The UAE enjoys a modern, diverse and growing retail food sector. The emergence of hypermarkets in recent years has led to a number of new players in the large store market. An estimated 90 percent of food is imported and prices are relatively high given transportation costs and exchange rate fluctuations. Consequently, consumers are price sensitive and often reluctant to pay higher prices for foods that might be perceived as luxury items. Nevertheless, there are few retailers of organic and gourmet products. After several years of rapid growth, retail food sales slowed during the early part of 2009 as global economic conditions worsened, but many retailers report that sales have begun to rebound. In the absence of official data, major retailers estimate the annual value of the U.A.E. retail market at $5 billion and the expected annual growth in retail sales at 10-15 percent.