“Due to the growth of demand from our customers — especially those who are dealing in tourism businesses representing hotels, restaurants and wedding halls — we established our new company to supply more than 3000 products selected from the best brands all over the world,” said president Omar Bin Shihoun.
And the good news doesn’t end there, as food services manager and project manager, frozen bread and Viennoiseries, for Sunbulah Group, Nabil Najem explains.
“Everything is changing in Saudi Arabia and people are looking for changes in their life, including their food,” he says.
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“The remarkable young generation and the changes in their lifestyle — the population is growing at a rate of 3.5% per annum — means the food and beverage market in Saudi Arabia is very promising. Moreover, the increase in disposable income is leading to wider choice in where and how to eat.”
Quick-service restaurants
A further stimulus for demand has been what Najem describes as the “rapid growth of international and local fast food chains and theme restaurants”.
According to the latest figures to come out of the Kingdom, 44.4% of its population is under the age of 15, and it has been this sector that has fuelled the demand of the fast food industry or quick-service restaurants (QSR), particularly international franchises.
Saudi Arabia is already playing host to food industry giants such as McDonalds, Burger King, Chilis, TGI Fridays, Fuddruckers and Pizza Hut to mention a few.
Throw in the fact that coffee culture has taken off among the younger generations and the reasons to be optimistic take on a caffeine-charged glow.
“The opening of new coffee shops in shopping malls and the rest of the private sector is helping develop coffee drinking culture - ice drinks and ice coffee varieties like mocha and cappuccino are also experiencing growth and drawing the market trends in beverage consumption from out of the home and into the public,” Najem explains.
While there are restrictions on pork products and alcohol is completely forbidden, demand for commodities such as rice, oil, sugar, milk powder, pasta, fresh vegetables, meat and poultry products are in keeping with other countries in the Middle East.
However, with a young population willing to experience new foods, added value products are leading changes in the industry, particularly products such as frozen bread, frozen meals, pizzas, frozen desserts and Viennoiseries.
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