Kuwait Dairy Products Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 1.06 Billion |
| Market Size (2029) | USD 1.42 Billion |
| CAGR (2024 - 2029) | 5.91 % |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Kuwait Dairy Products Market Analysis
The Kuwait Dairy Products Market size is estimated at USD 1.06 billion in 2024, and is expected to reach USD 1.42 billion by 2029, growing at a CAGR of 5.91% during the forecast period (2024-2029).
There is a rising demand for dairy products within Kuwait, driven by population growth and changing dietary habits that favor dairy consumption. Further, the adoption of advanced farming and production technologies has improved efficiency and output in the dairy industry nationwide.
Moreover, the Kuwaiti government plays a key role in regulating the supply of quality dairy products nationwide. It regulates the dairy industry and requires it to adhere to international and GCC health and hygiene standards. In 2023, Kuwait's government allocated 3.6% of its total subsidy bill to milk and baby food subsidies. The Kuwaiti government regulates the dairy industry and requires strict adherence to international standards and health and hygiene regulations. Kuwait is home to a leading dairy product company that produces a wide range of core dairy products for local and global markets. In addition, in 2023, a staggering 26,708 vehicles were recalled due to manufacturing defects. February saw the highest number of recalls at 6,599, closely followed by July with 5,489 and January with 5,257. In 2023, a total of 1,926 new licenses were issued for special nature companies. These companies are exempt from the requirements of the executive regulations of the Commercial Shops Licensing Law, allowing their owners to operate them without the need for workers or commercial space. The highest number of licenses was issued in October of that year, totaling 839, followed by 608 in November and 479 in December.
Kuwait Dairy Products Market Trends
Escalating Demand for Fermented Dairy Products Driving Market Growth
The relatively lavish lifestyle and poor eating habits of Kuwaitis are costing a fortune to consumers in terms of numerous health issues, with obesity and diabetes being the major threats to the population. Nonetheless, the Global Burden of Disease Study claims Kuwait to be the fourth most obese country worldwide. In line with these health concerns, consumers are developing a sense of healthy living. This leads them to progressively opt for food with functional attributes, including functional dairy products, such as probiotic yogurt and sour milk. For instance, in September 2023, SIG and AnaBio Technologies launched the first long-life probiotic yogurt in aseptic packaging. This collaboration combined AnaBio's microencapsulation technology with SIG's aseptic filling technology to create shelf-stable probiotic beverages in carton packs and spouted pouches. The new packaging allows for prolonged storage without refrigeration, which could prove a breakthrough for probiotic beverages and aseptic packaging.
In addition, the affluent population, with its growing disposable income, is willing to invest in premium, health-oriented food options. The influence of Western dietary trends, combined with the local government's initiatives to promote healthy eating, further fuel this demand. Consequently, this trend presents significant opportunities for dairy producers to expand their market presence and introduce fermented dairy products.
Online Retailing Industry Considered to be the Fastest-growing Retailing Segment
Online retailers often use promotional strategies for dairy brands that involve extensive use of targeted online advertising, discounts, and flash sales. Targeted online advertising helps identify and reach specific consumer segments. These retailers also captivate the consumer focus by offering them huge discounts and flash sales, creating a sense of urgency and attracting price-conscious consumers, driving immediate sales and increasing overall website traffic. These promotional tactics boost short-term revenue and enhance brand visibility and customer engagement in the dairy market.
In Kuwait, online retail platforms allow dairy products to reach a broader audience, including consumers in remote or underserved areas where physical stores may not be available. This expanded reach helps increase overall sales and market penetration for dairy products. In addition, online shopping offers unparalleled convenience, allowing consumers to purchase dairy products from the comfort of their homes. Such ease of access encourages more frequent purchases, supporting market growth. These retailers also showcase a variety of dairy products, including niche and specialty items that may not be available in local stores.
Kuwait Dairy Products Industry Overview
The Kuwaiti dairy products market is relatively consolidated, with key players holding most of the market share. Thus, it will be complicated for new entrants to compete with established players in terms of offerings. The market is competitive, with the presence of leading dairy companies in Kuwait and GCC that offer their products across the country. Likewise, players have been aggressively focused on their investments to appeal to a particular group of customers and maintain a dominant position within these groups. A few leading companies in the Kuwaiti dairy products market are Kuwait Dairy Co., Kuwait United Dairy Company, Al Safat Fresh Dairy Co., and Almarai Company.
Kuwait Dairy Products Market Leaders
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Kuwait United Dairy Company
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The Almarai Company
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Al Safat Fresh Dairy Co.
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Kuwait Danish Dairy Company
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Kuwait Dairy Co.
*Disclaimer: Major Players sorted in no particular order
Kuwait Dairy Products Market News
- May 2024: The Kuwaiti Dairy Company (KDCOW) announced that it was expanding its production capacity to 550 tons per day in 2024. As of 2023, the company was producing 350 tons of dairy products per day across 22,000 sq. m of production lines. KDCOW is increasing its production capacity to help address the country's dairy product shortage. The company has a research team that works in internationally accredited laboratories to ensure that its products meet global health standards.
- May 2021: Baladna announced the expansion of its business to 11 additional countries.
