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Arab News
5 days ago
- Business
- Arab News
Saudi Arabia's high-end dining scene fuels culinary and cultural revival
RIYADH: Saudi Arabia's culinary heritage is deeply rooted in its diverse landscapes, climates, and tribal traditions — further shaped by centuries of global trade. Yet both locally and internationally, exposure to authentic Saudi cuisine has long remained limited to a few convenient, accessible formats. That's changing, not just in taste but in structure. In July, the Saudi government issued a formal regulatory framework for luxury restaurants, officially classifying fine dining as a distinct category with its own licensing code — requiring on-table service only, the elimination of cashier counters, and a curated, limited number of branded outlets per city. Each establishment must feature a visible beverage prep station, maintain distinct employee-only rest areas, and meet strict kitchen zoning rules that separate raw, cooked, and served foods to minimize contamination. By formalizing standards for luxury restaurants, the government aims to elevate service consistency, improve operational quality, and ensure a premium guest experience across the Kingdom. The new framework will not only protect consumers but also encourage global investment by giving restaurateurs a clear, streamlined path to enter Saudi Arabia's high-end dining market. It reflects the broader goals of Vision 2030: to boost tourism, foster entrepreneurship, and position Saudi cities as regional lifestyle destinations. The Saudi foodservice market is projected to grow from $30.12 billion in 2025 to $44.67 billion by 2030, at a compound annual growth rate of 8.2 percent, according to Mordor Intelligence, a market research firm. Under Vision 2030, Saudi Arabia is positioning itself as a global culinary destination — supporting local entrepreneurship and attracting international ventures — while reshaping its food and hospitality landscape. Economic ripple effects The rise of high-end dining in Saudi Arabia is generating widespread economic ripple effects, starting with job creation across multiple sectors. According to Elena Caron, corporate services director at Fragomen, demand is growing not only for chefs and service staff, but also for professionals in logistics, supply chain, and technology. 'At the same time, restaurants and hospitality groups must navigate a more complex regulatory environment. Complying with labor laws, meeting Saudization quotas, securing commercial licenses and following foreign investment rules are all essential to ensure legal compliance and long-term business sustainability,' Caron said. She added that supply chain and food safety standards are also evolving, particularly with the growing emphasis on local sourcing. 'As partnerships with Saudi farms and producers expand, restaurants are expected to meet rigorous food handling and traceability requirements in line with Saudi Food and Drug Authority's regulations,' she said. 'In this environment, compliance isn't optional — it's essential to protect brand integrity and maintain consumer trust.' Ahmad Al-Zaini, CEO and co-founder of cloud-based restaurant management and point-of-sale platform Foodics, noted that demand for skilled talent is rising across service, logistics, and food production, while the expansion of premium dining is also increasing the need for upscale real estate, smart kitchens, and efficient service systems. 'At Foodics, we've seen a clear uptick in demand from premium and fine dining establishments that want operational clarity, advanced analytics, seamless integrations and customer experiences,' he said. 'These businesses are anchors for the recently unlocked premium lifestyles in the Kingdom, and they play a role in attracting a new category of sophisticated investors, operators, and entrepreneurs.' Alexander Sysoev, founder of international restaurant guide GreatList, an international restaurant guide, described fine dining as a powerful catalyst — driving demand for luxury real estate, elevating local production standards, and generating diverse employment opportunities across the culinary value chain. 'The real shift is cultural,' Sysoev said. 'It raises expectations across industries — from education and sourcing to hospitality. Restaurants are no longer just places to eat — they're becoming part of a national economic strategy.' Patrick Samaha, partner at Kearney Middle East and Africa, said the Kingdom's F&B sector grew 15 percent in 2025, creating hundreds of jobs through major restaurant openings in Riyadh and Jeddah. 'This momentum is also reshaping the real estate landscape,' he said, adding: 'Premium F&B demand in districts like King Abdullah Financial District and Jeddah's Corniche surged 20 percent in 2025, prompting developers to integrate signature dining into luxury mixed-use projects.' Vision 2030's culinary impact Fine dining has become a core pillar of Saudi Arabia's economic transformation under Vision 2030, with government support attracting top global chefs, brands, and investors. According to Caron, a new generation of Saudi culinary entrepreneurs is rising. 