Butter, dairy spreads and milk fats market in Oman

Earlier Report Observations

From 2018 to 2020, Oman's market for butter, dairy spreads, and milk fats expanded strongly, with production rising from 1 911 t to 3 211 t and imports growing from 9 317 t to 11 852 t. This drove the total market volume to a peak of 14 701 t in 2020.

A sharp regulatory intervention reversed this trend in 2022. In July of that year, Oman banned the production, import, and marketing of partially hydrogenated oils and foods containing them, while also making trans-fat content labeling mandatory. These rules directly restricted the supply of non-compliant goods, causing imports to plummet from 9 912 t in 2021 to 4 486 t in 2022 and halving the total market volume to 7 454 t.

The market began to adjust in 2023, with volume recovering to 8 142 t. By 2024, import volumes had increased further to 5 431 t. This period saw relatively stable consumer prices and operated within a policy framework supporting economic diversification under Oman's Vision 2040, which encouraged private investment and a competitive dairy sector attuned to demand for healthier products.

Production butter, dairy spreads and milk fats in Oman

In kind, 2017-2020, t

Top producers of butter, dairy spreads and milk fats, 2017-2020

World map of production of butter, dairy spreads and milk fats, 2017-2020

Oman's production of butter, dairy spreads, and milk fats has increased for the second consecutive year. In 2020, the country produced 3 211 tonnes, marking a sharp year-over-year gain of 67.0%. Between 2017 and 2020, production grew by 65.6%, which translates to an annualized rate of 18.3%. The lowest production volume was recorded in 2018 at 1 911 tonnes, with the largest decline that year being 1.4%.

Annual dynamics of production in Oman in kind, 2017-2020, t

Exports butter, dairy spreads and milk fats from Oman

Exports in kind, t

The data shows irregular changes, pointing to a volatile market environment. Exports varied significantly, with an 8.1-fold difference between the high in 2017 and the low in 2019. In 2020, Oman's exports of butter, dairy spreads, and milk fats totaled 362 tonnes, representing a steep gain of 418.2% compared to the previous year. The minimum value was recorded in 2019 at 70 tonnes, while the largest decline occurred in 2018 at 79.1%.

Annual dynamics of product's exports from Oman in kind, 2017-2020, t

From 2017 to 2020, Qatar and Yemen were the main destinations for Oman's exports in kind, jointly accounting for 89.4% of total flows. The remaining share was distributed among other markets.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Oman in kind, 2017-2020

Exports in value, K $ US

Volatility characterized the market behavior during these years. There was a 7.4-fold variation between the maximum in 2017 and the minimum in 2019. In 2020, the value of butter, dairy spreads, and milk fats exported from Oman reached 283 thousand US dollars, indicating a sharp uptick of 31.9% compared to the previous year. The minimum value was recorded in 2019 at 215 thousand US dollars, with the largest decline in 2018 at 81.9%.

Annual dynamics of product's exports from Oman in value, 2017-2020, K $ US

Throughout 2017 to 2020, Qatar dominated the country structure of exports in value terms, accounting for 71.3% of total flows. Other destinations contributed relatively small shares.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Oman in value, 2017-2020

Imports butter, dairy spreads and milk fats to Oman

Imports in kind, t

Oman's imports of butter, dairy spreads, and milk fats have increased for the third consecutive year. In 2020, imports were recorded at 11 852 tonnes, which is 4.1% higher than the previous year. Between 2017 and 2020, imports grew by 286.6%, equating to an annualized rate of 56.9%.

Annual dynamics of product's imports to Oman in kind, 2017-2020, t

From 2017 to 2020, Saudi Arabia (54.0% of imports in kind), the United Arab Emirates (25.7% of imports in kind), and India (9.3% of imports in kind) formed the core group of markets for imports in kind. Together, they represented 89.0% of total flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Oman in kind, 2017-2020

Imports in value, K $ US

Oman's imports of butter, dairy spreads, and milk fats have increased for the third consecutive year. In 2020, imports stood at 51 958 thousand US dollars, up by 8.6% compared to the previous year. Over the period 2017 to 2020, imports increased by 220.5%, with a compound annual growth rate of 47.4%.

Annual dynamics of product's imports to Oman in value, 2017-2020, K $ US

In 2017 to 2020, Saudi Arabia (48.0% of imports in value terms), the United Arab Emirates (27.8% of imports in value terms), and India (10.9% of imports in value terms) were the largest suppliers of butter, dairy spreads, and milk fats to Oman. Together, they formed 86.8% of total imports in value terms.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Oman in value, 2017-2020