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UAE e-commerce market value zooms to over $5b in 2021

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The UAE e-commerce sector continued to show growth in 2021 based on the recent report launched by EZDubai, the fully dedicated e-commerce zone in Dubai South, in partnership with Euromonitor International, the world’s leading provider for global business intelligence, market analysis and consumer insights. Total e-commerce in the UAE, reached just over $5 billion in 2021 and is anticipated to surpass $8 billion by 2025.

According to the report’s findings, more consumers in the UAE made online purchases across all categories during 2021 compared to 2020, with an average 75 per cent of respondents typically purchasing online. The fastest-growing sectors by industry from 2021 – 2025 will be homewares & home furnishings, food & beverage, and media products.

Countries in the Middle East are in a strong position to enable further e-commerce development thanks to high GDP per capita and internet penetration. The UAE and Qatar are in the strongest position, with GDP per capita above $40,000 and internet penetration above 90 per cent. Both countries have successfully implemented fiber access in homes and have the highest active mobile-broadband subscriptions in the region.

E-commerce in the MENA region is fast catching up with global powerhouses, such as China, with many online retailers scaling up services during Covid-19; by 2021, the total market size was estimated at $31.7 billion. The expansion of e-commerce in the MENA region is mainly driven by strong internet penetration rates, high possession of digital devices, rising incomes, improving logistic advancements, and the increasing presence of global and recognized players that have brought variety and availability to local consumers amidst the pandemic.

While the MENA is mostly a cash-based economy, after the pandemic, consumers shifted quickly to adopt credit and debit cards, driven by increased trust and the improvement of company operations. According to the report, in the UAE, credit/debit cards are the preferred method of payment.

UAE consumers purchase from cross-border retailers to access a wider range of products or search for lower prices or higher quality products not offered locally. The UAE also has affordable shipping costs for consumers looking to purchase outside the region. The leading countries, which UAE consumers purchase from include the USA, India and China and are often related to apparel and footwear as well as beauty and personal care. Foreign e-commerce (UAE consumers purchasing outside of the country) is rising fast, from 23 per cent of total e-commerce sales in 2019 to 26 per cent in 2021; this is expected to rise to 32 per cent in 2025.

The MENA is an active region for attracting local and international investments in e-commerce. With the current pace of developments and growing consumer preference for online retail, the region will see e-commerce growth of over $18 billion in absolute value terms over 2021-2025 reaching over $49 billion in 2025.

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UAE says onion, tomato price hikes temporary as market monitoring intensifies

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Food items such as onions and tomatoes have seen price increases in recent days. Still, the UAE Ministry of Economy and Tourism has said the rise is temporary and linked to the ongoing regional crisis.

The ministry confirmed that additional quantities of these commodities have already been supplied to markets to stabilise supply and help prices return to normal levels soon.

Officials stressed that there is no cause for concern regarding the availability of essential goods, noting that markets across the UAE continue to have sufficient stock and multiple alternatives available to consumers.

Increased market inspections

To maintain price stability, the ministry has intensified monitoring efforts at points of sale across the country. Specialised inspection teams are conducting daily field inspections in coordination with economic development departments in all emirates.

The inspections aim to prevent unjustified price increases and ensure compliance with consumer protection laws and pricing policies.

Essential goods under price regulation

Authorities highlighted that strict pricing policies apply to nine key essential commodities, including:

  • Cooking oil
  • Eggs
  • Dairy products
  • Rice
  • Sugar
  • Poultry
  • Legumes
  • Bread
  • Wheat

Retailers cannot increase the prices of these goods without prior approval from the ministry and the national committee responsible for regulating essential commodity prices.

Strategic food reserves

The ministry also confirmed that the UAE maintains a strategic stockpile of essential goods sufficient to cover market demand for up to six months.

Officials said the reserves are distributed across the country through a carefully planned system, ensuring efficient supply chains and quick responses to market needs.

Shipping and supply operations are continuing normally through all entry points, helping maintain a steady flow of goods to local markets.

