Tag: Vision 2030

Saudi Arabia’s Coffee City: The Complete Story of a Giant Project Transforming Agriculture and Economy

Posted on by Qahwa World

Source: Qahwa World – Special Report |
Author: Qahwa World |
Date: June 9, 2026

Saudi Arabia’s Coffee City: The Complete Story of a Giant Project Transforming Agriculture and Economy

Key Highlights:

  • Saudi Arabia is building its first dedicated coffee city in the Al-Baha region, covering 170 hectares.
  • Over 527,000 coffee seedlings have been planted, with an expected annual production of 2,000 tons of high-quality coffee.
  • The Kingdom aims to establish six coffee cities to reach a national production target of 10,000 tons per year.
  • Investments exceed 1.2 billion riyals through the Saudi Coffee Company, owned by the Public Investment Fund.
  • The project will create about 100 direct jobs and hundreds of indirect opportunities.
  • Saudi Arabia currently imports 100,000 tons of coffee annually at a cost exceeding 2 billion riyals.
  • An initiative to plant one million coffee trees by 2030 supports food security and sustainability.

At a time when the world is seeking to diversify income sources and focus on sustainable agriculture, Saudi Arabia is taking bold steps to transform coffee from a traditional beverage symbolizing generosity and hospitality into a promising strategic economic sector. This vision is embodied in the first saudi coffee city project in the Al-Baha region, marking a qualitative leap toward achieving the goals of Vision 2030.

This giant project is not just an agricultural initiative. It is the cornerstone of the Kingdom’s vision to become a global coffee producer, reduce reliance on imports, enhance food security, and create thousands of jobs in rural areas.

The First Coffee City in Al-Baha: A Strategic Location and Ideal Climate

The pioneering project is located in the Makhushqa area of Al-Baha province, covering approximately 170 hectares (over 1.66 million square meters). After about three years since its launch, more than 527,000 coffee seedlings have been planted, with expected annual production of about 2,000 tons of high-quality coffee.

Al-Baha is one of the Kingdom’s most prominent agricultural regions, thanks to its mild mountain climate and altitude exceeding 2,000 meters above sea level. This altitude gives the coffee a distinctive taste and unique strength, rivaling the finest coffee varieties worldwide. The region currently hosts more than 450 coffee farms and about 115,000 coffee trees producing multiple varieties.

Indicator Value
Coffee city area 170 hectares
Coffee seedlings planted Over 527,000
Expected annual production 2,000 tons
Coffee farms in Al-Baha Over 450
Coffee trees in Al-Baha About 115,000

Ambitious Plan for Six Coffee Cities and National Production of 10,000 Tons

Saudi ambition is not limited to one city. The Kingdom aims to establish six specialized coffee cities in different regions, with the goal of reaching national production of 10,000 tons annually. Four development contracts have already been awarded to local and international companies, while the remaining contracts are still under tendering and competition.

The Ministry of Environment, Water, and Agriculture oversees these projects through its regional branches, opening the door to new investments and providing technical and logistical support to farmers.

Economic and Social Impact: Thousands of Jobs and Sector Growth

The Al-Baha coffee city project is expected to provide about 100 direct jobs for farmers, technicians, and supervisors, in addition to hundreds of indirect opportunities in logistics, roasting, packaging, marketing, and agricultural tourism.

This comes at a time when the coffee market in the Kingdom is valued between 7 and 18 billion riyals, with annual growth exceeding 5% to 9%. Saudis consume tens of millions of cups of coffee daily, making the sector a key driver of the hospitality industry and small and medium enterprises.

On the other hand, the Kingdom currently imports about 100,000 tons of coffee annually at a cost exceeding 2 billion riyals, prompting the government to accelerate local production efforts.

Indicator Value
Saudi coffee market size 7 to 18 billion riyals
Annual market growth 5% to 9%
Current annual imports 100,000 tons
Annual import cost Over 2 billion riyals

Massive Investments and Support Initiatives: Saudi Coffee Company and One Million Trees

The Saudi Coffee Company, owned by the Public Investment Fund, was established with investments reaching 1.2 billion riyals over 10 years. Key initiatives include planting one million coffee trees by 2030, establishing the Al-Baha Coffee Association to support small farmers, and developing training and research programs to improve quality and sustainability.

