Pasta buck

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Escalating global food costs coupled with another poor wheat harvest has sent the European pasta market into turmoil, but what has been the effect on the Middle East market?

The world's supply of grain has hit a 40-year low as pasta-producing countries struggle with escalating global food costs.

After decades of relative stability, the cost of wheat has doubled in less than a year and as a result, producers are raising prices to compensate for lost profit.

While this has affected each sector in the industry, from farmers to distributors in Europe, Canada and Australia, the pasta trade remains strong across the UAE according to suppliers.

"We have increased supply to the region by up to 25-30% this year despite the turmoil and rising costs of commodities in Europe," explains Barilla exports market area manager Middle East and Africa Pier Pavesi.

"The dramatic cost of durum wheat has forced us to increase the cost of produce although we are still importing more premium pasta products to the region than ever before."

Although Middle Eastern distribution trends indicate an increase in supply to the region, it is only a matter of time before price rises filter through to the Gulf market explains Canadian Wheat Board analyst Bruce Burnett.

"The prices are likely to remain high for at least another 18 months, as it could take up to three years of strong harvests to rebuild the worldwide stocks, which will impact all markets," he says.

Imports of pasta products to the region mainly include raw materials like durum wheat semolina and value-added products such as gluten-free, fibre-rich and vegetable-flavoured pastas.

This is largely due to the fact that "value-added products need different technologies and undergo a more complex manufacturing process," explains Gallo Group technical director Jaume Mas.

"The pasta market is growing in the UAE because people are getting better educated about its health benefits and value-added pasta-based products are a now a sought-after commodity."

With the recent development of locally produced durum wheat semolina being made available to the market, Mas says that it will add to the challenge of supplying to the region.

"We have to excel on quality and service to remain competitive in this market."

Chefs in the region agree that pasta supply to the Middle East hasn't been affected by the recent global wheat shortage.

"Fortunately, we haven't had any problems getting pasta products here in the UAE and I am still able to source Spinosi, Rusticchella D'abruzzo and pasta di Gragnano at a reasonable price," explains Westin Dubai Bussola chef de cuisine Corrado Pani.

"This is also because we have a number of Italian suppliers who have an intimate understanding of the products and the Italian hospitality business, which keeps us updated with current trends."

Pasta consumption trends in the region indicate the average quantity of pasta consumed per month is increasing, as customers become less concerned with low-carbohydrate diets explains Pani.

"On average, I use about 750kg of pasta per month.

"This is broken down into 300kg of dry pasta, 330kg of home-made pasta and 120kg of risotto."

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