{"id":89923,"date":"2026-05-25T00:00:00","date_gmt":"2026-05-25T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/mena-india\/?p=89923"},"modified":"2026-05-25T10:38:18","modified_gmt":"2026-05-25T10:38:18","slug":"after-uae-saudi-arabia-is-id-fresh-foods-next-gulf-frontier","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/mena-india\/2026\/05\/25\/after-uae-saudi-arabia-is-id-fresh-foods-next-gulf-frontier\/","title":{"rendered":"After UAE, Saudi Arabia is iD Fresh Food\u2019s next Gulf frontier"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>Bengaluru<\/strong><strong>-based <\/strong><strong><a target=\"_blank\" href=\"https:\/\/www.idfreshfood.com\/\" style=\"\">iD Fresh Food<\/a><\/strong><strong> is heavily expanding its footprint <\/strong><strong>in the Middle East, with plans to launch a new manufacturing base in Riyadh <\/strong>by the end of the year to serve a booming Gulf appetite for its ready-to-cook products. After making significant strides in the UAE, the IPO-bound fresh food label is shifting its focus to localize production and reduce freight dependence as regional demand surges, PC Musthafa, global CEO of iD Fresh tells EnterpriseAM.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<p class=\"tag-border-left\">GCC takes center stage for pre-IPO growth<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>A growing revenue driver: <\/strong>The Gulf region is now iD Fresh's largest international market, with the UAE contributing nearly a third of its international business. \u201cSaudi Arabia could be 3x to 4x of the UAE market, and our coverage in Saudi is very small today,\u201d Musthafa says.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Why now? <\/strong>\u201cWhen you have scale, it is better to manufacture locally. You can save transportation costs and inventory as well.\u201d The expansion comes months after British private equity firm Apax Partners <a target=\"_blank\" href=\"https:\/\/www.apax.com\/news-views\/id-fresh-food-secures-strategic-investment-from-apax-funds\/\" style=\"\">picked<\/a> up a 35% minority stake in iD Fresh in a <a target=\"_blank\" href=\"https:\/\/www.idfreshfood.com\/wp-content\/uploads\/2026\/01\/The-Times-of-India-PE-firm-buys-over-35-of-iD-Fresh-Food.jpg\" style=\"\">reported<\/a> USD 152 mn (INR 15 bn) transaction.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>What does iD Fresh do? <\/strong>The company offers both frozen and fresh products, present across 7.5k retail outlets, all served by its Ajman food processing plant. iD Fresh plans to enter Kuwait next month, followed by Bahrain. The company manages manufacturing and distribution directly rather than through retail partnerships, allowing tighter control over its perishable product supply chain. \u201cThe overall business is built with zero compromise on values, zero shortcuts, zero preservatives, zero chemicals and zero inventory,\u201d Musthafa tells us.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>The big picture: <\/strong>India\u2019s food and grocery market is the world\u2019s <a target=\"_blank\" href=\"https:\/\/www.ibef.org\/industry\/food-processing\" style=\"\">sixth<\/a> largest, with retail making up 70% of sales. The food processing industry accounts for 32% of this market and is projected to <a target=\"_blank\" href=\"https:\/\/www.ibef.org\/industry\/food-processing\" style=\"\">expand<\/a> to USD 535 bn at a CAGR of over 20%.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<p class=\"tag-border-left\">Adapting to local taste<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Arabs love <\/strong><strong>iDli-dosa<\/strong><strong>: <\/strong>iD Fresh\u2019s market research for Saudi Arabia found that a solid 64% of all customers were Arabs rather than Indians. iD Fresh currently holds up to 45% market share in \u2018parotta\u2019 (layered flatbread) in the UAE and around 25% in batter (fermented rice and lentil used to make pancakes and steamed cakes), Musthafa tells us. This is supported by strong cold-chain and last-mile infrastructure in the Gulf as well as greater acceptance for packaged and frozen foods.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Gulf consumers drive demand:<\/strong> The GCC has been a much easier market to penetrate for iD\u2019s packaged fresh foods than India, where \u201canything in packaged form is considered unhealthy, especially batter.\u201d With two-thirds of consumers open to buying batter from retail shelves in the UAE, that number is only 10% in Bengaluru as people prefer to make it at home, he says.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Paying the \u2018fresh\u2019 premium: <\/strong>\u201cPeople [in the GCC] are very health-conscious. They understand the importance of clean labels and are willing to pay a premium,\u201d Musthafa notes. The region\u2019s business-friendly regulatory environment and distributors have also helped accelerate adoption of packaged fresh foods. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>But the war is hitting their calculus:<\/strong> \u201cThe shipping cost has gone up like 3x for us,\u201d Musthafa notes, adding that while raw material costs such as rice have remained relatively stable, the cost of doing business has gone up significantly since the war began.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Contingency plan in action: <\/strong>To manage war-related volatility, the company activated contingency plans similar to the ones deployed during the pandemic. With the market stabilizing after a brief period of panic buying related to regional geopolitical tensions, iD Fresh plans to ramp up its marketing campaigns across the Gulf this month.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>What\u2019s next for iD?<\/strong> \u201cEvery year we are increasing our market share by 500 basis points [in the UAE]. Over the next four-five years, we should be able to take it over 50%, if not 70%\u201d Musthafa opines. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>iD Fresh is setting up a second food processing plant in Riyadh with operations slated for rollout in Kuwait and Bahrain<\/p>\n","protected":false},"author":1,"featured_media":89924,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[2845],"tags":[2402,3000,2659,2582,2843],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-89923","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-spotlight","tag-enterpriseam-india","tag-id-fresh","tag-india-gcc-corridor","tag-retail","tag-spotlight","wpautop","entry"],"acf":{"mongo_id":"546e8bef-d22f-489f-a247-bbd04b8e0952","order":"4","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2026\/5\/1459.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Batter-ing up Gulf appetite","related_issue":[89917],"teaser":"iD Fresh is setting up a second food processing plant in Riyadh with operations slated for rollout in Kuwait and Bahrain"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>After UAE, Saudi Arabia is iD Fresh Food\u2019s next Gulf frontier - MENA India Corridor<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/enterpriseam.com\/mena-india\/2026\/05\/25\/after-uae-saudi-arabia-is-id-fresh-foods-next-gulf-frontier\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"After UAE, Saudi Arabia is iD Fresh Food\u2019s next Gulf frontier\" \/>\n<meta property=\"og:description\" content=\"iD Fresh is setting 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