'Vision 2030 has empowered them to launch dining concepts that reflect local culture while meeting global standards,' she said. Al-Zaini added that global brands are expanding into Saudi Arabia to tap new audiences, which in turn is raising service standards and fostering competition across the value chain. 'This has led to a rise in homegrown restaurateurs investing in premium concepts, training local talent, and demanding more reliable infrastructure for their operations,' he said. Sysoev agreed, emphasizing that Saudi Arabia is emerging as a high-potential culinary market. 'For local entrepreneurs, it brings legitimacy, infrastructure, and — most importantly — a sense of momentum,' he said. 'They no longer need to prove that fine dining is possible. Now, they're proving they can lead.' Samaha noted that recent reforms and giga-projects have fast-tracked international investment, with brands like COYA and Le Petit Chef entering the market. In the first half of 2025 alone, seven major openings were recorded. 'Vision 2030 is cultivating local talent, despite the influx of international brands and concepts,' he said, adding: 'Initiatives like the Culinary Incubator and Human Capability Development Program trained over 4,500 Saudis in hospitality and culinary arts in 2025, enabling a new generation of entrepreneurs to emerge.' He added that distinctly Saudi fine dining concepts are now emerging — blending local heritage with global techniques to redefine the Kingdom's culinary identity. Riyadh and Jeddah lead the way Looking ahead, industry leaders agree that Riyadh and Jeddah will remain at the forefront of Saudi Arabia's fine dining evolution. Al-Zaini pointed to the Kingdom's tech-savvy, affluent youth as key drivers of demand for globally inspired yet locally grounded dining experiences. 'This creates the perfect opportunity for restaurateurs to experiment with the plethora of technologies at their disposal today, from interactive culinary displays to personalized dishes, and gastronomical explorations with local ingredients from the Kingdom's vast agricultural landscape,' he said. Sysoev noted that while AI can optimize menus and personalize service, true value lies in originality and cultural context. He projected that soon Saudi Arabia will not be copying Western models — it will be crafting its own. 'That means a stronger focus on local ingredients, sustainability, and chef-driven concepts with a distinct point of view. Cities like Riyadh and Jeddah don't need to follow the hype — their power will come from building identity. That's how they'll stand out on the global culinary map,' Sysoev said. According to Samaha, three key trends are shaping the future of fine dining in the Kingdom: innovation, sustainability, and cultural storytelling. He said restaurants are using AI and smart tech to personalize guest experiences. Sustainability is now central, with zero-waste kitchens, local sourcing, and green initiatives like AlUla's solar-powered Desert Bloom project. 'Third, fine dining in the Kingdom is evolving into a platform for cultural expression. Events like Layali Diriyah and the Riyadh Food Art Festival position cuisine as a medium for storytelling, identity, and destination branding,' he said. As Saudi Arabia reimagines its tourism and lifestyle sectors, fine dining is no longer just about food — it is a strategic lever for economic diversification, cultural diplomacy, and global identity.
Yahoo
11-05-2025
- Business
- Yahoo
Trump's trade war hits profits at Saudi oil giant
Uncertainty unleashed by Donald Trump's trade war has delivered a financial blow to Saudi Arabia's state-owned oil giant ahead of the US president's high-profile visit to the Kingdom this week. Saudi Aramco, the world's largest oil company, said on Sunday that profits over the first quarter of the year fell by 5pc to $26bn (£19.5bn), as worries over global trade dampened oil prices. This led to the company cutting its dividend from $31bn to $21.4bn in the final quarter of last year. Amin H. Nasser, chief executive of Saudi Aramco, said: 'Global trade dynamics affected energy markets in the first quarter of 2025, with economic uncertainty impacting oil prices.' Oil prices have tumbled in the wake of Mr Trump's 'Liberation Day' tariffs announcement, owing to fears that they will slow economic activity around the world. A recent decision by the Opec cartel to increase production has also put downward pressure on crude oil prices, which are now hovering at around $64 a barrel. Saudi Aramco said it sold barrels of crude oil at an average price of $76.30 in the first quarter, compared to $83 over the same period last year. Shares in the business were also down more than 3pc in the last month and have dropped by almost 17pc over the last year. It comes as Mr Trump is preparing for a tour of the Middle East this week, where he will visit Saudi Arabia, Qatar and the United Arab Emirates