Press Release

Growing Nutritional Demand to Strengthen the UAE Baby Food Market

The gradual growth of women's participation in workforce along with the increasing lactation problem is anticipated to strongly contribute to the growth of UAE baby food market. Moreover, the growing popularity of new baby food products such as camel milk based formula and halal baby goods is expected to boost the demand for baby foods. The innovations by leading players such as Abbott, Danone, Hero group pertaining to packaging and quality further enhance the baby food market in UAE.

According to MarkNtel Advisors’ research report “UAE Baby Food Market Analysis, 2020”, the baby food market is projected to grow at a CAGR of less than 5% during 2020-25. The demand for new baby food products such as camel milk-based formula, teething biscuits, etc. have been increasing in the UAE. Camel milk is rich in calcium as well as contain vitamin B1, vitamin B2 and vitamin C, which protects from congenital malformation that negatively affects the children growth. B1 content is high in camel milk than sheep, goat or cow milk. Therefore, demand for camel based formula is expected to boost in the years to come.

Baby food consists of nutrition, which makes baby food costlier. Hence, the demand for online shopping of baby food is surging in the country on account of purchasing baby food in reasonable rate. The e-commerce companies of UAE such as Noon, Pricena provides discounts or coupons on Baby food. For instance, Pricena provides 10% off coupon from milk formula products from Sprii. Noon provides 10% coupon off from on Cereals and on Farley Rusks Orange.

As per MarkNtel Advisors’ study, the organic baby food captured a significant market share in the UAE baby food market in 2019. The organic baby food demand is increasing on account of customer preference towards natural and minimally-processed foods. Moreover, feeding babies with natural foods limit their exposure to pesticides and synthetic fertilizers. The increasing health concerns among new parents coupled with rising income levels has gradually proliferated the demand for organic baby food in the country.

The key players who has grabbed a considerable market share in the UAE baby food market include Nestle, Danone, Abbott, Hero Group, Hipp, Kraft Heinz, etc.

"UAE Baby Food Market Analysis, 2020” provides comprehensive qualitative and quantitative insights on the market potential, regional opportunities, key factors impacting sales and purchase decision, hotspots and opportunities available for baby food firms across the country. Moreover, the report also encompasses the key strategic imperatives for success for competitors along with strategic factorial indexing measuring competitor's capabilities on 16 parameters. This will help companies in the competition assessment, formulation of Go to Market Strategies and identifying the blue ocean for their offerings.  
 
Industry Segmentation:
1.    By Type (Milk Formula, Baby Cereals, Baby Snacks and Beverages)
2.    By Age (0-6 Months, 6-12 Months, 12-24 Months)
3.    By Nature of Food (Inorganic, Organic)
4.    By Sales Channel (Hypermarket/Supermarket, Independent Grocers, Pharmacies, Online)
5.    By Geographic Region (Abu Dhabi & Al Ain, Dubai, Sharjah & Northern Emirates)
6.    By Competitors (Nestle, Danone, Abbott, Hero Group, Hipp, Kraft Heinz, Others)  

Key questions answered in the study:
1.    What are the current and future trends of the UAE baby food market? 
2.    How the industry has been evolving in terms of end-user demand and application areas?
3.    What are the future plans and customer expectations of end-users across the country? 
4.    How the competition has been shaping across the countries followed by their comparative factorial indexing?
5.    What are the key growth drivers and challenges for the UAE baby food market?
6.    What are the customer orientation, purchase behavior, and expectations from the baby food companies across various regions?