Primark expansion pushes ahead with Dubai Mall opening

• Largest Middle East store
• ‘No thought of postponing’
• Stock levels sufficient amid Iran war

Primark will open its largest Middle East store in Dubai on Thursday, pressing ahead with expansion even as the Iran War disrupts trade routes and aviation across the region.

The outlet, located in Dubai Mall, is the first of three stores planned in the emirate as part of a broader Gulf push with Kuwait’s Alshaya Group. The 7,000-square-metre site is one of Primark’s largest outside Europe and employs about 600 staff.

The opening comes at a time when the regional conflict has disrupted airlines, shipping lanes and logistics networks, raising concerns over supply chains and consumer activity.

“Obviously we’ve got to make sure for the customers and for our people that things are safe,” John Hadden, CEO of Alshaya Group, told AGBI on Monday. “But for us, there was never a thought of postponing.”

The store carries more than 400,000 items, with inventory delivered weeks ahead of launch, insulating operations for now from uncertainty linked to the Strait of Hormuz.

Additional outlets are due to open at City Centre Mirdif next month and Mall of the Emirates in May, as the Ireland-based retailer expands into a market long dominated by higher-margin brands. 

Speaking at the Dubai Mall store Hadden said stock levels are sufficient across all planned Dubai locations, although prolonged instability could begin to weigh on supply chains.

“Back of house is full to the brim and we have more than enough stock for here, for Mall of the Emirates and for City Centre Mirdif,” he said.

“If [the Iran War] continues to be an issue over the next three to six weeks, then maybe we’ll start having some supply chain issues. But at the moment we have plenty of stock.”

Alshaya Group, one of the Gulf’s largest franchise operators, manages more than 70 international brands across over 4,000 stores in about 18 countries, spanning names such as Starbucks, H&M, American Eagle Outfitters, The Cheesecake Factory, The Body Shop and Victoria’s Secret.

Hadden said the group was looking to use other ports across the Gulf – other than Jebel Ali Port, which has been subject to drone attacks from Iran. This includes Salalah Port in Oman, Khor Fakkan in the north of the UAE and Jeddah Port in Saudi Arabia.

“We’re looking at lots of different routes and we’re still flying stock in,” he said.

Further reading:

• Majid Al Futtaim profit up with revenue nearing $10bn
• Retailers steel themselves for supply upsets over Iran
• Primark launch would diversify Dubai’s retail offering

Primark, known for its value-focused model, will maintain pricing in line with its global stores, said Hadden. 

Redseer consultants forecast strong growth in the UAE’s value retail segment – products that are considered more affordable – driven by heightened price sensitivity and intensifying competition among online platforms. 

“We expect value retail to grow significantly over the next 12 months,” said Akshay Jayaprakasan, an associate partner at the consultancy.

Following its regional debut in Kuwait City last year, the company is also targeting new stores in Bahrain and Qatar before the end of 2026, with further Gulf openings planned for 2027.

“We’ll go even further next year,” he said. “We’re still working on the plans with Primark, but it’ll be a more aggressive growth than we’ve had this year for next year.”