UAE Organic Food Market By Product Type (Organic Fruits and Vegetables ,Organic Tea and Coffee, Organic Cereal & Pulses, Organic Dairy Products, Organic Meat and Poultry & Seafood, and Others ), By Distribution Channel (Supermarkets/Hypermarkets, Grocery Stores, Online, Convenience Stores and Others), By Region, Competition, Forecast & Opportunities, 2019-2029F

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Summary

Report Description

Forecast Period

2025-2029

Market Size (2023)

USD 42.57 Million

CAGR (2024-2029)

4.56%

Fastest Growing Segment

Online

Largest Market

Dubai

Market Size (2029)

USD 55.63 Million

Market Overview

UAE organic food market was valued at USD 42.57 million in 2023 and is anticipated to grow USD 55.63 million by 2029 with a CAGR of 4.56% during forecast period. Owing to increasing number of standard local organic food farms in the country. The rising health consciousness, especially among younger population and increasing prevalence of various lifestyle related ailments such as cardiovascular diseases, obesity and diabetes are acting as key growth drivers for UAE organic food market. Moreover, the government is taking initiatives to lower obesity rate of the country, which is supporting the demand for organic food products. Consumers are also paying more attention to their diet and trying to include healthier options such as organic fruits and vegetables, which are free from chemical fertilizers and pesticides. The UAE government is implementing regulations on organic farming and is coming up with certification process to ensure that the locally grown organic fruits and vegetables meet the international organic farming standards. The establishment of organic farming department and Organic Farming Association in UAE is further acting as a major growth factor for organic food market in the country. However, the market is also witnessing some challenges. The climatic conditions and limited water resources in UAE is making farming activities difficult and hence, the country is primarily dependent on organic food import. Also, high cost of organic food and lack of knowledge about their health benefits is expected to hamper the market growth during the forecast period. Despite the positive growth trajectory, the market faces challenges such as high prices of organic products, limited domestic production, and reliance on imports. However, the increasing penetration of modern retail formats and e-commerce platforms is expected to drive further growth. The market is also witnessing a shift towards organic packaged foods and beverages, indicating a broader acceptance of organic products among consumers. As consumer preferences continue to evolve and awareness about the benefits of organic food grows, the UAE organic food market is poised for robust growth, making it an attractive segment for local and international players.

 Key Market Drivers

Health and Wellness Awareness

The rising awareness about health and wellness among UAE consumers is a significant driver of the organic food market. With increasing concerns about lifestyle diseases such as obesity, diabetes, and heart conditions, there is a growing preference for healthier food options. Organic foods, free from synthetic pesticides, fertilizers, and genetically modified organisms (GMOs), are perceived as safer and more nutritious. According to the World Population Review, the UAE has the fifth-highest rate of obesity in the world, with more than 30% of the population being obese.The UAE government has implemented various health promotion initiatives, including campaigns to encourage healthy eating habits, physical activity, and smoking cessation. The initiatives aim to prevent chronic diseases and improve overall health and wellbeing. This health consciousness is particularly pronounced among the affluent and educated segments of the population, who are willing to pay a premium for organic products. The government's initiatives to promote healthy living, such as the UAE Vision 2021, which aims to reduce the prevalence of non-communicable diseases, further bolster this trend. Educational campaigns, public health initiatives, and collaborations with health organizations are raising awareness about the benefits of organic food. The rise of fitness and wellness trends, including gym memberships, yoga, and holistic health practices, also contributes to the growing demand for organic food. Organic food is increasingly being incorporated into the daily diets of health-conscious consumers. This includes fresh organic fruits and vegetables, organic dairy products, and even organic meat and poultry. The availability of organic food in mainstream supermarkets and hypermarkets makes it more accessible, while the growth of online grocery shopping provides additional convenience.