- July 2019: Kraft Heinz Company announced an agreement with Arla Foods, wherein Arla Foods attained the license in Kuwait to use the Kraft brand in the Middle East on the cheese portfolio acquired by Arla from Mondelēz International Inc.
Kuwait Dairy Products Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
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4.1 Market Drivers
- 4.1.1 Growing Demand for Healthy Beverages
- 4.1.2 Increasing Popularity of Dairy Confections
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4.2 Market Restraints
- 4.2.1 Rising Cost of Feeds Significantly Impacting the Dairy Business in Kuwait
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4.3 Industry Attractiveness - Porter's Five Forces Analysis
- 4.3.1 Bargaining Power of Suppliers
- 4.3.2 Bargaining Power of Buyers
- 4.3.3 Threat of New Entrants
- 4.3.4 Threat of Substitutes
- 4.3.5 Degree of Competition
5. MARKET SEGMENTATION
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5.1 By Product Type
- 5.1.1 Milk
- 5.1.2 Cheese
- 5.1.3 Fermented Dairy Products
- 5.1.4 Dairy Spreads
- 5.1.5 Other Product Types
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5.2 By Distribution Channel
- 5.2.1 Supermarket/Hypermarket
- 5.2.2 Convenience Stores
- 5.2.3 Online Retail Stores
- 5.2.4 Other Distribution Channels
6. COMPETITIVE LANDSCAPE
- 6.1 Most Adopted Strategies
- 6.2 Market Share Analysis
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6.3 Company Profiles
- 6.3.1 Kuwait Dairy Co.
- 6.3.2 Kuwait United Dairy Company
- 6.3.3 Al Safat Fresh Dairy Co.
- 6.3.4 Almarai Company
- 6.3.5 Kuwait Danish Dairy
- 6.3.6 KuwaitAgro Co.
- 6.3.7 Al-Othman Group Holding Co. (NADA Dairy)
- 6.3.8 SADAFCO
- 6.3.9 Al Faisaliah Group
- 6.3.10 Balade Farms LLC
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablityKuwait Dairy Products Industry Segmentation
A dairy product is defined as milk and any foods made from milk, including butter, cheese, ice cream, yogurt, and condensed and dried milk. The scope of the Kuwaiti dairy products market includes segmentation based on product type. It is segmented by milk, cheese, fermented dairy products (laban and yogurt), dairy spreads, and other dairy products. By distribution channel, the market is segmented into supermarkets/hypermarkets, convenience stores, online retail stores, and other distribution channels. For each segment, the market sizing and forecasting have been done in value terms (USD).
| By Product Type | Milk |
| Cheese | |
| Fermented Dairy Products | |
| Dairy Spreads | |
| Other Product Types | |
| By Distribution Channel | Supermarket/Hypermarket |
| Convenience Stores | |
| Online Retail Stores | |
| Other Distribution Channels |
Kuwait Dairy Products Market Research FAQs
How big is the Kuwait Dairy Products Market?
The Kuwait Dairy Products Market size is expected to reach USD 1.06 billion in 2024 and grow at a CAGR of 5.91% to reach USD 1.42 billion by 2029.
What is the current Kuwait Dairy Products Market size?
In 2024, the Kuwait Dairy Products Market size is expected to reach USD 1.06 billion.
Who are the key players in Kuwait Dairy Products Market?
Kuwait United Dairy Company, The Almarai Company, Al Safat Fresh Dairy Co., Kuwait Danish Dairy Company and Kuwait Dairy Co. are the major companies operating in the Kuwait Dairy Products Market.
What years does this Kuwait Dairy Products Market cover, and what was the market size in 2023?
In 2023, the Kuwait Dairy Products Market size was estimated at USD 1.00 billion. The report covers the Kuwait Dairy Products Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Kuwait Dairy Products Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Kuwait Dairy Products Industry Report
The Kuwait Dairy Products Market Report provides a comprehensive industry analysis, segmented on the basis of product type and distribution channel. The report includes valuable industry information and offers insights into the market forecast and market outlook. It highlights the market growth and market value of various dairy products such as milk, cheese, fermented dairy products, dairy spreads, and other dairy products.
The report covers the distribution channels, including supermarket/hypermarket, convenience stores, online retail stores, and other distribution channels, providing a detailed market overview. The industry research delves into the market segmentation, offering a clear picture of the market trends and market leaders in the Kuwait dairy products market.
The market report includes a market review and market predictions, providing a thorough understanding of the market dynamics. The report pdf is available for download, offering a sample of this industry analysis. The industry outlook and industry statistics are meticulously detailed, providing a robust foundation for understanding the market size and market data.
The report also discusses the market forecast outlook and industry trends, offering insights into the industry's future. The industry reports and industry sales data are crucial for identifying the market growth rate and understanding the market segmentation. The report example provides a snapshot of the comprehensive analysis covered in the report.
In summary, this market report offers an in-depth analysis of the Kuwait dairy products market, including market data, market value, and market segmentation. The industry research and industry information provided in the report are essential for understanding the market trends and industry outlook. The report pdf is a valuable resource for anyone looking to gain insights into the Kuwait dairy products market.
