GCC Foodservice Market Size

The GCC foodservice market is experiencing significant growth, driven by increasing dine-out frequency and rising tourism, which are expanding the market's overall scale. The full-service restaurant segment holds a substantial portion of the market, particularly in Saudi Arabia, where regional cuisine is highly valued. The United Arab Emirates is witnessing rapid expansion in its foodservice sector, fueled by a burgeoning café culture and a growing number of dining establishments. Meanwhile, Kuwait's market is rapidly evolving, with cloud kitchens gaining traction due to high internet penetration and the popularity of food delivery services. These trends indicate a robust increase in the market's capacity and reach across the GCC region.

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Market Size of gcc foodservice Industry

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GCC Foodservice Market Summary
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https://s3.mordorintelligence.com/study%20period/1629296433432_test~study_period_study_period.svg Study Period 2017 - 2029
https://s3.mordorintelligence.com/cagr/1629296433433_test~cagr_cagr.svg Market Size (2024) USD 54.72 Billion
https://s3.mordorintelligence.com/cagr/1629296433433_test~cagr_cagr.svg Market Size (2029) USD 98.04 Billion
https://s3.mordorintelligence.com/hydraulic_fluids/1629285650767_test~hydraulic_fluids_hydraulic_fluids.svg Largest Share by Foodservice Type Full Service Restaurants
https://s3.mordorintelligence.com/cagr/1629296433433_test~cagr_cagr.svg CAGR (2024 - 2029) 12.37 %
https://s3.mordorintelligence.com/globe/1629285706162_test~globe_globe.svg Largest Share by Country Saudi Arabia

Major Players

GCC Foodservice Market Major Players

*Disclaimer: Major Players sorted in no particular order

Key Players

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GCC Foodservice Market Analysis

The GCC Foodservice Market size is estimated at 54.72 billion USD in 2024, and is expected to reach 98.04 billion USD by 2029, growing at a CAGR of 12.37% during the forecast period (2024-2029).

54.72 Billion

Market Size in 2024 (USD)

98.04 Billion

Market Size in 2029 (USD)

6.42 %

CAGR (2017-2023)

12.37 %

CAGR (2024-2029)

Largest Country

51.34 %

value share, Saudi Arabia, 2023

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Saudi Arabia is one of the main proponent countries in GCC, and its huge tourist and visiting and residential businessmen base promotes the segment.

Fastest-growing Country

17.10 %

Projected CAGR, United Arab Emirates, 2024-2029

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The UAE population currently consists of 89% expats with diverse culinary habits, increasing the demand for international and ethnic cuisines in the foodservice industry.

Largest Segment by Foodservice Type

46.60 %

value share, Full Service Restaurants, 2023

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Full service restaurants dominated the industry due to the increasing frequency of dining out, high disposable income, and a large base of tourists and expatriates.

Fastest-growing segment by Foodservice Type

15.95 %

Projected CAGR, Cloud Kitchen, 2024-2029

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Expansive penetration of online food delivery services, like Deliveroo, Talabat, Noon Food, and Careem, is projected to help in the exponential growth of the virtual segment.

Leading Market Player

0.58 %

market share, MH Alshaya Co. WLL, 2022

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The company has over 4,000 stores in the GCC, and its focus is on delivering exceptional customer experiences and quality food, which has helped it build a loyal customer base.

Higher dine-out frequency and increasing tourism contribute to the higher market share of the FSR segment

  • The FSR segment accounted for the major share of the market in 2022, witnessing a hike of 77.79% in 2022 compared to 2020. Owing to the high dine-out frequency in the region, on an average basis, 40% of the population dine out frequently on a weekly basis, which has increased the sub-segment's growth over the past years. Due to increasing tourism and spending on food, the market is anticipated to grow rapidly.
  • The cloud kitchens sub-segment is projected to witness the fastest growth, registering a CAGR of 15.86% during the forecast period, 2023-2029. Owing to the number of online delivery app users in the country, advancements in the delivery techniques like the use of heat bags, the 30-minute delivery time, special discounts, acceptance of digital payment, and contactless delivery have gained consumers' interest. In 2021, the fast delivery service Getir was the most popular food delivery app in the Middle East & African (EMEA) region, which was downloaded more than 23 million times in 2021. However, Uber Eats ranked second, with roughly 20 million downloads, followed by Deliveroo, with 13 million downloads in 2021.
  • Demand for fast food is also increasing in the region. Owing to this, the QSR segment witnessed a significant growth of 61.40% in 2022 compared to 2020. Big chains like TGI Friday's, KFC, Burger King, and Pizza Hut are the most popular brands, which are expanding their footprint and accounting for the largest share of the market. The meat-based cuisine in both QSR and FSR segments accounted for the major share as the consumption of meat is high in the region, which was registered at 0.45 million metric tons in 2022 and is expected to increase further. Popular dishes include Shawarma, Al Harees, Kabja, Biryani, Chicken Curry, Kebab, and Fried Chicken products.
GCC Foodservice Market