Minister inspects Al Aweer market

Meanwhile, Abdulla bin Touq Al Marri, Minister of Economy and Tourism and Chairman of the Supreme Committee for Consumer Protection, conducted a field inspection at the Al Aweer Central Fruit and Vegetable Market in Dubai.

During the visit, he toured retail outlets, wholesale stores, and commercial shops to ensure compliance with consumer protection laws and price transparency.

The minister stressed that any compromise on food availability or consumer rights is a red line, adding that authorities will take strict legal action against violations or unfair commercial practices.

He also confirmed that daily imports of fruits and vegetables at Al Aweer market remain normal, reflecting the UAE’s strong supply chains and the readiness of its strategic food reserves.

Thousands of inspections conducted

Since the start of the regional crisis, the ministry has conducted more than 7,100 inspection campaigns across markets nationwide.

These inspections resulted in:

  • 567 violations detected, mainly related to unjustified price increases
  • 449 warnings issued to traders and suppliers
  • Fines totalling Dh207,250 imposed

Authorities said monitoring campaigns will continue to intensify in the coming period to maintain market stability and protect consumers.

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Dubai Police warn motorists to avoid random parking near mosques

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Dubai Police have urged motorists to avoid random parking near mosques during Taraweeh and Tahajjud prayers, especially during the last 10 days of Ramadan, warning that improper parking can cause traffic congestion and pose risks to pedestrians.

Authorities said the advisory aims to ensure smooth traffic flow around mosques and maintain the safety of worshippers and road users during the busy prayer period.

Brigadier Juma Salem bin Suwaidan, Director of the General Department of Traffic at Dubai Police, said traffic patrols have been intensified around mosques across the emirate to regulate vehicle movement and monitor violations.

He stressed the importance of following traffic rules and avoiding parking that blocks public roads, residential entrances, or pedestrian pathways.

“Random parking can obstruct emergency and ambulance vehicles, increase the risk of accidents and run-over incidents, and endanger the lives of worshippers and pedestrians,” Brig. bin Suwaidan said.

Choose safe parking areas

Brig. bin Suwaidan urged worshippers to use designated parking areas and plan their journeys when attending Taraweeh and Tahajjud prayers.

He also advised worshippers to avoid praying on the streets surrounding mosques, noting that doing so may expose people to run-over accidents.

“Worshippers should choose safe and designated prayer locations and cooperate with traffic officers to ensure a safe and organised environment for everyone,” he added.

Strict action against violations

Dubai Police confirmed that legal action will be taken against motorists who violate traffic regulations, including those who block roads or park in unsafe areas.

Authorities said traffic management plans are in place during Ramadan to reduce congestion, organise parking around mosques, and ensure safe entry and exit for worshippers.

Dubai Police reaffirmed their commitment to enhancing road safety and ensuring the comfort of road users throughout the holy month.

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UAE bans all drones and light sports aircraft, warns of legal action

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The UAE’s General Civil Aviation Authority (GCAA) has announced a total ban on all types of drones and light sports aircraft across the country, citing current exceptional circumstances.

In a statement shared on its official social media channels, the aviation authority said all operating permits for gliders, paragliders, drones (UAVs), and recreational or light sports aircraft have been suspended.

The GCAA stressed that compliance with the ban is mandatory, warning that anyone violating the decision will face legal action.

Safety and security measures

According to the authority, the decision was taken in light of the current circumstances and as part of efforts to strengthen safety measures and protect the UAE’s airspace.

Officials also urged the public to cooperate with the measure, emphasising that adherence to the regulations is essential to ensure the safety and security of everyone.

Earlier suspension

Earlier this month, on March 1, the GCAA had already suspended all flight permits for drones, gliders, and hobby aircraft for one week.

During that suspension period, operating or flying these aircraft within UAE airspace was strictly prohibited.

The authority has now confirmed that the ban remains in place nationwide, reinforcing the country’s aviation safety protocols.







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