Saudi Arabia Halal Food Market Research Report: Forecast (2026-2030)

Market Insights & Analysis: Saudi Arabia Halal Food Market (2026-30):

The Saudi Arabia Halal Food Market size is valued at around USD 46.22 billion in 2025 and is projected to reach USD 63.28 billion by 2030. Along with this, the market is estimated to grow at a CAGR of around 6.48% during the forecast period, i.e., 2026-30. The market has witnessed a notable growth in the past few years, backed by a predominantly Muslim population, expanding retail & E-commerce services, government support & certification infrastructure, increasing tourism & hospitality growth, and youth-driven demand for diverse halal offerings, etc.

The rapid expansion in organized retail chains and online grocery platforms offering halal food products is significantly driving the Saudi halal food industry by enhancing consumer access to halal-certified products across both urban and remote areas. Retail chains and E-commerce platforms both provide great product variety, traceability, and convenience as per the consumer preferences, especially among the young and tech-savvy population of the country, thereby accelerating the market size & volume. Additionally, the expanding hospitality sector in Saudi Arabia shows a strong growth potential for the market players of the halal food industry. This is due to the growing number of religious tourists, which fuels the need for authentic, high-quality halal meals across hotels, restaurants, and catering services.

Moreover, the rising adoption of advanced technologies, such as IoT devices, automated slaughtering systems, & AI-based quality checks, combined with traceability tools, such as blockchain & QR-based tracking systems, is emerging as the key trend for the Saudi Arabian Halal Food Industry. Additionally, high operational costs and a limited skilled workforce may hinder the smooth revenue growth & expansion of the halal food market during the forecasted period.

Saudi Arabia Halal Food Market Scope:

Saudi Arabia Halal Food Market Driver:

Religious Necessity & Government Support Driving Market Demand – A deeply rooted Islamic culture combined with government initiatives for halal food are the primary drivers for the Halal Food Industry. As of 2025, more than 93% of the country’s population, or around 34 million, are of the Muslim religion that are governed by Sharia Law, which mandates halal-certified food in daily life, thus creating a sustained demand for halal food items.

Additionally, Saudi Arabia is emerging as one of the global hubs for halal food. Under Vision 2030, Saudi Arabia’s government, through institutions like the Saudi Food & Drug Authority (SFDA) and the Halal Products Development Company (HPDC), is actively promoting the domestic production of halal food to meet the regular demand of consumers. For instance, in 2022, the Public Investment Fund launched Halal Products Development Company (HPDC), to localize the halal food industry and enhance production capacities to position Saudi Arabia as the global leader in the halal food industry, thereby fueling market size & volume.

Saudi Arabia Halal Food Market Challenge:

High Operational Costs & Limited Skilled Workforce – High operational and production costs of halal food is one of the primary challenges for the Saudi Arabia Halal Food Market. This is primarily driven by a combination of factors, such as heavy reliance on imported raw materials, energy-demanding production processes, and stringent halal certification requirements, leading to increased production expenses. For instance, in 2023, Saudi Arabia imported frozen boneless bovine meat of around USD339.15 million, fresh or chilled boneless bovine meat accounting for USD259.79 million, and intermediate food products of more than 2.5 billion. These elevated costs are excessively affecting the small and medium businesses from expanding their operations in this industry.

Moreover, the lack of skilled & experienced professionals in halal compliance, food processing technologies, and international standards further hampers the production efficiency and inhibits business growth & expansion. This is due to the lack of specialized training and education programs focused on halal compliance, food safety, and processing technologies, which limits the availability of a skilled workforce. Thus, this combination of factors is hindering the smooth growth trajectory of the Saudi Arabian Halal Food Industry.

Saudi Arabia Halal Food Market Trend:

Integration of Advanced Technologies in the Manufacturing Process – The growing integration of advanced technologies, like IoT devices, automated slaughtering systems, & AI-based quality checks, combined with traceability tools, such as blockchain & QR-based tracking systems, is a key trend in the Saudi Arabia Halal Food Products Industry. Unlike traditional methods, which typically count on manual documentation, are prone to human error, delays, and restrict transparency throughout the supply chain, advanced food-tech innovations ensure transparency across the supply chain, and give consumer greater confidence regarding the halal authenticity of their food.

