PUBLISHER: The Insight Partners | PRODUCT CODE: 1871403
PUBLISHER: The Insight Partners | PRODUCT CODE: 1871403
The ice cream market in the Middle East and Africa is projected to grow significantly, reaching approximately USD 7,276.35 million by 2031, up from USD 5,102.59 million in 2023, with a compound annual growth rate (CAGR) of 4.5% during this period.
Executive Summary and Market Analysis
Consumer trends are shifting towards healthier and premium ice cream options, driven by the hot climate prevalent in many Middle Eastern and African nations, which encourages year-round ice cream consumption. The market is thriving due to the introduction of innovative flavors that help prevent market saturation with traditional offerings. Health-conscious consumers are increasingly catered to with options such as low-fat, low-calorie, sugar-free, and organic ice creams. For example, Brooklyn Creamery has launched a low-calorie chocolate stick range in UAE supermarkets, following the success of its tub products.
The rising temperatures in the region, exacerbated by industrial growth, further stimulate ice cream demand. Additionally, advancements in e-commerce, supply chain management, and a diverse range of flavors contribute to the market's expansion.
Market Segmentation Analysis
The Middle East and Africa ice cream market can be segmented by flavor, category, form, and distribution channel:
Market Outlook
The ice cream market has seen a surge in demand across various demographics, appealing to children, adults, and seniors alike. This broad appeal allows producers to target a wide audience, enhancing market growth. Ice cream is often associated with positive experiences and celebrations, fostering a strong emotional connection that encourages lifelong consumer loyalty.
The market is also witnessing a rise in product launches within the frozen dairy segment, prompting key players to expand their production capabilities. For instance, Pure Ice Cream is investing AED 80 million to build a state-of-the-art facility in Dubai Industrial City, which will significantly increase its production capacity by 300% by 2026. This expansion aligns with Dubai's economic initiatives aimed at boosting local manufacturing.
Moreover, mergers and acquisitions are prevalent in the industry, as seen with Dislog's acquisition of Venezia Ice & Bakery in Morocco, which enhances its footprint in the food sector. The demand for diverse flavors is driving innovation, with companies actively launching new products to meet consumer preferences.
Country Insights
The market is segmented by country, including Saudi Arabia, the UAE, South Africa, and the Rest of the Middle East and Africa, with the latter holding the largest market share in 2023. Countries like Iran, Bahrain, Qatar, Turkey, Israel, and Zambia are contributing to market growth in this region. The increasing demand for premium products and antioxidant ingredients is expected to further boost the market, alongside ongoing investments in research and development to create innovative flavors.
Company Profiles
Key players in the ice cream market include Blue Bell Creameries, Unilever Plc, Nestle SA, General Mills Inc, Mars Inc, Wells Enterprises Inc, Turkey Hill Dairy, Dairy Farmers of America, Morinaga Milk Industry Co Ltd, Kwality Foods, LLC, Baskin-Robbins, Cold Stone Creamery, and others. These companies are employing various strategies, including expansion, product innovation, and mergers and acquisitions, to enhance their market presence and offer innovative products to consumers.