Saudi Arabia is the largest market owing to its sizeable population and higher disposable income

  • Saudi Arabia is the largest country-wise segment in the GCC foodservice market, followed by the United Arab Emirates and Kuwait. The market is majorly led by the Middle Eastern full-service restaurant segment, which accounted for an estimated share of 24.92% in the Saudi Arabian market in 2022. People in Saudi Arabia appreciate regional cuisine cooked using locally produced goods. For lunch and dinner, dishes like roasted chicken, Kabsa, grilled meat, and fish specialties with rice are very popular.
  • The UAE foodservice market has grown significantly in recent years in line with the rising number of restaurants and cafes. As of 2022, Dubai had more than 13,000 cafes and eateries, with an estimated 3.5 million population. The cafes & bars segment is expected to grow at a faster rate over the study period, registering a value CAGR of 2.71%. This has been attributed to the nation's rising café culture and the growing spending on specialty coffee. Over six million cups are drunk daily in the United Arab Emirates, which spends USD 630 million on coffee annually.
  • In Kuwait, the cloud kitchen segment is the fastest-growing due to the increased penetration of internet users. The segment is estimated to record a value CAGR of 8.50% over the forecast period. As of 2022, nearly 4.31 million people in Kuwait used the internet, with the internet penetration rate rising to 99%. With the rising number of internet users, food delivery channels have increased and, in turn, boosted the sales of cloud kitchens. Talabat, Deliveroo, and Get Dukan are some of the prominent delivery players in the market. Thus, the Kuwaiti foodservice market observed a significant sales growth of 30% from 2020 to 2022. People are also looking for comfort food, which leads them to order food from home. Such factors are estimated to boost the sales of the foodservice market over the coming days.

GCC Foodservice Industry Segmentation

Cafes & Bars, Cloud Kitchen, Full Service Restaurants, Quick Service Restaurants are covered as segments by Foodservice Type. Chained Outlets, Independent Outlets are covered as segments by Outlet. Leisure, Lodging, Retail, Standalone, Travel are covered as segments by Location. Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates are covered as segments by Country.

  • The FSR segment accounted for the major share of the market in 2022, witnessing a hike of 77.79% in 2022 compared to 2020. Owing to the high dine-out frequency in the region, on an average basis, 40% of the population dine out frequently on a weekly basis, which has increased the sub-segment's growth over the past years. Due to increasing tourism and spending on food, the market is anticipated to grow rapidly.
  • The cloud kitchens sub-segment is projected to witness the fastest growth, registering a CAGR of 15.86% during the forecast period, 2023-2029. Owing to the number of online delivery app users in the country, advancements in the delivery techniques like the use of heat bags, the 30-minute delivery time, special discounts, acceptance of digital payment, and contactless delivery have gained consumers' interest. In 2021, the fast delivery service Getir was the most popular food delivery app in the Middle East & African (EMEA) region, which was downloaded more than 23 million times in 2021. However, Uber Eats ranked second, with roughly 20 million downloads, followed by Deliveroo, with 13 million downloads in 2021.
  • Demand for fast food is also increasing in the region. Owing to this, the QSR segment witnessed a significant growth of 61.40% in 2022 compared to 2020. Big chains like TGI Friday's, KFC, Burger King, and Pizza Hut are the most popular brands, which are expanding their footprint and accounting for the largest share of the market. The meat-based cuisine in both QSR and FSR segments accounted for the major share as the consumption of meat is high in the region, which was registered at 0.45 million metric tons in 2022 and is expected to increase further. Popular dishes include Shawarma, Al Harees, Kabja, Biryani, Chicken Curry, Kebab, and Fried Chicken products.
Foodservice Type
Cafes & Bars
By Cuisine
Bars & Pubs
Cafes
Juice/Smoothie/Desserts Bars
Specialist Coffee & Tea Shops
Cloud Kitchen
Full Service Restaurants
By Cuisine
Asian
European
Latin American
Middle Eastern
North American
Other FSR Cuisines
Quick Service Restaurants
By Cuisine
Bakeries
Burger
Ice Cream
Meat-based Cuisines
Pizza
Other QSR Cuisines
Outlet
Chained Outlets
Independent Outlets
Location
Leisure
Lodging
Retail
Standalone
Travel
Country
Bahrain
Kuwait
Oman
Qatar
Saudi Arabia
United Arab Emirates
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GCC Foodservice Market Size Summary