Engineer Mohammed Al-Marwani, CEO and Co-Founder of the Arab Coffee Foundation, stated: “The next step is to cement the Kingdom of Saudi Arabia’s position not just as a coffee-producing country, but as a globally recognized origin for coffee thanks to its quality, credibility, and innovation.” Al-Marwani noted that the challenge is not limited to increasing quantity but includes improving quality, developing modern processing methods, enhancing education and training, achieving environmental sustainability, and expanding access to local and global markets.

Future Vision: From a Net Importer to a Competitive Exporter

With these efforts continuing, experts expect the sector to transform from a net consumer to a competitive producer and exporter. Saudi coffee will contribute to enhancing food security, providing sustainable jobs for youth, and strengthening the Kingdom’s cultural and tourism identity. From the towering mountains of Al-Baha, a new story of the Saudi economy begins, where every coffee bean tells a story of ambition and national determination.

“Al-Baha always strives to be at the forefront of productive agricultural regions in the Kingdom of Saudi Arabia.”

– Mohammed Abbas, local coffee farmer

Frequently Asked Questions About the Saudi Coffee City Project

Q: Where is Saudi Arabia’s first coffee city located?

A: It is located in the Makhushqa area of Al-Baha province, covering 170 hectares.

Q: How many coffee seedlings have been planted so far?

A: Over 527,000 coffee seedlings have been planted.

Q: What is the Kingdom’s production target from these coffee cities?

A: To reach national production of 10,000 tons annually through six specialized cities.

Q: How much is the Saudi Coffee Company’s investment?

A: 1.2 billion riyals over 10 years.

Q: What is the one million coffee trees initiative?

A: A national initiative to plant one million coffee trees by 2030 to support local production and sustainability.

The Saudi coffee city project in Al-Baha is not just an agricultural initiative. It is a living model of Vision 2030 in action. It embodies Saudi ambition to transform local resources into national wealth, cultivating a prosperous future for generations to come, one cup at a time.

Prepared and edited by: Qahwa World – Based on reports from the Ministry of Environment, Water, and Agriculture and data from the Saudi Coffee Company.

All rights reserved. Republication with attribution permitted.

Publication date: June 9, 2026

Saudi Arabia: 1.3 Million Coffee Trees Produce More Than 870 Tons Annually

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Dubai – Qahwa World

Saudi Arabia’s Ministry of Environment, Water and Agriculture has announced that the Kingdom is home to more than 1.3 million productive coffee trees, with annual output exceeding 870 tons of green coffee. The trees are concentrated across the southern and southwestern regions of the country.

According to the ministry’s data, coffee cultivation is spread across Jazan, Asir, Al Baha, Makkah, and Najran. The mountainous highlands in these regions provide favorable growing conditions, supported by suitable climate patterns and fertile soil, contributing to the quality of the harvest.

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Jazan leads in the number of productive coffee trees, with more than 966,000 trees generating over 642 tons annually. Asir follows with more than 243,000 productive trees, producing upwards of 175 tons per year.

In Al Baha, the number of productive coffee trees stands at around 72,000. Makkah region accounts for more than 12,000 productive trees, yielding over 10 tons annually, while Najran hosts more than 9,000 productive trees with output exceeding 7 tons per year.

The ministry described Saudi coffee as one of the country’s key national crops, highlighting its cultural and social significance, particularly in traditional hospitality and during Ramadan, when preparation methods vary across regions.

Read also: Saudi Arabia Announces First-Ever Detection of Coffee Rust Epidemic in Jazan

The figures were released as part of the ministry’s “خير أرضنا” (“The Goodness of Our Land”) campaign, aimed at promoting local agricultural products, supporting farmers, and strengthening food security in line with Saudi Vision 2030 objectives.

The ministry also encouraged consumers to support locally produced coffee, noting that increased demand contributes to rural development and the long-term sustainability of the agricultural sector.

Saudi Arabia Aims to Increase Coffee Production Tenfold Through “Saudi Rural” Program

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Dubai – Qahwa World

Saudi Arabia is set to significantly boost its domestic coffee industry through the launch of the first subprogram focused on transforming coffee into a major cash crop, under the Sustainable Rural Agricultural Development initiative known as “Saudi Rural.”