in the hope of striking a string of lucrative investment deals. Mr Trump has said he hopes to convince Riyadh to invest more than $1 trillion into the US economy. Karoline Leavitt, the White House's press secretary, said last week Mr Trump was looking forward to making a 'historic return' to the Middle East. She said: 'President Trump will return to re-emphasise his continued vision for a proud, prosperous and successful Middle East, where the United States and Middle Eastern nations are in cooperative relationships, and where extremism is defeated in place of commerce and cultural exchanges.' This embedded content is not available in your region. Robert Mogielnicki, a senior resident scholar at the Arab Gulf States Institute in Washington, told Reuters: 'The Trump administration wants this trip to be a big deal. That means lots of splashy deal announcements and collaborations that can be sold as being good for America.' Meanwhile, the hit to Saudi Aramco's profits follows similar declines at rival oil giants Shell and BP. BP posted a 49pc drop in profits for the first quarter last month, while Shell's profits for the same period dropped by almost a third. For Saudi Aramco, which is 81.5pc owned by the Saudi government, it will add to pressures on the Kingdom's leadership as it battles to diversify its economy away from fossil fuels. Under MBS, Saudi Arabia has spearheaded a multi-trillion-dollar transformation drive called 'Vision 2030', which is designed to turn the once-hermetic kingdom into a global hub for tourism, sport and business. Closer to home, falling oil prices have given motorists hope that they will have to pay less at the pumps. Prices have been steadily falling and reached their lowest point since 2021 earlier this month. The average cost of a litre of unleaded petrol is currently 133.49p, according to the RAC, which is down from more than 150p one year ago. Broaden your horizons with award-winning British journalism. Try The Telegraph free for 1 month with unlimited access to our award-winning website, exclusive app, money-saving offers and more.
Time of India
11-05-2025
- Business
- Time of India
Saudi oil giant Aramco's profits drop over 4% as oil prices fall
Saudi Arabia's oil giant, Aramco, has reported a 4.6% decline in its first-quarter profits, weighed down by falling global oil prices, which have pressurised the country's ambitious multi-trillion-dollar development plans. The company posted $26 billion in net profit for the quarter ending March against the $27.2 billion earned during the same period last year. However, the company's revenue stood at $108.1 billion, marginally higher than last year's $107.2 billion. 'Global trade dynamics affected energy markets in the first quarter of 2025, with economic uncertainty impacting oil prices,' Aramco president and CEO Amin H Nasser said. Operation Sindoor Amid flare-up hours after thaw, officials say things will settle down with time Ceasefire on, but pressure stays: Key decisions by India against Pak that still stand 'Will work with India & Pakistan to seek solution on Kashmir': Trump The results were released in a stock exchange filing on Riyadh's Tadawul market on Sunday. Aramco's shares were trading above $6 on Thursday, down from about $8 last year, following a steady decline over the past year as oil prices have fallen. Only a small portion of Aramco is traded on the Tadawul stock exchange, while most of the company is owned by the Saudi government, which uses the profits to fund national spending and support the Al Saud royal family's wealth. Aramco, officially the Saudi Arabian Oil Co., is the world's sixth most valuable company with a market worth over $1.6 trillion and is regarded as a key player in shaping global oil market trends . The results come as OPEC+ plans to increase oil production by 411,000 barrels per day next month, as the middle eastern economy continues to be rippled by US tariffs uncertainties. Meanwhile, Crown Prince Mohammed bin Slaman, Saudi de facto ruler, has also planned to invest $500 billion to build Neom, a vast futuristic city in the desert along the Red Sea. The kingdom will also be requiring new infrastructure worth billions of dollars by 2034, as the country is set to host the World Cup. As a result, Saudi may be forced to tap into its reserves or take on new debt to fund these development plans. Oil markets have softened in recent months, with benchmark Brent crude trading just above $63 a barrel on Friday, a sharp fall from over $80 at its peak last year. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Yahoo
04-03-2025
- Business
- Yahoo
Saudi oil giant Aramco reports $106 billion profit in 2024, down 12% on lower energy prices
