Forecast Period
|
2026-2030
|
Market Size (2024)
|
USD 1.74
Billion
|
CAGR (2025-2030)
|
6.44%
|
Fastest Growing Segment
|
Online
|
Largest Market
|
Western
|
Market Size (2030)
|
USD 2.53 Billion
|
Market Overview
Saudi
Arabia Confectionery market was valued at USD 1.74 Billion in 2024 and is expected to grow to USD 2.53 Billion by 2030 with
a CAGR of 6.44%. The Saudi Arabia Confectionery market is
experiencing steady growth driven by several key factors. One of the primary
drivers is the country’s youthful and growing population, which has a strong
preference for sweet treats, especially among children and young adults. Rising
disposable incomes and increased urbanization have also contributed to higher
consumer spending on indulgent food products, including chocolates, candies,
and gums. Also, changing consumer lifestyles and a growing inclination toward
premium, innovative, and conveniently packaged confectionery items have boosted
demand. The influence of Western culture and increasing tourism has further
expanded the variety and availability of international confectionery brands in
the market. Also, aggressive marketing strategies and promotional activities by
major players are enhancing brand visibility and consumer interest, further
propelling market expansion.
Key Market Drivers
Urbanization
& Modern Retail Growth
Urbanization and the expansion of modern
retail infrastructure are pivotal drivers of Saudi Arabia's burgeoning
confectionery market. As a part of this, according to a recent study, as of
2023, retail sales in Saudi Arabia were projected to reach USD 126.1 billion.
With approximately 85% of the population residing in urban areas like Riyadh,
Jeddah, and Dammam, there is a heightened demand for accessible and diverse
confectionery products. The proliferation of supermarkets, hypermarkets, and
convenience stores has enhanced product availability, catering to the
fast-paced lifestyles of urban consumers. Also, the rise of e-commerce
platforms has further facilitated consumer access to a wide array of
confectionery items, offering the convenience of online shopping and home
delivery . These developments, aligned with the Kingdom's Vision 2030
initiative to diversify the economy and modernize infrastructure, have
significantly contributed to the growth and dynamism of the confectionery
sector in Saudi Arabia.
Growth
of Tourism & Expatriate Population
The growth of tourism and the expatriate population in
Saudi Arabia significantly bolsters the country's confectionery market. According
to UN Tourism's World Tourism Barometer, as of 2024, Saudi Arabia saw a 73%
rise in foreign visitor arrivals and a 27% increase in foreign tourism income.
As the Kingdom diversifies its economy under Vision 2030, it has become an
increasingly attractive destination for international visitors and foreign
workers. This influx of diverse populations introduces a wide range of taste
preferences and cultural influences, driving demand for varied confectionery
products. The presence of a multicultural consumer base encourages
manufacturers to innovate and offer products that cater to both traditional
Saudi tastes and international palates. Also, the expansion of the hospitality
sector, including hotels, restaurants, and cafes, creates additional channels
for confectionery sales, particularly premium and artisanal offerings. Seasonal
tourism peaks, such as during religious pilgrimages, further amplify demand for
confectionery items, especially those suitable for gifting. Consequently, the
combined effect of a growing tourist influx and a substantial expatriate
community contributes to a dynamic and expanding confectionery market in Saudi
Arabia.
Cultural
Celebrations and Gifting
Cultural celebrations and gifting traditions are
significant drivers of the confectionery market in Saudi Arabia. Festivals such
as Ramadan, Eid al-Fitr, and Eid al-Adha witness a substantial surge in demand
for sweets, as gifting confectionery is deeply embedded in Saudi culture.
Premium chocolates, traditional treats like maamoul and baklava, and artisanal
sweets are especially popular during these periods. The trend of gifting
high-end confectionery items during festive occasions has led to increased sales,
with boxed assortments and luxury chocolates being favored choices. Also, the
influx of pilgrims during Hajj and Ramadan contributes to seasonal spikes in
demand, as visitors often purchase sweets as gifts. The emphasis on gifting
during cultural celebrations not only boosts domestic sales but also encourages
international brands to tailor their offerings to local tastes and traditions,
further propelling the growth of the confectionery market in the Kingdom.

