Market Trends of UAE Dairy Industry
This section covers the major market trends shaping the UAE Dairy Market according to our research experts:
Health-conscious Consumers Boosting the Demand for Functional Dairy
Consumers across the United Arab Emirates are becoming health-conscious and more aware of healthy and organic products, including functional dairy products. Consumers are rapidly shifting to such products due to their high nutritional value. These products contain high-protein content, probiotics, vitamins (vitamin D and B12), and minerals (like potassium, iodine, and calcium).
It is a key factor that has led to the increased adoption of functional dairy products among consumers, thus stimulating the UAE dairy products demand and market growth. The demand for functional dairy increased during the COVID-19 pandemic, encouraging several companies to launch new product offerings to expand their consumer base. For instance, Al Rawabi Dairy Company launched two new functional products during COVID-19, Protein Plus Milk and Immuno Boost, with zinc, vitamins, and probiotics to strengthen immunity. Thus, the launch of innovative product offerings in functional dairy is likely to support the overall dairy market in the United Arab Emirates.
Rising Consumption of Milk Fueling the Dairy Market's Growth
Consumers in the United Arab Emirates spend a major portion of their income on milk as they consider it a pro-health beverage. The country's per capita milk consumption is rising due to an increasing population. Further, the rising demand for nutrient-rich diets, including fermented and camel milk, is also rising in the country, supporting the overall market growth.
In addition, changing consumer tastes and preferences fuel the country's demand for milk. For instance, there is a high preference for traditional home cooking. Thus, plain white milk is widely used for direct consumption or cooking. Most Arabian dishes require milk for preparation, boosting the market's growth. Consumers are demanding products with greater shelf-life. Hence, the trend of sustainable and long-life packaging is rising, which is boosting the growth of the milk market in the country.
