Sleepy Ras Al Khaimah street is reinvigorated with a shot of karak



Call it karak gentrification. Three years ago, Ras Al Khaimah’s Old Town was a forgotten neighbourhood. Now, anyone who comes to the fish market after dark will struggle to find parking.

Lights flash, horns beep, and drivers roll down their tinted windows to exchange gossip and news with friends and neighbours who have come here from mountainside towns and desert farms.

The reason for all this mayhem? “I’ll tell you what’s the reason,” says one of these customers, Muna Al Mansoori. “Chai karak.”

The Gulf’s affection for India’s cardamom milk tea is no secret and is a key ingredient for the subculture of ‘rounding’, cruising around with friends while drinking tea or eating takeaway.

In recent months, this traditional fishing neighbourhood has been revived by karak shops started by young entrepreneurs, both Emiratis and those whose families have lived there for generations.

Ms Al Mansoori, 36, was parked near the Ras Al Khaimah fish market, waiting for her order with her two sisters. “They break the law to get the tea and park anywhere just for this tea,” she said, looking at the cars parked up the road.

“Locals are very foodie,” nodded her younger sister, Ameera.

The National counted more than 26 new takeaway restaurants and cafeterias on the creek and the old Corniche at the northern edge of the Ras Al Khaimah peninsula. Many have opened in the last six months.

Competition breeds innovation and in this neighbourhood you can get honey-sweetened karak, hot-chocolate karak, karak served in a glass and karak served with a dollop of pistachio ice cream and a dash of green food colouring just to remind your pancreas to be on notice.

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The first and original cafe that specialised in karak is Malik Al Karak (“The king of karak”) and then there are imitators, like Carak Al Maliki (“kingly karak”). But the most famous and busiest of karakeries is Nena Tea, located across from the fish market. Nena Tea is said to have kick-started the karak craze when it’s owner, already famous on Snapchat for his insider tours of Ras Al Khaimah, opened it in late 2015. Easa Al Ali had a simple idea: karak for fishermen.

“When he put this shop here we asked him, ‘why did you put this shop here’?” said Sheikh Mohammed Zaki, 21, a mechanical engineering graduate, Nena Tea patron and karak aficionado, who was raised in the UAE. “I told him nobody is going to come here. It was dead, you know, it was dead. This place was black and white. But I can tell you one thing, now people are dying to come.”

What Mr Zaki had underestimated was the attraction of the empty parking lot.

Karak is always ordered from the vehicle and sipped while cruising around the town or parked at a beach.

A bigger parking lot is the equivalent to more tables at a restaurant. This is why karak places on the beautifully landscaped Al Qawasim Corniche remain less popular. Only one or two vehicles can be served at once and nobody wants to drink their karak inside a building.

So a parking lot and underdeveloped spaces become an important part in business success.

That, and Mr Al Ali makes excellent tea. Mr Al Ali started the business with his partner Abdul Hameed Mohammad. Both are karak mad and took a year sampling different karaks in the Gulf.

“There’s too many shops here that are doing the karak,” says Mr Al Ali, 23, a graduate of the RAK Men’s college. “They don’t know what is the karak, they don’t know what is the taste. My mother is Indian and I’m crazy with the Indian food and also I’m crazy with the Indian karak.”

Mr Al Ali spent two months in Kerala (“because it’s the mother of tea") and Hyderabad (“so many masters of tea there") before he created an amalgamation of what he identifies as three distinct karak varieties, Emirati, India and Gulf. The secret is a slow brew, fresh milk and powdered saffron. He believes in low prices. How can a chai master charge extra for saffron, he reasons, when it should be an essential ingredient?

The cafeteria has a number of teas popular in the Gulf, like hibiscus tea and Kashmiri tea, but it’s karak that sells 1,500 cups on a slow day.

Mr Ali also credits low rent and government support for his business’ success. He pays Dh27,000 for his small shop.

Infrastructure has also improved with new roads making the old Corniche better for cruising from one karak place to the next.

Once Easa opened, others followed. After the karak, came the restaurants.

Five months ago, Imran Ahmed opened the Jabal Al Jalid Cafeteria to sell the same flavoured ices and dahi puri, crispy puri bread topped in chickpeas, tamarind chutney, chili, yoghurt and coriander. He uses the same recipe his father and grandfather used for their eight-foot food cart in Mumbai.

His father left Mumbai for Ras Al Khaimah 21 years ago, following a sister who married an Emirati.

Today, street food is considered better than an office job. He has plans to open five more businesses in this district, including a biryani house. The only challenge is the hours, says Mr Ahmed. In the old town, midnight is far busier than midday.

“Business in India, you go to the street at 10am and come back at 5pm,” says Mr Ahmed, who is 30. “In Ras Al Khaimah, there is no time.”

Shahnawaz Shaikh, 31, runs Molten Tac, a takeaway restaurant that serves tacos and molten cake. But demand for karak was so high that the business owner opened a karak shop next door three months ago. “So many people were asking,” says Mr Shaikh.

His brother works at a new takeaway burger restaurant on the Old Corniche and they have plans to open another shop “with sushi and everything”.

Entrepreneurship runs in his family. His aunt opened a beauty parlour in Digdagga decades ago and multiple generations of his family have travelled back and forth between India and the UAE for trade and family.

Both Mr Ahmed and Mr Shaikh have first cousins with Emirati citizenship.

This neighbourhood of Ras Al Khaimah, from which the emirate takes its name, has always been a place that's attracted traders and families from different backgrounds, known for its Iranian market and the Sheikh Mohammed bin Salem Al Qasimi mosque where sheikhs and labourers still pray side by side. The men who lived here were polyglot traders who sailed the Indian Ocean until the 1950s.

These retired mariners continued to come when the trade slowed, driving in from distant neighbourhoods to play cards and drink tea. Now, they are in good company.

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Saturday Levante v Getafe (5pm), Sevilla v Real Madrid (7.15pm), Atletico Madrid v Real Valladolid (9.30pm), Cadiz v Barcelona (midnight)

Sunday Granada v Huesca (5pm), Osasuna v Real Betis (7.15pm), Villarreal v Elche (9.30pm), Alaves v Real Sociedad (midnight)

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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.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

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.

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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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EMERGENCY PHONE NUMBERS

Estijaba – 8001717 –  number to call to request coronavirus testing

Ministry of Health and Prevention – 80011111

Dubai Health Authority – 800342 – The number to book a free video or voice consultation with a doctor or connect to a local health centre

Emirates airline – 600555555

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Knowledge and Human Development Authority – 8005432 ext. 4 for Covid-19 queries

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