☕Check out my latest article with Revista Espresso Magazine on the Saudi Coffee Market titled:
Cafe: one of the jewels of the Kingdom
I was quoted by highlighting the changes in coffee consumption over the years from traditional Arabian brews to international brews.
“Young people between 24 and 40 years old have demands for certified coffees, for healthier products and usually accept to drink coffee in single-dose systems”
💡 But why is this important?
☕The article explores the rich history of coffee in KSA as well as the recent advancements by the Saudi Coffee Company (SCC) recently established by the Saudi Public Investment Fund (PIF). SCC has pledged to invest ~$320m in the country’s domestic coffee over the next 10 years. To boost local production from 300 to 2500 tonnes per year.
This is a push to diversify the food and agriculture sector and to lower food costs through local procurement and manufacturing. The coffee cafe sector is contributing to a growing tourism industry in alignment with Saudi’s 2030 vision and $1 trillion investment over the next 10 years to boost Saudi tourism.
According to the World Coffee Portal, the Saudi Arabian branded coffee shop market grew 18.5% over the last 12 months to exceed 3,550 outlets (November 2022). Making it the largest in the Middle East.
Saudi Arabia currently holds 40% of the Middle East’s 8,800 plus branded coffee shops and has produced the 5 largest coffee chains in the region.
Among these chains is Barns Coffee, established in 1992, the first contemporary, yet fully home-grown, specialty coffee brand in Saudi Arabia.
Barn’s Coffee recently announced its plans to expand into the ASEAN region with Malaysia as its hub (July 2023).
Notably Half Million غير رسمي café established in 2018 opened 4 outlets per day and exceeds 400 outlets in Saudi Arabia to date (January 2023).
Get in touch if you would like to learn more about the Saudi Coffee Industry as there was so much to discover and thank you Thais Fernandes for the kind interview and feature.
English Transcript of the article
Birthplace of the Arab community and many other milestones in history history of humanity, Saudi Arabia is also advancing in consumption of specialty coffees. And it invests heavily in this segment.
Still in 2023, the local government announced that it plans to invest in the coffee sector, around 1.2 million Saudi riyals (yes, the name of the currency is very similar to ours, isn’t it?).
The value represents around 1.59 million reais. The contribution will come from the recently created Saudi Coffee Company, in public investment fund prey dedicated to transforming Saudi coffee in commodity. The expectation is that, with the value injected, the coffee market in country jump from an annual production of 300 to 2.5 thousand tons. Yes, believe me, There are coffee plantations in the Middle East.
DESERT CAFES
Despite being thirsty for grains from different origins, the country is betting on a small area of its territory. The region, located on arid soil, is called Jazan and is one of the oldest coffee growing communities in the world, with more 800 years of coffee cultivation. There, between Saudi Arabia and Yemen, there are lands fertile areas, wells and valleys. Jazan’s coffee production has endured for centuries, and is currently harvesting fruit toss. The Saudi Coffee Company recently announced the official launch of Jazean, the local roasted coffee brand. According to the company, among the lines between Jazean’s products are specialty grains.
However, the small amount currently – production makes Saudi coffee difficult to buy – find it, even in local coffee shops. “We have this region to the south, between Saudi Arabia and Yemen. The quantities are still very small and it is a very expensive grain, precisely because of its rarity”, ex- says Sara Alali, barista and owner of the café That Coffee Shop, in Riyadh, capital of Saudi Arabia – said. “We only prepare these coffees on special occasions, special events, such as the country’s birthday”, he adds, referring to the celebrations of the founding of the Kingdom of Saudi Arabia, held in September.
TRADITION AT HOME, SPECIALS OUTSIDE In addition to being a barista and owner of That Coffee Shop, Sara is also a barista and national preparation champion of Arabic coffee. Country where the first coffee shop was born As far as we know, Saudi Arabia has a long story with the grain. And a way to prepare coffee unique, called qahwa. The method, similar to Turkish preparation, has its own championship. According to Sara, even in a moment of revo – lution in consumption, the traditional method remains.
its place in the hearts and on special occasions of Saudis. “To this day, coffee is still consumed in the traditional way, as always”, he explains. The qahwa consists of boiling water and coffee in a container measuring approximately one liter for 20 minutes. nuts. “Generally, the beans are roasted a little lighter than those roasted in the West”, she teaches. Saudis also add spices to the drink, such as cardamom and saffron, the quantities of which vary depending on the region. This entire process, including serving the drink in small typical cups, Cas, called finjan or finyal, have historical importance for the Saudis. “Coffee is a very important part of everyday life and is like a ceremony, in that we get together to have coffee together”, explains Sara. “How can we not drink our Just traditional coffee alone, it is a social ritual, which takes place at weddings, funerals and family gatherings”, he adds. Traditions aside, the Kingdom of Saudi Arabia is in the process of modernizing zation. And the coffee was not left behind.