Environmental Sustainability

Environmental concerns play a crucial role in driving the demand for organic food in the UAE. Organic farming practices are perceived as more sustainable and environmentally friendly compared to conventional farming. They emphasize soil health, biodiversity, and the reduction of chemical inputs, which align with the global and local initiatives to combat climate change and promote sustainability. The UAE government's commitment to sustainability is evident in its various environmental policies and initiatives, such as the UAE Green Agenda 2015-2030 and the National Climate Change Plan of the UAE 2017-2050. These initiatives aim to promote sustainable agricultural practices and reduce the carbon footprint of food production. Consumers are increasingly aware of the environmental impact of their food choices and are opting for organic products as a way to support sustainable farming practices. Retailers and food brands are also responding to this trend by highlighting the environmental benefits of their organic products. Marketing campaigns often emphasize the reduced use of pesticides and fertilizers, conservation of water, and promotion of biodiversity associated with organic farming. This resonates with eco-conscious consumers who are willing to support brands that align with their values.

Government Initiatives and Support

The UAE government plays a pivotal role in promoting the organic food market through various initiatives and regulatory support. The introduction of the UAE Organic Certification Scheme and the National Organic Production Standards has provided a framework for the production, labeling, and marketing of organic products. This regulatory support ensures the credibility and authenticity of organic products, boosting consumer confidence. Government support extends to the agricultural sector, where initiatives are aimed at increasing the domestic production of organic food. The establishment of organic farms, provision of subsidies, and technical support to farmers encourage the adoption of organic farming practices. These efforts are part of the broader strategy to enhance food security and reduce dependency on imports. The government's focus on sustainability and health is reflected in its policies and public awareness campaigns. Collaborations with international organizations and participation in global organic movements further strengthen the UAE's position in the organic food market. The government's role in fostering a supportive environment for organic food production and consumption is a critical driver of market growth.

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Key Market Challenges

High Prices of Organic Products

One of the significant challenges in the UAE organic food market is the high price of organic products compared to conventional ones. Organic farming practices, which avoid synthetic chemicals and emphasize sustainability, often result in higher production costs. These costs are passed on to consumers, making organic products more expensive. This price premium can be a barrier for many consumers, especially in a market where price sensitivity is a critical factor. The high cost of organic food is also attributed to the limited scale of organic farming in the UAE. Most organic products are imported, leading to additional costs related to transportation, import duties, and logistics. While there is a growing domestic production of organic food, it is still insufficient to meet the rising demand, resulting in continued reliance on imports. To address this challenge, stakeholders in the organic food market are exploring ways to reduce costs and make organic products more affordable. This includes investing in local organic farming, improving supply chain efficiencies, and offering promotions and discounts. However, balancing cost reduction with maintaining the quality and integrity of organic products remains a complex issue.

Limited Consumer Awareness and Misconceptions

Despite the growing awareness about organic food, there is still a significant portion of the population that is either unaware or has misconceptions about organic products. Some consumers are skeptical about the benefits of organic food, questioning whether it is genuinely healthier or more environmentally friendly. Others may not understand the certification processes and may doubt the authenticity of organic labels. Misconceptions about organic food can also stem from a lack of education about organic farming practices and the long-term benefits of consuming organic products. This lack of awareness can hinder the growth of the organic food market, as consumers may not see the value in paying a premium for organic products. Efforts to educate consumers about the benefits of organic food and the standards that ensure its authenticity are crucial to overcoming this challenge. Public awareness campaigns, educational programs in schools, and transparent labeling practices can help build consumer trust and drive demand for organic products. Retailers and brands also play a role in educating consumers through in-store promotions, informational content, and customer engagement initiatives.

