UAE Agriculture Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Market Size (2024) | USD 3.31 Billion |
| Market Size (2029) | USD 4.09 Billion |
| CAGR (2024 - 2029) | 4.30 % |
UAE Agriculture Market Analysis
The UAE Agriculture Market size is estimated at USD 3.31 billion in 2024, and is expected to reach USD 4.09 billion by 2029, at a CAGR of 4.30% during the forecast period (2024-2029).
- The United Arab Emirates (UAE) demonstrates one of the highest per capita food consumption rates in the Gulf Cooperation Council (GCC) region, reaching 10,405.4 million metric tons(overall consumption) with a per capita consumption of 0.93 metric tons in 2023. This positions the UAE as a promising market for agricultural development in 2023, according to FAO. Despite environmental challenges such as limited arable land and water scarcity, the UAE has established a robust agricultural ecosystem through substantial investments in advanced farming technologies and sustainable practices.
- According to the Food and Agriculture Organization (FAO), cereal production in the UAE reached over 23.1 thousand metric tons in 2023. This modest cereal yield underscores the difficulties the UAE faces in cultivating staple crops, primarily due to its arid climate, scarce arable land, and severe water limitations. In contrast, fruit and vegetable production has been more substantial, with over 424.4 thousand metric tons of fruit and more than 345.5 thousand metric tons of vegetables produced in 2023. These figures indicate a strategic shift towards more sustainable crops that can thrive in controlled environments, including greenhouses and hydroponic systems, which are increasingly employed across the UAE to enhance domestic production.
- Additionally, according to FiBL Statistics (Research Institute of Organic Agriculture), the organic farming area in the country has expanded significantly, reaching 5,419 hectares in 2023. The government has implemented supportive policies and certification programs to promote organic farming practices, resulting in a steady increase in the number of organic farms and product offerings.
UAE Agriculture Market Trends
Importing Key Cereals to Meet Population Demands
According to ITC Trade Map, the United Arab Emirates (UAE) imported cereals valued at USD 1,605.6 million in 2023, reflecting a significant rise from USD 1,187.2 million in 2021. This increase in cereal imports is driven by high local consumption rates and a decline in government-held grain stocks, underscoring the UAE's ongoing reliance on imported staples to meet domestic demand. Among the imported cereals, rice is predominant, with milled rice making up the majority, while other varieties, including paddy, brown, and broken rice, also contribute to the total imports.
In an effort to bolster food security amidst global supply chain disruptions spurred by the COVID-19 pandemic, the UAE launched Agriota, an agricultural trading platform created in partnership with India’s CropData Technology through the Dubai Multi Commodities Centre (DMCC). This platform connects Indian farmers directly with UAE-based food companies, facilitating trade in cereals, pulses, oilseeds, fruits, vegetables, spices, and condiments. By simplifying access to a reliable agricultural supply network, Agriota strengthens the UAE’s position in securing stable food sources and reducing its dependence on fluctuating global supply chains.
Dubai’s rebounding tourism sector has also fueled demand for food products, further supporting cereal imports and stimulating domestic production. With tourism accounting for 10-15% of the UAE’s GDP annually, the sector’s recovery has been instrumental in boosting demand for baked goods, processed foods, and restaurants reliant on cereals. This demand is particularly vital for the food service sector, which serves the UAE’s high influx of tourists and residents seeking diverse culinary options.
In terms of trading partners, India remains the UAE’s largest cereal supplier, accounting for 40.3% of total imports in 2023. Australia follows as the second-largest exporter, holding a 12.3% share of UAE cereal imports. This rising demand and increasing import activity highlight expanding opportunities within the UAE market for international cereal exporters, who are well-positioned to tap into the country’s strong growth in food consumption.
Government Initiatives Aiming to Enhance Self-Sufficiency
Dates are a primary crop in the United Arab Emirates (UAE). According to the Food and Agriculture Organization, date production led agricultural output, reaching over 405,146.2 metric tons in 2023. Despite challenging soil and climatic conditions, crop production in the UAE is increasing due to government initiatives, including free cultivation, 50% reduced costs for crop protection and fertilizers, and subsidized veterinary services. The country has experienced significant growth in vegetable, fruit, and fodder crop production. Notably, tomatoes, cucumbers, lettuce, and strawberries have been successfully cultivated using soil-less farming techniques. The implementation of precision agriculture, including smart irrigation systems and climate-controlled facilities, has optimized resource use and improved crop yields.
The UAE considers food security crucial for its citizens and residents. As a result, the country launched its National Food Security Policy, aiming to increase production by 30-40% over a decade. The UAE also focuses on sustainable agriculture to enhance farm efficiency, aligning with UN Sustainable Development Goals. The government is investing in the agricultural sector to boost self-sufficiency. For instance, in 2023, the UAE Ministry of Climate Change and Environment (MOCCAE) launched the 'National Farms Sustainability Initiative'. This program aims to enhance domestic production by securing purchase agreements, increasing the UAE's self-sufficiency in selected food commodities, and improving farmer incomes without impacting food trade. The initiative's first phase targets increasing the share of purchases by government contractors to 50% of domestic production in 2023, with plans to raise this to 70% by 2025, and ultimately to 100% by 2030.
