[Latest] Saudi Arabia B2B Catering Services Market Set to Surpass US$ 4,717.6 Million by 2033 | Astute Analytica
Fueled by Vision 2030’s giga-projects, the Saudi B2B catering market is experiencing historic growth. Long-term contracts are now standard, supporting immense workforces in the booming construction, industrial, and expanding corporate and tourism sectors.
Chicago, Aug. 08, 2025 (GLOBE NEWSWIRE) — The Saudi Arabia B2B catering services market was valued at US$ 2,471.9 million in 2024 and is expected to reach US$ 4,717.6 million by 2033, growing at a CAGR of 7.78% during the forecast period 2025–2033.
The confluence of Saudi Arabia’s Vision 2030, a surge in giga-project development, and a burgeoning tourism sector is creating an unprecedented landscape of opportunity within the Kingdom. Central to this transformation is the Saudi Arabia B2B catering services market, a sector experiencing explosive, demand-driven growth. No longer confined to traditional industrial and corporate contracts, the market is now at the forefront of servicing mega-workforces, new international airlines, and a rapidly expanding hospitality industry.
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For stakeholders, investors, and service providers, the current and updated report on the market represents a pivotal insights. The scale of development necessitates sophisticated, high-volume, and increasingly specialized catering solutions, positioning the sector as a critical enabler of the Kingdom’s economic diversification and a highly lucrative field for strategic investment and expansion. The potential is immense, with demand escalating across every conceivable vertical.
Key Findings in Saudi Arabia B2B Catering Services Market
| Market Forecast (2033) | US$ 4,717.6 million |
| CAGR | 7.78% |
| By Type | Contract Catering (78.28%) |
| By Contract Length | Long Term (<1 Year) (44.75%) |
| By Services | Corporate Catering (18.75%) |
| By End Users | Construction (17.23%) |
| Top Drivers |
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| Top Trends |
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| Top Challenges |
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Giga-Projects are Unprecedented Engine Fueling The Kingdom’s B2B Catering Revolution
The primary catalyst for the Saudi Arabia’s B2B catering services market expansion is the sheer scale of Vision 2030’s giga-projects. These developments require catering services for massive workforces, creating a bedrock of long-term demand. The workforce at NEOM alone is projected to surpass 200,000 individuals by 2025. This has led to high-value contracts, such as BAAN Holding Co.’s agreement worth nearly SAR 436 million to provide catering at a NEOM residential complex, with its financial impact anticipated in the second quarter of 2025. These are not short-term arrangements; the contract is a six-year deal concluding on December 31, 2030. Similarly, Abdulmohsen Alhokair Group secured a catering services contract at a NEOM complex valued at an estimated SAR 760 million.
The long-term nature of this demand is further exemplified by Saudi Airlines Catering Company (SACC), now Catrion, which entered a 20-year contract with Red Sea Global (RSG). This monumental agreement, with a provisional value of approximately SAR 6.3 billion, involves designing, building, and operating a central production unit. The future potential is staggering; the Qiddiya giga-project aims to house over 600,000 residents and is expected to create 100,000 jobs during construction, while the national goal to generate 1.6 million tourism-related jobs by 2030 underscores the immense, sustained need for the Saudi Arabia B2B catering services market.
Taking Flight: Aviation’s Resurgence Creates Lucrative New In-Flight Catering Opportunities
The Kingdom’s aviation sector is undergoing a dramatic revitalization, directly fueling demand for specialized in-flight and airport lounge catering. The upcoming launch of Riyadh Air in 2025 has created a significant opportunity, with the airline selecting Catrion as its catering partner in a five-year contract. The scale of this partnership is immense, with the contract valued at an estimated SAR 2.3 billion. Catrion expects this agreement to positively impact its financial performance starting in the fourth quarter of 2025.
The growth of the B2B catering services market extends beyond new carriers. Catrion also signed a three-year, SAR 36 million contract with Saudia Airlines for equipment design and supply services, set to begin in the third quarter of 2025. New infrastructure, like the Red Sea International Airport, is projected to handle 1 million passengers in its first year, creating a fresh hub of catering demand. This adds to the existing large-scale operations required to serve airlines like Saudia, which already handled over 35 million passengers annually, a figure poised for significant growth.
