UAE Dairy Products Market Size Booming to Surpass USD 5.3 Billion by 2031

Published | 22 October 2025

UAE Dairy Products Market is flourishing primarily due to a rising demand for dairy-based proteins driven by growing health awareness, government support, rapid urbanization, and cold chain expansion.

BlueWeave Consulting, a leading strategic consulting and market research firm, in its recent study, estimated UAE Dairy Products Market size by value at USD 3.88 billion in 2024. During the forecast period between 2025 and 2031, BlueWeave expects UAE Dairy Products Market size to expand at a steady CAGR of 4.66%, reaching a value of USD 5.34 billion by 2031. The growth of UAE Dairy Products Market is propelled by rising health awareness, increasing disposable incomes, and strong reliance on milk-based nutrition. The government’s supportive initiatives through UAE Vision 2031 aim to enhance local production, promote modernization, and encourage organic farming. Urbanization and changing dietary habits boost demand for value-added products, such as yogurt, cheese, and probiotic drinks. Expansion of cold chain logistics and e-commerce platforms improves accessibility and freshness. Adoption of technological advancements in dairy farming and processing increases productivity and quality.

Opportunity – Rising Demand for Value-added Dairy Products

The UAE Dairy Products Market is witnessing a robust shift toward value-added dairy products, such as cheese, yogurt, flavored milk, and probiotic drinks. This surge is fueled by changing consumer lifestyles, rising health awareness, and demand for convenience and premium nutrition. Urbanization and increasing disposable incomes support the growth of artisanal and fortified dairy offerings. Organized retail and e-commerce platforms enhance accessibility, while innovations in packaging and processing improve shelf life and quality. As traditional milk consumption plateaus, value-added segments offer higher margins and growth potential, making them a strategic focus for both cooperatives and private dairy enterprises. The spurring demand for value-added dairy products is expected to boost the growth of UAE Dairy Products Market in the coming years.

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Curd Segment Dominates UAE Dairy Products Market ​

The curd segment holds the largest market share of UAE Dairy Products Market. The daily consumption of curd across households and its digestive benefits make it a staple in UAE diets. Curd holds the major market share of segmental revenue, supported by affordability, minimal processing, and widespread rural production. Unlike yogurt and lassi, curd is consumed in both savory and sweet forms, enhancing its versatility. Its dominance is further reinforced by traditional culinary practices and rising health awareness, positioning curd as the most preferred fermented dairy product across urban and rural UAE.

Impact of Escalating Geopolitical Tensions on UAE Dairy Products Market

Escalating geopolitical tensions, particularly in the Middle East region, pose challenges to UAE Dairy Products Market. Rising freight costs, disrupted export routes, and tariff uncertainties threaten market access and profitability. Concerns over subsidized imports could impact domestic pricing and farmer incomes. However, UAE Dairy Products Market remains resilient, focusing on domestic modernization and value-added innovations. Strategic partnerships and government support help mitigate risks, while long-term peace and stability remain crucial for uninterrupted growth and global competitiveness.

Competitive Landscape

UAE Dairy Products Market is highly fragmented, with numerous players serving the market. Major companies dominating the market are Agthia Group, Almarai, Al Ain Farms, Arla Foods, Danone, Emirates Rawabi, FrieslandCampina, Marmum Dairy Farm, and Nestle. The key marketing strategies adopted by the players are facility expansion, product diversification, alliances, collaborations, partnerships, and acquisitions to expand their customer reach and gain a competitive edge over their competitors in UAE Dairy Products Market.

Don’t miss the business opportunity in UAE Dairy Products Market. Consult our analysts to gain crucial insights and facilitate your business growth.

The report's in-depth analysis provides information about growth potential, upcoming trends, and UAE Dairy Products Market statistics. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends in UAE Dairy Products Market, along with industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyses the growth drivers, challenges, and competitive dynamics of the market.

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