditional neighbourhood shops – namely the 10,000 or so Baqalas on street corners – remain dominant in the UAE's grocery retail sector. A Kantar Worldpanel study cited by Logic shows that these stores continue to make up 60% of shopper traffic.
