Saudi Arabia Flour Market Size and Forecast 2025–2033

The Saudi Arabia Flour Market is undergoing a significant transformation, supported by population growth, urbanization, dietary changes, and government initiatives to strengthen food security. According to Renub Research, the market is expected to grow from US$ 2.01 billion in 2024 to US$ 3.03 billion by 2033, registering a compound annual growth rate (CAGR) of 4.66% from 2025 to 2033.

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Flour, a staple commodity in every household and foodservice outlet, remains central to Saudi Arabia’s food ecosystem. The increasing demand for bakery items, pasta, noodles, and packaged foods, combined with modernization in milling technology and retail expansion, is accelerating the market’s growth trajectory. As the Kingdom pursues its Vision 2030 economic diversification goals, the flour industry is emerging as a vital pillar of food manufacturing and food security.

Saudi Arabia Flour Market Overview

Flour is a finely milled powder derived from grains, most commonly wheat, and serves as the foundation of bread, cakes, pastries, and countless traditional and modern foods. Though simple in appearance, flour is one of the most essential ingredients in global cuisine, binding cultures, traditions, and daily nourishment together. In Saudi Arabia, flour holds deep cultural and dietary importance, particularly for flatbreads, bakery products, and emerging convenience foods.

The Saudi flour market has expanded rapidly due to the growing population, urban lifestyles, and changing dietary habits. While wheat flour remains dominant, demand is rising for specialty flours such as whole wheat, gluten-free, fortified, and organic variants. Technological advancements in milling and packaging are improving efficiency, product quality, and shelf life, helping producers meet the evolving expectations of consumers.

Government-led food security programs, combined with increased private-sector participation following the privatization of milling companies, are further strengthening the domestic flour supply chain. Modern supermarkets, hypermarkets, and online grocery platforms are improving product accessibility, pushing flour consumption to new levels across the Kingdom.

Saudi Arabia Flour Market Size and Forecast (2025–2033)

The Saudi flour industry is set to maintain steady growth over the next decade, supported by structural shifts in consumption and production.

Market Size 2024: US$ 2.01 billion

Expected Market Size 2033: US$ 3.03 billion

CAGR (2025–2033): 4.66%

Growth is driven by rising consumption of baked goods, government support for local food production, population expansion, and increasing investment in food processing infrastructure. The flour market’s resilience also stems from its role as a staple commodity, ensuring consistent demand even during economic slowdowns.

Key Growth Drivers for the Saudi Arabia Flour Market

Population Growth and Urbanization

Population growth is one of the most powerful drivers of flour demand in Saudi Arabia. The Kingdom’s population is projected to reach 35.3 million by mid-2024, growing at an annual rate of 4.7% between 2023 and 2024. This rapid demographic expansion directly increases the consumption of staple foods such as bread, pastries, and other flour-based products.

With over 92% of the population living in urban areas, dietary preferences are shifting toward processed, packaged, and ready-to-eat foods. Urban consumers rely heavily on bakeries, supermarkets, and foodservice outlets, all of which use large volumes of flour. This urban lifestyle transformation is encouraging producers to scale up operations and diversify product offerings.

Economic Diversification Under Vision 2030

Saudi Arabia’s Vision 2030 strategy aims to reduce dependence on oil revenues and strengthen domestic industries, including food processing and agribusiness. The government plans to localize 85% of the food sector by 2030, reducing import costs by approximately SAR 70 billion annually.

Flour milling has been a major beneficiary of this policy shift. Investments such as the Jeddah Food Cluster, which has attracted SAR 20 billion in private investment, are boosting domestic production capacity. The privatization of state-owned milling companies has improved efficiency and attracted foreign and local capital. The Fourth Milling Company’s US$ 229 million IPO is a prime example of growing investor confidence in the sector.

These initiatives are transforming Saudi Arabia into a regional hub for food manufacturing and flour exports.

Health and Wellness Trends

Health-conscious eating is reshaping flour consumption patterns across the Kingdom. Saudi consumers are increasingly opting for whole wheat flour, gluten-free flour, and functional flours fortified with vitamins and minerals. Whole wheat flour is gaining popularity due to its fiber content and digestive health benefits, while gluten-free options are expanding due to rising awareness of celiac disease and gluten sensitivity.