Key Market Trends

 Growth of E-commerce and Online Grocery Shopping 

The rise of e-commerce and online grocery shopping is a significant trend in the UAE organic food market. The value of the UAE e-commerce market is expected to reach USD 9.2 billion in 2026, with the increasing penetration of the internet and the convenience of online shopping, more consumers are opting to purchase their groceries, including organic products, online. This trend has been further accelerated by the COVID-19 pandemic, which has shifted consumer behavior towards digital platforms. Online grocery platforms offer a wide range of organic products, often with detailed information about their sourcing, certification, and benefits. This transparency helps build consumer confidence in organic products. The convenience of home delivery, subscription services, and the ability to compare prices and read reviews also contribute to the popularity of online shopping for organic food. Retailers are capitalizing on this trend by enhancing their online presence, offering exclusive online promotions, and partnering with delivery services to ensure timely and efficient delivery. The growth of e-commerce is expected to continue driving the demand for organic food, making it more accessible to a broader audience.

Expansion of Organic Product Range

The UAE organic food market is witnessing an expansion in the range of organic products available to consumers. Initially, the market was dominated by fresh produce such as fruits and vegetables. However, there is now a broader array of organic products, including dairy, meat, poultry, packaged foods, beverages, and snacks. This diversification is driven by consumer demand for convenience and variety. Organic packaged foods, such as snacks, ready-to-eat meals, and beverages, cater to busy lifestyles while providing the perceived health benefits of organic ingredients. The availability of organic dairy and meat products also appeals to consumers looking for high-quality, sustainable protein sources. Manufacturers and retailers are continuously innovating to introduce new organic products and flavors, meeting the evolving preferences of consumers. This trend not only increases the market size but also enhances consumer loyalty by providing more choices and catering to different dietary needs and preferences.

Increasing Influence of Expatriate Population

The expatriate population in the UAE significantly influences the organic food market. With a diverse population comprising individuals from various countries, there is a wide range of dietary preferences and cultural influences. Expatriates, particularly from Western countries, often have a higher awareness and preference for organic food due to the established organic markets in their home countries. This demographic trend contributes to the demand for organic food, as expatriates seek familiar and healthy food options. Retailers cater to this demand by offering a variety of organic products that align with different culinary traditions and dietary requirements. The influence of the expatriate population also drives the introduction of international organic brands into the UAE market, further expanding the range of available products. The growing expatriate community, coupled with their higher purchasing power and preference for quality food, is expected to continue driving the demand for organic food in the UAE. This trend highlights the importance of catering to diverse consumer preferences and maintaining a wide and varied organic product portfolio.

Segmental Insights

Product Type Insights

Organic fruits and vegetables represent the leading segment in the UAE organic food market. This dominance is attributed to several key factors. Firstly, consumer awareness and demand for fresh produce free from synthetic pesticides and fertilizers are significantly high. Health-conscious consumers prioritize the nutritional benefits and safety of organic fruits and vegetables, perceiving them as superior to conventional options. Another driver is the UAE's focus on sustainability and food security. The government has initiated various programs to promote organic farming, including subsidies and technical support for organic farmers. These efforts aim to increase local production of organic fruits and vegetables, reducing reliance on imports and ensuring a steady supply of fresh, organic produce. Additionally, the UAE Organic Certification Scheme enhances consumer trust by ensuring the authenticity of organic products. Retailers play a crucial role in this segment's leadership. Supermarkets, hypermarkets, and specialty stores prominently feature organic fruits and vegetables, often dedicating specific sections to these products. This visibility, coupled with marketing campaigns emphasizing health and environmental benefits, attracts a broad customer base.



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Regional Insights

Dubai has emerged as a central hub in the UAE's organic food market, reflecting a growing trend towards health-conscious consumption patterns among its residents. The city's strategic location and robust infrastructure have facilitated the establishment of numerous organic food outlets, ranging from supermarkets to specialized farmers' markets. Establishments like Let's Organic Market and Greenheart Organic Farms are indicative of the region's commitment to providing a wide variety of organic produce, catering to the demand for fresh, pesticide-free fruits and vegetables. Moreover, the presence of the Emirates Bio Farm, the largest private organic farm in the UAE, underscores the scale of organic farming in the region. The farm not only supplies a vast array of organic produce but also emphasizes environmentally friendly practices by using natural fertilizers. The Ripe Market, another significant player, has become a consumer favorite for farm-fresh organic produce and international organic product ranges. With its focus on sustainability and health, Dubai's organic food market is not just a commercial enterprise but also a reflection of the city's evolving lifestyle preferences and its commitment to environmental stewardship. The market's growth is supported by the consumers' increasing awareness and willingness to invest in quality food options that promote well-being and sustainability.

