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2025-07-01T10:52:36.000000Z
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UAE Dairy Market Size Overview
Market Size in 2024: USD 4.8 Billion
Market Size in 2033: USD 7.0 Billion
Market Growth Rate 2025-2033: 4.30%
According to IMARC Group's latest research publication, "UAE Dairy Market Size, Share, Trends and Forecast by Product Type, and Region, 2025-2033", the UAE dairy market size was valued at USD 4.8 billion in 2024. Looking forward, IMARC Group estimates the market to reach USD 7.0 billion by 2033, exhibiting a CAGR of 4.30% from 2025-2033.
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Growth Factors in the UAE Dairy Market Size
The increasing awareness of health and nutrition among UAE consumers is a significant driver of the dairy market's growth. People are prioritizing nutrient-rich diets, with dairy products like milk, yogurt, and cheese valued for their protein, calcium, and vitamin content. For example, the UAE Ministry of Health and Prevention has highlighted calcium deficiency as a concern, particularly among women and children, prompting a surge in demand for fortified dairy products. Brands like Al Ain Farms have responded by offering vitamin-enriched milk, catering to health-conscious consumers seeking to address dietary deficiencies and promote overall wellness, thus boosting market expansion.
The UAE’s rapidly growing population, coupled with increasing urbanization, fuels demand for dairy products. With a diverse population, including a large expatriate community, urban centers like Dubai and Abu Dhabi see high consumption of dairy due to busy lifestyles and reliance on convenient, nutrient-packed foods. For instance, the rise in urban households has increased the popularity of ready-to-consume dairy items like drinkable yogurt and pre-packaged cheese. This demographic shift encourages companies to expand their product lines and distribution networks, ensuring dairy remains a staple in urban diets, driving consistent market growth.
Government initiatives, such as the UAE Food Security Strategy, launched in 2020, play a pivotal role in supporting the dairy industry. These policies aim to enhance local production and reduce reliance on imports by investing in dairy farms and processing facilities. For example, the Meliha Dairy Factory in Sharjah, backed by the government, integrates sustainable practices to boost organic dairy production. Such efforts not only strengthen domestic supply chains but also build consumer trust in locally produced goods, encouraging higher consumption and supporting market growth through increased availability and quality assurance.
Key Trends in the UAE Dairy Market
Consumers in the UAE are increasingly seeking functional dairy products, such as probiotic yogurts and high-protein milk, to support health goals like improved digestion and fitness. Additionally, plant-based dairy alternatives, like oat and almond milk, are gaining traction among lactose-intolerant and vegan consumers. For instance, SADAFCO’s launch of Saudia Oat Milk, the first locally produced oat milk in the GCC, reflects this shift toward plant-based options. This trend highlights a growing preference for products that cater to specific dietary needs, pushing companies to innovate and diversify their offerings to capture a broader market.
The rise of e-commerce and online grocery platforms has transformed dairy product distribution in the UAE. Retailers like Carrefour and Lulu Hypermarket have expanded their online offerings, making dairy products more accessible to consumers. This trend caters to the UAE’s tech-savvy population and busy urban lifestyles, with convenient delivery options driving sales of products like single-serve yogurt and milk. For example, Almarai’s partnership with e-commerce platforms has enhanced its market reach, allowing consumers to purchase dairy products effortlessly, reflecting a shift toward digital convenience that continues to shape the industry.
Sustainability is a growing priority in the UAE dairy market, with companies adopting eco-friendly packaging to meet consumer and regulatory demands. The Meliha Dairy Factory’s adoption of sustainable packaging in 2024 exemplifies this trend, aligning with the UAE’s environmental goals. Consumers are increasingly favoring brands that prioritize recyclable or biodegradable materials, such as Al Ain Farms’ eco-conscious milk cartons. This shift not only addresses environmental concerns but also enhances brand loyalty among environmentally aware consumers, encouraging dairy companies to invest in sustainable practices to remain competitive in a rapidly evolving market.
We explore the factors propelling the UAE dairy market growth, including technological advancements, consumer behaviors, and regulatory changes.
UAE Dairy Industry Segmentation:
The report has segmented the market into the following categories:
Analysis by Product Type:
Regional Analysis:
Competitive Landscape:
The competitive landscape of the industry has also been examined, along with the profiles of the key players.
Future Outlook
The UAE dairy market is poised for robust growth, driven by evolving consumer preferences, technological advancements, and strategic government support. As health consciousness continues to rise, demand for functional, organic, and plant-based dairy products is expected to surge, with companies likely to innovate further in fortified and specialty offerings. The expansion of e-commerce and modern retail channels will enhance accessibility, catering to the UAE’s growing urban population. Additionally, investments in local production, such as those by Almarai and Al Ain Farms, will reduce import dependency, strengthening supply chains. By embracing sustainability and digitalization, the industry is well-positioned to meet future demands and maintain its upward trajectory.
Research Methodology:
The report employs a comprehensive research methodology, combining primary and secondary data sources to validate findings. It includes market assessments, surveys, expert opinions, and data triangulation techniques to ensure accuracy and reliability.
Note: If you require specific details, data, or insights that are not currently included in the scope of this report, we are happy to accommodate your request. As part of our customization service, we will gather and provide the additional information you need, tailored to your specific requirements. Please let us know your exact needs, and we will ensure the report is updated accordingly to meet your expectations.
About Us:
IMARC Group is a global management consulting firm that helps the world’s most ambitious changemakers to create a lasting impact. The company provide a comprehensive suite of market entry and expansion services. IMARC offerings include thorough market assessment, feasibility studies, company incorporation assistance, factory setup support, regulatory approvals and licensing navigation, branding, marketing and sales strategies, competitive landscape and benchmarking analyses, pricing and cost research, and procurement research.
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