Moreover, several companies such as Al-Fares Group, Halal Products Development Company, Solutions by STC, and National Aquaculture Group are involved in the traceability and food-tech innovations in the country’s halal food sector. For instance, in 2024, the Halal Products Development Company (HPDC) invested in Aldella Food Production, aiming to integrate advance technology-enabled halal value chains by expanding traceability, digital compliance, and transparent certification systems across the entire food supply chain Therefore, integration of advances technologies is changing market dynamics and is projected to augment the size & volume of the Halal Food Market in Saudi Arabia.

Saudi Arabia Halal Food Market (2026-30): Segmentation Analysis

The Saudi Arabia Halal Food Market study of MarkNtel Advisors evaluates & highlights the major trends and influencing factors in each segment. It includes predictions for the period 2026–2030 at the national level. Based on the analysis, the market has been further classified as:

Based on Distribution Channel:

• Supermarkets/Hypermarkets
• Convenience Stores
• Specialty Stores
• Online Retail
• Others

Out of all these, supermarkets/hypermarkets hold the largest market share, around 65% in the Saudi Arabian Halal Food Industry. This is attributed to the presence of extensive food variety and wide accessibility in supermarkets/hypermarkets of the country. These retail formats are signifying as a one-stop destination for consumers seeking halal products, including fresh meat & dairy, ready-to-eat meals, and snacks. Supermarkets have strong supply chain networks and partnerships with certified suppliers that help ensure consistent availability and authenticity of halal foods.

Moreover, there are prominent retail chains such as Panda, Lulu, and BinDawood that are continuously expanding their footprints across the country, which further strengthens the dominance of supermarket/hypermarkets in the halal food products industry. For instance, Panda Retail Company is set to open over 20 new stores by 2025, in Riyadh and remote areas of the Kingdom. Therefore, supermarkets/hypermarkets are the most prominent distribution channel, accelerating the overall growth & expansion of the halal food industry in the country.

Based on End-User:

• Household
• Foodservice
• Institutions

Above all, the household segment holds the largest market share, more than 60% in the Saudi Arabian Halal Food Industry. This dominance is largely influenced by the country’s Muslim-majority population, which heavily relies on halal-certified food products. The religious and cultural norms of consuming halal food at home ensure a stable consumption pattern, especially for items like meat, dairy products, and ready-to-eat meals. Furthermore, the growing health awareness, rising disposable income, and increasing need for packaged, branded, and traceable halal foods further support the rising demand from the household segment. Alongside the rise in nuclear families and working professionals in the country, there is a growing dependence on convenient, packaged halal food options that align with busy schedules while maintaining religious compliance. Thus, all these factors are placing the household as the primary end-user for halal food products in Saudi Arabia.

Top Saudi Arabia Halal Food Market Companies: Players, Analysis & Future Outlook

The leading halal food players in the Saudi Arabia Industry include Al Islami Foods, Al-Watania Poultry, Almarai Company, BRF S.A. (Sadia brand), Nestlé Saudi Arabia, Americana Group, Midamar Corporation, Savola Group, Qatar Meat Production Co., Hana Food Industries Co., Al Safi Danone, Halwani Bros Co., Tamimi Markets, and Others.

Saudi Arabia Halal Food Industry Recent Development:

• 2025: Almarai showcased its integrated food service platform Almarai Pro and reinforced its role in food security at Saudi Food 2025, serving 35,000+ hospitality clients and supporting Vision 2030.

Gain a Competitive Edge with Our Saudi Arabia Halal Food Market Report

1. Saudi Arabia Halal Food Market Report by MarkNtel Advisors provides a detailed & thorough analysis of market size & share, growth rate, competitive landscape, and key players. This comprehensive analysis helps businesses gain a holistic understanding of the market dynamics & make informed decisions.
2. This report also highlights current market trends & future projections, allowing businesses to identify emerging opportunities & potential challenges. By understanding market forecasts, companies can align their strategies & stay ahead of the competition.
3. Saudi Arabia Halal Food Market Report aids in assessing & mitigating risks associated with entering or operating in the market. By understanding market dynamics, regulatory frameworks, and potential challenges, businesses can develop strategies to minimize risks & optimize their operations.

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