Shiseido will establish a new joint venture based in Dubai, ‘Shiseido Middle East FZCO’, by the end of 2013 to enhance its market presence in the Middle East.
In light of the region’s high market potential, the Japanese cosmetics brand will team up with its local partner, Creation Alexandre Miya Paris Limited, who already signed a distribution agreement with the brand back in 1997. Business operations will commence in January 2014.
Next to the United Arab Emirates, the newly founded joint venture will distribute Shiseido products across Bahrain, Jordan, Kuwait, Oman, Qatar, and Saudi Arabia. While fragrances account for a major portion of the high-end cosmetics market in the Middle East, Shiseido wants to improve the presence of its skincare products, which are already sold in 140 stores across the region.
Shiseido estimates that the cosmetics market in the region could be worth USD $1.5 billion. In the future, the group will also examine the feasibility of handling other brands or lines that Shiseido currently carries.
