Middle East Dairy Market Size, Share, Growth Potential and Forecast 2025–2033

Middle East Dairy Market Overview

Market Size in 2024 : USD 43,863 Million

Market Size in 2033: USD 62,086 Million

Market Growth Rate 2025-2033: 3.94%

According to IMARC Group's latest research publication,"Middle East Dairy Market: Industry Trends, Share, Size, Growth, Opportunity and Forecast 2025-2033", Middle East dairy market size reached USD 43,863 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 62,086 Million by 2033, exhibiting a growth rate (CAGR) of 3.94% during 2025-2033.

How AI is Reshaping the Future of Middle East Dairy Market

• Precision Farming Boost: Almarai leverages AI for real-time cow health monitoring and milk yield predictions, cutting costs with their $250 million tech spend, making dairy operations smarter and more reliable across the Middle East.
• Supply Chain Optimization: Through partnerships with SAP and Google Cloud, companies like Almarai use AI to refine inventory management and demand forecasting, reducing waste and boosting efficiency in the region's dairy networks.
• Food Security Enhancements: AI helps tackle the Middle East's over 85% food import reliance by improving local dairy production, as seen in Almarai's innovative analytics that support sustainable farming practices.
• Government Scheme Support: Saudi Vision 2030 drives AI adoption in dairy via smart agriculture initiatives, funding tech like IoT systems in Saudi Arabia and UAE to elevate self-sufficiency and industry growth.
• Automated System Innovations: Firms such as GEA and Afimilk deploy AI-powered herd management tools, enhancing productivity with RFID tracking and analytics, transforming traditional dairy farms in the Middle East into efficient hubs.

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Middle East Dairy Market Trends & Drivers:

One big driver of the Middle East dairy market is the rising demand for healthier, functional dairy products. Consumers are leaning toward fortified milk, probiotic yogurts, and lactose-free options, driven by growing health awareness. For example, Almarai, a major player, recently launched protein-enriched milk to cater to fitness-conscious buyers. Governments are also pushing this trend—Saudi Arabia’s Vision 2030 promotes healthier lifestyles, indirectly boosting demand for nutritious dairy. With diabetes and obesity concerns in the region, products with reduced sugar and added vitamins are gaining traction, making health-focused innovation a key growth area for dairy companies.

Another factor is the increasing preference for convenience, especially with busy urban lifestyles. Ready-to-drink flavored milk, single-serve yogurt packs, and on-the-go cheese snacks are seeing higher sales. Companies like Al Ain Dairy have expanded their portable product lines, responding to demand from younger consumers and working professionals. The UAE’s foodservice sector also reflects this shift—coffee chains and quick-service restaurants are using more dairy-based ingredients, from whipped cream to cheese toppings. This convenience trend is further fueled by online grocery growth, where dairy products are among the top-selling categories, making accessibility a major market driver.

Sustainability is also shaping the Middle East dairy market, with both consumers and regulators pushing for eco-friendly practices. Brands like Nadia and Saudia Dairy are adopting recyclable packaging and reducing water usage in production. The UAE’s National Food Security Strategy 2050 emphasizes sustainable agriculture, encouraging dairy farms to adopt energy-efficient technologies. Plant-based dairy alternatives, though still niche, are gaining interest, with startups like Koita expanding almond and oat milk offerings. As environmental concerns grow, dairy companies investing in green initiatives are not only meeting regulatory demands but also appealing to eco-conscious shoppers, making sustainability a key trend.

Middle East Dairy Industry Segmentation:

The report has segmented the market into the following categories:

Product Type Insights:

• Liquid Milk
• Flavored Milk
• Cream
• Butter
• Cheese
• Yoghurt
• Ice Cream
• Anhydrous Milk Fat (AMF)
• Skimmed Milk Powder (SMP)
• Whole Milk Powder (WMP)
• Whey Protein
• Lactose Powder
• Curd
• Paneer

Country Insights:

• Saudi Arabia
• Turkey
• Israel
• United Arab Emirates
• Iran
• Iraq
• Qatar
• Kuwait
• Oman
• Jordan
• Bahrain
• Others

Recent News and Developments in Middle East Dairy Market

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players.

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