The GCC foodservice market is experiencing significant growth, driven by a combination of factors including high dine-out frequency, increasing tourism, and a rising appetite for fast food. The full-service restaurant (FSR) segment holds a substantial portion of the market share, benefiting from the region's preference for meat-based cuisines and local dishes. Quick service restaurants (QSRs) are also expanding rapidly, with major international chains like KFC and Burger King leading the charge. The cloud kitchen sub-segment is emerging as a key growth area, fueled by the proliferation of online delivery apps and advancements in delivery technologies. This trend is particularly pronounced in countries like Kuwait, where internet penetration has spurred the popularity of food delivery services.

Saudi Arabia, the UAE, and Kuwait are the leading countries in the GCC foodservice market, each contributing to the region's dynamic landscape. In Saudi Arabia, the Middle Eastern full-service restaurant segment is particularly strong, while the UAE sees a burgeoning café culture, especially in Dubai. Kuwait's market is characterized by the rapid growth of cloud kitchens, supported by a high rate of internet usage. Qatar is investing heavily in its tourism sector, which is boosting the demand for convenient dining options. The market remains fragmented, with major players like ALBAIK Food Systems and Americana Restaurants International holding a small share, indicating opportunities for new entrants. Recent developments, such as the introduction of innovative food delivery solutions and the expansion of production facilities, highlight the ongoing evolution and competitive nature of the GCC foodservice market.

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GCC Foodservice Market Size - Table of Contents

  1. 1. MARKET SEGMENTATION (includes market size in Value in USD, Forecasts up to 2029 and analysis of growth prospects)

    1. 1.1 Foodservice Type

      1. 1.1.1 Cafes & Bars

        1. 1.1.1.1 By Cuisine

          1. 1.1.1.1.1 Bars & Pubs

          2. 1.1.1.1.2 Cafes

          3. 1.1.1.1.3 Juice/Smoothie/Desserts Bars

          4. 1.1.1.1.4 Specialist Coffee & Tea Shops

      2. 1.1.2 Cloud Kitchen

      3. 1.1.3 Full Service Restaurants

        1. 1.1.3.1 By Cuisine

          1. 1.1.3.1.1 Asian

          2. 1.1.3.1.2 European

          3. 1.1.3.1.3 Latin American

          4. 1.1.3.1.4 Middle Eastern

          5. 1.1.3.1.5 North American

          6. 1.1.3.1.6 Other FSR Cuisines

      4. 1.1.4 Quick Service Restaurants

        1. 1.1.4.1 By Cuisine

          1. 1.1.4.1.1 Bakeries

          2. 1.1.4.1.2 Burger

          3. 1.1.4.1.3 Ice Cream

          4. 1.1.4.1.4 Meat-based Cuisines

          5. 1.1.4.1.5 Pizza

          6. 1.1.4.1.6 Other QSR Cuisines

    2. 1.2 Outlet

      1. 1.2.1 Chained Outlets

      2. 1.2.2 Independent Outlets

    3. 1.3 Location

      1. 1.3.1 Leisure

      2. 1.3.2 Lodging

      3. 1.3.3 Retail

      4. 1.3.4 Standalone

      5. 1.3.5 Travel

    4. 1.4 Country

      1. 1.4.1 Bahrain

      2. 1.4.2 Kuwait

      3. 1.4.3 Oman

      4. 1.4.4 Qatar

      5. 1.4.5 Saudi Arabia

      6. 1.4.6 United Arab Emirates

GCC Foodservice Market Size FAQs

The GCC Foodservice Market size is expected to reach USD 54.72 billion in 2024 and grow at a CAGR of 12.37% to reach USD 98.04 billion by 2029.

In 2024, the GCC Foodservice Market size is expected to reach USD 54.72 billion.

GCC Food Service Market Report Snapshots

GCC Foodservice Market SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS UP TO 2029