Saudi coffee market heads toward SR40.54bn as consumption reaches 90,000 tonnes

Saudi consumption reaches 36 million cups a day

Saudi Arabia consumes about 90,000 tonnes of coffee in the 2025/2026 season, placing it second among Arab countries behind Algeria at approximately 123,000 tonnes, according to a coffee-sector report from Sukuk Capital. Saudi consumers drink nearly 36 million cups a day, equivalent to 1.08 billion cups a month and more than 13.1 billion annually.

Average consumption stands at approximately 2.55 kilograms per person each year, ranking Saudi Arabia 15th globally in the comparison cited by the report. Sukuk Capital estimates that national consumption will rise by 19.4% to 107,500 tonnes by 2030, while per-capita demand increases to around 2.63 kilograms. Population growth is expected to generate about 80% of the additional demand, with higher individual consumption accounting for the remaining 20%.

Café and specialty segments expand

The broader Saudi coffee market was valued at approximately $1.14 billion in 2024 and is forecast to reach $1.82 billion by 2032, representing annual growth of 5.62%. The specialty coffee segment, valued at about $0.95 billion in 2025, is projected to expand to $2.11 billion by 2033 at a faster annual rate of 10.5%.

Cafés and coffee chains constitute a much larger consumer-services market. Its value reached approximately SR23.44 billion in 2023 and is expected to rise above SR40.54 billion by 2033, an increase of more than SR17 billion over a decade. The number of active restaurant and café licences rose from 91,618 in 2022 to 119,902 in 2024, growth of nearly 31%.

Rapid growth intensifies competition

The increase in outlets also points to mounting pressure on operators. Sukuk Capital’s five-forces assessment gives competitive rivalry a score of 90 out of 100, customer power 85 and the threat of new entrants 80. The figures indicate that operating efficiency, product quality and differentiation may matter more than the number of branches as brands compete for customers.

Consumption patterns are supporting more than one market segment. Modern and specialty coffee have not displaced traditional Saudi coffee: consumers may drink a latte or filtered coffee alongside coffee served from a dallah at home and during family gatherings. Specialty cafés have also increased attention to bean origin, variety, roasting and extraction, creating opportunities for roasters, trainers, equipment suppliers and differentiated domestic brands.

Local supply develops but imports remain essential

Government support for Saudi coffee farmers increased from SR11.9 million in 2022 to approximately SR20.7 million in 2023. The number of beneficiaries rose from 1,290 to 1,933 farmers. These measures support the domestic value chain, including the long-established cultivation of Khawlani coffee in southern Saudi Arabia.

Local output nevertheless operates within a market that remains heavily dependent on imported beans. Global price volatility, inconsistent quality among cafés and roasters, high operating and rental costs, and limited brand differentiation are identified as key challenges. The report sees higher-value opportunities in roasting, processing, specialty coffee, ready-to-drink products, supply chains, technology and training. These investments could allow Saudi companies to capture more value from rising consumption and develop brands capable of expanding beyond the domestic market.