Alghanim Industries, one of the largest privately-owned companies in the MENA region, is proud to announce its strategic partnership with Saudi Coffee Company, a wholly-owned subsidiary of the Kingdom of Saudi Arabia’s Public Investment Fund, through its specialty coffee brand Jazean. This partnership aims to support local industries and embrace Saudi Arabia’s rich coffee heritage. This milestone is further enhanced by the opening of its 100th Costa Coffee store in the Kingdom of Saudi Arabia, highlighting its commitment to growth and expansion in the region and the Saudi market.
Alghanim Industries, the largest franchisee of Costa Coffee across Europe, the Middle East, and North Africa by territory and its official representative in the region, is dedicated to showcasing Saudi Arabia’s rich coffee heritage and authentic local flavors and blends, with a focus on supporting the burgeoning coffee industry. Jazean Coffee’s blends and coffee bags, produced in the Kingdom’s southern region, will be prominently featured as the “Coffee of the Day,” making them accessible to customers throughout the country. These distinctive selections will be available across the menus of all 100 Costa Coffee stores in the Kingdom of Saudi Arabia, underscoring Alghanim Industries’ commitment to promoting local coffee culture.
Kutayba Alghanim, Executive Chairman of Alghanim Industries, stated, “Partnering with the Saudi Coffee Company to introduce locally-grown Jazean coffee beans into our Costa Coffee stores represents a significant strategic initiative that underscores our deep commitment to the Kingdom of Saudi Arabia. This effort shines a light on our continuous drive to support job creation and expand employment opportunities, aligning perfectly with the objectives of Saudi Arabia’s Vision 2030. It signifies our contribution to the local economy, our dedication to energizing the job market, and our celebration of the Kingdom’s rich coffee culture. We view this not merely as a business opportunity but as an avenue to support the community and safeguard the deep-rooted traditions that characterize this region’s identity.”
Mahmoud Samara, CEO of Alghanim Industries, reflected, “Our alliance with Costa Coffee, flourishing for over a decade, transcends the bounds of conventional business partnerships by merging global excellence with the essence of local culture. This collaboration, especially through integrating Costa’s esteemed brand with distinctive local concepts like Jazean coffee, not only underscores our commitment to innovation, community involvement, and the celebration of local heritage but also opens the door to showcasing Saudi coffee beans across the region and potentially beyond, leveraging our position as the largest Costa Coffee franchisee. It embodies our strategic vision to enhance the consumer experience significantly, contributing positively to the Saudi economy and elevating the nation’s rich coffee culture on a global stage.”
The Kingdom of Saudi Arabia’s drive to establish itself as a prominent force in the global coffee market is underscored by significant initiatives, particularly through the efforts of entities like the Saudi Coffee Company. These endeavors are focused on cultivating the southern region of Saudi Arabia to harvest some of the highest quality Arabica coffee found in the market. This strategic development of a vibrant local coffee culture complements the observed surge in demand within the Kingdom, reflecting a broader impact with substantial figures to match. In 2023, the coffee sector reached a valuation of SAR 15.3 billion, indicating a promising growth outlook for the coming years. Alongside this internal growth, Saudi Arabia’s involvement in the international coffee trade is notable, with over USD 1 billion worth of coffee-related products imported in 2021 and an anticipated increase in trade value. This robust import activity, coupled with a thriving local industry, showcases Saudi Arabia’s comprehensive approach to enhancing its position within both the domestic and international coffee arenas.
Khalid Abu Theeb, CEO of Saudi Coffee Company, commented: “We are delighted to partner with Alghanim Industries facilitating the integration of locally produced coffee beans in global coffee blends. This partnership underpins Saudi Coffee Company’s commitment to empower the private sector in the coffee industry, as well as promote Saudi-based coffee production across the region and globally. At Saudi Coffee Company and through its specialty coffee brand Jazean, we are keen to partake in sustainable coffee production processes across the full value chain; placing the Saudi coffee beans on the global stage for coffee trade.”
Philippe Schaillee, CEO of Costa Coffee, said: “It is an honor to join Alghanim Industries in celebrating the opening of their 100th Costa Coffee retail store. Alghanim have some of the best Costa Coffee stores in the world – helping us create a progressive and innovative brand in Saudi Arabia, targeting younger consumers, as well as inspiring those who already know and love the Costa Coffee brand. The partnership with Saudi Coffee Company is a fantastic example of how a global brand like Costa Coffee can operate in multiple markets and regions, whilst working with local partners to celebrate and champion individual markets heritage and produce.”
The majority of Alghanim Industries’ food offerings are sourced from local suppliers within the Kingdom, highlighting significant collaborations with esteemed Saudi brands. Beyond Jazean Coffee, notable partnerships include Aani & Dani for chocolates, Cupio and Al Rifai, providing multiple ready-to-eat food options. These collaborations are prominently featured in Costa Coffee stores, underlining a commitment to promoting local flavors and products to customers. This effort is part of a broader strategy aimed at supporting and invigorating the local economy.
Alghanim Industries demonstrates a strong commitment to empowering the local Saudi workforce and contributing to the growth of the Saudi coffee sector. As a significant contributor to the industry’s human resource development, the company has established two state-of-the-art training centers located in the Western and Eastern provinces of the Kingdom. These centers are dedicated to training and developing aspiring Saudi baristas to meet international standards. By equipping them with the necessary skills and knowledge, Alghanim Industries ensures that these individuals are well-prepared to excel in the coffee industry.
Under the strategic guidance of Alghanim Industries, Costa Coffee has experienced significant growth in the Kingdom, marked by the launch of 16 new stores in December 2023. This expansion serves a diverse and expanding customer base from all corners of the Kingdom. The company is actively responding to the current positive trends in the industry, focusing on expanding its network and refining its offerings to align with the preferences of Saudi consumers. Committed to customer satisfaction and maintaining high-quality standards, Alghanim Industries is well-positioned to sustain its growth and enhance its presence in the thriving Saudi coffee market.
