UAE Agriculture Market

UAE Agriculture Market Overview:

The UAE agriculture market is projected to exhibit a growth rate (CAGR) of 4.10% during 2024-2032. The market is propelled by government investment in agriculture technology and innovation, initiatives to enhance water management and irrigation systems, growing demand for locally produced foods, expansion of greenhouse farming techniques, strategic partnerships with international agricultural firms, and implementation of advanced farming techniques and precision agriculture.

UAE Agriculture Market Trends:

Government Initiatives and Policies

Government initiatives and policies play a pivotal role in driving the UAE agriculture market. The UAE government has implemented various strategies to enhance food security and promote sustainable agricultural practices. These initiatives are part of the broader vision to reduce the reliance of the country on food imports and encourage local production. For instance, the Ministry of Climate Change and Environment of UAE, has prioritized the usage of hydroponic technology among farmers which depends on nutrient-rich water to grow plants with the use of little or no soil. The government is also promoting the use of alternative food sources and encouraging the cultivation of high-value crops that can be produced efficiently under local conditions. Additionally, the UAE is investing in agricultural research and development to improve crop varieties and enhance resilience to climate change. The government is supporting projects that explore new agricultural practices and technologies, such as drought-resistant crops.

Growing Demand for Locally-Sourced and Organic Products

The increasing consumer demand for locally-sourced and organic products is significantly influencing the UAE agriculture market. As awareness about health and sustainability issues rises, consumers are seeking fresh, organic produce that is free from synthetic pesticides and fertilizers. This shift in consumer preference is driving the expansion of local agriculture and encouraging the production of organic products. Local sourcing is particularly important in the UAE due to concerns over food security and the desire to reduce dependence on imported goods. By supporting local farms and producers, the UAE aims to enhance food security, reduce the carbon footprint associated with transportation, and ensure the availability of high-quality, fresh produce. Organic farming is gaining traction as consumers increasingly prefer products that are certified organic. This preference is supported by various government initiatives promoting organic agriculture and providing incentives for farmers to adopt organic practices. The establishment of organic certification bodies and support for organic farming education are part of the efforts to meet this growing demand.

Investment in Agricultural Infrastructure and Facilities

Investment in agricultural infrastructure and facilities is a critical factor driving the UAE agriculture market. The development of infrastructure such as greenhouses, cold storage facilities, and distribution networks is essential for supporting efficient agricultural operations and ensuring the availability of fresh produce. Greenhouses and controlled-environment farms are key to overcoming the challenges posed by the harsh climate of UAE. Investments in these facilities enable year-round production of crops, protect plants from extreme weather conditions, and optimize resource use. Additionally, advanced irrigation systems and water recycling technologies are being implemented to improve water efficiency and sustainability. Cold storage facilities are crucial for preserving the quality of perishable goods and reducing food waste. Investments in cold chain infrastructure ensure that produce remains fresh during transportation and storage, which is vital for maintaining the supply of high-quality products to consumers.

UAE Agriculture Market News:

• In December 2023, Silal Food and Technology LLC and Bayer, a global life sciences company, formed a strategic partnership aimed at enhancing agricultural practices in the UAE, focusing on sustainability and innovation in response to climate change. Bayer's will train agricultural engineers and farm managers under its BayG.A.P. program, who will then educate over 300 growers in Silal's network on essential agricultural topics such as Integrated Pest Management and irrigation techniques. The partnership will also conduct trials on a variety of vegetable seeds, including tomatoes, cucumbers, and melons, to evaluate their performance in the UAE's challenging desert conditions and improve crop endurance, quality, and shelf-life. The initiative is expected to significantly impact the agricultural landscape in the UAE and beyond, contributing to the country's National Food Security Strategy 2051 and addressing the urgent challenges posed by climate change.
• In June 2024, Sheikh Khaled bin Mohamed, the Crown Prince of Abu Dhabi, has given approval for the establishment of the AgriFood Growth and Water Abundance Cluster (Agwa), a new economic cluster aimed at promoting agricultural and food sector growth as well as ensuring water abundance in line with the UAE food security strategy 2051. It will be led by the Abu Dhabi Department of Economic Development in partnership with the Abu Dhabi Investment Office. It is anticipated that Agwa will contribute Dh90 Billion in incremental GDP to the Abu Dhabi economy, creating upwards of 60,000 jobs and attracting a projected investment of Dh128 Billion.
   

UAE Agriculture Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2024-2032. Our report has categorized the market based on type.

Type Insights:

• Food Crops/Cereals
• Fruits
• Vegetables
• Oilseeds and Pulses
   

The report has provided a detailed breakup and analysis of the market based on the type. This includes food crops/cereals, fruits, vegetables, and oilseeds and pulses.

Regional Insights: 

• Dubai
• Abu Dhabi
• Sharjah
• Others
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Dubai, Abu Dhabi, Sharjah, and Others.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

UAE Agriculture Market Report Coverage:

Key Questions Answered in This Report:

• How has the UAE agriculture market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the UAE agriculture market?
• What is the breakup of the UAE agriculture market on the basis of type?
• What are the various stages in the value chain of the UAE agriculture market? 
• What are the key driving factors and challenges in the UAE agriculture?
• What is the structure of the UAE agriculture market and who are the key players?
• What is the degree of competition in the UAE agriculture market?

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the UAE agriculture market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the UAE agriculture market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the UAE agriculture industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.