Recent Developments

  • In 2024, Tetra Pak has partnered with the Government of Sharjah's Department of Agriculture and Livestock (DAL) to deploy sustainable packaging solutions at the Meliha Dairy Factory, which is the first-of-its-kind organic dairy farm in the United Arab Emirates. The agreement also includes the installation of the Tetra Top Filling Line, which will enable the factory to use Tetra Top packaging, a sustainable and recyclable solution. Additionally, Tetra Pak will provide utilities such as steam, air, chilled and processed water required for the processing and filling operations.
  • In 2023, Abu Dhabi has witnessed the launch of locally produced plant-based meat alternatives, including kebabs, koftas, soujouks, minced meat, and burger patties, from the company Switch Foods. This launch aligns with the UAE's Year of Sustainability and the country's hosting of the UN Climate Summit COP28, where predominantly plant-based food will be served. The new locally-made vegan products are available across major retailers and online platforms in Abu Dhabi, providing an affordable and accessible option for consumers compared to imported plant-based meat alternatives.

Key Market Players

  • LuLu Group International
  • Union Coop
  • Abu Dhabi Cooperative Society
  • Emirates Coop
  • Park N Shop LLC 
  • Nesto Group
  • Greenheart Organic Farms Trading LLC
  • Ripe Fresh Trading LLC
  • NRTC Trading Company
  • Organic Foods and Café

By Product Type

By Distribution Channel

By Region
  • Organic Fruits and Vegetables
  • Organic Tea and Coffee
  • Organic Cereal & Pulses
  • Organic Dairy Products
  • Organic Meat and Poultry & Seafood
  • Others
  • Supermarkets/Hypermarkets
  • Grocery Stores
  • Online
  • Convenience Stores
  • Others
  • Dubai
  • Abu Dhabi
  • Sharjah
  • Rest of UAE

Report Scope:

In this report, UAE organic food market has been segmented into following categories, in addition to the industry trends which have also been detailed below:

  • UAE Organic Food Market, By Product Type:
    • Organic Fruits and Vegetables
    • Organic Tea and Coffee
    • Organic Cereal & Pulses
    • Organic Dairy Products
    • Organic Meat and Poultry & Seafood
    • Others
  • UAE Organic Food Market, By Distribution Channel:
    • Supermarkets/Hypermarkets
    • Grocery Stores
    • Online
    • Convenience Stores
    • Others
  • UAE Organic Food Market, By Region:
    • Dubai
    • Abu Dhabi
    • Sharjah
    • Rest of UAE

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in UAE organic food market.

Available Customizations:

With the given market data, TechSci Research offers customizations according to a company’s specific needs. The following customization options are available for the report:

Company Information

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

Profit Margin Analysis

  • Profit margin analysis in case of direct and indirect sales channel.

It is an upcoming report to be released soon. If you wish an early delivery of this report or want to confirm the date of release, please contact us at [email protected]  