Accommodating Ambition: Hospitality Growth Presents A Vast Opportunity For Catering Suppliers
Saudi Arabia’s ambitious tourism goals are creating a massive and direct pipeline of opportunities for B2B catering suppliers through hotel development. The Kingdom is on track to attract 150 million visitors annually by 2030, a target that necessitates a colossal expansion in accommodation. This translates to a plan to add 320,000 new hotel rooms by 2030, bringing the total inventory target to 550,000 rooms from the 443,200 licensed rooms recorded in the third quarter of 2024. The total development cost for this expansion is projected to be a staggering USD 37.8 billion.
The influx of visitors in the B2B catering services market is already palpable, with international arrivals reaching 30 million in 2024 and over 1.2 million business visas issued in 2023, driving demand in hotels. Giga-projects are central to this, with Red Sea Global alone set to operate 50 resorts with up to 8,000 hotel rooms by 2030. Each new hotel room represents a direct B2B opportunity for food and beverage supply, making this a critical growth vertical.
Sanctity and Scale: Hajj & Umrah Services Undergo Service Quality Revolution
Catering for religious pilgrims remains a foundational pillar of the Saudi Arabia B2B catering services market, and this segment is undergoing a significant transformation focused on quality and reliability. For the 2025 Hajj season, the Kingdom is introducing new policies favoring long-term service contracts to ensure higher standards and consistency for pilgrims. The Ministry of Hajj and Umrah has set stringent requirements for service providers. For instance, catering companies applying to serve Nigerian pilgrims must now demonstrate the capacity to serve a minimum of 3,000 pilgrims at a time. Furthermore, these companies are required to prove financial stability with a share capital of no less than SAR 2,000,000.
To enforce these new standards, the Ministry set a firm deadline of February 14, 2025, for all Hajj affairs offices to finalize their service contracts, including catering. This drive for quality is amplified by the expansion of the Holy Mosque in Mecca to accommodate over 2 million worshippers, magnifying the need for highly organized, large-scale catering operations.
Powering the Nation: Industrial and Corporate Catering Demand Expands Broadly
Beyond the headline-grabbing giga-projects, the broader industrial and corporate sectors represent a vast and growing market for outsourced catering. The Kingdom’s total food service sales are projected to grow significantly from the $29 billion recorded in 2023, with a substantial portion of this demand originating from corporate offices and labor camps. The scale of the domestic food industry, which includes approximately 1,300 registered companies, provides a fertile ground for B2B catering services market. Crucially, around 80% of these are large enterprises with over 100 employees, the prime demographic for contracted catering services. With total investment in the food processing sector estimated at $60 billion and a migrant worker population of 13.4 million, a significant number of whom rely on industrial catering, the demand for daily, high-volume meal provision remains robust and essential to the national economy.
The New Palate: Health, Wellness, and Specialized Diets Emerge as Key
A significant trend shaping the future of the market is the rising demand for healthier and specialized dietary options. This shift is visible across multiple sectors. In healthcare, over 300 medical facilities across the Kingdom have already adopted personalized meal programs to cater to patient-specific nutritional needs. This wellness focus is also influencing the travel sector, with the number of health-conscious travelers reaching 5 million in 2023, compelling airlines and hotels to diversify their menus. This has spurred innovation in the supply chain, with airlines increasing collaborations with local farmers, sourcing fresh ingredients from over 800 organic farms. The result is a clear and growing demand for specialized catering solutions, including high-quality vegan, gluten-free, and organic meal options, moving beyond basic service to value-added culinary experiences.
The Competitive Arena: Market Players Scale Up for High-Value Strategic Contracts
The competitive environment of the Saudi Arabia B2B catering services market is intensifying as both local champions and global firms vie for lucrative contracts. Leading players are scaling their operations to meet the unprecedented demand. Premium Catering Co., a brand of Catrion, now employs over 2,000 staff who are highly trained in tech-driven solutions designed for smart city environments like NEOM. Its parent company, SACC (Catrion), demonstrates immense operational capacity by serving over 100 local and international airlines.
