Saudi food truckers tickling your taste buds can’t find a recipe for parking

1 / 2
Food trucks doing brisk business at a street in Riyadh. AN photos by Huda Bashatah
2 / 2
Youngsters enjoy at a food joint in Riyadh.
Updated 31 May 2018
0

Saudi food truckers tickling your taste buds can’t find a recipe for parking

  • Pop-up kitchens on wheels have become part of the popular Saudi culture
  • Just like any other business, food trucks have regulations and licensing that owners need to follow in order to operate a food truck.

RIYADH: Food trucks are fast becoming a key feature of the Saudi streets. These mobile food outlets have become a lucrative business in major urban centers across the Kingdom.

It would not be wrong to say that these food trucks have become part of the popular Saudi culture. Only a few years ago, such outlets used to serve the needs of people working blue-collar jobs but today it has become a trend and these eateries are as valued as high-end restaurants.
With a wide variety of foods to offer, this business is gaining popularity among young entrepreneurs mainly because of the minimal costs as compared to setting up a proper restaurant. Yet when it comes to setting up the business, it turns out that it is not as simple as buying a truck and selling food.
Just like any other business, food trucks have regulations and licensing that owners need to follow in order to operate a food truck.
Cities like Riyadh, Jeddah and Dammam have regulations for establishing a food truck business in order to obtain a license. There are also regulations for the vehicles, governing safety, size and sanitation. However, rules about where and when to park these mobile eateries appear to be the most difficult for the owners.
Abdulaziz Al-Qahtani, owner of a food truck in Riyadh that specializes in coffee, told Arab News about how owners struggle with the city’s municipal regulations, describing the process of opening a food truck as difficult as opening a regular outlet. But the most difficult part was finding a spot to park the truck.
He said: “They do not have clear guidelines where food trucks can stop or cannot stop,” he said. “It will be better for the city’s municipality to have a spot fixed for food trucks in different parts of Riyadh.”  
Another entrepreneur, Sereen Al-Madani, said: “I’m facing the same difficulties other trucks are facing: Many food trucks lose their businesses due to the unavailability of parking spaces, the absence of electricity or other facilities around the spots these trucks are usually parked.”
The situation in other countries is totally different, she said, adding that the municipalities provide food trucks with necessary facilities.
Al-Madani said: “We are not allowed to leave our trucks parked in a specific area overnight. A number of robberies have taken place at some locations.  In some incidents, generators and other machinery were stolen. I know one girl whose truck was stolen.”  
Some time ago, the Riyadh Municipality had allocated a parking space for food trucks on King Fahd Road but for reasons best known to the authorities the decision was overturned.
Attempts to get comments from the municipality on this issue did not yield results.
Another regulation was about the Saudization policy. According to Jeddah’s municipal website, in order to obtain a license, the workers and owners of the food trucks must be Saudi citizens and cannot be employed at a public authority.
In addition, the owners themselves must work along with their Saudi employees in the kitchen, sales and customer care.
“That is a problem because Saudis expect high salaries compared to foreigners, and if we hire Saudis we will have to increase our prices,” Al-Madani said.
“They cannot live with low income and I cannot benefit from it if I will sell my falafels at the same price as restaurants. There is no way to compete with that and that is the biggest difficulty.”
Despite these obstacles, the city’s municipality made it pretty easy for owners to issue a food truck license. Now permits are issued electronically and generally take two working days to be issued.
Even though Al-Madani and Al-Qahtani faced some issues with their businesses, each of them has a success story to share.
Most food truck businesses are upgrading to become restaurants or shops. A food truck specialized in coffee, now has its own coffee shop boutique in one of the upscale areas in Riyadh.
“The coffee sector in Saudi Arabia is witnessing a boom,” Al-Qahtani said. “Lots of shops are opening. We will have more coffee shops in the Saudi markets in the next couple of years.”
“The environment, the experience, the details that you find in the truck or you find in the shop, our characters, our colors, are all integrated to create an unforgettable atmosphere for the customers by providing board games, music, customer service. It’s actually not one package, it’s many packages that come together and make our outlet unique.”
Al-Madani said her food truck, which specializes in making all kinds of breakfasts, is succeeding because of its uniqueness. “When planning for my food truck to stand out from the pack, I focused on the quality,” she said. “My prices are reasonable, I sell breakfast throughout the day and that is unique.”
She added: “Without the help and support of my family and partner, I wouldn’t have made it: They are the ones who inspired me.”
Some food trucks are considering the month of Ramadan as the peak season, while others are taking this month as a chance to renovate, work on maintenance and think of new plans for the rest of the summer.

Al-Qahtani said he has a clear plan for how his business will go in the summer. He said: “In Ramadan, we will sponsor Shalky (Exhibition). We are taking this position to capture the eyes of more clients.”

Decoder


High-level investment forum aims to further boost business between Saudi Arabia and Japan

Updated 18 June 2019
0

High-level investment forum aims to further boost business between Saudi Arabia and Japan

  • Japan is one of Saudi Arabia’s most important economic partners

TOKYO: More than 300 government, investment and industry leaders on Monday took part in a high-level gathering aimed at further boosting business opportunities between Saudi Arabia and Japan.

The Saudi Arabian General Investment Authority (SAGIA) welcomed key figures from the public and private sectors to the Saudi-Japan Vision 2030 Business Forum, held in Tokyo.

Hosted in partnership with the Japan External Trade Organization (JETRO), the conference focused on the creation of investment opportunities in strategic sectors of the Kingdom. Delegates also discussed key reforms currently underway to enable easier market access for foreign companies.

Speaking at the event, Saudi Economy and Planning Minister Mohammed Al-Tuwaijri, said: “Today’s forum is a testimony to the success of the strategic direction set by the Saudi-Japanese Vision 2030 two years ago, which seeks to drive private-sector involvement, both by partnering with public-sector entities.”

SAGIA Gov. Ibrahim Al-Omar said: “At SAGIA, we have been working on creating a more attractive and favorable business environment in Saudi Arabia, which is making it easier for foreign companies to access opportunities in the Kingdom.”

Japan is one of Saudi Arabia’s most important economic partners. It is the Kingdom’s second-largest source of foreign capital and third-biggest trading partner, with total trade exceeding $39 billion.

JETRO president, Yasushi Akahoshi, said: “Saudi-Japan Vision 2030 has made great progress since it was first announced. Under this strategic initiative, the number of cooperative projects between our two countries has nearly doubled, from 31 to 61, and represents a diverse range of sectors and stakeholders.”

Since 2016, the Saudi government has delivered 45 percent of more than 500 planned reforms, including the introduction of 100 percent foreign ownership rights, enhancing legal infrastructure and offering greater protection for shareholders.

As a result, the Kingdom has climbed international competitiveness and ease-of-doing-business rankings, with foreign direct investment inflows increasing by 127 percent in 2018 and the number of new companies entering Saudi Arabia rising by 70 percent on a year-on-year basis in the first quarter of 2019.