Saudi Arabia Flour Market Size and Forecast 2025–2033

Introduction

Flour may appear simple, but within its fine powder lies the foundation of civilizations, cuisines, and cultures. From flatbreads baked in desert ovens to modern pastries lining supermarket shelves, flour has long been a cornerstone of daily life. In Saudi Arabia, flour is far more than a food ingredient—it is a strategic commodity tied closely to food security, economic diversification, and population growth.

According to Renub Research, the Saudi Arabia Flour 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. This steady expansion is supported by population growth, rising consumption of processed foods, government-backed food security initiatives, rapid urbanization, retail sector expansion, and technological advancements in milling and packaging.

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As dietary preferences evolve and Saudi Arabia continues its transformation under Vision 2030, the flour industry is emerging as a vital pillar of the nation’s food ecosystem.

Saudi Arabia Flour Market Overview

Flour is produced by milling grains—most commonly wheat—into a fine powder that serves as the base for bread, pastries, noodles, biscuits, and countless other products. While wheat flour dominates the market, alternative flours such as maize and rice are gaining traction due to dietary diversification and health-focused consumer trends.

In Saudi Arabia, flour demand is deeply embedded in everyday consumption. Traditional flatbreads, modern bakery products, and industrial food processing all rely heavily on a stable and high-quality flour supply. With a fast-growing population and one of the highest urbanization rates in the region, the Kingdom’s dependence on flour-based foods continues to rise.

The flour industry also plays a strategic role in national food security. Government policies supporting domestic milling capacity, wheat stockpiling, and private sector participation have strengthened the resilience of the supply chain. Modern milling facilities, improved logistics, and expanded retail access have further enhanced market efficiency.

Saudi Arabia Flour Market Size and Forecast

As per Renub Research, the Saudi Arabia Flour Market demonstrates strong and consistent growth potential:

Market Size 2024: US$ 2.01 billion

Forecast Market Size 2033: US$ 3.03 billion

CAGR (2025–2033): 4.66%

This growth reflects not only rising consumption but also qualitative shifts in the market. Premium flour varieties, fortified products, and specialized flours for industrial and health-conscious consumers are gaining momentum. The market’s expansion is also supported by increasing investments in food manufacturing infrastructure and milling technology.

Key Growth Drivers of the Saudi Arabia Flour Market

Population Growth and Rapid Urbanization

Population growth remains one of the most significant drivers of flour demand in Saudi Arabia. The Kingdom’s population reached approximately 35.3 million in mid-2024, growing at an annual rate of around 4.7%. Every increase in population directly translates into higher demand for staple foods, particularly bread and other flour-based products.

Urbanization further amplifies this trend. With over 92% of the population residing in urban areas, consumption patterns have shifted toward packaged, processed, and convenience foods. Urban lifestyles favor bakery products, ready-to-eat meals, and quick-service restaurant offerings—all of which rely heavily on flour. This demographic transformation continues to push flour producers to scale operations and diversify product portfolios.

Economic Diversification Under Vision 2030

Saudi Arabia’s Vision 2030 agenda has placed food security and local manufacturing at the center of national development. Reducing dependence on oil revenues and minimizing food imports are key strategic priorities.

The Kingdom aims to localize up to 85% of its food industry by 2030, potentially reducing annual food import costs by SAR 70 billion. Investments in food clusters, such as the Jeddah Food Cluster, have attracted billions of riyals in private capital, creating a favorable environment for flour milling and food processing.

Privatization has also played a crucial role. The listing of milling companies and increased private sector participation have boosted efficiency, transparency, and innovation within the flour industry. These measures are positioning Saudi Arabia not only as a self-sufficient market but also as a potential regional hub for flour and grain-based products.

Rising Demand for Processed and Bakery Products

The bakery and processed food segments are among the fastest-growing applications for flour in Saudi Arabia. Bread remains a dietary staple, while cakes, biscuits, crackers, and pastries continue to gain popularity across all age groups.

The expansion of international and local bakery chains, quick-service restaurants, and café culture has significantly increased demand for consistent, high-quality flour. Industrial bakeries require specialized flours with specific protein and gluten characteristics, driving innovation and product differentiation within the milling sector.