Local powerhouses are also making strategic moves. Alhokair Group’s SAR 760 million contract in NEOM, which began impacting its financials in the first quarter of 2024, is a key part of its income diversification strategy. Likewise, BAAN Holding’s SAR 436 million NEOM contract signals a clear strategy to expand and solidify its presence specifically within the high-growth catering sector.
Innovating Service Delivery: Technology is Reshaping Catering Efficiency and Experience
Technology and innovation are becoming critical differentiators for success. The hospitality industry in Saudi Arabia is increasingly investing in AI and IoT to offer personalized guest services and streamline back-end operations, a trend that directly impacts catering. Companies in the Saudi Arabia B2B catering services market are adopting advanced solutions like AI-driven menu planning, smart food tracking systems for safety and inventory control, and automated order management to handle complexity and scale. This technological shift is visible in upcoming developments; the YOTEL hotel, set to open in NEOM in 2025, will feature robotic concierges, signaling a broader move toward automation in guest services. This momentum is supported by a national trend, with government agencies improving their adoption of emerging technologies by 10% in 2024, setting a precedent for their contractors.
The Logistical Backbone: Building Robust Supply Chains For Unprecedented Catering Scale
The sheer volume of demand requires exceptionally robust and efficient supply chain and logistics networks. To manage the complexity of servicing a destination-wide workforce, SACC’s contract with Red Sea Global includes the construction of a massive central production unit. This facility in the B2B catering services market will streamline production and logistics for thousands of employees across the entire development. This trend toward investing in advanced logistical infrastructure is echoed regionally, with companies like Emirates Flight Catering recently investing in 53 new high-loader aircraft catering trucks to modernize its fleet and support its growing operations. Furthermore, supply chains are adapting to national priorities, with Vision 2030’s goal to raise local food production by 30% by 2025 set to progressively influence sourcing strategies for large-scale catering providers.
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Human Capital: Fueling Growth With A Skilled and Expanding Catering Workforce
The rapid expansion of the Saudi Arabia B2B catering services market necessitates a large and skilled workforce to deliver on these ambitious projects. The demand for human capital is evident in job advertisements for NEOM, which show a need for a wide spectrum of catering staff, from chief cooks earning salaries up to SAR 4,500 to dozens of essential support roles. Employment contracts for these catering positions are typically offered for a period of 2 years, providing stable employment. The comprehensive nature of these projects means that catering contracts often include provisions for the food, accommodation, and transportation of the service staff themselves. The sector is already a major employer, with over 60,000 employees currently working to meet the ever-growing demand, a number that is set to climb significantly in the coming years.
Saudi Arabia B2B Catering Services Market Major Players:
- Abenos Catering Services Co.
- Algosaibi Services Co. Ltd.
- Al-Karam Al-Arabi for Catering Services Ltd.
- Alkhalejiah Catering
- Amha Catering Co.
- Aramark Corporation
- Almays Catering Solutions
- AlMunajem Group – Food Services Division
- Catrion
- G4S Plc
- Gulf Catering Co.
- Gulf Mahmal Support Services
- Mezzan Holding Co. KSC
- Nesma United Industries
- QAF Catering Services
- Qudrat National
- Saudi Airlines Catering Company (SACC) – CATRION
- Saudi Catering & Contracting Company
- Tamimi Global / Tamimi Group
- Unique Catering Services
- ZOMCO
- Other Prominent Players
Key Market Segmentation:
By Type
- Contract Catering
- Non-Contract Catering
- Kitchen Management Services
By Contract length
- Short Term (>1Year)
- Medium Term (1Year)
- Long Term (<1 Year)
By Services
- Corporate Catering
- Conference and Convention Catering
- Boardroom Catering
- Trade Show and Expo Catering
- Construction Site Catering
- Hospital Cafeteria Services
- In-Flight Catering
- Religious Retreats and Events Catering
- Concession Catering
- Government and Defense Catering
- Others
By End User
- Government
- Corporate
- Oil and Gas
- Defence
- Construction
- Religious Sites
- Healthcare
- Educational Institution
- Tourism
- Others
By City
- Makkah
- Madina
- Jeddah
- Riyadh
- Dammam
- Al-Khobar
- Jubail
- Tabuk
- Taif
- Buraydah
- Others
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