UAE Coffee Market Latest Development (2023)

The UAE Coffee Market has developed as a coffee trading hub in the Middle East and a number of initiatives have been taken in order to develop the country as the major trading hub of different kinds of coffee. The Coffee Market in UAE in 2023 is growing at a rapid pace. This helped in the development of the Coffee Market in the UAE. This one key factor gave rise to the demand for sprat-dried as well as freeze-dried types of instant coffee in the nation. The coffee market in the country has been rising and developing at a rapid pace in the most effortless manner. Instant coffee is one of the new types of coffee products in the country, which is becoming increasingly popular and giving a boost to this sector as the number of people who consume this coffee product is increasingly growing since it is very easy to prepare instant coffee as the name itself suggests it.

Coffee brands in the market are constantly rising, which attracts a new generation to the country. New brands in the market come up with new types of coffee with a better taste which attracts people, and this, in turn, gives rise to the market. The latest coffee brands have been developing in this sector at a faster pace. The population in the nation is growing with a rising appetite for western culture as well as brands which are leading to higher demand for branded coffee in the country.

The e-commerce industry in the country has shaped this sector. Coffee is one of the number one e-commerce product products in the country, which is developing this sector rapidly. Social reforms and strong government investment have created significant opportunities for both international as well as domestic coffee chains in the country which is supporting the development of the sector. This study only focuses on the developments made in the sector in 2023 and it is not applicable in any other year. 

UAE Coffee Market Synopsis

The UAE coffee market experienced significant growth on account of a diverse population and varying preferences of the country along with strong growth in the urban population of the country and rising tourism & hospitality sector. The demand for coffee witnessed an upward growth trajectory mainly attributed to rising demand from urban consumers as they are more inclined toward the western culture where coffee has a higher preference.

However, Covid-19 resulted in complete turmoil for the tourism & hospitality sector due to the social distancing measures adopted to curb the spread of coronavirus, which in turn led to lower international visitors and the shutdown of cafes and restaurants in the country. Although the market was suffering initially, the retail sector of the country pushed the sales of coffee owing to the increasing demand from the consumers as they were spending most of their time at home during the lockdowns due to the restrictions imposed nationwide. The E-commerce sector witnessed a boom in coffee sales during the year 2020. Moreover, once the lockdown was lifted, the tourism & hospitality sector started to operate with safety precautions leading to an influx of international visitors to the country.

According to 6Wresearch, UAE Coffee Market size is projected to grow at a CAGR of 8.3% during 2021-2027. The increasing influence of western culture and higher living standards in cities like Dubai, Abu Dhabi, and Sharjah are also some of the major factors driving the growth of the UAE coffee market. The projected growth of the UAE coffee market can also be attributed to the variety of people residing in the major cities of UAE from different origins resulting in the adoption of multinational coffee chains and cafes in the country.  Import of Brazilian and Ethiopian coffee is also on a rise recently owing to their higher preference amongst international visitors to UAE.

Market by Bean Types Analysis

In terms of bean type, the arabica segment has captured above 45% of the market revenues in 2020.  Arabica garnered the majority UAE coffee market share on account of its good taste and high availability in the country. This trend would continue to persist in the coming years as well owing to the increasing preference of people from all age groups due to its sweet taste.

Market by Coffee Type Analysis 

In UAE Coffee Market, ground coffee has led the overall market revenues accounting for more than 45% of the market revenues in 2020. Ground coffee has dominated the UAE coffee market as it has high anti-oxidants which makes it the most preferred coffee amongst consumers. Moreover, ground coffee has fewer processing stages which makes it easily available for cafes, restaurants, and other food outlets.

Key Attractiveness of the Report

• COVID-19 Impact on the Market.
• 10 Years Market Numbers.
• Historical Data Starting from 2017 to 2020.
• Base Year: 2020
• Forecast Data until 2027.
• Key Performance Indicators Impacting the Market

Key Highlights of the Report

• UAE Coffee Market Overview
• UAE Coffee Market Outlook
• UAE Coffee Market Forecast
• Historical Data and Forecast of UAE Coffee Market Revenues for the Period 2017-2027F
• Historical Data and Forecast of UAE Coffee Market Revenues By Bean Types for the Period 2017-2027F
• Historical Data and Forecast of UAE Coffee Market Revenues By Coffee Types for the Period 2017-2027F
• Historical Data and Forecast of UAE Coffee Market Revenues By Distribution Channel for the Period 2017-2027F
• Historical Data and Forecast of UAE Coffee Market Revenues By Applications for the Period 2017-2027F
• Historical Data and Forecast of UAE Coffee Market Revenues By Regions for the Period 2017-2027F
• Market Drivers
• Market Restraints
• Market Trends
• Industry Life Cycle
• Porter’s Five Force Analysis
• Market Opportunity Assessment

Market Scope and Segmentation

The report provides a detailed analysis of the following market segments:

By Bean Types:

• Arabica
• Robusta
• Others (Liberica and Excelsa)

By Coffee Types:

• Ground Coffee
• Instant Coffee
• Whole Bean
• Coffee Pod & Capsules

By Distribution Channel:

• Hypermarkets/Supermarkets
• Online Platform
• Cafe and Food Services
• Others (General stores, Mom & Pop stores, Local Stores)

By Applications:

• Hot Coffee
• Cold Coffee

By Regions:

• Dubai
• Abu Dhabi
• Sharjah
• Other Emirates (Ajman, Fujairah, etc.)

Frequently Asked Questions About the Market Study:

1. Does the report consider COVID-19 impact?

The report not only has considered COVID-19 impact but also current market dynamics, trends, and KPIs into consideration.

2. How much growth is expected in the UAE Coffee Market over the coming years?

The UAE Coffee Market growth in revenues is anticipated to record a CAGR of 8.3% during 2021-27.

3. Which segment has captured a key share of the market?

The segment, arabica has dominated the market revenues.

4. Which segment is exhibited to gain traction over the forecast period?

Cafes and food services would record key growth throughout the forecast period 2021-27.

5. Who are key the key players in the market?

The key players in the market include- Nestle S.A., Luigi Lavazza S.p.A., J.M. Smucker Company, Zino Davidoff Group, JDE Peet's NV Emirati Coffee LLC, Coffee Planet LLC, etc.

6. Is customization available in the market study?

Yes, we can do customization as per your requirements. Please feel free to write to us at sales@6wresearch.com for any customized or any other requirements

7. We also want to have market reports for other countries/regions.

6Wresearch has a database of more than 60 countries globally, which can make us your first choice for all your research needs.