Saudi Arabia's Dairy Industry

The Kingdom of Saudi Arabia has witnessed significant growth within its dairy industry, predominantly fueled by strategic investments, technological innovations, and escalating domestic demand. Supported by forward-looking government policies, the sector has continued to expand, playing a vital role in the country's economy.

Dairy Cattle and Milk Production

In Saudi Arabia, the dairy cattle population stands at approximately 600,000 heads. This thriving livestock base significantly contributes to a largely self-sustained dairy industry, boasting an annual milk production volume of around 2 million tonnes. Such impressive figures are attributable to advanced farming techniques and robust government support.

Milk Processing and Dairy Production

The processed milk volume in Saudi processing plants is estimated at about 1.8 million tonnes annually. This processing capacity fulfills both domestic and international market needs. Additionally, cheese production in the Kingdom is around 200,000 tonnes annually, offering a variety of both traditional and modern options. Moreover, Saudi Arabia produces approximately 100,000 tonnes of milk powder and whey each year, further bolstering local consumption and export prospects.

Key Enterprises

• Almarai: A prominent company known for its wide array of dairy products.
• Al Safi Danone: A crucial player in the industry, offering diverse dairy goods for both local and international markets.
• Nadec: A notable organization with a comprehensive portfolio that includes milk, cheese, and yogurt.

Dairy Farms

• Almarai Dairy Farms: Renowned for its advanced farming practices and high milk production yield.
• Al Safi Dairy Farms: Known for large-scale operations and efficient livestock management.
• Al Rabie Dairy Farm: Specializes in producing premium quality milk for a diverse range of dairy products.

Export and Import

Saudi Arabia exports approximately 500,000 tonnes of dairy products annually, mainly targeting markets in the GCC, Middle East, and Africa. The Kingdom also imports around 300,000 tonnes of dairy products each year, focusing on types that are not extensively produced domestically.

Significant Events

• Adoption of cutting-edge milk production technologies to improve yield and quality.
• Government-backed initiatives to enhance food security via local dairy farming.
• Expansion activities by major dairy enterprises into international markets.
• Partnerships with global dairy companies to implement best practices.
• Establishment of an ice cream plant in association with Shin-Line and Al-alameya groups.

As the sector continues on an upward growth trajectory, key players like Almarai are executing significant acquisitions and diversifications, including venturing into sectors such as seafood and red meat. This aligns with the broader Vision 2030 plans. The Ministry of Environment, Water, and Agriculture remains committed to promoting local consumption, thereby ensuring a sustainable and productive dairy industry.

By 2024, Saudi Arabia saw increased production of whole fresh milk, totaling 2.9 million tonnes, alongside imports of some 14,000 tonnes, further solidifying its status as a key player in the dairy market.

Modified: 2025/04/15

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