The Dubai Chocolate Craze in Korea: Market Trends and the Rising Demand for Pistachio Products

The Popularity of Dubai Chocolates in Korea

South Korea has enthusiastically embraced the viral "Dubai chocolates." The trend started when an influencer from the United Arab Emirates (UAE) posted a viral TikTok video in Dec-23. The highlighted product is made by Fix Dessert Chocolatier, a Dubai-based company that became popular for its chocolates filled with Middle Eastern kadaif noodles and pistachios.

Figure 1. Kadaif Chocolate by Fix Dessert Chocolatier

The popularity in South Korea is significant. On the popular Korean e-commerce site 11st, one unit of the imported Fix chocolate is priced at approximately USD 7.73, twice more than the local price in Dubai. More than that, the chocolates are being resold in the second-hand market for around USD 21.82, nearly three times the direct import price due to lack of supply. Eventually, major Korean companies caught on and launched similar products. In early Jul-24, CU, a convenience store brand under the large corporation BGF Retail, collaborated with Korean chocolate manufacturer Montresor to release the first Dubai-style kadaif chocolate in Korea, priced at USD 2.91. Shortly after the launch, 200,000 units of the products sold out, demonstrating its popularity. Other major convenience store brands like 7-Eleven and GS25 also released Dubai-style chocolates, priced at about USD 4.73. Haitai Confectionery launched pistachio-flavored Homerun Balls, quickly responding to the trend.

Comparison of Dubai Chocolate Products in Korea

Due to the popularity of Dubai chocolates, three major companies dominating the Korean convenience store market have launched their own Private Brand (PB) products, each with unique features. CU's Dubai-style chocolate uses dried noodles instead of Middle Eastern kadaif and pistachio powder imported from the United States(US). The 7-Eleven product also uses American pistachios but uses kadaif noodles like the original Dubai chocolates. GS25's product uses kadaif noodles and imported pistachio cream. When calculated based on 100 grams (g), CU's product price is USD 6.04, 7-Eleven's USD 6.18, and GS25's USD 5.70. Compared to Ghana Mild Chocolate, commonly available in Korea for USD 3.00 per 100g, these Dubai-style chocolates are about twice as expensive on average.

Figure 2. Comparison of Dubai-style chocolates by company

Derived Popularity of pistachio-related products

As Dubai chocolate has become popular in Korea, the demand for products related to pistachios, one of the main ingredients, has also significantly increased. According to Tridge Transaction Data Services (TDS), the volume of imported pistachio-flavored ice cream, including popular brands like Ben & Jerry’s, increased by approximately 3.3 times in 2024 compared to 2023. Baskin Robbins imported 1.2 times more pistachio flavoring this year compared to 2023. Additionally, as consumers enjoy making Dubai-style chocolate at home, the import volume of pistachio cream, which is needed to make home-made Dubai-style chocolate, has surged nearly 24 times this year compared to 2023. The increase in pistachio oil imports is even more remarkable. Pistachio oil, which was barely imported last year, has seen a significant rise in imports this year, about 77 times compared to 2023. The growing popularity of pistachio-filled Dubai chocolates has led to a simultaneous increase in various pistachio-related products.

Figure 3. Import Volume of Pistachio-Related Products into Korea

Conclusion

When Dubai chocolate began trending in Korea, similar products flooded the market. After CU first launched its PB Dubai-style chocolate in early July, other convenience store chains like 7-Eleven and GS25 began releasing similar PB products. These products are immensely popular, like CU selling all 200,000 units selling out on the day of release, and social media and blogs are flooded with product reviews. There are even predictions that the era of tanghulu—a dessert made by coating fruit in crystallized sugar—which has been popular since 2019, will come to an end, with Dubai chocolate taking its place. Moreover, around Dec-23, when the trend began, there was a noticeable increase in imports of pistachios and cream, the main ingredients of Dubai chocolate, as well as related products like pistachio ice cream and oil. Authentic Dubai chocolate, which has so far only been available through buying directly from overseas, will be officially imported into Korea in October this year. Given the continued high level of interest, the trend will likely persist at least until the end of this year. Tridge recommends that traders consider monitoring the Korean pistachio market, as it could be highly beneficial for them.