Saudi Arabia Organic Farming Market to Grow at 7.88% CAGR over 2024 to 2029
Growing consumer preference for organic products and integration of technology in organic farming is expected to drive the Saudi Arabia Organic Farming Market growth in the forecast period, 2025-2029.
According
to TechSci Research report, “Saudi Arabia Organic Farming Market –Industry
Size, Share, Trends, Competition Forecast & Opportunities, 2019-2029F”,
the Saudi Arabia Organic Farming Market stood at USD 10.61 Million in 2023 and is anticipated to
project steady growth in the forecast period with a CAGR of 7.88% through 2029. Several key drivers
are propelling the growth of the Organic Farming Market in Saudi Arabia. The
increasing awareness of the detrimental effects of chemical pesticides and
fertilizers on both health and the environment has led to a surge in demand for
organic products.
Additionally,
the Saudi government's initiatives to promote sustainable farming practices,
such as subsidies for organic farmers and regulations on chemical use, have
further stimulated organic farming. The rising health consciousness among Saudi
consumers, coupled with their increasing disposable income, has contributed to
the market's expansion.
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"Saudi Arabia Organic Farming Market”
The
organic farming market in Saudi Arabia is currently experiencing an upward
trajectory, driven by a combination of factors including increased consumer
awareness, government initiatives, and a shift towards sustainable farming
practices. Saudi Arabia, a country predominantly known for its oil wealth, is
steadily transforming its agricultural sector. The arid climate, coupled with a
growing population and limited water resources, has always been a challenge for
traditional farming methods in the region. However, organic farming, which uses
less water and maintains soil fertility, is presenting itself as a promising
solution.
The
Saudi Arabian government has been instrumental in this shift towards organic
farming. It has launched various initiatives that incentivize farmers to adopt
organic methods, including financial incentives, technical support, and
promoting research and development in the field. One such initiative is the
Saudi Vision 2030, which aims to diversify the economy, promote environmental
sustainability, and reduce the dependence on oil.
Consumer
awareness of the health benefits associated with organic produce is also
driving the growth of the organic farming market. The demand for organic
fruits, vegetables, and grains is on the rise, with many supermarkets and
grocery stores now dedicating sections to organic produce. Moreover, there has
been an increase in organic farms across the country. These farms are not only
targeting the domestic market but also looking to export their produce
internationally. The organic dates and coffee produced in Saudi Arabia are
gaining popularity in the global market.
However,
the organic farming market is still in its nascent stages and faces several
challenges. These include the high cost of organic farming, lack of adequate
infrastructure for storage and transportation of organic produce, and the need
for further research and development to adapt to the unique climate conditions
of Saudi Arabia.
The
scenario of the organic farming market in Saudi Arabia is optimistic. With
increased support from the government, growing consumer demand, and
advancements in organic farming practices, the sector is poised for substantial
growth in the coming years. Although challenges exist, the trend towards
organic farming is a step in the right direction towards achieving a
sustainable and self-sufficient agricultural sector in Saudi Arabia.
The Saudi
Arabia Organic Farming Market is segmented into type, metho, land area,
ownership, crop type, regional distribution, and company
Based
on ownership, in the Saudi Arabia Organic Farming Market, Contract Farming is
currently leading the way when compared to In-house farming. With the organic
market growing swiftly, farmers are increasingly engaging in contractual
agreements with companies that specialize in marketing and distributing organic
produce. This model not only reduces risks for farmers but also provides them
with access to state-of-the-art technology and abundant resources, enabling
them to optimize their farming practices. Furthermore, through these
contractual agreements, farmers can benefit from expert guidance and support in
implementing sustainable farming methods, such as crop rotation and natural
pest control techniques. This not only ensures the production of high-quality
organic crops but also contributes to the preservation of the environment and
biodiversity.
