Saudi Arabia Dairy Products Market Competition Forecast & Opportunities, 2028

Saudi Arabia dairy products market is anticipated to grow at an impressive CAGR during the forecast period

The Saudi Arabia dairy products market is anticipated to grow at an impressive CAGR during the forecast period. The market is expanding owing to the flourishing dairy industry and increasing consumption of milk and dairy products. Moreover considering that, dairy products account for a large portion of the Saudi Arabian diet, the Saudi Dairy Products Market will be dominated over the medium-term by significant consumption of milk and milk products. The country places a high value on dairy products to satisfy its dietary needs, which propel the dairy industry. Further, rising awareness towards the benefits of milk and related products and the growing trend of fitness is anticipated to drive the market growth during the forecast period in Saudi Arabia.

Dairy is a place where milk is kept and butter, cheese, yogurt, and other milk-related products are made. Saudi Arabia's dairy products market is witnessing a rise in demand for value-added dairy products such as ghee, butter, cheese, ice cream, probiotic drinks, and others.

According to Food and Agriculture Organization data 2021, Saudi Arabia's milk and milk product statistics of production are 2.675 million tonnes. The import of milk and milk product was 2.681 million tonnes and export were 1.429 million tonnes. Most of the dairy companies in Saudi Arabia have raised the prices of their products. Sales of organic, lactose-free, and non-dairy milk options have increased by around 31% in Saudi Arabia recently due to the high demand for such options which will also expand the dairy products market in Saudi Arabia during the forecast year.

Demand for Dairy Products Has Increased

Dairy products is a significant component of the Saudi diet. The market for dairy products in Saudi Arabia is dominated by the high consumption of milk and milk products. The country places a high value on dairy products to satisfy its dietary needs, which drives the dairy industry in Saudi Arabia. Additionally, the production of several Saudi Arabian dishes requires for milk and cheese, which is further driving the demand of dairy products from household segments. Additionally, Saudi Arabia is one of the world's largest importers of dairy products, importing significant quantities of cheese and other dairy products. The market is being driven by product innovations related to cheese, as the major market players by frequently introducing new and competitive goods that promote market growth by boosting the utilization of dairy products for various purposes. Thus, the above-mentioned factors are driving the dairy products in Saudi Arabia during the forecast period.

Rising Demand of Bakery Products Drives Market Growth

Dairy-derived flavors are becoming more popular as a result of their greater usage in baked products like cookies and cakes. Also, the rising interest of consumers towards baking in Saudi Arabia has caused the demand for dairy products like milk, butter, and cream to increase. Additionally, as a quick and practical source of nutrition, energy, and protein, the demand for unique on-the-go dairy products is continually rising in the country. Most bakery products require dairy products such as milk, butter, yogurt, and others which come from dairy. Therefore, with the rising demand of bakery the Saudi Arabia Dairy Products Market is growing.

Consumer Preference for Natural Ingredients Setting New Standards for Flavors Derived from Dairy

Due to growing health consciousness, consumers demand more products created exclusively from natural components. The market for natural flavors produced from dairy is being driven by consumers' changing purchasing patterns, which have encouraged manufacturers to utilize more natural components in their products. Since, consumers still place a higher value on taste than nutrition, the manufacturers of functional milk products have observed this trend, and sales of flavors made from dairy products are on the rise. In the upcoming years, it is anticipated that the market for dairy-derived flavors would grow due to the increasing demand for natural ingredients which will also increase the demand of dairy products in Saudi Arabia.

Market Segmentation

Saudi Arabia's dairy products market is segmented into type and Sales Channels. Based on product type, the market is segmented into drinking milk, butter, cheese, yogurt and others. Based on Sales Channel, the market is segmented into supermarkets/hypermarkets, convenience stores, Baqala, online, and others. The market also studies regional segment which includes western, northern & central, eastern, and southern.

Market Players

Almarai Company, Saudia Dairy and Foodstuff Company (SADAFCO), National Agriculture Development Company (NADEC), Mondelēz Arabia for Trading LLC, Al Muhaidib Group (Nestle), Al Faisaliah Group, Al Othman Agriculture Production and Processing Company (NADA), Danya Foods Ltd, Al Safi Danone Ltd, and Pinar Dairy Food Co, etc. are the major market players in Saudi Arabia Dairy Products market.

Report Scope

In this report, Saudi Arabia Dairy Products market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

Saudi Arabia Dairy Products Market, by Type:

• Drinking Milk
• Butter
• Cheese
• Yogurt
• Others

Saudi Arabia Dairy Products Market, by Sales Channel:

• Supermarkets/Hypermarkets
• Convenience Stores
• Baqala
• Online
• Others

Saudi Arabia Dairy Products Market, by Region:

• Western
• Northern & Central
• Eastern
• Southern

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in Saudi Arabia Dairy Products market.

Available Customizations

The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

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