Middle East and Africa Indoor LED Lighting Market Size

Middle East and Africa Indoor LED Lighting Market Analysis

The Middle East and Africa Indoor LED Lighting Market size is estimated at 2.13 billion USD in 2024, and is expected to reach 2.66 billion USD by 2030, growing at a CAGR of 3.79% during the forecast period (2024-2030).

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2.13 Billion

Market Size in 2024 (USD)

2.66 Billion

Market Size in 2030 (USD)

3.05 %

CAGR (2017-2023)

3.79 %

CAGR (2024-2030)

Largest Segment by Indoor Lighting

38.13 %

value share, Industrial and Warehouse, 2023

The region is striving towards a healthy industrial, manufacturing, and logistics sector from dependence on oil and gas exports to a more diversified economy.

Largest Segment by Commercial

31.03 %

value share, Retail, 2023

The MEA e-commerce market was valued at around USD 37 billion in 2022 due to the increased use of digital channels. This further increased the sales of retail products in the region.

Fastest-growing Segment by Indoor Lighting

7.59 %

Projected CAGR, Agricultural Lighting, 2024-2030

Agriculture contributes 13% of the GDP in the Middle East. Given the climate and increasing population, greenhouse and vertical farming is on the rise.

Fastest-growing Segment by Commercial

4.25 %

Projected CAGR, Retail, 2024-2030

In Kenya, the number of stores increased by 54% over the last five years, with over 2,000 shopping centers in South Africa, implying significant sales of retail products in the region.

Leading Market Player

10.79 %

market share, Signify (Philips), 2022

Signify has primarily focused on further developing highly efficient lighting systems with the help of technological advancements. These solutions improve the company's footprint and increase global significance.

Increasing development in the industrial sector and residential sector drives market growth

Middle East and Africa Indoor LED Lighting Industry Segmentation

Agricultural Lighting, Commercial, Industrial and Warehouse, Residential are covered as segments by Indoor Lighting.

• In terms of value share, in 2023, the industrial and warehouse segment accounted for the majority of the share, followed by commercial and residential. The Middle East economy relies heavily on purpose-built processing, production, and logistics facilities. In addition, the local market is becoming a magnet for foreign industrial and manufacturing companies due to strong demand for consumer goods and tax incentives. Healthy industrial, manufacturing, and logistics industries are critical for the future of the region's economy as it continues to transition from dependence on oil and gas exports to a more diversified economy.
• In terms of volume share, in 2023, the residential segment accounted for the majority of the share, followed by commercial and industrial and warehouse. Governments across Africa have stepped up efforts to boost manufacturing and industrialization to spur economic growth after the pandemic. This intensified competition for foreign investment, introducing new industrial policies and the subsequent expansion of Special Economic Zones (SEZs) across the continent.
• The Middle East real estate market was expected to remain strong in 2023 due to high oil prices and economic growth. The total value of real estate projects currently planned or under construction is estimated at USD 1.36 trillion. Saudi Arabia accounts for 64.5% of the total, or about USD 877 billion, followed by the United Arab Emirates, with 21.6% or USD 293 billion. Similarly, the Ugandan government has stepped up its efforts to promote industrialization by announcing plans to expand the Kampala Industrial and Business Park (KIBP) by 4 million square meters. The above instances are expected to create more demand for indoor LEDs in the coming years.