by The coconut products market in the Middle East region has witnessed significant growth in recent years due to the increasing demand for healthy and nutritious food items. Coconut products such as coconut oil, coconut water, desiccated coconut etc. are widely used in various food applications and cosmetic products due to their various health benefits. Coconut is a source of various essential nutrients such as vitamins, minerals, fibers and plant compounds which provide numerous health advantages. Coconut oil contains lauric acid that helps boost immunity and fight various diseases. Coconut water is a natural thirst quencher and helps maintain electrolyte balance in the body. Desiccated coconut is used as a healthy ingredient in baking recipes. The demand for these coconut products is increasing across various industry verticals including food and beverages, personal care and household products.
The global Middle Eastern Coconut Products Market is estimated to be valued at Us$ 1115.91 Million in 2024 and is expected to exhibit a CAGR Of 11% over the forecast period 2024 To 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends
One of the key trends witnessed in the Middle Eastern coconut products market is the growing popularity of organic and non-GMO certified products. More consumers in the region are preferring organic coconut products due to rising health awareness and concerns regarding use of chemicals in conventional farming techniques. Manufacturers are focusing on sourcing organic coconuts and producing non-GMO verified coconut items to cater to this growing demand. Furthermore, with rising disposable incomes, the demand for value-added coconut products is increasing in the region. Players are investing in R&D activities to introduce innovative product variants made from coconut like coconut spreads, coconut chips, coconut based beverages etc. to cater to evolving consumer preferences. This is facilitating the overall growth of the coconut products market in Middle Eastern countries.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the Middle East coconut products market is moderate as starting a new coconut processing business requires high capital investment for machinery and sourcing coconut from various countries. However, dependence on imported coconut poses challenges for consistent supply.
Bargaining power of buyers: The bargaining power of buyers is moderate since the market has a large number of buyers importing coconut products from various countries like Philippines, India and Sri Lanka. Buyers can negotiate on price with suppliers and seek alternatives.
Bargaining power of suppliers: The bargaining power of suppliers is high due to dependence on imported coconut. Only few countries like Philippines dominate the global coconut production. Supplier can impact prices.
Threat of new substitutes: The threat of new substitutes is low as coconut products have unique nutritional profile and taste that are difficult to substitute. However, alternative plant-based milk poses low level threat.
Competitive rivalry: The competitive rivalry is high among the existing players to increase market share and profit margins. Players focus on differentiating product portfolio and engaging in promotional activities.
Key Takeaways
The Global Middle East Coconut Products Market Demand is expected to witness high growth. Rapid urbanization, rising health awareness and changing dietary patterns are driving the demand for coconut milk and other products in the region. The global Middle Eastern Coconut Products Market is estimated to be valued at US$ 1115.91 million in 2024 and is expected to exhibit a CAGR of 11% over the forecast period 2024 to 2031.
Regional analysis:
The Gulf countries such as UAE and Saudi Arabia dominate the Middle East coconut products market and are expected to maintain their leading positions during the forecast period. Evolving snacking trends, on-the-go consumption and rising demand from cafes are boosting sales. Furthermore, increasingnumber of health-conscious consumers are fueling the demand for healthier plant-based products.
Key players:
Key players operating in the Middle East coconut products market are McCormick & Company, Celebes Coconut Corporation, Nutiva & Vita Coco. Players focus on expanding brands awareness through marketing campaigns highlighting the functional benefits of coconut. They also diversify product range to cater to various customer segments.
Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