Moreover,
by entering into these agreements, farmers are guaranteed a secure market for
their produce, eliminating uncertainties and ensuring a steady demand for their
organic crops. The companies involved in contract farming often have
well-established distribution channels and marketing strategies, which further
enhance the visibility and accessibility of the farmers' products. As a result,
Contract Farming has become more advantageous and, consequently, more prevalent
in Saudi Arabia's agricultural landscape. It offers a win-win situation for
both farmers and companies, fostering sustainable farming practices, promoting
organic agriculture, and meeting the increasing demand for organic products in
the market.
Based
on region, the Western Region of Saudi Arabia has established a significant
presence in the organic farming market due to a combination of factors. This
region boasts a unique blend of favorable climatic conditions, including ample
sunshine and moderate temperatures, which create an ideal environment for the
cultivation of organic crops. Additionally, the rich and fertile soil
composition found in this region provides essential nutrients and minerals that
contribute to the growth of healthy and robust plants. Furthermore, the
government of Saudi Arabia has implemented various initiatives aimed at promoting
sustainable agricultural practices, including organic farming. These
initiatives have not only provided financial incentives to farmers but also
offered technical support and training programs to facilitate the adoption of
organic methods. As a result, more and more farmers in the Western Region have
embraced organic farming as a viable and sustainable approach to agriculture.
Moreover,
the Western Region is witnessing a surge in domestic demand for organic
produce. With a growing awareness among consumers about the health benefits
associated with organic food consumption, there is a rising preference for
organic products in the market. This increased demand has created a lucrative
market opportunity for farmers in the Western Region, further reinforcing its
position as a dominant player in the organic farming industry. The Western
Region of Saudi Arabia has become a thriving hub for organic farming, driven by
its favorable climatic conditions, fertile soil composition, government
support, and growing consumer demand. These factors have not only propelled the
region's agricultural sector but also positioned it as a leading player in the
organic farming market.
Major
companies operating in the Saudi Arabia Organic Farming Market are:
- Abazeer Trading Company
- Bayer Saudi Arabia
- Mowreq Specialized Agriculture Company
- BASF Saudi Arabia
- Camson Bio Technologies Limited
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“The
future of the organic farming market in Saudi Arabia appears incredibly
promising. As awareness about health and environmental concerns continues to
grow among the general populace, the demand for fresh, organic produce is on a
steady rise. This surge in demand is further fueled by the government's Vision
2030 initiative, which places a strong emphasis on sustainable agriculture and
supports the growth of organic farming. Furthermore, the sector is poised for a
revolutionary transformation with the integration of advanced technological
solutions. Precision farming techniques and smart irrigation systems are set to
play a pivotal role in optimizing resource utilization and improving overall
efficiency in organic farming practices. These cutting-edge advancements not
only enhance the sustainability of organic farming but also contribute to its
long-term viability. With all these positive developments, the organic farming
market in Saudi Arabia is expected to thrive, providing a reliable and
environmentally-friendly source of fresh produce for the nation and beyond.,”
said Mr. Karan Chechi, Research Director of TechSci Research, a
research-based management consulting firm.
“Saudi
Arabia Organic Farming Market
By Type (Pure Organic Farming and Integrated
Organic Farming), By Method (Crop Rotation, Polyculture, Mulching, Cutting,
Composting, Weed Management, Soil Management, Others), By Land Area (Up to 1
Hectare, 1.1-5 Hectare, 5.1-10 Hectare, 10.1-30 Hectare), By Ownership
(Contract Farming and Inhouse), By Crop Type (Oilseeds & Pulses, Cereals
& Grains, Fruits & Vegetables, Others), By Region,
Competition, Forecast and& Opportunities, 2019-2029F”,
has evaluated the future growth potential of Saudi Arabia Organic Farming
Market and provides statistics & information on market size, structure and
future market growth. The report intends to provide cutting-edge market
intelligence and help decision-makers take sound investment decisions. Besides,
the report also identifies and analyzes the emerging trends along with
essential drivers, challenges, and opportunities in Saudi Arabia Organic
Farming Market.
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