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Key Market Challenges
Regulatory
Compliance
Regulatory compliance presents a significant challenge
in the Saudi Arabia confectionery market, particularly as the government
enforces increasingly strict food safety and labeling regulations. The Saudi
Food and Drug Authority (SFDA) mandates rigorous standards for ingredients,
nutritional labeling, shelf-life declarations, and halal certification, all of
which must be met to ensure market entry and avoid penalties. For local and
international manufacturers alike, staying compliant often requires constant
updates to packaging, ingredient sourcing, and documentation, which can strain
operational and financial resources. Smaller producers may find it difficult to
keep pace with frequent regulatory changes and the associated costs of
compliance. Also, import regulations can be complex, requiring clear
documentation and adherence to customs protocols, which may delay product
launches or distribution. These regulatory requirements, though essential for
consumer protection and public health, create barriers to entry and increase
the cost and complexity of doing business in the Saudi confectionery sector,
especially for new or niche brands.
Supply
Chain Disruptions
Supply chain disruptions pose a considerable challenge
to the confectionery market in Saudi Arabia, particularly due to the country's
heavy reliance on imported raw materials such as cocoa, sugar, dairy, and
packaging components. Global supply chain instability—driven by geopolitical
tensions, rising freight costs, and port delays—can lead to inconsistent
availability and increased input costs for manufacturers. These disruptions
often result in delayed production schedules, reduced product variety, and higher
retail prices, which may impact consumer demand. Also, the perishability and
temperature sensitivity of many confectionery products make timely and
efficient logistics critical. Any delays or inefficiencies in cold chain
transportation, especially during the extreme summer heat, can compromise
product quality and increase spoilage risks. The COVID-19 pandemic highlighted
the sector's vulnerability to global shocks, reinforcing the need for resilient
and diversified sourcing strategies. Manufacturers are increasingly seeking to
localize parts of their supply chain, but high initial investment costs and
limited local alternatives remain key obstacles.
Key Market Trends
Increased
Focus on Sustainable Packaging
The Saudi Arabia confectionery market is increasingly
focusing on sustainable packaging as both consumers and regulatory bodies push
for environmentally responsible practices. As a part of this, according to a
recent study, nature-based environmental claims rate well, with 70% considering
that a package being made from plant-based material is relevant to them. As
environmental awareness rises, consumers are becoming more selective about the
products they purchase, preferring those with eco-friendly packaging. This
shift has led confectionery companies to adopt packaging solutions that are
recyclable, biodegradable, or made from renewable resources. The Saudi
government is actively encouraging sustainability through policies aimed at
reducing carbon emissions and promoting circular economies, which further
incentivize businesses to move toward greener packaging options. Also, the
packaging industry is witnessing a transition from plastic-based materials to
paper, cardboard, and plant-based alternatives. Innovations in biodegradable
and edible packaging, such as materials made from seaweed or starch, are
gaining traction as sustainable options. This trend not only aligns with global
sustainability goals but also offers brands the opportunity to stand out in a competitive
market by appealing to eco-conscious consumers.
E-commerce
Expansion
The expansion of e-commerce is significantly
influencing the Saudi Arabian confectionery market. As a part of this,
according to the International Trade Administration, as of 2024, the number of
Saudi internet users for e-commerce (selling and buying) is expected to reach
33.6 million, an increase of 42 percent from 2019.With a tech-savvy and
young population, online shopping has become increasingly popular, especially
among consumers aged 18 to 24. The convenience of online platforms allows
consumers to explore a wide variety of confectionery products, compare prices,
and have items delivered directly to their homes. This shift is also supported
by the government's initiatives to promote digital infrastructure and cashless
transactions, aiming for 70% cashless payments by 2025. As a result,
traditional brick-and-mortar stores are complementing their physical presence
with robust online platforms to cater to the growing demand for digital
shopping experiences. This trend not only enhances consumer convenience but
also opens new avenues for confectionery brands to reach a broader audience,
including those in remote areas, thereby accelerating market growth and
competition.
Rise
Demand for Natural & Organic Products
The Saudi Arabia confectionery market is experiencing
a notable shift towards natural and organic products, driven by increasing
health consciousness among consumers. This trend reflects a broader global
movement towards healthier eating habits, with consumers seeking alternatives
to traditional sweets. Products featuring organic ingredients and natural
sweeteners are gaining popularity, aligning with the wellness movement and the
country's emphasis on health. Confectionery companies are responding to this
demand by expanding their organic product lines to remain competitive in a
health-focused market. This shift towards healthier confectionery options is
expected to drive market growth, as more brands and products cater to this
growing demand.
