By Majd Othman
KUWAIT: The restaurant industry in Kuwait has seen significant growth since the rise of small businesses among Kuwaiti entrepreneurs. Medium and large companies have also followed suit, expanding their food and beverage ventures due to the high demand generated by local small businesses. According to recent statistics by Fitch Solutions, Kuwaitis spend an average of $1,415 per month on food, the highest among Arab countries. The UAE ranks second with $1,299, followed by Qatar and Oman, with Saudi Arabia in fifth place.
Despite the challenges posed by the COVID-19 pandemic, the restaurant and food industry in Kuwait experienced a slowdown rather than a complete crash, thanks to continued interest from consumers. This raises the question of whether Kuwait could potentially become a culinary capital, attracting restaurants from both the region and around the world. Kuwait Times spoke with small business entrepreneurs operating in the food and beverage industry to gather their opinions on whether the local business environment in Kuwait fosters the growth of such businesses.
Hisham, a Kuwaiti small restaurant owner, noted that before the pandemic, Kuwait was rapidly progressing towards becoming a leader in the food industry. This was due to the diverse range of international and local cuisines available, along with the high-quality food offered. He observed that the food market is starting to rebound, with Kuwait attracting international cafes and restaurants. Hisham hoped for further expansion into high-quality international dining establishments. However, he pointed out that Kuwait’s business environment is not yet attractive for food business investors due to challenging licensing requirements.
Maryam, another Kuwaiti restaurant owner, echoed Hisham’s sentiments regarding the exceptional quality of clients in Kuwait. She highlighted the community’s curiosity to try new culinary experiences. However, she identified a major obstacle in the form of local agents for international restaurants in Kuwait. These agents hinder business owners from growing their ventures in the local environment without relinquishing full ownership. She did acknowledge recent government efforts to streamline licensing procedures through online services, which provide new opportunities for Kuwaiti business owners.
Abdullah, a Kuwaiti citizen passionate about food and beverage and active on social media, believes that Kuwait is on its way to becoming a global destination for top restaurants. He noted the increasing interest and love for the culinary profession among local restaurants and Kuwaiti chefs. Abdullah also highlighted the government’s focus on encouraging youth to enter the private sector and start their own businesses. However, Abdullah emphasized the need for greater support for Kuwaiti entrepreneurs, not only through expedited official financing, but also through necessary amendments of laws that can benefit them.