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Saudi Arabia Coffee Market Poised for Growth, Driving Transformation in the Beverage Sector 2030

02-25-2025 08:32 AM CET | Food & Beverage

Press release from: STELLAR MARKET RESEARCH

Saudi Arabia Coffee Market

Saudi Arabia Coffee Market

Saudi Arabia's Coffee Market: Brewing Growth Amidst Cultural Evolution

The Saudi Arabian coffee market is experiencing significant growth, driven by a burgeoning café culture and increasing consumer demand for premium coffee experiences. In 2023, the market was valued at approximately USD 4.09 billion, with projections indicating continued expansion in the coming years.

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Market Growth Drivers and Opportunities
Several factors contribute to the robust growth of Saudi Arabia's coffee market:

Cultural Shifts and Café Culture Expansion: The younger population in Saudi Arabia is increasingly embracing Western-style coffee culture, leading to a surge in the number of cafés and coffee chains across the country. This shift is transforming social interactions and positioning coffee consumption as a central element of daily life.

Government Initiatives and Economic Diversification: As part of its Vision 2030 plan, the Saudi government is actively promoting the growth of the non-oil sector, including the food and beverage industry. Initiatives such as the Saudi Coffee Initiative aim to boost local coffee production and position Saudi Arabia as a key player in the global coffee market.

Rising Demand for Specialty Coffee: Consumers are showing a growing preference for specialty and gourmet coffee varieties. This trend is driven by increased awareness of different coffee profiles and a desire for unique, high-quality coffee experiences.

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Segmentation Analysis

The Saudi Arabian coffee market is segmented based on source, type, process, and distribution channel:

By Source: Arabica beans dominate the market, accounting for approximately 59% of the market share in 2023. Arabica's popularity is attributed to its sweeter taste and lower caffeine content compared to other varieties.

By Type: The market offers a variety of coffee types, including instant coffee, ground coffee, whole beans, and specialty blends. Instant coffee remains a significant segment due to its convenience, while there is a growing demand for specialty and gourmet coffees among discerning consumers.

By Process: Coffee products are available in caffeinated and decaffeinated forms, catering to diverse consumer preferences.

By Distribution Channel: Coffee is distributed through various channels, including supermarkets and hypermarkets, convenience stores, specialty coffee shops, and online retail platforms. The rise of e-commerce has notably expanded the reach of coffee products to a broader audience.

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Competitor Analysis

The Saudi Arabian coffee market is characterized by a mix of international and local players striving for market share:

Starbucks Corporation: As a global coffeehouse chain, Starbucks has established a strong presence in Saudi Arabia, offering a wide range of coffee beverages and fostering a café culture that appeals to both locals and expatriates.

Nestlé S.A.: Through its Nescafé brand, Nestlé offers a variety of instant coffee products that cater to the convenience-oriented segment of the market.

Baja Food Industries Co.: A local company, Baja offers a range of coffee products that resonate with traditional Saudi tastes, contributing to the diversity of the market.

Brew92: A specialty coffee brand originating in Saudi Arabia, Brew92 focuses on high-quality coffee experiences, appealing to the growing segment of coffee connoisseurs in the country.

Luigi Lavazza S.p.A.: An Italian brand, Lavazza has made inroads into the Saudi market, offering premium coffee products that attract consumers seeking authentic Italian coffee experiences.

Recent developments in the market include strategic partnerships and expansions. For instance, the Saudi Public Investment Fund (PIF) has invested approximately USD 320 million to develop the local Arabica coffee industry, aiming to boost production and support local farmers.

For more information about this report visit:https://www.stellarmr.com/report/Saudi-Arabia-Coffee-Market/78

Conclusion

Saudi Arabia's coffee market is poised for sustained growth, driven by cultural shifts, government initiatives, and evolving consumer preferences. As both international and local players vie for market share, consumers can anticipate a broader array of coffee products and experiences. The market's evolution reflects Saudi Arabia's rich coffee heritage and its adaptability to global trends, ensuring its prominence in the global coffee landscape.

Explore Related Reports by Stellar Market Research:

United States Coffee Market https://www.stellarmr.com/report/United-States-Coffee-Market/79

Venezuela Coffee Market https://www.stellarmr.com/report/Venezuela-Coffee-Market/80

United Kingdom Coffee Market https://www.stellarmr.com/report/United-Kingdom-Coffee-Market/82

Australia Coffee Market https://www.stellarmr.com/report/Australia-Coffee-Market/85

Brazil Coffee Market https://www.stellarmr.com/report/Brazil-Coffee-Market/86

China Coffee Market https://www.stellarmr.com/report/China-Coffee-Market/87

Columbia Coffee Market https://www.stellarmr.com/report/Columbia-Coffee-Market/88

Contact Stellar Market Research:
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Pinnac Memories Fl. No. 3, Kothrud, Pune,
Pune, Maharashtra, 411029
sales@stellarmr.com

About Stellar Market Research:

Stellar Market Research is a multifaceted market research and consulting company with professionals from several industries. Some of the industries we cover include science and engineering, electronic components, industrial equipment, technology, and communication, cars, and automobiles, chemical products and substances, general merchandise, beverages, personal care, and automated systems. To mention a few, we provide market-verified industry estimations, technical trend analysis, crucial market research, strategic advice, competition analysis, production and demand analysis, and client impact studies.

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