The Middle East & African flavored milk market is expected to register a CAGR of 6.5% during the forecast period (2020-2025).
- The flavored milk market in the region is driven by growing health concerns and the changing consumer preferences toward new flavors. Dairy drinks are considered ideal for adding value in terms of nutrition as they naturally contain high calcium content.
- With the growing preferences toward a vegan diet, plant-based milk is also gaining popularity in the region. Furthermore, companies are observed to be launching flavored milk varieties with enhanced functional properties.
- Moreover, they are offering low-sugar and fat-free varieties of flavored milk products in order to tap into the increased diabetic and health-conscious population.
Key Market Trends
Growing Demand for Fortified Food and Beverages in the Region
Fortified/Functional (FF) foods and beverages have seen a growth in the retail sales benefiting from increasing interest from consumers in the United Arab Emirates who are eager to improve the healthiness of the foods and beverages that they consume. They are also benefiting from new product developments by companies looking to differentiate their products in the high-value segment. These types of products are gaining popularity in the United Arab Emirates (UAE) as consumers with busy lifestyles try to adopt healthier eating habits by focussing on nutrients rather than on decreasing calorie intake. Functional dairy is the most significant category within functional packaged food, attracting mainly high-income consumers who are willing to spend more on a healthier diet.
Saudi Arabia Holds A Prominent Share
The Saudi Arabia Dairy division has been quickly growing because of government backing of dairy processors and significant statistics and financial changes. Natural milk turned out to be increasingly well known in Saudi Arabia, predominantly impacted by younger ages who will win the global spotlight on a more beneficial way of life. Flavored milk has also seen growth in the region. Consumers in Saudi Arabia are consuming flavored milk due to their high nutritional value (high vitamin, protein, and electrolyte content) and less sugar content. The most popular flavors under the flavored milk category in Saudi Arabia are banana, chocolate, and strawberry. These flavors are popular among the younger generation and manufacturers are launching specific flavored milk marketed toward children.
The Middle East & African flavored milk market is fragmented with the presence of international and regional players. Due to the dynamic nature of the market, it is highly competitive and fragmented. Companies also compete in terms of new variants of flavors and attractive packaging. There is ample scope for regional players to gain competitive advantage, provided that they bring in substantial innovations in ingredients and packaging.
Reasons to Purchase this report:
- The market estimate (ME) sheet in Excel format
- 3 months of analyst support