K-beauty exports to UAE surge ninefold... KITA expands sales channels into North Africa

[Financial News] As South Korea’s cosmetics exports to the United Arab Emirates (UAE) have surged at least ninefold in five years, the Korea International Trade Association (KITA) has set out to tap markets in the Middle East and North Africa (MENA). It sent small and medium-sized Korean consumer goods companies, including food and cosmetics firms, to the UAE and Morocco for export consultations with around 40 major local distributors. The strategy is to diversify export markets for K-consumer goods by leveraging the spread of the Korean Wave and free trade agreements (FTAs).
KITA said on the 29th that it had sent a “K-Consumer Goods Economic Cooperation Delegation” to the UAE and Morocco from the 26th through the 29th (local time), holding meetings with local government agencies and business networking events. Eight promising Korean small and medium-sized enterprises took part, including companies in cosmetics, medical supplies and food.
The UAE is a market where demand for Korean consumer goods is growing rapidly, driven by strong purchasing power and the spread of the Korean Wave. According to KITA, South Korea’s cosmetics exports to the UAE rose at least ninefold, from $31 million in 2020 to $287 million last year. The Korea-UAE Comprehensive Economic Partnership Agreement (CEPA) took effect in May this year, laying the groundwork for expanded trade.
On the 26th, the delegation took part in the “Korea-UAE Consumer Goods Business Networking” event at Dubai Airport Free Zone (DAFZ) and held one-on-one export consultations with buyers from 27 local companies. Participants included major retailers in the Middle East and India, such as Landmark Group and Lulu Group, as well as Choithrams and Al Maya Group.
The delegation also met with Fara Al Zarooni, Assistant Undersecretary at the UAE Ministry of Industry and Advanced Technology, and Hadi Badri, CEO of the Dubai Economic Development Corporation, among others. They discussed strategies for entering halal markets with K-consumer goods and ways to expand cooperation between the two countries in consumer goods and distribution.
The delegation also sought to secure sales channels in Morocco, a gateway to North Africa. Morocco is the only African country to have signed an FTA with the United States and has also established a free-trade area with the European Union (EU). This has drawn attention to the country as an export hub connecting Europe, Africa and the Middle East.
On the 28th, KITA and KOTRA jointly held an export consultation event in Casablanca, Morocco, and conducted business meetings with around 10 local distributors, including Carrefour. At an economic cooperation seminar held with the General Confederation of Moroccan Enterprises (CGEM), they shared local investment opportunities and strategies for entering different industries.
On the 29th in Rabat, Morocco, KITA Vice Chairman Lee In-ho, who led the delegation, met with Ryad Mezzour, Minister of Industry, Trade, Investment and Economic Inclusion, and discussed ways to expand industrial cooperation as the two countries pursue a CEPA, among other matters.
“The UAE and Morocco are promising markets, serving respectively as gateways to the Middle East and to Europe and Africa, and with a growing consumer base that is receptive to Korean culture,” Lee said. “I will actively support K-consumer goods with competitive quality and safety and an edge in Korean Wave branding so they can expand beyond the UAE and Morocco into markets across MENA.”
[email protected] Kim Dong-ho Reporter