The Saudis spend more than one billion riyals annually on coffee.. Jazan Chamber finishes studying the establishment of a factory worth 65 million riyals
Jazan - Hamad Dokdaki - Beth:
The spending of the Saudis on preparing coffee amounts to more than one billion riyals, a rate exceeding 80 thousand tons, which ranks the Kingdom as one of the most coffee consuming countries in the world, and the quantities imported annually to the Saudi markets are estimated at about 73 thousand tons.
The head of the Jazan Chamber, Counselor Ahmed Abu Hadi, said that according to the latest official statistics, the gross domestic product of Arabica coffee in the mountainous governorates in the regions of Jazan, Al Baha and Asir amounted to 1,810 tons annually, and about 350 tons of pure coffee after peeling, and the number of coffee farms in them reached 2,535, and contained On 398 thousand coffee trees.
The number of coffee farms in the Jazan region is more than 1985 farms containing 340,000 coffee trees in the governorates of the mountainous revolving sector, Fifa, Al-Aydabi, Harroub, Al-Raith and Al-Ardah, producing about 1,320 tons annually, and 785 tons of pure coffee after peeling, and it hosts a festival annually to market its products.
Next comes the coffee farms in the mountainous governorates of the Asir region, where more than 300 farms containing 40,000 trees produce 200 tons of coffee, and 100 tons of pure coffee after peeling.
Then the coffee farms in the Al-Baha region, where the coffee production amounted to 40 tons, and the amount of pure coffee after peeling was 20 tons for more than 250 coffee farms that contained 18 thousand coffee trees.
Abu Hadi pointed out that the volume of women's investment is about 15% of the total market, and it is expected to grow to 32% within a few years, which also provides many job opportunities for young people. Specialized experts expect that by 2025 spending on coffee outside the home will reach about 70%, At a compound annual growth rate between 18% and 32%.
Abu Hadi indicated that according to those economic estimates, the Jazan Chamber has worked on completing the study of establishing a coffee production factory in the Jazan region with an investment capital estimated at 65.7 million riyals, and a production capacity of 1788 tons annually, noting that the project's profitability indicators estimated the return on investment ratio ROI at 538% While the internal rate of return on investment is IRR 33.6 and the payback period is PBP 3 years, adding that the study of the coffee project represents the 11th investment opportunity that the Chamber has completed its economic study.