UAE Agriculture Market News
- July 2023: E20 Investment, a UAE-based agribusiness investment firm, manages over 4,000 hectares of farmland in Angola, France, and Uzbekistan. The company has partnered with Israel's Netafim to launch large-scale farming projects in the Middle East and North Africa.
- June 2022: The Abu Dhabi Agriculture and Food Safety Authority (ADAFSA) has launched a program to establish a gene bank that will help provide innovative solutions to future food security challenges and enhance the food security system of the UAE. The Abu Dhabi Agricultural Genome Program has been launched in cooperation with some national research centers in the UAE, in order to apply the best international practices in the field of agricultural genetic research.
- November 2022: The Agriculture Innovation Mission for Climate (Aim for Climate) in UAE has mobilized another USD 4 billion since it launched last year (2021) to build more resilient agriculture and food systems. This joint UAE-US fund to help prepare the agricultural sector for climate change has doubled to USD 8 billion.
UAE Agriculture Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Government Initiatives and Investment in Agri-tech
4.2.2 Increasing Demand for Food Security and Self-sufficiency
4.2.3 Advancements in Sustainable and Desert Agriculture
4.3 Market Restraints
4.3.1 Limited Water Resources
4.3.2 High Cost of Agricultural Production
5. MARKET SEGMENTATION
5.1 Crop Type (Production by Volume, Consumption by Volume and Value, Import by Volume and Value, Export by Volume and Value, and Price Trend Analysis)
5.1.1 Food Crops/Cereals
5.1.2 Fruits
5.1.3 Vegetables
6. REGIONAL ANALYSIS
6.1 PESTLE Analysis
6.2 Supply Chain Analysis
6.3 Government Policies
7. COMPETITIVE LANDSCAPE
7.1 Distribution Network and Retail Analysis
7.2 List of Distributors/Traders
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
UAE Agriculture Industry Segmentation
Agriculture in the UAE is technology-dependent and mainly grows vegetables and fruits. The crops grown are dates, tomatoes, cabbage, eggplant, cauliflower, squash, bougainvillea, tropical hibiscus, eggplant, mangoes, citrus fruits, etc. The UAE agriculture market is segmented by crop type (food crops/cereals, fruits, and vegetables). The report includes production analysis (volume), consumption analysis (value and volume), export analysis (value and volume), import analysis (value and volume), and price trend analysis. The report offers market estimation and forecasts in value (USD) and volume (Metric Tons) for the above-mentioned segments.
| Crop Type (Production by Volume, Consumption by Volume and Value, Import by Volume and Value, Export by Volume and Value, and Price Trend Analysis) | |
| Food Crops/Cereals | |
| Fruits | |
| Vegetables |
UAE Agriculture Market Research FAQs
How big is the UAE Agriculture Market?
The UAE Agriculture Market size is expected to reach USD 3.31 billion in 2024 and grow at a CAGR of 4.30% to reach USD 4.09 billion by 2029.
What is the current UAE Agriculture Market size?
In 2024, the UAE Agriculture Market size is expected to reach USD 3.31 billion.
What years does this UAE Agriculture Market cover, and what was the market size in 2023?
In 2023, the UAE Agriculture Market size was estimated at USD 3.17 billion. The report covers the UAE Agriculture Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the UAE Agriculture Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the key factors that are driving the Agricultural Industry in UAE?
The key factors that are driving the Agricultural Industry in UAE are a) Growing population and a desire to reduce dependence on imported food sources b) Increasing demand for locally sourced, organic, and high-quality agricultural products
What are the key factors that are driving the Agricultural Industry in UAE?
The key factors that are driving the Agricultural Industry in UAE are a) Growing population and a desire to reduce dependence on imported food sources b) Increasing demand for locally sourced, organic, and high-quality agricultural products
UAE Agriculture Industry Report
The agricultural sector in the UAE has undergone a dramatic transformation, driven by innovation and robust government support to mitigate challenges from the region's arid climate. Advanced technologies such as precision agriculture, vertical farming, and climate-controlled greenhouses are at the forefront, enhancing productivity and promoting sustainability. These initiatives underscore a shift towards self-sufficiency and have spurred an increased demand for modern agricultural equipment, fostering growth across various segments from tractors used in land development to planting and harvesting equipment vital for crop management and processing. This evolution is mirrored in the expanding market segments of agriculture in the UAE, showcasing a variety of equipment tailored to meet diverse farming needs. Furthermore, the market dynamics are adjusting with the rise of online sales and equipment rental services, reflecting changes in purchase behaviors due to high initial costs. These trends, highlighted in industry reports, illustrate the sophisticated and adaptive nature of farming in the UAE, poised to thrive amid both global and localized obstacles, with UAE agriculture statistics projecting continued growth. For deeper insights into this market's growth forecast, consider accessing detailed reports from industry analysts such as Mordor Intelligence™. Get a sample of this industry analysis as a free report PDF download.
UAE Agriculture Market Report Snapshots
