The Kingdom is seeing genuine expansion in the consumer products market even as global peers struggle with stagnant demand and price hikes to mask flat volumes, according to Bain & Company’s Middle East Consumer Products Report 2025 (pdf). Saudi Arabia’s consumer packaged goods (CPG) market hit USD 65 bn in 2024, posting 4% volume growth — more than double the global average of 1.7%.

What’s driving the growth

The momentum is rooted in a shifting population and lifestyle mix. Expats and tourists are expected to account for nearly half of the population by 2030, while female workforce participation has climbed to 35%.

Retail channels are evolving just as quickly. Bain & Company projects that e-commerce and food service will drive 70% of the F&B sector’s incremental growth through 2030, outpacing traditional retail. The driver is rising “time poverty” across MENA, where 37% of consumers say they lack time for daily essentials — a rate higher than global peers — making convenience and speed critical for brands.

What the numbers mean

Saudi’s consumer market is booming, but that means businesses need to get smart about how they operate: As the Kingdom positions itself as the primary regional business hub, firms are paying more attention to their supply chains and governance plans, with c.26% of surveyed firms signaling they plan to localize manufacturing in Saudi Arabia. While this shift is partially grounded in streamlining costs, it’s also about proximity to an opinionated consumer base that places value on Made in Saudi products and brands with value alignment.

Rising workforce participation also doesn’t just mean wage inflation — it’s a signal of shifting priorities to cater to. With more women entering the workforce, this labor market shift is creating a massive new segment of “time-strapped” consumers who prioritize convenience.

The regional context

The Middle East remains a rare bright spot for global CPG, with the regional market totaling over USD 450 bn in sales in 2024, including USD 200 bn in F&B and USD 250 bn in non-food categories. The market is on track to reach USD 650 bn by 2030.

While the Kingdom and the UAE lead in volume growth, Egypt remains the largest market by scale with sales reaching USD 67 bn in 2024. The Egyptian market is forecast to hit USD 106 bn by 2030, driven by demographics and a shift toward modern trade channels, particularly in Cairo and Alexandria. Iraq is emerging as a key focus market, offering a diversified growth corridor backed by improving retail infrastructure.

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