GCC Bakery Products Market

Market Overview:

The GCC bakery products market size reached USD 9.0 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 15.0 Billion by 2033, exhibiting a growth rate (CAGR) of 5.8% during 2025-2033. The demand for international bakery products in the GCC market is rising due to increasing expatriate populations, changing food preferences, and greater exposure to worldwide cuisines. People are seeking diverse offerings, such as croissants, sourdough, muffins, and artisan breads, driving innovations and item variety in the bakery sector. The popularity of Western-style cafes and premium bakeries is also supporting this trend. As lifestyles are becoming more globalized, the demand for high-quality, international bakery products continues to grow.

GCC Bakery Products Market Trends:

Growing number of cafes, restaurants, and quick service outlets

Rising number of cafes, cloud kitchens, restaurants, and quick service outlets in the GCC region is driving the demand for a wide variety of bakery products. As per the IMARC Group, the GCC cloud kitchen market size reached USD 2.0 Billion in 2024. These establishments frequently offer items like bread, buns, pastries, cakes, and cookies as part of their menus, increasing the need for fresh and frozen bakery supplies. As more people continue to dine out or order takeaway, especially in urban areas, the consumption of baked goods is growing steadily. The foodservice sector relies on consistent supply and quality, encouraging bakeries to scale up production and offer innovative solutions. Additionally, the rise in international food chains and homegrown café brands is bringing worldwide bakery trends into the local market.

Increasing disposable incomes

Rising disposable incomes are fueling the market growth in the GCC region. According to industry reports, in 2024, the predicted household disposable income in the UAE was set to attain a remarkable USD 270.30 Billion. As people have more money to spend, they begin to explore a wider variety of baked goods, including artisanal breads, gourmet cakes, and health-focused bakery items. Higher income levels also support frequent dining out and greater demand for packaged and ready-to-eat (RTE) baked products. People are more likely to try new flavors, international bakery brands, and value-added products, such as gluten-free and organic items. This shift in purchasing behavior is encouraging bakeries and foodservice outlets to expand their offerings and maintain consistent quality.

Rising tourism activities

Increasing tourism activities are positively influencing the market in the GCC region. For instance, Qatar experienced five Million international visitors in 2024, reflecting a 25% growth compared to 2023, based on data from Qatar Tourism. Tourists from different countries bring varied taste preferences, creating a strong need for international and specialty baked goods, such as croissants, muffins, pastries, and artisan breads. Hospitality businesses aim to offer appealing and fresh bakery items as part of breakfast spreads, buffets, and snacks, boosting consumption. Additionally, tourism is promoting the expansion of foodservice outlets in airports, shopping malls, and tourist hubs, which is further driving bakery demand. Seasonal tourist peaks lead to higher sales volumes and encourage bakeries to scale production and introduce innovative products. As the region continues to attract travelers, the bakery sector benefits from increased exposure, footfall, and spending.

Key Growth Drivers of GCC Bakery Products Market:

Innovations in bakery products

Innovations in bakery products are impelling the market growth. Manufacturers are introducing new flavors, healthier ingredients, and unique product formats to attract health-conscious and adventurous consumers. Items, such as gluten-free breads, sugar-free pastries, protein-enriched snacks, and vegan options, cater to niche dietary needs, broadening the customer base. Innovations in packaging and shelf-life extension also allow better convenience and wider distribution across retail and foodservice channels. Seasonal and themed bakery items generate excitement and boost sales during festivals and holidays. Additionally, premium and artisanal innovations appeal to consumers with higher disposable incomes seeking gourmet experiences. These continuous developments keep the market dynamic, encourage frequent purchases, and strengthen brand loyalty, contributing significantly to the steady expansion of the market.

Increased investments in food processing technologies

High investments in food processing technologies are bolstering the market growth. Advanced machinery and automation help bakeries scale up operations to meet rising demand from both retail and foodservice sectors. These technologies allow precise control over baking processes, enhancing taste, texture, and shelf life. Investments also support the development of innovative and health-oriented products, such as low-fat, high-fiber, and gluten-free options, catering to changing consumer preferences. Improved packaging and storage technologies extend product freshness, enabling wider distribution and reducing food waste. Additionally, modern processing equipment ensures hygiene and compliance with international food safety standards, boosting user confidence. As companies are adopting automation and smart manufacturing, they are increasing output while maintaining quality.

