Fashion industry in Saudi Arabia has made remarkable milestones in recent years, as a result of the continued efforts to position the Kingdom as an industrial powerhouse.
The Saudi Fashion Commission on Thursday released its annual report on the state of the fashion industry in Saudi Arabia. The report revealed the latest data on the promising industry, providing new insights on the Saudi dynamic and vibrant fashion scene.
State of Saudi Fashion
During an investment tour in London, sponsored by the Fashion Futures initiative, at Twenty-Two Mayfair, the Saudi Fashion Commission unveiled the latest edition of its “State of the Fashion Industry in Saudi Arabia 2024” report in a creative showcase.
In an innovative interactive show on the stage, the attendees were presented to the latest data on the state of the Saudi fashion industry in a custom-designed briefcase by Saudi brand 1886, reported the Saudi Press Agency (SPA).
The annual report provides new insights on the dynamic Saudi fashion landscape, uncovering interesting trends and opportunities for growth and investment. Furthermore, it provides data on the fashion industry in Saudi Arabia, including fashion, luxury goods, jewelry, cosmetics and business operations.
The report also examines fashion landscape and presents key perspectives from industry experts and leaders.
Impressive Growth
The Saudi fashion sector recorded a significant growth in the previous year. According to the report, the fashion industry contribution to the GDP increased to 2.5%, compared to 1.4% in the previous year.
Moreover, the sector’s contribution to the job market surged by 320,000 jobs in 2023, increasing by 90,000 jobs since 2021-2022. Women’s share in the fashion industry workforce constituted 52% in 2023, in a major stride towards gender equality.
Increased Value
The report indicated a massive growth in the fashion sector’s value. In 2023, the Saudi fashion market’s value reached around $30bn. It is expected to surge to $42bn by 2028.
In the light of this, the CEO of the Fashion Commission, Burak Cakmak, underscored the importance of data to understand growth across various sectors. He said: “We are proud to lead in this area, offering public access to opportunities across the value chain.”
He also added that the Fashion Commission will establish a data center to publish the State of Fashion Report and make it available to the public.
Booming Fashion Industry
In recent years, the Saudi fashion industry has significantly flourished, under the ambitious Vision 2030. The Small and Medium Enterprises General Authority (Monshaat) report for the first quarter of 2024 pointed out that the total value of the fashion industry in Saudi Arabia reached SAR 92.3bn. The Saudi local fashion industry accounted for SAR 46.9bn of that figure.
Furthermore, the report said that expenditure on imported brands in the fashion sector amounted to SAR 27.4bn. This has led to an increase in the expected cumulative growth of the fashion sector by 48% between 2021 and 2025.
Saudi Fashion Aspirations
Aiming to become an industrial powerhouse and a prime fashion destination, Saudi Arabia has made increased efforts to enhance access to the Saudi fashion sector and support local talent. With regards to this, the Saudi Fashion Commission organized an investment tour in London on September 17, coinciding with the conclusion of London Fashion Week.
It aimed to provide an opportunity for stakeholders in the fashion sector to investigate new investment opportunities, in addition to increasing the private sector’s involvement and contribution to the sector’s growth.
Furthermore, the Commission signed a memorandum of understanding (MoU) with Adidas to empower local designers, through fostering talents through training programs at Adidas, which target the Saudi 100 Brands Initiative’s designers; focus on research and development through joint cooperation; and prioritize global partnerships, through collaboration with a selected group of Saudi designers.
Boosting Investments
As part of its efforts to boost investments and support the sector, Saudi Arabia organized an array of events to showcase the latest trends and opportunities in the Saudi thriving fashion industry.
In August 2024, the Kingdom hosted the second edition of the Saudi Fashiontex Expo in Riyadh. It is the biggest international exhibition in the Gulf region for fashion, textiles and leather.
With more than 500 exhibitors from 13 countries, the event provided companies from various industry sectors with the opportunity to showcase and promote their skills and meet new partners, enabling them to discover the latest trends in fashion and textile industries, explore new thriving markets and build long-term partnerships.
World-class Events
To consolidate its status as a fashion hub, the Kingdom organized several prominent fashion events. In May 2024, it launched the first edition of the Red Sea Fashion Week at the new St. Regis Red Sea Resort. The event displayed a wide collection of luxury fashion, jewelry, ready-to-wear, and resort fashion by Saudi and international designers, in creative fashion shows.
Moreover, the Red Sea Fashion Week witnessed a new accomplishment, as Saudi Arabia held its first swimsuit fashion show. The first-of-its-kind event featured a unique collection of stylish swimsuits that reflect the culture and history of the Arab World.
