By renubresearch 
Saudi Arabia Coffee Market Booms with Vision 2030 Backing and Youth-Led Demand Surge
According to the latest Renub Research report, the Saudi Arabia Coffee Market is forecasted to rise from USD 1.38 billion in 2024 to USD 2.27 billion by 2033, expanding at a CAGR of 5.67% during 2025–2033. This notable growth is underpinned by several factors, including coffee’s deep-rooted cultural relevance, an evolving café lifestyle led by youth, increasing disposable income, and transformative government initiatives such as the Saudi Coffee Initiative under Vision 2030.
🔗 Access the full report here: Saudi Arabia Coffee Market Report
Coffee’s Cultural Heritage Fuels Market Expansion
Coffee has long been a cornerstone of Saudi Arabian hospitality and social tradition. From Gahwa (Arabic coffee) served during family gatherings to ceremonial coffee service at events and Majlis, the beverage holds a sacred place in the Kingdom’s social identity. This intrinsic association with heritage has made coffee consumption more than a habit—it is a ritual passed through generations.
The Saudi Coffee Initiative, launched in 2022, aims to revive and globalize Saudi-grown Khawlani coffee beans, recognizing them as a national product. This effort aligns with the Vision 2030 agenda to diversify the economy beyond oil and promote cultural tourism, entrepreneurship, and local agricultural production.
Youth Driving the “Third Wave” Coffee Movement
Saudi Arabia’s young population is at the forefront of redefining coffee consumption patterns. Influenced by global trends and digital exposure, millennials and Gen Z consumers are embracing specialty coffees, cold brews, and artisan roasts. This shift is evident in the mushrooming of premium cafés, coffee carts, and Instagram-friendly coffee houses across major cities such as Riyadh, Jeddah, and Dammam.
Key trends include:
- Expansion of third-wave coffee shops
- Demand for locally roasted beans
- Rise in coffee education and barista training
- Influencer-driven café culture on social media platforms
These developments contribute significantly to the Saudi coffee market’s growth by creating a vibrant and dynamic retail ecosystem that caters to changing consumer preferences.
Government Support and Investment Incentives
The Ministry of Culture, in collaboration with the Public Investment Fund (PIF) and other agencies, is heavily investing in agriculture, hospitality, and the food and beverage sectors to localize coffee production and elevate the Kingdom’s global coffee profile.
Highlights of government initiatives:
- USD 320 million investment in coffee production and infrastructure through the Agricultural Development Fund
- Increased acreage under Khawlani coffee bean cultivation in the Jazan region
- Subsidized loans for local coffee entrepreneurs and farmers
- Certification programs to standardize coffee quality and enhance export capabilities
These reforms and investments are expected to create a sustainable supply chain and enhance Saudi Arabia’s positioning as a regional coffee hub.
Rising Coffee Imports Complement Domestic Production
While domestic production of coffee beans—especially the prized Khawlani variety—is being scaled up, the Kingdom continues to import premium coffee from countries like Brazil, Ethiopia, and Colombia to meet growing consumer demand.
Key statistics:
- Saudi Arabia imports more than 80% of its coffee needs
- Imports grew by 15% YoY in 2023
- Specialty coffee imports now make up over 25% of the total coffee imports
This dual approach of cultivating local beans while maintaining international sourcing has helped Saudi Arabia cater to diverse consumer palates.
E-Commerce and Subscription Services Brew Fresh Opportunities
E-commerce platforms are playing a pivotal role in shaping coffee consumption. With more consumers turning to digital channels for convenience and variety, the online coffee market is witnessing double-digit growth.
E-commerce trends:
- Launch of coffee subscription models
- Growth of online specialty roasters
- In-app coffee ordering and delivery
- Adoption of AI-enabled flavor profiling tools
Platforms like Amazon.sa, Noon, and niche coffee brands now offer curated coffee experiences that reflect consumers’ growing knowledge and expectations of bean origin, roast level, and flavor notes.
Coffee Equipment Market Grows in Parallel
The popularity of at-home coffee brewing has led to a sharp rise in sales of coffee machines, grinders, and brewing accessories. As consumers grow more discerning, they are investing in espresso machines, aeropress, pour-over kits, and smart coffee makers.
This trend not only contributes to retail sales but also fosters coffee literacy, turning more Saudis into connoisseurs and home baristas.
Competitive Landscape: Key Players and Market Movements
The Saudi coffee market is characterized by the presence of both international chains and local specialty coffee brands. Brands such as Barn’s, Brew92, Camel Step, and Elixir Bunn are giving tough competition to global giants like Starbucks and Costa Coffee through innovation, localization, and quality.
Noteworthy developments:
- Entry of homegrown specialty chains into regional markets
- Franchise expansions in untapped Tier II and III cities
- Collaboration with local farms for sustainable sourcing
- Barista championships and community-driven events
Such efforts are increasing brand loyalty and creating a unique Saudi coffee identity that blends tradition with innovation.
Saudi Arabia Coffee Market – Key Segments Covered by Renub Research
Renub Research’s report provides an in-depth segmentation of the Saudi Arabia coffee market, including:
- Product Type: Whole Bean, Ground Coffee, Instant Coffee, Ready-to-Drink
- Distribution Channel: Supermarkets/Hypermarkets, Specialty Stores, Online Retail, Cafés
- End-User: HoReCa, Retail, Offices
- Region: Riyadh, Makkah, Eastern Province, and others
Each segment is analyzed in terms of volume, revenue, trends, and growth potential.
Future Outlook: A Golden Era Brewing for Saudi Coffee
The convergence of cultural pride, youthful experimentation, digital transformation, and policy support positions the Saudi Arabian coffee market for sustained long-term growth.
With expectations to cross USD 2.27 billion by 2033, the industry offers rich opportunities for stakeholders across the value chain—from growers and importers to café owners and tech innovators.
FAQs – Saudi Arabia Coffee Market
1. What is the current value of the Saudi Arabia coffee market?
The market was valued at USD 1.38 billion in 2024, according to Renub Research.
2. What is the projected market value by 2033?
It is forecasted to reach USD 2.27 billion by 2033, growing at a CAGR of 5.67%.
3. What is the Saudi Coffee Initiative?
A government-led effort under Vision 2030 aimed at promoting Khawlani coffee beans and boosting local coffee production.
4. Why is coffee culturally significant in Saudi Arabia?
Coffee, especially Arabic coffee (Gahwa), is a traditional symbol of hospitality and an integral part of Saudi social life.
5. Which age group is driving coffee consumption?
Primarily millennials and Gen Z, who are embracing global coffee trends and fostering a café culture.
6. How is e-commerce affecting the Saudi coffee market?
Online platforms and subscription services are enabling convenient access to premium and specialty coffees, boosting sales.
7. What role do local coffee brands play?
Local brands like Camel Step, Brew92, and Barn’s are innovating in specialty brews and expanding rapidly.
8. Are coffee machines gaining popularity?
Yes, there is rising demand for home coffee equipment such as espresso machines, grinders, and smart brewers.
9. Which cities are leading the coffee boom?
Riyadh, Jeddah, and Dammam are key cities witnessing strong café and retail coffee growth.
10. Who are the major stakeholders in this market?
Coffee producers, importers, café owners, equipment suppliers, government bodies, and young consumers.
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Renub Research is a Market Research and Consulting Company with more than 15 years of experience, especially in international Business-to-Business Research, Surveys, and Consulting. We provide a wide range of business research solutions that help companies make better business decisions.
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