United Arab Emirates: Wine Market 2024

Wine Market Size in the United Arab Emirates

In 2021, the wine market in the United Arab Emirates was finally on the rise to reach $X for the first time since 2018, thus ending a two-year declining trend. Over the period under review, the total consumption indicated a resilient expansion from 2012 to 2021: its value increased at an average annual rate of +6.6% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, consumption reached the peak level and is likely to continue growth in the immediate term.

Wine Exports

Exports from the United Arab Emirates

Wine exports from the United Arab Emirates soared to X litres in 2021, surging by 137% compared with the year before. Over the period under review, exports saw a buoyant increase. The exports peaked at X litres in 2013; however, from 2014 to 2021, the exports failed to regain momentum.

In value terms, wine exports surged to $X in 2021. In general, exports enjoyed strong growth. The pace of growth appeared the most rapid in 2013 with an increase of 95%. Over the period under review, the exports attained the peak figure at $X in 2019; however, from 2020 to 2021, the exports failed to regain momentum.

Exports by Country

Tanzania (X litres) was the main destination for wine exports from the United Arab Emirates, with a 46% share of total exports. Moreover, wine exports to Tanzania exceeded the volume sent to the second major destination, Hong Kong SAR (X litres), threefold. The third position in this ranking was held by Oman (X litres), with a 12% share.

From 2012 to 2021, the average annual rate of growth in terms of volume to Tanzania amounted to +13.5%. Exports to the other major destinations recorded the following average annual rates of exports growth: Hong Kong SAR (+30.6% per year) and Oman (+12.5% per year).

In value terms, Hong Kong SAR ($X) remains the key foreign market for wine exports from the United Arab Emirates, comprising 53% of total exports. The second position in the ranking was taken by Oman ($X), with a 9.1% share of total exports. It was followed by Tanzania, with a 4.8% share.

From 2012 to 2021, the average annual growth rate of value to Hong Kong SAR amounted to +32.4%. Exports to the other major destinations recorded the following average annual rates of exports growth: Oman (+10.0% per year) and Tanzania (-7.8% per year).

Export Prices by Country

The average wine export price stood at $X per litre in 2021, with a decrease of -25.7% against the previous year. Over the period under review, the export price, however, continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2015 when the average export price increased by 50%. As a result, the export price reached the peak level of $X per litre. From 2016 to 2021, the average export prices remained at a somewhat lower figure.

There were significant differences in the average prices for the major export markets. In 2021, amid the top suppliers, the country with the highest price was Hong Kong SAR ($X per litre), while the average price for exports to Tanzania ($X per litre) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to India (+4.7%), while the prices for the other major destinations experienced more modest paces of growth.

Wine Imports

Imports into the United Arab Emirates

After two years of decline, purchases abroad of wine increased by 106% to X litres in 2021. Over the period under review, total imports indicated a temperate expansion from 2012 to 2021: its volume increased at an average annual rate of +4.9% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Over the period under review, imports hit record highs at X litres in 2018; however, from 2019 to 2021, imports remained at a lower figure.

In value terms, wine imports surged to $X in 2021. In general, total imports indicated buoyant growth from 2012 to 2021: its value increased at an average annual rate of +7.2% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, imports attained the peak and are likely to continue growth in the immediate term.

Imports by Country

France (X litres), Italy (X litres) and South Africa (X litres) were the main suppliers of wine imports to the United Arab Emirates, with a combined 37% share of total imports. These countries were followed by Australia, Chile, Spain, the UK, the United States, Argentina, Germany and New Zealand, which together accounted for a further 24%.

From 2012 to 2021, the biggest increases were recorded for Spain (with a CAGR of +11.4%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, France ($X) constituted the largest supplier of wine to the United Arab Emirates, comprising 28% of total imports. The second position in the ranking was taken by Italy ($X), with a 6.9% share of total imports. It was followed by Australia, with a 4.8% share.

From 2012 to 2021, the average annual rate of growth in terms of value from France was relatively modest. The remaining supplying countries recorded the following average annual rates of imports growth: Italy (+7.7% per year) and Australia (+0.7% per year).

Import Prices by Country

The average wine import price stood at $X per litre in 2021, growing by 28% against the previous year. Over the period from 2012 to 2021, it increased at an average annual rate of +2.2%. As a result, import price attained the peak level and is likely to continue growth in the immediate term.

Prices varied noticeably by country of origin: amid the top importers, the country with the highest price was France ($X per litre), while the price for South Africa ($X per litre) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by New Zealand (+6.9%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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