The program is being implemented in collaboration with the Food and Agriculture Organization of the United Nations (FAO), aiming to develop all stages of the coffee value chain in the Kingdom — from production to processing and marketing.

Coffee is one of eight agricultural programs supported by Saudi Rural, which seeks to enhance food security, diversify crops, and improve livelihoods for farmers and small producers in rural areas.

The program targets an increase in annual coffee production from 800 tons to 7,000 tons by year-end — nearly a tenfold rise — while raising the self-sufficiency rate from 0.5% to 4.4%, in line with Saudi Vision 2030 goals.

Majid Al-Buraikan, the official spokesperson for Saudi Rural, highlighted that the program aims to integrate coffee into the agricultural crop structure as a key cash crop and to enhance production diversity. The initiative also seeks to reduce coffee imports, increase value addition through diversified processing and marketing, improve incomes for small farmers, and create job opportunities for youth in production areas and along the coffee value chain.

Previously, Saudi Rural set targets to plant 50,000 coffee seedlings and increase the productivity of existing crops by 30% by the end of 2025.

Saudi Arabia’s Coffee Shops: From “Al-Zuhour” to a Billion-Riyal Industry under Vision 2030

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Dubai – August 22, 2025 (Qahwa World) – Coffee in Saudi Arabia is no longer just a morning ritual or a social beverage. It has transformed into a thriving industry aligned with Vision 2030, drawing local and international investment. According to figures reported by Al-Eqtisadiah, the Saudi coffee market was valued between SAR 5 and 7 billion in 2024, growing at an annual rate of more than 5%. Saudis consume around 80,000 tons of coffee beans annually, which translates to 36.5 million cups every day.

Saudi Arabia’s café culture dates back to the mid-20th century. One of the earliest modern cafés, “Al-Zuhour,” opened in Riyadh in 1954. At the time, Yemeni-style cafés, serving coffee alongside tea, shisha, and food, were more prominent. By the 1960s and 1970s, cafés became more widespread, only to face setbacks during the 1980s due to social restrictions.

With the dawn of the new millennium, internet cafés marked the beginning of a new chapter. These spaces quickly evolved into modern cafés, catering to a young population—70% of Saudis are under 35. This demographic shift laid the foundation for today’s café boom, where establishments are not only places for leisure but also venues for cultural and artistic events.

Coffee and Vision 2030

Vision 2030 treats coffee as more than a beverage. It is seen as part of Saudi Arabia’s cultural identity and as a driver of economic diversification. In 2022, the Ministry of Culture declared the “Year of Saudi Coffee,” while also adopting the official term “Saudi Coffee” instead of “Arabic Coffee” in restaurants, cafés, and retail outlets.

This move carried strong symbolic value, reaffirming coffee’s deep cultural roots in the Kingdom. It also boosted international recognition through festivals, exhibitions, and promotional campaigns, positioning Saudi coffee as both a cultural marker and an economic asset.

To build on this momentum, the Public Investment Fund (PIF) launched the Saudi Coffee Company in 2022, with a SAR 1.2 billion (USD 320 million) investment plan over ten years. The company’s mission is to develop a full value chain—from cultivating beans in the southern regions, particularly Jazan, Asir, and Al-Baha, to processing, roasting, marketing, and exporting.

The plan includes planting 5 million coffee trees by 2030, raising domestic production from 800 tons annually to over 10,000 tons. A major milestone is the construction of a factory in Jazan with a capacity of 27,000 tons per year, including 9,000 tons of roasted coffee, with scalability for future expansion. This facility is expected to be a cornerstone for local industry growth and international market entry.

Cafés now account for 16% of Saudi Arabia’s food service sector, which reached SAR 17 billion in 2024. The Ministry of Commerce reports that by mid-2025, there were 61,000 commercial licenses for cafés, including 27,000 for traditional coffee shops.

On the brand front, competition is fierce. Local chain Barn’s leads the market with more than 800 outlets, followed by Dunkin’ with over 600, and Starbucks with more than 450. Kyan Café has expanded to over 270 locations, Coffee Address to 234, while Dr. Café maintains a strong presence with more than 100 outlets. This mix of homegrown and global brands reflects the Kingdom’s dynamic market and consumer demand.