Health and Wellness Trends

Health-conscious consumption is reshaping the Saudi flour market. Consumers are increasingly seeking whole wheat, multigrain, gluten-free, and fortified flour products. Whole wheat flour, rich in fiber and essential nutrients, is gaining popularity among families focused on balanced diets.

Awareness of gluten intolerance and celiac disease is also expanding, encouraging demand for gluten-free alternatives made from rice, maize, and other grains. Additionally, fortified flours enriched with vitamins and minerals are becoming more common, aligning with national nutrition goals and public health initiatives.

This shift is pushing flour manufacturers to innovate, invest in research, and introduce value-added products that meet evolving dietary preferences.

Advancements in Milling and Packaging Technologies

Technological innovation has significantly improved efficiency and quality in Saudi Arabia’s flour industry. Modern milling equipment allows for higher yields, better grain utilization, and improved consistency. Automation has reduced operational costs while enhancing hygiene and safety standards.

Packaging innovations, including moisture-resistant and eco-friendly materials, have extended shelf life and improved product appeal. These advancements are particularly important for retail and online distribution channels, where product durability and presentation play a critical role.

Challenges Facing the Saudi Arabia Flour Market

Water Scarcity and Dependence on Imports

Water scarcity remains a major structural challenge. Due to limited natural water resources, Saudi Arabia relies heavily on imported wheat to meet domestic demand. This dependence exposes the flour market to global price fluctuations, geopolitical risks, and supply chain disruptions.

While government strategies such as overseas agricultural investments and strategic grain reserves help mitigate risks, long-term sustainability remains a concern. Balancing food security with water conservation continues to be a complex policy challenge.

Rising Production and Operating Costs

Flour manufacturers in Saudi Arabia face rising costs across multiple fronts. Energy prices, labor expenses, logistics, and raw material costs—particularly imported wheat—have increased operational pressures.

Although investments in modern milling technology improve efficiency over time, the initial capital requirements can be substantial. These rising costs may eventually impact flour pricing, potentially affecting affordability for consumers and profit margins for producers.

Recent Developments in the Saudi Arabia Flour Industry

The Saudi flour market has witnessed notable developments that underscore its growth momentum:

June 2024: First Milling Company (First Mills) secured a USD 39.98 million loan from the Saudi Industrial Development Fund (SIDF) to enhance operations and restructure working capital.

April 2024: First Mills commenced operations at its new Durum Mill in Jeddah, the first of its kind in Saudi Arabia. The facility is designed to produce high-quality semolina for pasta, desserts, and specialty products, marking a significant milestone in product diversification.

These developments highlight the industry’s focus on capacity expansion, specialization, and long-term competitiveness.

Saudi Arabia Flour Market Segmentation

By Raw Material

Wheat

Maize

Rice

Others

By Application

Noodles and Pasta

Bread and Bakery Products

Wafers, Crackers, and Biscuits

Animal Feed

Non-Food Applications

Others

By Sales Channel

Supermarkets

Hypermarkets

Online Stores

Others

Supermarkets and hypermarkets dominate flour sales due to widespread accessibility, while online channels are growing rapidly, driven by digital adoption and convenience-focused consumers.

Key Players in the Saudi Arabia Flour Market

The competitive landscape includes both global and regional players, each contributing to innovation and supply stability. Key companies analyzed include:

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.

Each company has been evaluated based on company overview, key leadership, recent developments and strategies, and sales analysis, offering a comprehensive view of market dynamics.

Final Thoughts

The Saudi Arabia flour market stands at the intersection of tradition and transformation. As a dietary staple deeply embedded in everyday life, flour continues to play a vital role in feeding a rapidly growing and urbanized population. At the same time, evolving consumer preferences, health trends, and technological advancements are reshaping the industry.

With the market projected to grow from US$ 2.01 billion in 2024 to US$ 3.03 billion by 2033, supported by a 4.66% CAGR, the future outlook remains positive. Government-backed food security initiatives, private sector investment, and innovation in milling and packaging are strengthening the industry’s foundation.

Despite challenges such as water scarcity and rising production costs, Saudi Arabia’s strategic focus on self-sufficiency and economic diversification positions the flour market as a resilient and essential component of the Kingdom’s food ecosystem. As Vision 2030 unfolds, flour will remain not just a staple—but a symbol of stability, sustainability, and progress.