The demand for alcoholic beverages in the UAE has shown significant fluctuations over the years. In 2023, the demand stood at 200.0 thousand metric tons, slightly declining by 1.48% compared to the previous year. Between 2014 and 2017, the market experienced dramatic changes, including a major spike in 2017 with a 168.38% year-on-year increase. This was followed by a sharp dip in 2018 (-50.41%) and steady increments till 2021. Since 2021, the trend has stabilized with minor annual adjustments and a Compound Annual Growth Rate (CAGR) of 2.02% over the last five years. Looking forward, the forecasted demand is expected to decline modestly at a five-year CAGR of -1.4%, indicating a gradual decrease in consumption.

Future trends to watch for:

Changes in regulations regarding alcohol consumption in the UAE.
Shifts in consumer preferences towards non-alcoholic alternatives.
Impact of tourism and expatriate population dynamics on alcohol demand.
Economic factors such as inflation and disposable income affecting consumption patterns.