Amna Puri-Mirza
Research Expert covering the Middle East
Snacks and confectionery market in UAE- statistics & facts
Driven by evolving consumer preferences, increasing health consciousness, and strategic positioning in the global food industry, the snacks and confectionery market in the United Arab Emirates (UAE) is set to experience steady growth. As a regional powerhouse the UAE market contributes to shaping the Gulf Cooperation Council (GCC) snacks sector outlook. Characterized by a young population, high disposable incomes, and a large expat population, the demand for value-added snacks and confectionery items in the region has witnessed a spike over the years, pushed by increasingly busy lifestyles. The estimated compound annual growth rate of retail sales value of snacks in the GCC region was 4.7 percent between 2020 and 2024.
Factors shaping the UAE snacks and confectionery market
Several factors contribute to the growth of the UAE’s snacks and confectionery market. Dubai is widely considered as a hub for diverse cultural festivals and events that include the sharing of snacks as part of hospitality and feature-related vendors. The influx of millions of tourists annually and expansions in airport facilities, have increased the demand for on-the-go snacks such as packaged nuts, chips, and chocolates. Moreover, the increase in health awareness among consumers has made them more selective when it comes to nutrition labels on the snacks they are purchasing and consuming. Around half of consumers in a survey in the UAE reported that they were willing to pay extra for healthy products. The surge in e-commerce penetration in the UAE has also contributed to the snacks market growth. Food and beverages accounted for more than 40 percent of online purchases in the country. This has not only eased snack manufacturers and retailers’ access but has also facilitated bulk purchases through offers, subscriptions, and buy now, pay later options.Market outlook
The UAE market still has room for continued growth, driven by factors including tourism, ever-evolving healthy food trends, and increasing e-commerce penetration. However, rising input costs remain a challenge. The market's future looks promising with continued innovation, diversification of product offerings, and strategic responses to market challenges and evolving consumer preferences. The average revenue per capita in the snacks and confectionery segment was forecast to continuously increase between 2024 and 2029 by around 22 percent. (1438032)
