Market Size of UAE Dairy Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 2.43 Billion |
| Market Size (2029) | USD 3.10 Billion |
| CAGR (2024 - 2029) | 4.95 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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UAE Dairy Market Analysis
The UAE Dairy Market size is estimated at USD 2.43 billion in 2024, and is expected to reach USD 3.10 billion by 2029, growing at a CAGR of 4.95% during the forecast period (2024-2029).
Consumers in the United Arab Emirates are focusing on dairy products that offer additional dietary or nutritional benefits due to the changing consumption patterns. Health-conscious consumers are also exploring healthy milk alternatives. The introduction of new product lines, such as flavored yogurt and milk, is supporting the boom in the UAE dairy market.
The dairy sector, being one of the significant revenue-generating food sectors in the United Arab Emirates, needs to develop and introduce better products. The government is also focusing on developing production capacities to reduce its import dependency. The COVID-19 pandemic led to more awareness regarding healthy eating and drinking habits, thus surging the demand for healthy dairy products in the United Arab Emirates and supporting the growth of the dairy market.
UAE Dairy Industry Segmentation
Dairy products or milk products are produced from or contain the milk of cattle, water buffaloes, goats, sheep, and camels, among other mammals.
The UAE dairy market is segmented by product type and distribution channel. By product type, the market is segmented into milk, cheese, butter, dairy desserts, yogurt, and other product types. By distribution channel, the market is segmented into supermarkets/hypermarkets, convenience/grocery stores, online retail stores, and other distribution channels. For each segment, the market sizing and forecast have been done in value terms (USD million).
| By Product Type | |
| Milk | |
| Cheese | |
| Butter | |
| Dairy Desserts | |
| Yogurt | |
| Other Product Types |
| By Distribution Channel | |
| Supermarkets/Hypermarkets | |
| Convenience/Grocery Stores | |
| Online Retail Stores | |
| Other Distribution Channels |
UAE Dairy Market Size Summary
The dairy industry in the United Arab Emirates is experiencing significant growth, driven by evolving consumer preferences and increased health consciousness. As consumers in the UAE become more aware of the nutritional benefits of dairy products, there is a notable shift towards functional and organic dairy options. This trend is supported by the introduction of innovative products such as flavored yogurts and milk, which cater to the demand for enhanced dietary benefits. The market is also witnessing a rise in the consumption of nutrient-rich diets, including fermented and camel milk, further propelling market expansion. The COVID-19 pandemic has accelerated this trend, as consumers seek products that support immunity and overall health, prompting companies to expand their product offerings with functional dairy items.
The UAE dairy market is characterized by its competitive landscape, with numerous local, regional, and international players vying for market share. Companies like Al Rawabi Dairy Company, Almarai Company, and Fonterra Brands LLC are actively engaging in product innovations and strategic partnerships to enhance their market presence. The government's focus on increasing production capacities aims to reduce import dependency and support local industry growth. Additionally, changing consumer tastes, such as the preference for traditional home cooking and sustainable packaging solutions, are influencing market dynamics. The launch of new products, such as Al Rawabi's A2 milk and Emirates Food Industries' Hayatna brand, underscores the industry's commitment to meeting consumer demands and adhering to high industry standards.
UAE Dairy Market Size - Table of Contents
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1. MARKET DYNAMICS
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1.1 Market Drivers
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1.2 Market Restraints
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1.3 Industry Attractiveness - Porter's Five Forces Analysis
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1.3.1 Bargaining Power of Buyers/Consumers
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1.3.2 Bargaining Power of Suppliers
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1.3.3 Threat of New Entrants
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1.3.4 Threat of Substitute Products
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1.3.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 By Product Type
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2.1.1 Milk
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2.1.2 Cheese
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2.1.3 Butter
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2.1.4 Dairy Desserts
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2.1.5 Yogurt
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2.1.6 Other Product Types
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2.2 By Distribution Channel
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2.2.1 Supermarkets/Hypermarkets
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2.2.2 Convenience/Grocery Stores
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2.2.3 Online Retail Stores
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2.2.4 Other Distribution Channels
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UAE Dairy Market Size FAQs
How big is the UAE Dairy Market?
The UAE Dairy Market size is expected to reach USD 2.43 billion in 2024 and grow at a CAGR of 4.95% to reach USD 3.10 billion by 2029.
What is the current UAE Dairy Market size?
In 2024, the UAE Dairy Market size is expected to reach USD 2.43 billion.