From History to Today’s Transformation

Historically, coffeehouses worldwide were intellectual and social hubs—whether in Istanbul in 1475, Cairo’s famed El Fishawy café that hosted writers like Naguib Mahfouz, or the European coffeehouses that played roles in politics and literature.

In Saudi Arabia, the transformation has been unique. From Al-Zuhour in the 1950s to today’s modern coffeehouses, these spaces now serve as cultural platforms as much as commercial ventures. They host poetry readings, art exhibitions, and social events, aligning with a broader national vision to diversify entertainment and cultural offerings.

Long considered a “drink for the mood,” coffee in Saudi Arabia is now firmly embedded in the economic landscape. It is part of a broader narrative that blends heritage and modernity. Between the millions of cups consumed daily, the government-backed Saudi Coffee Company’s ambitious investments, and the strong presence of global and local brands, coffee has become a pillar of both identity and growth.

From its modest beginnings in a small Riyadh café seven decades ago to today’s billion-riyal industry, Saudi coffee tells a story of transformation. It is no longer only about flavor and tradition, but also about culture, business, and the country’s ambition to position itself as a key player in the global coffee economy.

Coffee Boom: Saudis Consume 36 Million Cups Daily

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Dubai, August 21, 2025 (Qahwa World) – Saudi Arabia’s coffee market is witnessing unprecedented growth, positioning the Kingdom among the world’s top consumers of caffeine. According to the Saudi Restaurants and Cafés Association, Saudis consume around 36 million cups of coffee every day, roughly equivalent to one cup per person. The local market is valued at between $1.3 and $1.9 billion annually, reflecting strong demand and a broad consumer base. Projections also suggest that the coffee market across the Middle East and North Africa could reach $11.7 billion by 2027, with Saudi Arabia making a major contribution thanks to the rising popularity of specialty coffee.

The Ministry of Commerce has issued more than 61,000 café licenses across the country, including 27,000 licenses for traditional neighborhood cafés that serve Arabic coffee and heritage products. This surge underscores how cafés have evolved into vibrant social and economic hubs that now compete with restaurants in both customer traffic and revenue. International chains such as Starbucks and Tim Hortons sit alongside fast-rising Saudi brands like Eksiir Al Bun (Elixir Bunn), Khutwat Jaml (Camel Step), and Barn’s, offering innovative experiences inspired by local culture. Technology has also played a vital role in transforming the café landscape, with online ordering apps, digital payment systems, and even the use of robot baristas in advanced outlets.

According to Ahmed Al-Qashqari, CEO of the Saudi Restaurants and Cafés Association, cafés now account for 16% of the Kingdom’s food service sector, compared to a time when restaurants dominated. He noted that the sector is expanding at an annual growth rate of more than 5%, driving job creation and diversifying income streams in line with Vision 2030, which seeks to establish a sustainable, diversified economy. Beyond their economic role, cafés have also become important community spaces, providing ideal environments for networking, creativity, and entrepreneurship, particularly among young Saudis who make up the majority of the population and lead many successful ventures in this sector.

Saudi Arabia has also invested around $320 million to boost domestic coffee cultivation, particularly in the regions of Jazan, Al-Baha, and Asir, which produce the premium Khoulani Arabica beans renowned for their global quality. This investment is designed to significantly increase production and transform Saudi coffee from a cultural tradition into a competitive economic product with strong export potential. The initiative also strengthens the Kingdom’s standing in the global coffee industry. Meanwhile, events such as the Saudi Coffee Festival continue to promote local products and enhance cultural tourism, further solidifying coffee’s strategic role in the national economy.

Despite this remarkable growth, the sector faces challenges, including high operating costs, fierce competition among brands, and the need to continuously train baristas and staff to ensure a world-class experience. Reliance on imports for certain coffee varieties also remains an obstacle to full self-sufficiency. Nevertheless, ongoing investments in local production, combined with technological innovation and consumer-focused strategies, point toward a bright future for Saudi Arabia’s coffee industry, which is fast becoming one of the most dynamic economic and cultural drivers in the region.