Table of content

1.    Introduction

1.1.  Product Overview

1.2.  Key Highlights of the Report

1.3.  Market Coverage

1.4.  Market Segments Covered

1.5.  Research Tenure Considered

2.    Research Methodology

2.1.  Objective of the Study

2.2.  Baseline Methodology

2.3.  Key Industry Partners

2.4.  Major Association and Secondary Sources

2.5.  Forecasting Methodology

2.6.  Data Triangulation & Validation

2.7.  Assumptions and Limitations

3.    Executive Summary      

3.1.  Market Overview

3.2.  Market Forecast

3.3.  Key Regions

3.4.  Key Segments

4.    Voice of Customer

4.1.  Factors Affecting Purchase Decision

4.2.  Source of Information

4.3.  Brand Recall & Awareness

4.4.  Customer Spending Pattern

4.5.  Factors Influencing Brand Switching

5.    UAE Organic Food Market Outlook

5.1.  Market Size & Forecast

5.1.1.    By Value

5.2.  Market Share & Forecast

5.2.1.    By Product Type Market Share Analysis (Organic Fruits and Vegetables, Organic Tea and Coffee, Organic Cereal & Pulses, Organic Dairy Products, Organic Meat and Poultry & Seafood, and Others)

5.2.2.    By Distribution Channel Market Share Analysis (Supermarkets/Hypermarkets, Grocery Stores, Online, Convenience Stores and Others)