DUBAI, United Arab Emirates (AP) — Saudi Arabia's state-owned oil giant Aramco reported a $106.25 billion profit in 2024 on Tuesday, down 12% from the prior year on lower energy prices. A filing on Riyadh's Tadawul stock exchange showed the oil company, formally known as the Saudi Arabian Oil Co., had revenues of $436 billion in 2024. Aramco reported a $121 billion annual profit in 2023, down from its 2022 record due to lower energy prices as well. See for yourself — The Yodel is the go-to source for daily news, entertainment and feel-good stories. By signing up, you agree to our Terms and Privacy Policy. 'The decrease was primarily driven by lower revenue and other income related to sales, higher operating costs, as well as lower finance and other income,' Aramco said in its filing. Stock in Aramco traded around $7.33 a share Tuesday, down from a high over the last year of $8.71. It has fallen over the past year as oil prices have dropped. Benchmark Brent crude is at $73 — down 10% this year. Aramco has a market value of $1.74 trillion, making it the world's sixth-most valuable company behind Apple, Microsoft, NVIDIA, Amazon and Alphabet, which owns Google. Aramco will pay dividends of $21.36 billion for the fourth quarter, which includes a far-smaller performance dividend of $220 million. The company expects to pay dividends of $85.4 billion this year, which is far lower. 'Our strong net income and increased base dividend illustrate Aramco's exceptional resilience," Aramco CEO and President Amin H. Nasser said in a statement. The Aramco results come as OPEC+, an alliance of the oil cartel and other energy-producing states, met online Monday and agreed to proceed with an increase in oil production starting in April. It's the first oil production increase by the group since 2022 and likely will push down oil prices further. The OPEC+ decision follows criticism by President Donald Trump of the cartel. Saudi Arabia's vast oil resources, located close to the surface of its desert expanse, make it one of the world's least expensive places to produce crude. For every $10 rise in the price of a barrel of oil, Saudi Arabia stands to make an additional $40 billion a year, according to the Institute of International Finance. But lower energy prices have chewed into the kingdom's revenues, affecting plans by Crown Prince Mohammed bin Salman to build his $500 billion futuristic city of NEOM. Saudi Arabia also will host the 2034 FIFA World Cup, which will require the kingdom to build stadiums and other infrastructure. The Saudi government owns the vast majority of the firm's shares. Saudi Aramco publicly listed a sliver of its worth back in late 2019 and has weighed offering more shares publicly.
The Independent
04-03-2025
- Business
- The Independent
Saudi oil giant Aramco reports $106 billion profit in 2024, down 12% on lower energy prices
Saudi Arabia's state-owned oil giant Aramco reported a $106.25 billion profit in 2024 on Tuesday, down 12% from the prior year on lower energy prices. A filing on Riyadh 's Tadawul stock exchange showed the oil company, formally known as the Saudi Arabian Oil Co., had revenues of $436 billion in 2024. Aramco reported a $121 billion annual profit in 2023, down from its 2022 record due to lower energy prices as well. 'The decrease was primarily driven by lower revenue and other income related to sales, higher operating costs, as well as lower finance and other income,' Aramco said in its filing. Stock in Aramco traded around $7.33 a share Tuesday, down from a high over the last year of $8.71. It has fallen over the past year as oil prices have dropped. Benchmark Brent crude is at $73 — down 10% this year. Aramco has a market value of $1.74 trillion, making it the world's sixth-most valuable company behind Apple, Microsoft, NVIDIA, Amazon and Alphabet, which owns Google. Aramco will pay dividends of $21.36 billion for the fourth quarter, which includes a far-smaller performance dividend of $220 million. The company expects to pay dividends of $85.4 billion this year, which is far lower. 'Our strong net income and increased base dividend illustrate Aramco's exceptional resilience," Aramco CEO and President Amin H. Nasser said in a statement. The Aramco results come as OPEC+, an alliance of the oil cartel and other energy-producing states, met online Monday and agreed to proceed with an increase in oil production starting in April. It's the first oil production increase by the group since 2022 and likely will push down oil prices further. The OPEC+ decision follows criticism by President Donald Trump of the cartel. Saudi Arabia's vast oil resources, located close to the surface of its desert expanse, make it one of the world's least expensive places to produce crude. For every $10 rise in the price of a barrel of oil, Saudi Arabia stands to make an additional $40 billion a year, according to the Institute of International Finance. But lower energy prices have chewed into the kingdom's revenues, affecting plans by Crown Prince Mohammed bin Salman to build his $500 billion futuristic city of NEOM. Saudi Arabia also will host the 2034 FIFA World Cup, which will require the kingdom to build stadiums and other infrastructure. The Saudi government owns the vast majority of the firm's shares. Saudi Aramco publicly listed a sliver of its worth back in late 2019 and has weighed offering more shares publicly.
