Market Trends of Saudi Arabia Eggs Industry
Government Initiatives Supporting the Growth of Table Eggs in Saudi Arabia
Government initiatives in Saudi Arabia are expected to support the growth of table eggs in the market. The Ministry of Environment, Water, and Agriculture invests heavily in supporting poultry farms and poultry projects through government facilities by granting land, advisory support, capital support, and interest-free loans to enhance the agricultural sector and contribute to its development. Owing to rising government measures of self-sufficiency and reliance on eggs, the upcoming decade is likely to witness greater production of table eggs in Saudi Arabia.
In addition, Saudi Arabia aims to reach 80% of food security in poultry supplies by 2025, which is leading to an increased need for table eggs. Saudi Arabia has already reached above 100% food security in the supply of dairy and table eggs. The country hosted the third edition of the Middle East Poultry Expo from May 13 to 15, 2024, on an area of 15,000 sq. m at the Riyadh International Convention and Exhibition Center. The event was sponsored by the Government of Saudi Arabia (MSA), represented by the Ministry of Environment, Water and Agriculture. The objective of this event was to increase investment possibilities in the poultry industry and provide an optimal trading platform that brings local investors together with suppliers and global experts to develop the poultry industry with the aim of achieving the national strategy of food security. Thus, constant government aid in the poultry industry is leading to the mass production of table eggs in the country.
Rising Demand for Eggs in Restaurants Driving Market Growth
The Saudi Arabian eggs market is primarily driven by full-service restaurants and quick-service restaurants that are spread across the country. These establishments offer a wide range of egg-based food products on their menu that attract consumers in the country. Saudi Arabia’s urbanization and evolving consumer lifestyles are driving the expansion of the foodservice industry. As urban populations grow, there is an increased reliance on dining out, takeaway, and delivery services, leading to higher demand for eggs in restaurants and fast-food chains. For instance, according to the World Bank, the share of the urban population in Saudi Arabia was recorded at 84.73% in 2022.
Furthermore, these restaurants are also expanding through cloud kitchens in Saudi Arabia. These delivery-only establishments operate efficiently, focusing on fulfilling online orders for delivery platforms. Cloud kitchens rely heavily on poultry products, including eggs, due to their versatility and popularity among consumers ordering food for delivery, which, in turn, boosts the demand for eggs in the foodservice industry. For instance, in July 2023, cloud kitchen startup Rebel Foods, which houses brands such as Faasos, Behrouz Biryani, and Oven Story Pizza, entered Saudi Arabia with the launch of two cloud kitchens in Riyadh. The Faasos brand offers egg-based food products like egg wrap and others.
