Saudi Arabia Organic Dairy Market

Introduction of the Saudi Arabia Organic Dairy Market Report

Organic dairy products include a wide range of dairy items such as milk, yogurt, cheese, butter, cream, and other products. Organic milk consists of various milk products from livestock raised as per the organic farming methods. Organic dairy cows are fed organic feed and have strict guidelines pertaining to outdoor grazing access. This type of product offers numerous nutritional benefits, have high nutritional content, and provides omega-3 fatty acids and other diseases fighting antioxidants.

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Market Dynamic

Key Drivers and Emerging Trends

Saudi Arabia organic dairy market is projected to witness an upsurge in demand over the next six years (2020-2027). The increasing awareness regarding the various health benefits offered by organic dairy products is one of the major drivers that is responsible for the growth of the market in the coming years. Additionally, the high per capita income, followed by the increasing health-consciousness among individuals and the growing interest of women in milk consumption are certain other factors that are indirectly surging the growth of the market over the coming years. Over the past few years, the consumption of dairy products has significantly changed from traditional milk products to organic milk products such as cheese, processed yogurt, low-calorie butter, and other products. The rapid socio-economic changes due to the fast-rising economy, growing disposable income, increasing urbanization, and the constant expansion of modern food retail and fast food outlets have increased the consumption of organic food products.

The increasing women involvement in employment has raised the number of women working outside their homes, which in turn, is driving the demand for organic milk and milk products. Furthermore, the emergence of COVID-19 has encouraged consumers to opt for organic dairy products rather than consuming traditional dairy products. The constant technological advancements in producing innovative products with low fat and low sodium and sugar level are opening new doors for market growth.

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Product Type – Segment Analysis

Based on the Product Type, the fluid milk segment is predicted to dominate the Saudi Arabia organic dairy market during the forecast period. The increase in the demand for organic products, particularly in Saudi Arabia, due to the goring interest in stocking organic products, is one of the major factors that is contributing to the growth of the segment in the market over the coming years. Moreover, the introduction of numerous types of organic dairy products is further attracting a new customer base into the market. For example, in 2018, Arla Foods, the largest producer of organic dairy products, launched its first branded organic milk in Saudi Arabia. Through this product expansion, the company aimed to make organic dairy products a mainstream choice for Saudi consumers.

Packaging Type – Segment Analysis

On the basis of the packaging type, the tetra-packs segment is anticipated to dominate the market during the forecast period. This is attributed to the growing awareness related to the numerous benefits of tetra packs among consumers. The tetra pack cartoon comes in a 6-layer packaging, which helps in retaining the nutritional value of the product. Moreover, the ability of tetra packs to get easily recycled is further encouraging the consumers to opt for this type of packaging in dairy products.

Distribution Channel – Segment Analysis

On the basis of distribution channel, the supermarkets & hypermarkets segment is expected to grow at a higher CAGR during the forecast period. This is mainly due to the wide availability of more shelf-space and the large variety of products to choose from. Furthermore, the versatility and longer shelf-life of processed dairy products is further encouraging the consumers towards the market.

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Key Developments:

• • In 2018, Arla Foods Amba, the world’s largest producer of organic dairy products, launched its first branded organic milk in Saudi Arabia. Through this expansion, the company aims to capture the changing demand of people in the country and making organic as a mainstream choice for all.

Segments covered in the Report:

The Saudi Arabia Organic Dairy market has been segmented on the basis of Product Type, Distribution Channel and Packaging Type. Based on Product Type, the market is segmented into Fluid Milk, Yogurt, Cheese, Butter, Cream and Others. Based on Distribution Channel, the market is segmented into Hypermarkets & Supermarkets, Online, Convenience stores, Specialty Stores and Others. Based on Packaging Type, the market is segmented into Pouches, Tetra-packs, Bottles, Cans and Others. 

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Key questions answered in this research report:

• • At what pace is Saudi Arabia Organic Dairy market growing? What will be the growth trend in the future?
  • What are the key drivers and restraints in Saudi Arabia Organic Dairy market? What will be the impact of drivers and restraints in the future?
  • Which Product type generated maximum revenues in 2019 and identify the most promising Product type during the forecast period?
  • What are the various Distribution Channels of Saudi Arabia Organic Dairy market and how they are poised to grow?
  • What companies are the major participants in this market and their business strategies, how does the competitive landscape look like?

Report Coverage	Details
Market Base Year	2019
Market Forecast Period	2020-2027
Market Revenues Currency	USD Million
Base Year & Forecast Units	Revenues (USD Million)
Market Segment	By Product Type, By Distribution Channel and By Packaging Type
Regional Coverage	Saudi Arabia
Companies Profiled	Profiles of Top 10 Major Companies Operating in “Saudi Arabia Organic Dairy Market”
25% Free Customization Available	We will customize this report up to 25% as a free customization to address our client’s specific requirements

Market Segmentation

Saudi Arabia Organic Dairy Market by Product Type

• • Fluid Milk
  • Yogurt
  • Cheese
  • Butter
  • Cream
  • Others

Saudi Arabia Organic Dairy Market by Packaging Type

• • Pouches
  • Tetra-packs
  • Bottles
  • Cans
  • Others

Saudi Arabia Organic Dairy Market by Distribution Channel

• • Supermarkets & Hypermarkets
  • Convenience stores
  • Online
  • Speciality stores
  • Others