Increasingly hectic lifestyles and growth in the number of working mothers is boosting demand for packaged dairy and baby food which is widely available via the country’s well-developed grocery retail channels. The government’s investment in infrastructure is set to see ongoing economic growth in 2023, although its ongoing Omanisation programme will likely continue to restrict population growth.
In 2023, the dairy industry in Oman is experiencing consistent and stable growth in both volume and current value sales, due to the essential nature of such products in the Omani diet. Likewise, the industry continues to expand thanks to the government's efforts to ensure food security within the nation.
Oman’s hot climate has an impact on food preferences as the heat lends itself to a preference for fresh produce in comparison to shelf stable packaged food. Dairy is consumed by all ages and backgrounds and is perceived as both a snack and a meal option.
Over the past year, Omanisation efforts have had a reduced impact on expatriates. In some instances, agreements with certain countries, such as Egypt, have been established to allow the recruitment of foreign employees.
The Sultanate’s Oman logistics strategy lays out long-term objectives for increasing the contribution of the logistics sector to GDP. Oman’s strategic objectives over the past several years have focused on easing congestion and enhancing capacity by investing in infrastructure and technology for new ports and road links, as well as expanded routes for national airline carriers.
Dairy products and alternatives are expected to see further growth over the forecast period, supported by ongoing population growth and urbanisation and the fact that these products are seen as staples by most households.
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Dairy Products and Alternatives
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