UAE-based Rise General Trading and Tenfu, the largest Chinese tea company listed on the Hong Kong stock exchange, have announced plans to enter the Gulf's tea market under a new joint venture.
Tea Trading International will be Rise General Trading's first venture into the FMCG industry, a statement said.
Tenfu, which has the largest established tea sales network in China, is involved from start to finish in the entire production process of delivering quality teas to the mass market.
Today it sells over 2,000 categories of tea sourced from selected tea producing regions in China.
Targeting the mid to high-end segment, the partnership with Rise marks its first foray into the regional market, the statement added.
The Middle East and North African beverage industry offers considerable business opportunities and is predicted to rise by 30 percent over the next five years, driven by the continued growth in population and tourism.
In recent years Dubai has also established itself as the world's largest re-exporter of tea globally, thanks to the efforts of the Dubai Tea Trading Centre, established by Dubai Multi Commodities Centre (DMCC).
Ghassan Kassabji - CEO of Rise, said: "We are confident that this JV is strategically positioned to maximise and seize these opportunities. By leveraging the Tenfu knowledge and expertise in delivering quality tea to its customers in China, and our depth of knowledge of the region, this JV will launch multiple premium tea brands, suitable for the global market. This is the beginning of a long and fruitful relationship between Rise and Tenfu."
According to Tea Trade International, plans are in place to roll out brands under the joint venture to the regional market in the coming months.For all the latest retail news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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