Saudi Arabia Canned Food Market projected to grow
The Saudi Arabia Canned Food Market has been projected to grow by a new report released by Researchandmarkets.com.
Their analysis projects a significant growth trend and anticipates a robust compound annual growth rate (CAGR) of 3.55% from 2021 to 2028. This surge in growth is set to propel the market value to US$1,132.689 million by the end of the forecast period, up from US$887.449 million in 2021.
The Saudi Arabian economy, known as the Arab world’s powerhouse, is witnessing a substantial escalation in its food processing industry. Noteworthy investments expected to peak at $70 billion by 2030, representing a 59% increase over investment figures from 2016. The continued robustness of the food sector, as highlighted by ministry officials projecting a $20 billion growth by 2035, is anticipated to stimulate the canned food market extensively, particularly within key industries such as beverages, dairy, and ready-to-eat sectors.
Factors Contributing to Market Growth
Urbanisation and Modern Retail: The urban population’s upsurge, coupled with a spike in female labour participation and widening income allocation for food expenditures, forms a solid foundation for market expansion. Modern retail infrastructures, like supermarkets and hypermarkets, are becoming more prevalent in urban localities, offering consumers a diversified range of canned food options.
Tourism and Hospitality Sector Expansion: An elevating focus on tourism – aiming to reduce dependence on the oil industry – has initiated extensive hotel development projects. This bolstering of the hospitality segment promises to heighten canned food consumption within Saudi Arabia.
Online Distribution Channel Prosperity: With a near-ubiquitous internet usage rate at 100% and escalating smartphone penetration, online shopping platforms are thriving. These channels offer convenience and variety, echoing the upmarket lifestyle and technological embracement of the Saudi population.
Developments within the market illustrate innovation and responsiveness to consumer needs. Siwar Foods, for example, has recently unveiled a gourmet meal line catering to health-conscious consumers seeking convenience without compromising on taste.
The findings offer strategies for stakeholders in understanding and harnessing the potential of the Saudi Arabia canned food market. Key developments, growth drivers, and comprehensive market insights discussed in the report underscore the significance of adapting to evolving consumer preferences and technological advancements.