Dubai: Choithrams, a supermarket chain in the UAE, said on Wednesday that it had signed an agreement with Mena Holdings Group, the distributor of UK-based reatailer Tesco for the Middle East and North Africa, making it the only retailer in the UAE that stocks Tesco private label products.
So far, Choithrams has stocked around 500 Tesco products across its 32 stores, which is expected to reach 1,000 by September this year, said KT Pagarani, Managing Director of Choithrams.
The first phase of the roll-out includes products that stretch across different categories, such as ice-cream, frozen vegetables, ready-made meals, cereals, canned goods, nuts, confectionery, oil and sauces, as well as the Tesco Organic and Tesco Finest ranges. It also expects to bring in detergents, hand wash and cosmetics in the short-term, followed by seasonal, fresh British produce, dairy, English cheeses, cold cut meats and bakery items.
With the rolling out of Tesco products, Choithrams aims to “attract more consumers, especially the British shoppers that recognize the Tesco brand,” Pagarani told Gulf News. He expects the new products to boost the retailer’s revenue by at least “10-15 per cent” this year over 2013.
Tesco is looking to grow its presence in the region. ”The market is really buoyant in the UAE,” said Gareth Bowen, Tesco UK Export Executive.
Tesco products are currently sold at Spinneys in Qatar and Lebanon.
Choithrams opened its first store in Dubai in 1974 and has since expanded to other Gulf countries.
Last month, the retailer signed a memorandum of understanding (MoU) with consumer goods maker Unilever to increase energy conservation across its sites and manage waste. The company has allocated $2 million for the project.
