Agriculture Market Analysis Bahrain - Size and Forecast 2024-2028

Bahrain Agriculture Market Size 2024-2028

The Bahrain agriculture market size is estimated to grow by USD 12.5 million at a CAGR of 1.24% between 2023 and 2028. The market is experiencing significant growth, driven by various factors. One key trend is the increasing government support to boost domestic production through various initiatives and subsidies. Another trend is the growing focus on horticulture and specialty seeds, as consumer preferences shift towards healthier and more diverse food options. However, the market faces challenges such as the declining availability of arable land due to urbanization and climate change. Additionally, the smart agriculture industry must adapt to technological advancements, including precision farming and automation, to increase efficiency and productivity. Overall, the market is poised for growth but must navigate these trends and challenges to remain competitive and sustainable.

What will be the size of the Market During the Forecast Period?

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Market Dynamics and Customer Landscape

Agriculture plays a vital role in the economic development of many countries, particularly those in the Gulf region, where crops like Dates, Figs, Fruits, and Vegetables are grown extensively. However, agriculture in these regions faces significant challenges such as water scarcity and groundwater salinity. To meet the increasing demand for agricultural products, foreign investments are crucial. The consumption of Cereals, Livestock, and Horticulture products is on the rise, necessitating the adoption of advanced technologies like Hydroponic farming and Aquaponic farming. The Agriculture sector in these countries is a significant contributor to the economy, with Production techniques and Subsidies playing a crucial role. The National government and Technology companies are emphasizing Education and training to improve Agricultural productivity. Trade agreements between Gulf member countries and other nations can impact Food imports and exports. Water constraints and high temperatures are major challenges that need to be addressed to ensure sustainable Agriculture. The Metric ton of agricultural products produced is a key indicator of the sector's health. Agricultural land is a valuable resource, and its preservation is essential for future generations. The sector's growth is influenced by various factors, including subsidies, water constraints, and technological advancements. Our researchers analyzed the data with 2023 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

Key Market Driver

The increasing government support to boost domestic production is notably driving the market growth. The government of Bahrain is taking several efforts to improve food security in the country. The Bahrain government planned a new production strategy for food security to increase local production. The NIAD launched an agricultural platform named "AGRO.BH" to unite efforts toward the development and strengthening of the agricultural sector in Bahrain. The platform will provide the asset in data centralization and management, investment incentive and aid, historical documentation, and research and development.

For the government entities of the Kingdom of Bahrain, the platform AGRO.BH can be used as an important tool to determine trends in the agriculture sector by viewing agricultural publications and research, climatology, soil, water, and agriculture sector workforce data. Additionally, land cover, agricultural zones, and agriculture land use management data can also be accessed to make well-informed high-level decisions. Thus, increasing government support to boost domestic production and e-commerce is a major driver, which is expected to boost the growth of the market during the forecast period.

Significant Market Trend

Growing focus on horticulture is the primary trend in the market. Horticulture is one of the new trends in agriculture production, which has given a boost to agricultural production and is improving the condition of the agriculture industry in Bahrain. Bahrain farmers are highly adopting horticulture, as it is a more cost-effective and sustainable form of agriculture that requires a smaller scale of land and thus low maintenance as a whole. This means that not only smaller scales of land are used but also a low supply of water is required for crop growth.

The major reason for the increasing popularity and adoption of this form of agricultural production method is to maximize growth while making sustainable and efficient use of remaining resources that are available locally. So far, horticulture, supported by advanced fertilizers, has been observed to contribute to the boost of food production in Bahrain, as well as improve its agricultural situation. Such factors are expected to drive the growth of the market during the forecast period.

Major Market Challenge

The declining availability of arable land is the major challenge impeding the market growth. Arable land is defined as land that can be plowed to plant and grow crops. During the last few decades, the amount of arable land available for crop cultivation has been declining rapidly in Bahrain. Factors such as the increasing salinity, rise in industrialization, urbanization, and demand for energy have led to a decline in arable land and its diversion to other purposes, such as construction.