Segmental Insights
Distribution
Channel Insights
Supermarket & Hypermarket dominated the Saudi
Arabia Confectionery market, attributed to their extensive product offerings,
strategic locations, and the convenience they provide to consumers seeking a
one-stop shopping experience. Major retail chains such as Lulu, Panda,
Carrefour, and Al Jazira have established a robust presence across the Kingdom,
facilitating easy access to a wide range of confectionery products. These
outlets often enhance the shopping experience with promotions, discounts, and
seasonal displays, particularly during peak demand periods like Ramadan and
Eid. The ability to compare various brands and products in-store further drives
consumer preference for these retail formats. While online retail is on the
rise, traditional supermarkets and hypermarkets remain the primary channels for
confectionery purchases in Saudi Arabia.

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Regional Insights
Western dominated the Saudi Arabia Confectionery market,
due to their established global presence, strong brand recognition, and
innovative product offerings. International brands like Mars, Nestlé, and
Hershey's have successfully tailored their products to cater to local tastes
while maintaining the quality and reliability associated with Western products.
Their wide distribution networks, strategic partnerships with major retailers,
and extensive advertising campaigns have enabled them to build a loyal consumer
base. Also, Western brands have capitalized on the rising demand for premium
and indulgent products, appealing to middle and upper-income consumers. Also,
the Northern & Central region's is driven by a significant portion of the
country’s confectionery market due to its economic and demographic factors.
Riyadh, as the capital and largest city, is a hub for business, retail, and
cultural activities, with a high concentration of affluent consumers. This
urban center also boasts a large, youthful population with increasing
disposable incomes and exposure to international food trends.
Recent Developments
- In October 2024, Spanish
tech firm Macco Robotics, a frontrunner in robotic technology solutions, has
formed a strategic alliance with ABEET, Saudi Arabia’s pioneering chocolate
manufacturer, under the Grow Food & Beverage Accelerator program.
- In October 2024, Al
Nassr has announced an exciting new partnership with Snickers, one of the
world’s leading chocolate brands, naming Snickers as the Official Chocolate
Partner for the 2024/25 season. As part of the agreement, Snickers’ logo will
be prominently displayed on the sleeve of Al Nassr's training kits,
underscoring a shared dedication to excellence both on and off the field.
Key Market Players
- Mars,
Incorporated
- Nestlé
Middle East FZE
- Bateel
International LLC
- The
Hershey Company
- Ferrero
International S.A.
- Meiji
Holdings Co., Ltd
- Mondelēz
International Inc.,
- Fujiya
Co., Ltd
- Lotte
Co., Ltd
- Barry
Callebaut
By Product Type
|
By Nature
|
By Distribution
Channel
|
By Region
|
- Gum
- Jellies
- Caramel & Toffees
- Mints
- Others
|
|
- Supermarket & Hypermarket
- Convenience Stores
- Specialty Stores
- Online
- Others
|
- Eastern
- Western
- Northern & Central
- Southern
|
Report Scope:
In this report, the Saudi Arabia Confectionery
Market has been segmented into the following categories, in addition to the
industry trends which have also been detailed below:
- Saudi Arabia Confectionery Market, By Product Type:
o Gum
o Jellies
o Caramel & Toffees
o Mint
o Others
- Saudi Arabia Confectionery
Market, By
Nature:
o Organic
o Regular
- Saudi Arabia Confectionery
Market, By
Distribution Channel:
o Supermarket &
Hypermarket
o Convenience Stores
o Specialty Stores
o Online
o Others
- Saudi Arabia Confectionery
Market, By Region:
o Eastern
o Western
o Northern & Central
o Southern
Competitive Landscape
Company Profiles: Detailed analysis of the major companies presents
in the Saudi Arabia Confectionery Market.
Available Customizations:
Saudi Arabia Confectionery Market report
with the given market data, TechSci Research offers customizations according
to a company's specific needs. The following customization options are
available for the report:
Company Information
- Detailed analysis and
profiling of additional market players (up to five).
Saudi Arabia Confectionery Market is an upcoming
report to be released soon. If you wish an early delivery of this report or
want to confirm the date of release, please contact us at [email protected]