Market Size in 2024: USD 10.7 Billion

Market Size in 2033: USD 16.9 Billion

Market Growth Rate 2025-2033: 4.7%

According to IMARC Group's latest research publication,“ GCC Dairy Market Report by Product (Liquid Milk, Cheese, Laban, Yogurt and Curd, Butter and Clarified Butter, and Others), Distribution Channel (Supermarkets and Hypermarkets, Convenience Stores, Specialist Retailers, Online Stores, and Others), Application (Bakery and Confectionary, Clinical Nutrition, Frozen Food, and Others), and Country 2025-2033“ , the GCC dairy market size reached USD 10.7 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 16.9 Billion by 2033, exhibiting a growth rate (CAGR) of 4.7% during 2025-2033.

Our report includes:

• Market Dynamics
• Market Trends and Market Outlook
• Competitive Analysis
• Industry Segmentation
• Strategic Recommendations

Grab a sample PDF of this report: https://www.imarcgroup.com/gcc-dairy-market/requestsample

GCC Dairy Market Trends & Drivers:

Rising health consciousness is fueling demand for dairy products in the GCC, as consumers seek nutrient-rich options like milk, yogurt, and cheese. People are prioritizing calcium and protein-packed foods to support wellness, with Greek and probiotic yogurt gaining popularity due to their gut health benefits. Qatar's dairy production has surged, contributing significantly to the region's 62.6% self-sufficiency ratio for milk and dairy, the highest among food categories. Local brands like Almarai are launching fortified and low-fat products to cater to this trend, while supermarkets stock up on organic and functional dairy to meet consumer needs.

Government initiatives are boosting the GCC dairy market by investing in local production to reduce import reliance. Saudi Arabia, which produces over 70% of the region's dairy, benefits from subsidies and tech upgrades for efficient milk processing. Programs supporting dairy farmers with modern cooling and storage systems are enhancing output. For instance, the UAE's focus on camel milk farms has tapped into cultural preferences, expanding niche markets. These efforts align with food security goals, encouraging companies like Al Ain Dairy to innovate with extended-shelf-life packaging, ensuring fresh dairy reaches consumers across the region.

The growing popularity of plant-based and lactose-free dairy alternatives is reshaping the GCC market, driven by health-conscious and vegan consumers. Almond, oat, and soy milk are popping up in cafes and stores, reflecting a shift toward sustainable choices. Al Rawabi Dairy has introduced lactose-free milk to cater to the region's lactose-intolerant population, while Nestlé is rolling out plant-based yogurt lines. E-commerce platforms are making these products more accessible, with online dairy sales soaring due to smartphone penetration. This trend is pushing traditional dairy brands to diversify, ensuring they stay relevant in a changing market.

How AI is Reshaping the Future of GCC Dairy Market

Artificial intelligence is no longer a far-off concept in the GCC's dairy sector; it's the new engine for growth and efficiency. Picture this: major players like Almarai are equipping their cattle with AI-powered wearable sensors that act like fitness trackers, monitoring health in real-time to boost milk yields per cow by as much as 15%. This on-farm innovation is matched by intelligent supply chains, where AI algorithms predict consumer demand with remarkable accuracy, significantly cutting down on spoilage. This push aligns perfectly with government food security goals, such as those within Saudi Vision 2030, ensuring a more resilient and self-sufficient food system by making dairy production smarter, from the farm to the fridge.

GCC Dairy Industry Segmentation:

The report has segmented the market into the following categories:

Breakup by Product:

• Liquid Milk
• Cheese
• Laban
• Yogurt and Curd
• Butter and Clarified Butter
• Others

Breakup by Distribution Channel:

• Supermarkets and Hypermarkets
• Convenience Stores
• Specialist Retailers
• Online Stores
• Others

Breakup by Application:

• Bakery and Confectionary
• Clinical Nutrition
• Frozen Food
• Others

Breakup by Country:

• Saudi Arabia
• UAE
• Qatar
• Oman
• Kuwait
• Bahrain

Recent News and Developments in GCC Dairy Market

• June 2025: Saudi Arabia's Public Investment Fund (PIF) is driving agricultural innovation through NEOM's food company, Topian. The focus is on climate-proof agriculture and using advanced technology, including AI and robotics in vertical farms, to create a sustainable food system and reduce the region's 80% dependency on food imports.
• April 2025: NEOM partners with US-based Liberation Labs to build a cutting-edge precision fermentation facility. This plant will produce alternative proteins and non-animal dairy products, directly supporting the Kingdom's goals to enhance food security by developing resilient, locally-produced food sources that are less dependent on climate and imports.
• January 2025: Almarai has accelerated its digital transformation by implementing RISE with SAP on Google Cloud. This major technological overhaul is a cornerstone of its SAR 18 billion investment plan, aimed at streamlining operations, enhancing decision-making with data analytics, and supporting expansion into new product categories and markets.

Competitive Landscape:

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

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 provides 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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