Lifeway Foods® Announces Expanded Kefir and Farmer Cheese Distribution Deal in Dubai and U.A.E.

Rhea-AI Summary

Lifeway Foods (LWAY) has announced an expanded distribution agreement in the United Arab Emirates market. The company will begin shipping 32oz Lifeway Kefir, 8oz Lactose-Free Lifeway Kefir, ProBugs and farmer cheese to supermarkets and hypermarkets in Dubai and across the Emirates in Q4 2024. The announcement was made during the Gulfood Manufacturing trade show in Dubai. The global kefir market is projected to grow at a CAGR of 6.3%, reaching $4.9 billion USD by 2032.

Positive

• Expansion into UAE market with multiple product lines
• Market entry timed with projected global kefir market growth of 6.3% CAGR
• Diversification of product offering including lactose-free options

Negative

• None.

Insights

Market Research Analyst

The expanded distribution deal in the UAE represents a strategic move into a growing market with significant potential. The UAE's high-income consumer base and increasing health consciousness make it an attractive market for premium functional foods. The timing aligns with the projected $4.9 billion global kefir market by 2032, growing at a 6.3% CAGR.

The diversified product lineup, including lactose-free options and children's products, positions Lifeway to capture multiple consumer segments. While the immediate revenue impact may be modest given LWAY's current $376M market cap, the UAE expansion serves as a potential springboard for broader Middle East market penetration. The Q4 2024 shipping timeline suggests careful logistics planning, though success will depend on local consumer acceptance and competitive pricing strategy.

Lifeway CEO Julie Smolyansky announces substantial new distribution during Gulfood Manufacturing exhibition

DUBAI, UAE, Nov. 7, 2024 /PRNewswire/ -- Lifeway Foods, Inc. (Nasdaq: LWAY) ("Lifeway" or "the Company"), a leading U.S. manufacturer of kefir and fermented probiotic products, announced today an expanded distribution agreement in the United Arab Emirates market. The offering of 32oz Lifeway Kefir, 8oz Lactose-Free Lifeway Kefir, ProBugs and farmer cheese, exported from the United States, is expected to begin shipping in the fourth quarter of 2024 and will become available in supermarkets and hypermarkets in Dubai and across the Emirates. The announcement was made by Lifeway President and CEO Julie Smolyansky during the Gulfood Manufacturing trade show in Dubai on Nov 5-7, 2024.

"We are excited to further expand Lifeway's presence in the United Arab Emirates," said Lifeway President and CEO Julie Smolyansky. "As the leading kefir brand in the United States, we have the connections and capacity to scale items internationally when we see great opportunities. Our ProBugs kefir for kids and Farmer Cheese, often known internationally as Twaróg, will be excellent companions on the shelf with our existing kefir items, our increased selection of core 32oz kefir and new 8oz Lactose-Free flavors. Trade is one of the best forms of diplomacy, and we look forward to doing our part as we provide probiotic Lifeway products with bioactive nutrients to consumers in more countries in the years to come."

According to Global Market Insights, the global kefir market is projected to grow at a CAGR of over 6.3% and reach $4.9 billion USD by 2032. 

About Lifeway Foods, Inc.
Lifeway Foods, Inc., which has been recognized as one of Forbes' Best Small Companies, is America's leading supplier of the probiotic, fermented beverage known as kefir. In addition to its line of drinkable kefir, the company also produces a variety of cheeses and a ProBugs line for kids. Lifeway's tart and tangy fermented dairy products are now sold in the United States, Mexico, Ireland, South Africa, United Arab Emirates and France. Learn how Lifeway is good for more than just you at lifewayfoods.com.

Forward-Looking Statements
This release (and oral statements made regarding the subjects of this release) contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 regarding, among other things, future operating and financial performance, product development, market position, business strategy and objectives. These statements use words, and variations of words, such as "continue," "build," "future," "increase," "drive," "believe," "look," "ahead," "confident," "deliver," "outlook," "expect," and "predict." Other examples of forward-looking statements may include, but are not limited to, (i) statements of Company plans and objectives, including the introduction of new products, or estimates or predictions of actions by customers or suppliers, (ii) statements of future economic performance, and (III) statements of assumptions underlying other statements and statements about Lifeway or its business. You are cautioned not to rely on these forward-looking statements. These statements are based on current expectations of future events and thus are inherently subject to uncertainty. If underlying assumptions prove inaccurate or known or unknown risks or uncertainties materialize, actual results could vary materially from Lifeway's expectations and projections. These risks, uncertainties, and other factors include: price competition; the decisions of customers or consumers; the actions of competitors; changes in the pricing of commodities; the effects of government regulation; possible delays in the introduction of new products; and customer acceptance of products and services. A further list and description of these risks, uncertainties, and other factors can be found in Lifeway's Annual Report on Form 10-K for the fiscal year ended December 31, 2023, and the Company's subsequent filings with the SEC. Copies of these filings are available online at https://www.sec.gov, http://lifewaykefir.com/investor-relations/, or on request from Lifeway. Information in this release is as of the dates and time periods indicated herein, and Lifeway does not undertake to update any of the information contained in these materials, except as required by law. Accordingly, YOU SHOULD NOT RELY ON THE ACCURACY OF ANY OF THE STATEMENTS OR OTHER INFORMATION CONTAINED IN ANY ARCHIVED PRESS RELEASE. 

Media:
Derek Miller 
Vice President of Communications, Lifeway Foods
Email: derekm@lifeway.net 

General inquiries:
Lifeway Foods, Inc.
Phone: 847-967-1010
Email: info@lifeway.net

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SOURCE Lifeway Foods, Inc.

FAQ

When will Lifeway Foods (LWAY) begin distribution in UAE?

Lifeway Foods will begin shipping its products to UAE in the fourth quarter of 2024.

What products will Lifeway Foods (LWAY) distribute in UAE?

Lifeway will distribute 32oz Lifeway Kefir, 8oz Lactose-Free Lifeway Kefir, ProBugs, and farmer cheese in UAE.

What is the projected growth of the global kefir market according to Lifeway Foods (LWAY)?

According to Global Market Insights, the global kefir market is projected to grow at a CAGR of 6.3% and reach $4.9 billion USD by 2032.