Saudi Arabia Flour Market Size & Forecast 2025–2033

According to Renub Research Saudi Arabia Flour Market is anticipated to grow from US$ 2.01 billion in 2024 to US$ 3.03 billion by 2033, expanding at a CAGR of 4.66% from 2025 to 2033. Rapid population expansion, strong demand for bakery and processed foods, government-led food security programs, retail sector modernization, and technological advancements in milling and packaging continue to drive the Kingdom’s flourishing flour sector.

With flour remaining a core food staple in Saudi households and industrial kitchens, its market growth reflects broader economic reforms, evolving consumer preferences, and increased investment in food manufacturing infrastructure. As Saudi Arabia accelerates toward Vision 2030 goals and expands domestic production capabilities, the flour market is positioned for long-term structural growth.

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Saudi Arabia Flour Market Overview

Flour—most commonly derived from wheat—is a fundamental food ingredient that forms the foundation of countless culinary traditions across the world. Beyond bread, biscuits, noodles, and cakes, flour serves as a binder, thickener, and stabilizer in a wide range of recipes. Its gluten network—formed when flour mixes with water—creates texture and elasticity, shaping the structure of dough and baked goods.

In Saudi Arabia, flour is not simply a pantry staple; it is a critical component of national food security. Demand is rising due to:

·        A growing, highly urbanized population

·        Expanding consumption of bakery products, pastries, and convenience foods

·        Shifting dietary preferences toward whole-wheat, fortified, and gluten-free varieties

·        Government-backed programs to enhance food processing and domestic agriculture

·        A thriving retail environment, including supermarkets, hypermarkets, and e-commerce platforms

Advancements in milling technologies, improved packaging solutions, and the privatization of major flour milling companies are contributing to higher production efficiency and stronger supply chains. Overall, these developments position the Saudi flour industry for sustainable, innovation-driven growth over the next decade.

Key Market Growth Drivers

1. Population Growth and Urbanization

Saudi Arabia’s rapidly increasing population remains one of the most powerful drivers of the flour market. The Kingdom’s population is projected to reach 35.3 million in mid-2024, reflecting an impressive 4.7% annual growth rate from 2023. With 92.12% of residents living in urban areas, shifting lifestyles and higher exposure to global cuisines are increasing demand for:

·        Packaged bakery items

·        Ready-to-eat meals

·        Fresh bread and pastries

·        Flour-based snacks and desserts

Urban households consume more processed and convenience foods than rural counterparts, fueling steady flour consumption across both retail and commercial segments. As cafés, restaurants, and bakeries multiply across major cities such as Riyadh and Jeddah, commercial demand for flour continues to rise sharply.

2. Economic Diversification & Vision 2030 Initiatives

Saudi Arabia’s Vision 2030 blueprint—designed to diversify the economy and strengthen food security—is strongly influencing the flour industry. The initiative seeks to reduce dependence on imports and expand domestic food production. Key targets include:

·        85% domesticization of food manufacturing by 2030

·        Reducing annual food import costs by SAR 70 billion

·        Enhancing the Kingdom’s export potential for wheat flour and related products

Government-backed projects such as the Jeddah Food Cluster, which has attracted SAR 20 billion in private investments, are transforming Saudi Arabia into a regional hub for food processing.

Privatization is another game-changing driver. The public listing of the Fourth Milling Company in a US$229 million IPO signals strong investor confidence and increases competitiveness in the milling sector. As milling companies modernize their infrastructure, adopt advanced technologies, and streamline operations, Saudi Arabia is rapidly strengthening its flour production capacity.

3. Health & Wellness Trends

Modern Saudi consumers are increasingly health-conscious, driving strong growth in:

·        Whole wheat flour

·        Gluten-free flour

·        Organic flour

·        Functional and fortified flours enriched with vitamins, minerals, and fiber

Growing awareness of conditions such as gluten intolerance and celiac disease is expanding demand for alternative flours, while whole grain consumption is rising due to its perceived health benefits.

