Unwrapped By ISM Middle East - Power Bites

This edition of Unwrapped, we spoke with Rakesh Jha, General Manager at Al Maya FMCG, to get his perspective on how the confectionery and snacks category is evolving in the region. From the growing demand for health-conscious and functional products to the impact of rising cocoa prices and the importance of sustainability, Jha shares how Al Maya is responding to shifting consumer expectations and leveraging platforms like ISM Middle East to stay ahead of industry trends.

From your experience in FMCG distribution and retail, how do you see the confectionery and snacks category evolving in the next 1–2 years?

The confectionery and snacking category has been consistently evolving over the last few years, with a visible shift towards premiumisation, health-conscious offerings and on-the-go convenience. We expect this trend to accelerate, driven by changing consumer lifestyles and digital awareness.

Demand for clean label products, including GMO-free, no added sugar, no artificial colours and no additives, is set to grow at an estimated CAGR of 6-8% globally over the next few years. These products are no longer niche and are becoming increasingly mainstream, as they are now more affordable and widely available across various retail formats, including supermarkets, e-commerce platforms,and quick commerce services.

What consumer trends are you seeing gaining momentum in this space and how is Al Maya adapting to or leading those shifts?

We are seeing a steady rise in consumer demand for better-for-you snacks, including low or no-sugar, plant-based and high-protein options. In the GCC region, nearly 60% of younger consumers (Gen Z and Millennials) say they actively seek healthier alternatives in snacks.

At Al Maya, we are continuously expanding our product portfolio to reflect these shifts. We have onboarded many brands that align with wellness, sustainability and innovation. Simultaneously, we are enhancing our in-store merchandising to meet these evolving consumer preferences.

How important is it for a brand today to go beyond taste and offer a functional or wellness-driven benefit in confectionery? Are consumers in this region responding to that?

Today’s shoppers are more informed and health-conscious than ever before. While taste remains king, wellness is now a baseline expectation. Functional confectionery, whether fortified with vitamins, adaptogens, probiotics, or mood boosting ingredients, is seeing growing interest, particularly among younger urban consumers. Global data indicates that nearly 1 in 3 consumers are willing to pay a premium for confectionery products with added functional benefits. When these are paired with credible branding and clear health messaging, the results are highly encouraging.

We’re seeing indulgence evolving into more immersive, sensory experiences, with visual appeal, texture and interactivity all playing a role. How is that impacting what performs on the shelf?

Indulgence has become increasingly multi-dimensional, vibrant visual appeal, innovative in texture and interactivity now play a critical role. Consumers are drawn to products that are Instagrammable, innovative in texture (e.g. layered, aerated, crunchy-chewy combos), or offer a surprise element.

This translates into stronger on-shelf performance for brands that invest in premium packaging, creative formats and a unique unboxing experience. Especially in impulse-driven categories like confectionery, first impressions can heavily influence purchase behaviour.

With cocoa prices surging globally, what’s your perspective on how chocolate brands and retailers should respond? Do you see this changing product strategies in the near future?

Global cocoa prices have surged by over 150% (as of May 2025 vis-à-vis 2023), creating significant margin pressure for manufacturers, distributors and retailers alike. While some brands are re-sizing or reformulating products, the long-term winners will be those that offer transparency, ethical sourcing and premium quality that justifies higher price points. At Al Maya, we foresee a greater focus on origin-based storytelling, single-origin chocolates and value-added innovation that creates a compelling proposition beyond price.

Sustainability has moved from niche to necessity, especially in sourcing and packaging. How important is this to your consumers and how do you evaluate brands on this front?

Sustainability has firmly moved from being a “nice to have” to a non-negotiable expectation. Consumers- particularly in the UAE and other urban centres are increasingly asking about sustainable sourcing, plastic-free packaging and carbon-conscious practices.

When evaluating new brands, we look for not just claims but also third-party certifications, such as Fairtrade, Rainforest Alliance and FSC-certified packaging. Brands that invest in transparent, end-to-end sustainability are gaining both shelf space and consumer trust.

How does attending ISM Middle East help a company like Al Maya FMCG discover new trends and products in the confectionery and snacks industry?

ISM Middle East remains an essential platform for us to stay ahead of category evolution. It offers a first-hand look at global innovations, allows us to connect with emerging challenger brands and helps us identify white space opportunities within our portfolio. Participating in ISM also facilitates networking with peers and suppliers, making it invaluable for strategic sourcing and long-term planning.