Spending on luxury branded products globally is set to reach $450 billion by 2012, Verdict Research, a UK-based research company said.

It added that the rate of growth in the sector will double in the next five years.

This forecast was made at the 5th Middle East Exclusive (MEE) Exhibition, an event dedicated to luxury goods and travel retail sector.

Sultan Bin Sulayem, chairman of Dubai World and DP World, formally inaugurated the event at the Dubai World Trade Centre today.

Being held under the patronage of Sheikh Ahmed Bin Saeed Al Maktoum, president of Department of Civil Aviation, Dubai and chairman of Emirates Group, the MEE Exhibition 2007 brings together over 100 companies from over 25 countries across the globe. The exhibition will continue till December 6.

The exhibition is currently showcasing over 500 brands and products across all categories including high fashion jewellery and accessories to premium cigars, watches, gourmet and fine foods, perfumes, cosmetics, confectionery, and designer luggage items as well as electronics.

The exhibition brings into focus the Middle East’s luxury as well as travel retail sector, which has witnessed exponential growth in the past few years, driven by a buoyant global economy and rapid developments in retail trade.

According to Swedish industry analyst group Generation DataBank, it is expected that the Greater Middle East market, which encompasses Africa, Indian Subcontinent and the former CIS states, will see an average growth of 12.2 per cent per annum over next five years in the Duty Free and Travel Retail Sales, compared to the global average of 7.6 per cent.

Channels Exhibition, organisers of the show, said the MEE Exhibition 2007 has already created new records with visitor pre-registration growing 10 per cent over the 2006 edition. Nearly 920 representatives from over 40 countries have already pre-registered for the three-day high profile show, which attracts international exhibitors as well as regional companies. Many companies are using MEE 2007 as the launch pad to showcase their new collections.

Justin Boutros, managing director of Channels Exhibitions, said: “We are thrilled with the enthusiastic response to Mee Exhibition 2007, which provides the buyers and exhibitors of luxury and duty free goods the best commercial platform to network and develop new business. Amidst the impressive levels of growth in the luxury goods sector, both globally and regionally, it is vital that companies involved in the industry are able to make contact with the right people to promote their services and discuss future trends. This exhibition bridges the gap between the suppliers and the inherent potential in the region.”--TradeArabia News Service