Functional flours enriched with iron, folic acid, and other nutrients are also seeing increased demand, especially among health-conscious families. This shift is pushing manufacturers to innovate, invest in R&D, and expand their specialty flour portfolios.

Technological Advancements in Milling and Packaging

Modern milling technologies are improving yield efficiency, consistency, and food safety. Automation, digital quality control, and energy-efficient systems are helping millers reduce wastage and operational costs. Advanced packaging solutions are extending shelf life and improving transportation efficiency, especially important in Saudi Arabia’s hot climate.

These technological upgrades are enabling producers to meet rising demand while maintaining quality standards, especially for premium and specialty flour products.

Challenges in the Saudi Arabia Flour Market

Water Scarcity

Water scarcity remains a structural challenge for Saudi Arabia’s flour industry. Limited freshwater resources restrict local wheat cultivation, forcing the Kingdom to rely heavily on imported wheat. This dependence exposes the flour market to global price fluctuations, supply chain disruptions, and geopolitical risks.

Wheat production also requires water-intensive irrigation, further straining national resources and making long-term self-sufficiency difficult to achieve without technological innovation or alternative sourcing strategies.

Rising Production Costs

Flour manufacturers face rising costs related to labor, energy, logistics, and imported raw materials. While modernization improves efficiency, investments in new milling equipment, digital systems, and infrastructure upgrades increase capital expenditure. These cost pressures may eventually translate into higher retail prices, potentially affecting consumer demand and profit margins.

Recent Developments in the Saudi Arabia Flour Industry

June 2024: Saudi Arabia’s First Milling Company (First Mills) secured a US$ 39.98 million loan from the Saudi Industrial Development Fund (SIDF) to restructure working capital and improve operational efficiency.

April 2024: First Mills launched operations at its new Durum Mill in Jeddah, the first of its kind in the Kingdom, designed to produce semolina for pasta, desserts, and specialty products. This facility marks a major milestone in Saudi Arabia’s move toward value-added flour products.

Saudi Arabia Flour Market Segmentation

By Raw Material

Wheat

Maize

Rice

Others

Wheat flour dominates the market, accounting for the majority of consumption, particularly in bread and bakery applications. However, maize and rice flours are gaining traction due to dietary diversification and gluten-free demand.

By Application

Noodles and Pasta

Bread and Bakery Products

Wafers, Crackers, and Biscuits

Animal Feed

Non-Food Application

Others

Bread and bakery products remain the largest application segment, reflecting the Kingdom’s strong bakery culture. Noodles, pasta, and snack products are growing rapidly due to changing consumption habits and the influence of global cuisines.

By Sales Channel

Supermarkets

Hypermarkets

Online Stores

Others

Supermarkets and hypermarkets dominate sales, but online grocery platforms are emerging as a fast-growing channel, driven by convenience, digital payments, and home delivery services.

Competitive Landscape: Key Players in the Saudi Arabia Flour Market

The Saudi flour market is moderately consolidated, with both global and regional players competing on quality, pricing, and innovation. Companies are focusing on product diversification, capacity expansion, and strategic partnerships to strengthen market presence.

Key Players Covered in the Report

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.

Company Analysis Includes:

Company Overview

Key Persons

Recent Developments & Strategies

Sales Analysis

Future Outlook

The Saudi Arabia flour market is positioned for sustained growth over the next decade. Population expansion, urbanization, health-focused diets, and government-backed food security programs will continue to fuel demand. The shift toward premium, fortified, and specialty flours will create new revenue opportunities for manufacturers, while digital retail and foodservice expansion will broaden distribution reach.

Despite challenges related to water scarcity and rising production costs, ongoing investment in technology, infrastructure, and local capacity is strengthening the industry’s resilience. As Saudi Arabia advances toward Vision 2030, the flour market will play a critical role in building a self-sufficient, diversified, and sustainable food economy.

Final Thoughts

Flour may appear simple, but in Saudi Arabia it represents stability, tradition, and transformation. From daily bread to modern pasta dishes, flour remains at the heart of the Kingdom’s food culture. With strong policy support, private investment, and evolving consumer preferences, the Saudi Arabia Flour Market is set to rise steadily through 2033, offering long-term opportunities for producers, investors, and retailers alike.

As the nation continues its journey toward economic diversification and food security, flour will remain a silent yet powerful force shaping the future of Saudi Arabia’s food industry.