These evolving dietary preferences are compelling manufacturers to diversify their product lines, invest in research and development, and create innovative flour blends that align with consumer wellness goals.

Challenges in the Saudi Arabia Flour Market

1. Water Scarcity

Water scarcity remains one of Saudi Arabia’s most severe structural challenges. Wheat production requires extensive irrigation, and the Kingdom’s limited freshwater supply constrains large-scale domestic farming.

As a result:

·        Saudi Arabia relies heavily on imported wheat

·        The market is vulnerable to global price fluctuations

·        Supply chains remain exposed to geopolitical risks

·        Long-term food self-sufficiency is difficult to achieve

Although the government is investing in modern water-saving agricultural techniques, overcoming water scarcity remains a long-term challenge for domestic wheat cultivation.

2. Rising Production Costs

Higher costs of energy, labor, and raw materials—especially imported wheat—continue to pressure flour manufacturers. Additional cost factors include:

·        Investments in advanced milling technology

·        Compliance with food safety and packaging standards

·        Rising transportation and logistics expenses

These rising production costs may lead to higher retail prices for flour-based products, potentially affecting demand among price-sensitive consumers. Balancing cost efficiency with product innovation is becoming increasingly important for market stability.

Recent Developments in the Saudi Flour Industry

·        June 2024: First Milling Company secured a US$39.98 million loan from the Saudi Industrial Development Fund (SIDF) to enhance operational efficiency and optimize working capital.

·        April 2024: First Mills launched operations at its new Durum Mill in Jeddah—the first of its kind in Saudi Arabia—producing semolina used for pasta, sweets, and other specialty foods.

These investments reflect the Kingdom’s broader emphasis on food security, value-added processing, and production diversification.

Saudi Arabia Flour Market Segmentation

By Raw Material

·        Wheat

·        Maize

·        Rice

·        Others

By Application

·        Noodles & Pasta

·        Bread & Bakery Products

·        Wafers, Crackers & Biscuits

·        Animal Feed

·        Non-food Applications

·        Others

By Sales Channel

·        Supermarkets

·        Hypermarkets

·        Online Stores

·        Others

Regional & Sectoral Insights

Bread & Bakery Remain Dominant Consumers of Flour

Saudi Arabia’s thriving bakery sector—powered by booming urban cafés, large bakery chains, and a growing preference for pastries and fresh bread—accounts for the largest share of flour consumption. Specialized bakeries and commercial food manufacturers continue to drive demand for premium and functional flour varieties.

Rising Popularity of Pasta and Noodles

As Western and Asian dishes become more common in Saudi households, demand for pasta and noodle-based flour continues to grow. The launch of the durum wheat mill indicates rising local production of semolina, meeting both industrial and household needs.

E-Commerce Flour Sales Rising Rapidly

Increased digital adoption—especially after the pandemic—has led to strong online flour sales through:

·        E-grocery platforms

·        Brand-owned websites

·        Hypermarket delivery apps

This shift supports product diversification and accessibility for consumers seeking alternative flours.

Key Players Covered

(Each with: Overview, Key Persons, Recent Developments & Strategies, Sales Analysis)

·        King Arthur Flour Company

·        Associated British Foods Plc.

·        Hindustan Unilever Ltd

·        Archer Daniels Midland Company

·        Conagra Foods Inc.

·        Cargill, Incorporated

·        ITC Ltd

·        General Mills, Inc.

These companies operate regionally and globally, supplying wheat flour, specialty flours, value-added blends, and packaged flour products while leveraging strong distribution networks across Saudi retail outlets.

Conclusion

The Saudi Arabia Flour Market is undergoing a significant evolution, supported by demographic expansion, broader economic reforms, innovation in milling technologies, and shifting consumer preferences. As the Kingdom works to strengthen food security and enhance domestic production capabilities under Vision 2030, the flour market is expected to achieve stable, long-term growth through 2033.

Government support, retail modernization, and an increasingly health-conscious population will continue to shape the future of the flour industry—making it one of the most strategically important segments within Saudi Arabia’s broader food and agriculture sector.