SAUDI ARABIA CHANGES, AND FAST Whenever I write about the customs of this region, called the Peninsula or Gulf, I remember a report by specialized journalist Alexandre Rocha which bears the title of “Saudi Arabia changes, and fast”. The country, which is one of the main major powers in the Middle East, has planned and has been executing a series of dances for at least a decade. And this happens in several sectors, from the crawling during cultural opening up to the big steps towards a new image and the diversification of the economy, which until today is dependent on oil. In this race, the coffee market is also looking for new directions. “I see the changes but I would say that they are more like an evolution”, analyzes Sara. According to her, there is a significant portion of the population made up of young people, open to different cultures and new market trends. This means that it is possible to find people who drink filtered coffee, others who drink espresso and some, even, who consume drinks at milk-based, like cappuccino. “Here, also take We have what we call Turkish coffee. So, it’s very co- We can drink all types of coffee”, says the barista. It is also on young people that Dalal AlGhawas, founder of the consultancy Agrifood and who studies the food sector in the Middle East and Asia. For Dalal, they are the ones who have driven the changes ces in Saudi Arabia. “Young people between 24 and 40 years old have demands for certified coffees, for products healthier and usually accept to drink coffee in single-dose systems”, explains the researcher. WHAT SAUDIANS WANT: ICE COFFEE, DOSES UNIQUE AND VEGETABLE MILK.
Single doses are one of the segments that most pay attention to the region. Be it sachet drinks or capsules, consumers in the country pay for practicality. But there are other trends and innovations. One of them is the diversity of origins, as there is at Sara’s coffee shop, which has beans from countries like Colombia, Brazil, Costa Rica and Yemen, and from different regions of Ethiopia. Another trend is the multiplication of methods. Also noteworthy is the demand for fermented coffees, which saw a peak in consumption, recently stabilized, and the (almost obvious) search for recommended for iced coffees, due to the high temperatures Of region. And, for so much thirst, there is nothing better for the settlers. cements than running 24 hours a day. The weather, extremely hot Saudi Arabia, too has led people to consume coffee at night, as a way of socializing after work. “This increased the popularity of coffee shops and, in In some cases, their ability to function infinitely disruptively”, adds researcher Dalal.
MORE PROFESSIONALS FOR SPECIALTY COFFEE If the country has consumers with multiple tastes, it also has also seen an increase in the number of Saudis who rem working with specialty coffees. “Many people are interested in learning more about espresso specials and how to become baristas, roasters and coffee professionals”, says Sara, who also gives bartending classes. The interest comes from both women and as many men, and many people, according to her, have already participated as judges in competitions. With the increase in the number of professionals, roastings multiply. “We have a lot of cafes, baristas and educators. Coffee training takes place in all regions, as people want to more and more courses and training”, she explains. The movement towards quality coffee has been encouraged by the country’s government, from of a training promotion program in the sector of food and drinks. The project, of course, covers the coffee and encourages professionalization in the sector. But, after all, why does the Saudi government want to wear so much in coffee? The answer lies in tourism. The coffee sector is one of those that contributes most to the growth of the tourism industry, in line with the Saudi Vision, a government plan with goals to be achieved by 2030. It is aspects like these that attracted Brazilians Maria Eduarda Becker, who operates in the Arab market since moving to Dubai, in the United Arab Emirates United. From there, Maria Eduarda saw the opportunities entities of the neighboring country. “It’s impressive to see the de- Saudi Arabia’s development when it comes to These are specialty coffees”, he highlights. “There are pioneering companies on the market, which continue to develop as side of new players”, he adds. The Brazilian also also mentions the migration of coffee brands, originally commercial, for specialty grains.
Maria Eduarda’s first trip to Saudi Arabia was in 2019, to get to know the place and look for customers for your company Tres Marias, which has a line of green and roasted coffees. In 2022, she was on Saudi soil thirteen times and passed through cities such as Riyadh, Jeda and Damman, when the company launched line of plant-based milk for baristas. “Due to its size and competitiveness, this is a difficult market, but with patience and developing relationships everything becomes easier”, he believes. After contacts began, the Brazilian company introduced the Saudi market its line of milks. “Today we have four products on the market: coconut, almonds, soy and oats”, she explains, who faced more challenges than she imagined. “It is- We are working to overcome them, as I believe that the Saudi market is very important for the brand, especially because it was born in this region”, analyzes the businesswoman. According to her, the demand for her milk from coffee shops has grown. although accompanied by intense work in educational terms, to that baristas and customers understand the product. For 2024, your expectations is to be in the main supermarkets in the country. “In this first year, we focused on food service sector”, he explains. It is this educational effort, which is happening in the country in different ways, that the Brazilian wants to explore. “The barista does not need to compromise on quality of the texture of the milk drink, the latte art, and, at the same time, the consumer has a positive sensory experience”, he believes. For the businesswoman, it is important for Tres Marias to gain space in the Gulf region, at the same time as start “planting seeds” in other places around the world. Currently, Maria Eduarda works in the United Arab Emirates, Saudi Arabia, Kuwait and Bahrain. “Our next step is to conquer the supermarkets in the region, and remain I look at the Brazilian and American markets”, he promises.
End of the article