As long as global grain prices continued to increase, UAE food costs would increase in parallel said Mas.
Gulf economies are expected to continue to experience high levels of wheat and grain price inflation with the current international shortage of rice and semolina provisions, according to global economists.
The high food prices were a result of the worldwide shortages of grain in the face of increasing demand explained Canadian Wheat Board analyst Bruce Burnett.
With increasing demand and supply capacities relatively fixed, prices the world over would continue their upward spiral commented Barilla exports market area manager Middle East & Africa, Pier Pavesi.
"According to our forecast, we don't have enough production to recover the lack of stock and there is an increasingly high demand on commodities."
In its bid to ease the price pressure, the UAE government has attempted to limit the ability of wholesalers and retailers to pass on the price increases to the consumer.
In doing so, however, wholesalers and retailers alike were not covering their costs and were beind forced to respond by suspending trade, Pavesi added.
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Price increases on raw materials has created turmoil among the world's grain-producing countries, but supply to the Middle East remained steady he explained.
"The dramatic cost of durum wheat has forced us to increase the cost of produce, although we've still managed to develop pasta supply to the region by more than 40% this year."
Further development in organic semolina growth from local manufactures is expected to improve pasta availability in the region according to Gallo Group technical director Jaume Mas.
"Development of functional products and better added-value products should make it possible for us to grow above the average in the imported pasta range."
However, as long as world grain prices continue to increase, UAE food costs would also increase he concluded.
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