UAE supermarket recalls well-known bottled water brand



DUBAI // A supermarket chain has cleared its shelves of half-litre bottles of Masafi mineral water after it was found to contain unacceptable levels of a chemical produced in water treatment.
Choithrams, which has 25 branches nationwide, withdrew the bottles from a batch with a February 17 production date. Dubai Municipality said it had ordered a recall last month and an alert was issued last week by the Ministry of Environment and Water.
The ministry said "bromates in excess of the authorised level of 10 micrograms per litre" had been found in a water sample. A bromate is a chemical compound that can form during water purification.
Officials stressed that the increased bromate content had been found in only one bottle, and there was no risk to public health or safety.
The water company also said there was no danger. "Masafi bottled mineral water is safe for consumption and does not pose any health risks," a spokesman said.
Choithrams did not say how many bottles it had removed from its shelves or who had told it to do so. "These stocks have been pulled off our shelves till we await further clarity," said
Subhash K, the chain's retail marketing manager.
Dubai Municipality said yesterday it would "scrutinise" all water brands, after routine inspections last month found one, half-litre bottle of Masafi contained a level of bromate that was above the acceptable limit.
"We found it only in one bottle of 500ml," said Salem Mesmar, the municipality's assistant director general for environment, health and safety.
"We had to go for the second step and ask for five more samples," he said. The bromate content was within the permitted limit in other samples that were tested.
"This problem is now finished. But we are keeping an eye and monitoring Masafi and other water brands. This issue has been raised. It will not be forgotten," Mr Mesmar said.
The municipality said that in February it had ordered Masafi to recall all the bottles produced on February 17, even though it found the high bromate content in only one bottle.
"We called the factory in Ras Al Khaimah and asked them to recall. We informed the ministry so they can pass on the information to other municipalities," he said.
Dubai Municipality also ordered Masafi to ask all supermarkets to return the half-litre bottles produced on that particular date, Mr Mesmar said.
On Thursday, the ministry said it had found that the water sample in question contained 11 micrograms per million.
The municipality said drinking water usually contains the compound bromide, which alco occurs naturally in seawater and becomes bromate when mixed with ozone or chlorine during purification.
"drinking water that contains a negligible amount of bromates in excess of the level authorised does not constitute a direct risk to health," the ministry said.
Supermarket chains including Spinneys, Lulu and Al Maya said yesterday they had not received any notification from local authorities about the water recall.
Kamal Vachani, the director of Al Maya, said none of their stores had been supplied with the February 17 batch of Masafi bottles.
"We have not received any circular so far about recall of any brand," said V Nanda Kumar, head of communications at Lulu.

pkannan@thenational.ae

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January 24 – First T20, Lahore

January 25 – Second T20, Lahore

January 27 – Third T20, Lahore

February 7-11 – First Test, Rawalpindi

April 3 – One-off ODI, Karachi

April 5-9 – Second Test, Karachi

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

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Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

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The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Dubai launched the pilot phase of its real estate tokenisation project last month.

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