Government support for food manufacturing

Various policies and initiatives aim to strengthen local food production to enhance food security and reduce reliance on imports. Governments offer incentives, such as subsidies, tax benefits, and land grants, to encourage bakery businesses to set up and expand manufacturing facilities. Support for industrial zones and food parks with modern infrastructure enables efficient production and distribution. Regulatory frameworks ensure quality and safety standards, boosting consumer trust in locally made bakery goods. Additionally, government-backed training programs and partnerships help develop skilled labor in the food processing sector. With this support, bakery producers are being encouraged to invest in advanced technology, diversify product offerings, and scale operations, contributing to the robust growth of the market in the GCC region.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each sub-segment of the GCC bakery products market report, along with forecasts at the regional and country level from 2025-2033. Our report has categorized the market based on product type, bakery type, source, form, nature and distribution channel.

Breakup by Product Type:

• Bread and Rolls
  • Loaves
  • Baguettes
  • Rolls
  • Burger Buns
  • Sandwich Slices
  • Ciabatta
  • Frozen Bread
  • Others
• Cakes & Pastries
  • Cupcakes
  • Dessert Cakes
  • Sponge Cakes
  • Pastries
• Biscuits
  • Cookies
  • Cream Biscuits
  • Glucose Biscuits
  • Marie Biscuits
  • Non-Salt Cracker Biscuits
  • Salt Cracker Biscuits
  • Milk Biscuits
  • Others
• Others

Breakup by Bakery Type:

• Artisanal Bakeries
• In-Store Bakeries
• Others

Breakup by Source:

•  Whole Wheat Flour
•  Multi Grain Flour
•  Others

Breakup by Form:

• Fresh
• Frozen

Breakup by Nature:

•  Conventional
•  Organic

Breakup by Distribution Channel:

• Convenience Stores
• Supermarkets and Hypermarkets
• Independent Retailers
• Online Stores
• Others

Breakup by Country:

• Saudi Arabia
• United Arab Emirates
• Qatar
• Oman
• Kuwait
• Bahrain

Competitive Landscape:

The competitive landscape of the industry has also been examined along with the profiles of the key players being Agthia Group, Al Jadeed Bakery, Aryzta AG, Dawn Food Products, Inc., Dofreeze LLC, General Mills Inc., Kellogg Company, Modern Bakery LLC, Mondelez International, Sunbulah Group and Switz Group.

GCC Bakery Products Market News:

• May 2025: LuLu Group commenced ‘British Food Week’ in its stores throughout Qatar. This occasion sought to honor the vibrant culinary customs and food culture of the Western World, familiarizing them with the local community and various expatriate groups. People could anticipate an extensive display of products spanning categories like groceries, baked goods, seafood, prepared meals, and health and beauty items.
• February 2025: Berjaya Food Bhd signed an agreement with Abu Dhabi's Samaya Food Investments L.L.C to introduce the Paris Baguette bakery café brand in the UAE. The brand's launch in the UAE was intended to satisfy the region's growing need for top-notch bakery items and upscale dining experiences.
• February 2025: Lola Do Inc. (Lola), a rising innovative tech startup providing an unprecedented customizable cake ordering service via a mobile app, secured USD 1.3 Million in a Pre-Seed funding round in Saudi Arabia. Through this funding, the firm would upgrade its platform, grow its team, streamline logistics, and transform cake personalization in the fiercely competitive market within the GCC area.
• January 2025: Brunch & Cake launched its stores in two impressive locations in Riyadh. The freshly baked treats took center stage at Brunch & Cake. While savoring a rich slice of cake or a light pastry, each mouthful guaranteed sweetness with elegance.
• July 2024: The 10, 20, and 30 promotions were launched at Safari, a prominent hypermarket chain in Doha. A wide range of items, such as meat, baked goods, beauty products, home goods, everyday essentials, and fabrics, could be purchased for only QR10, QR20, or QR30 at Safari locations.
• June 2025: Careem Groceries unveiled unique UAE collaboration with Marcel Bakery. Customers could savor chef-quality baked items delivered fresh from the oven in less than 20 minutes, whether it was a freshly baked sourdough loaf for breakfast or a refined dessert to enhance a home dinner gathering.

Report Coverage: