Saudi Arabia Aquaculture Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Saudi Arabia Aquaculture Market Trends and Insights

Subsidy expansion under USDA Seafood Import Substitution Program

Subsidized credit from the Saudi Agricultural Development Fund expanded lending capacity. In February 2025, combined with Sharia-compliant financing options, this has enabled companies like Balady Poultry Trading to secure USD 304 million for integrated protein production facilities that include aquaculture components. Domestic feed manufacturers have begun scaling production lines dedicated to aquafeed, locking in cost advantages across the value chain. This financial architecture creates a competitive advantage for domestic aquaculture operations by lowering capital costs and extending repayment terms beyond what traditional commercial lending would offer. In December 2024, Modern Mills' USD 40 million investment in feed milling expansion specifically targets aquaculture feed production, indicating that subsidy benefits extend throughout the value chain.

Growing consumer preference for domestic, traceable seafood

Post-pandemic supply-chain disruptions heightened demand for provenance-verified seafood, especially in fine-dining and hotel chains that dominate inbound tourism. Premium buyers are now willing to pay 15-20% premiums for locally certified product lines. These price signals, coupled with expanding e-commerce channels, have improved producer margins and incentivized investment in certification systems that log origin, feed type, and harvest date. Corporate food service contracts, particularly those serving the expanding tourism and hospitality sectors in NEOM and The Red Sea Project, are establishing long-term off-take agreements that provide revenue certainty for aquaculture investments.

Advances in Recirculating Aquaculture Systems (RAS) commercial viability

KAUST researchers have cut desalination energy demand to 2.27 kWh/m³, lowering water-treatment costs for inland RAS operations. Integration of rooftop solar arrays and battery storage has enabled some farms to cover 30–40% of electricity loads via renewables. As scale increases, hybrid power configurations are projected to reach parity with grid tariffs, making inland production commercially competitive with coastal cage farming. The commercial breakthrough is further evidenced by the emergence of specialized RAS equipment suppliers and engineering firms targeting the Saudi market, indicating mature supply chain development.

Rapid adoption of IoT-enabled water-quality sensors in inland farms

Networked probes feeding real-time dissolved-oxygen, pH, and ammonia data into cloud dashboards now underpin automated feeding and aeration algorithms. Operators report labor savings up to 30% and survival-rate improvements of 5–8 percentage points. In a desert setting where water chemistry can shift within hours, predictive alerts mitigate mass-mortality risk and reduce insurance premiums. The data generated by these sensor networks is increasingly being integrated with artificial intelligence platforms to optimize feeding schedules, predict disease outbreaks, and maximize production efficiency.

Limited vaccine availability for emerging pathogens

Recent White Spot Syndrome outbreaks underscored the vulnerability of shrimp operators relying on generic vaccines formulated for other oceans. Lack of region-specific biologics forces farms to employ costly biosecurity protocols that cap stocking densities, raising unit costs by 10–15%. International suppliers remain hesitant to invest in tailored R&D until volumes justify scale, prolonging exposure to disease shocks. This gap forces Saudi operators to rely on prophylactic treatments and enhanced biosecurity measures that increase operational costs while limiting production density and growth rates.

High electricity costs for energy-intensive RAS facilities

Industrial tariffs consume up to 25% of total operating expenses for large-scale RAS farms. Mandatory backup generators and redundant chillers inflate both capital and maintenance budgets. Solar retrofits offset part of the daytime load yet require high initial outlays and land footprints, slowing adoption among mid-sized operators. Without affordable power-purchase agreements, inland expansion could decelerate. While renewable energy integration offers long-term solutions, the upfront capital requirements for solar installations and energy storage systems create additional financing hurdles for aquaculture developers. The constraint is particularly acute for inland desert facilities that cannot benefit from natural seawater cooling and must rely entirely on mechanical systems for temperature control.

Segment Analysis

By Species: Shrimp Drives Premium Growth

Catfish maintained a 34.12% Saudi Arabia aquaculture market share in 2025 due to entrenched pond assets and a price point suited to mass retail. Shrimp is on track for a 8.72% CAGR through 2031, the fastest among all species, fueled by USD 3.7 billion Saudi-Chinese joint-venture funding for genetics and hatchery scale-up. Strong export premiums and expanding Gulf airline cargo hold capacity underpin the species’ margin profile. Tilapia holds a sizeable share in inland provinces because it tolerates variable water quality and commands lower feed costs, while niche operators are trialing high-value grouper, barramundi, and salmon in pilot RAS modules.

Consumer demand for sustainably raised crustaceans motivates farms to invest in traceability and antibiotic-free grow-out protocols, winning certification from the SAMAQ national quality mark. Arabian Shrimp Company’s hatchery expansions point to centralized post-larvae supply, reducing biosecurity risk for smaller growers. Although catfish volumes will continue to anchor domestic protein supply, revenue contribution from shrimp is projected to surpass catfish by 2030 as the price per kilogram doubles that of freshwater staples. These dynamics indicate an increasing bifurcation between affordable mass protein and premium export-oriented lines.

Note: Segment shares of all individual segments available upon report purchase

Geography Analysis

The Arabian Gulf coast, anchored by Dammam and Jubail, complements Red Sea output with quick access to major population hubs. Operators here leverage industrial utilities, existing cold-storage hubs, and petrochemical by-products for feedstock and energy integration. Higher salinity and seasonal thermal spikes necessitate species selection attuned to extreme parameters, yet offer niche premium species that command elevated price points in gourmet channels. The Red Sea Project's marine spatial planning process, while comprehensive, has designated significant coastal areas for tourism and conservation uses that exclude traditional aquaculture operations.

Production clusters span the Red Sea coast, Arabian Gulf shoreline, and emerging desert interiors. The Red Sea stretch from Jeddah to Umluj hosts the bulk of licensed cage capacity owing to stable salinity and year-round temperature profiles. NEOM-linked infrastructure upgrades, including dedicated service harbors and solar-powered desalination plants, position the region as a springboard for premium export campaigns. Environmental-baseline surveys completed in 2024 furnish granular data that inform site placement and carrying-capacity thresholds, aiding sustainable expansion.

Desert-based RAS campuses form a third node, freeing investors from maritime zoning while exploiting cheap land and abundant solar irradiance. Proximity to logistics corridors shortens haul times to Riyadh’s wholesale markets. KAUST pilot sites demonstrate integrated water-reuse and mineral-extraction schemes that upgrade waste brine into commercial co-products, creating circular-economy revenue streams. As policy incentives target water-efficient agriculture, desert aquaculture stands to capture incremental slices of the Saudi Arabia aquaculture market share in the medium term.