Moreover, soil erosion and land pollution in the past decades have reduced the quality and capability of agricultural land to grow crops, which has also contributed to a decline in the amount of arable land. Plowing is a major agricultural operation undertaken to ensure that fertile soil comes to the top. However, soil erosion and pollution have led to a decline in crop production, which eventually reduces agricultural activities. Thus, a decline in the availability of arable land can become a major challenge to the growth of the market during the forecast period.

Key Market Customer Landscape

The report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.

Global Market Customer Landscape

Who are the Major Market Companies?

Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.

CNH Industrial NV - The company offers agriculture equipment including two-wheel and four-wheel drive tractors, crawler tractors, combines, cotton pickers, grape and sugarcane harvesters, hay and forage equipment, planting and seeding equipment, soil preparation and cultivation implements, and material handling equipment.

The report also includes detailed analyses of the competitive landscape of the market and information about 15 market vendors, including:

• AgroBH
• BASF SE
• Bayer AG
• Deere & Co.
• Nutrien Ltd.
• Syngenta Crop Protection AG

Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.

Market Segmentation

The market share growth of the animal produce segment will be significant during the forecast period. Animal produce generally includes products obtained from animals, such as poultry and dairy products. Bahrain is heavily reliant on imports to meet its need for livestock and animal products, such as milk, at the expense of domestic production. In a free-market economy, import rivalry for local animal products, particularly dairy and eggs, is fierce. A portion of this competition is brought on by certain Gulf States, which profit from having relatively well-established, diverse livestock operations that began much earlier and had more advantageous cost structures. Bahrain offers subsidies for the import of sheep. The cost structure of locally produced animals and animal products would need to be improved in order to revive the country's livestock industry. 

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The animal produce segment was valued at USD 81.60 million in 2018.  The Ministry of Industry and Commerce and the Ministry of Municipalities Affairs and Agriculture are working in tandem to support the agriculture and fisheries sectors, which are key to developing the long-term food security of the nation. In addition, the government is cooperating with other regional governments to achieve common goals in this area. Such factors are expected to drive the growth of the animal produce segment in the market during the forecast period.

Segment Overview

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD Million " for the period 2024-2028, as well as historical data from 2018-2022 for the following segments. 

• Type Outlook
  • Animal produce
  • Crop produce
  • Rural activities

• Distribution Channel Outlook
  • Supermarket
  • Convenience stores
  • E-commerce

Market Analyst Overview

Agriculture plays a crucial role in feeding the world's growing population. However, challenges such as water scarcity and groundwater salinity pose significant threats to crop production. Dates, figs, mangos, pomegranates, melons, papayas, water turnips, potatoes, tomatoes, and other crops are essential food sources that require adequate water and nutrients to thrive. Foreign investments, subsidies, grocery market, and advanced technologies are essential to addressing these challenges. Hydroponic farming and aquaponic farming are innovative techniques that use less water and reduce the need for agricultural land. These methods also allow for the production of crops in areas with hot climate, such as Hoorat A'ali. Advanced production techniques, like modern technology and RTE salad mix, improve crop yields and ensure food security.

Furthermore, livestock farming, including poultry and dairy products, also benefits from these advancements. Horticulture, cereals, and food imports are essential components of a balanced food system. Water constraints, Agritourism related activities, and agricultural land degradation are significant challenges. Green cover, training, and agricultural manufacturing are crucial to addressing these issues. Marine resources can provide alternative sources of food and income. Green spaces and agricultural workers' welfare are essential for sustainable agriculture. In conclusion, overcoming water scarcity and groundwater salinity requires a multifaceted approach that includes foreign investments, advanced technologies, and sustainable practices. By working together, we can ensure food security and provide a better future for agricultural workers and consumers alike.

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What are the Key Data Covered in this Market Report?

• CAGR of the market during the forecast period
• Detailed information on factors that will drive the market growth and forecasting of the market between 2024 and 2028
• Precise estimation of the size of the market size and its contribution to the parent market
• Accurate predictions about upcoming market trends and analysis and changes in consumer behavior
• Growth of the market industry across Bahrain
• Thorough market growth analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive market analysis and report on the factors that will challenge the market research and growth of market companies

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