5.2.3.    By Regional Market Share Analysis

5.2.3.1.        Dubai Market Share Analysis

5.2.3.2.        Abu Dhabi Market Share Analysis

5.2.3.3.        Sharjah Market Share Analysis

5.2.4.4.        Rest of UAE Market Share Analysis

5.2.4.    By Top 5 Companies Market Share Analysis, Others (2023)

5.3.  UAE Organic Food Market Mapping & Opportunity Assessment

5.3.1.    By Product Type Market Mapping & Opportunity Assessment

5.3.2.    By Distribution Channel Market Mapping & Opportunity Assessment

5.3.3.    By Regional Market Mapping & Opportunity Assessment

6.    UAE Organic Fruits and Vegetables Market Outlook

6.1.  Market Size & Forecast

6.1.1.    By Value

6.2.  Market Share & Forecast

6.2.1.    By Distribution Channel Market Share Analysis

6.2.2.    By Regional Market Share Analysis

7.    UAE Organic Tea and Coffee Market Outlook

7.1.  Market Size & Forecast

7.1.1.    By Value

7.2.  Market Share & Forecast

7.2.1.    By Distribution Channel Market Share Analysis

           7.2.2.    By Regional Market Share Analysis

8.    UAE Organic Cereal & Pulses Market Outlook

8.1.  Market Size & Forecast

8.1.1.    By Value

8.2.  Market Share & Forecast

8.2.1.    By Distribution Channel Market Share Analysis

8.2.2.    By Regional Market Share Analysis

9.    UAE Organic Dairy Products Market Outlook

9.1.  Market Size & Forecast

9.1.1.    By Value

9.2.  Market Share & Forecast

9.2.1.    By Distribution Channel Market Share Analysis

9.2.2.    By Regional Market Share Analysis

10.    UAE Organic Meat and Poultry & Seafood Market Outlook

10.1.  Market Size & Forecast

10.1.1.    By Value

10.2.  Market Share & Forecast

10.2.1.    By Distribution Channel Market Share Analysis

10.2.2.    By Regional Market Share Analysis

11. Market Dynamics

11.1.             Drivers

11.2.             Challenges

12. Import Export Analysis

13. Impact of COVID-19 on UAE Organic Food Market

13.1.             Impact Assessment Model   

13.1.1. Key Segments Impacted

13.1.2. Key Regions Impacted

14. Market Trends & Developments

15. Porter’s Five Forces Model

15.1.             Competitive Rivalry

15.2.             Bargaining Power of Buyers

15.3.             Bargaining Power of Suppliers

15.4.             Threat of New Entrants

15.5.             Threat of Substitutes

16. SWOT Analysis

16.1.             Strengths

16.2.             Weaknesses

16.3.             Opportunities

16.4.             Threats

17. Policy and Regulatory Landscape

18. UAE Economic Profile

19. Competitive Landscape

19.1.   Company Profiles

19.1.1. LuLu Group International

19.1.1.1.     Company Details

19.1.1.2.     Product & Services

19.1.1.3.     Financials (As Per Availability)

19.1.1.4.     Key market Focus & Geographical Presence

19.1.1.5.     Recent Developments

19.1.1.6.     Key Management Personnel

19.1.2. Union Coop

      19.1.2.1.     Company Details

19.1.2.2.     Product & Services

19.1.2.3.     Financials (As Per Availability)

19.1.2.4.     Key market Focus & Geographical Presence

19.1.2.5.     Recent Developments

19.1.2.6.     Key Management Personnel

19.1.3. Abu Dhabi Cooperative Society

19.1.3.1.     Company Details

19.1.3.2.     Product & Services

19.1.3.3.     Financials (As Per Availability)

19.1.3.4.     Key market Focus & Geographical Presence

19.1.3.5.     Recent Developments

19.1.3.6.     Key Management Personnel

19.1.4. Emirates Coop

19.1.4.1.     Company Details

19.1.4.2.     Product & Services

19.1.4.3.     Financials (As Per Availability)

19.1.4.4.     Key market Focus & Geographical Presence

19.1.4.5.     Recent Developments

19.1.4.6.     Key Management Personnel

19.1.5. Park N Shop LLC 

19.1.5.1.     Company Details

19.1.5.2.     Product & Services

19.1.5.3.     Financials (As Per Availability)

19.1.5.4.     Key market Focus & Geographical Presence

19.1.5.5.     Recent Developments

19.1.5.6.     Key Management Personnel

19.1.6. Nesto Group

19.1.6.1.     Company Details

19.1.6.2.     Product & Services

19.1.6.3.     Financials (As Per Availability)

19.1.6.4.     Key market Focus & Geographical Presence

19.1.6.5.     Recent Developments

19.1.6.6.     Key Management Personnel

19.1.7. Greenheart Organic Farms Trading LLC

19.1.7.1.     Company Details

19.1.7.2.     Product & Services

19.1.7.3.     Financials (As Per Availability)

19.1.7.4.     Key market Focus & Geographical Presence

19.1.7.5.     Recent Developments

19.1.7.6.     Key Management Personnel

19.1.8. Ripe Fresh Trading LLC

19.1.8.1.     Company Details

19.1.8.2.     Product & Services

19.1.8.3.     Financials (As Per Availability)

19.1.8.4.     Key market Focus & Geographical Presence

19.1.8.5.     Recent Developments

19.1.8.6.     Key Management Personnel

19.1.9. NRTC Trading Company

19.1.9.1.     Company Details

19.1.9.2.     Product & Services

19.1.9.3.     Financials (As Per Availability)

19.1.9.4.     Key market Focus & Geographical Presence

19.1.9.5.     Recent Developments

19.1.9.6.     Key Management Personnel

19.1.10. Organic Foods and Café

19.1.10.1.  Company Details

19.1.10.2.  Product & Services

19.1.10.3.  Financials (As Per Availability)

19.1.10.4.  Key market Focus & Geographical Presence

19.1.10.5.  Recent Developments

19.1.10.6.  Key Management Personnel

20. Strategic Recommendations

20.1.             Key Focus Areas

20.2.             Target Product Type

20.3.             Target Distribution Channel

21. About Us & Disclaimer

Figures and Tables

Frequently asked questions

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The market size of the UAE Organic Food market was estimated to be USD 42.57 million in 2023.

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The growth of the UAE Organic Food Market is driven by factors including the rising awareness about health and wellness, environmental sustainability, government initiatives and support

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Notable trends in the UAE organic food Market include the rise of e-commerce and online grocery shopping, expansion in the range of organic products, increasing influence of expatriate population.

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Challenges in the UAE organic food market encompass high price of organic products, and limited consumer awareness and misconceptions

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Nov, 2024

Increasing health-consciousness and prevalence of lifestyle related diseases to drive UAE organic food market.

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