Noha Gad
Saudi Arabia’s total agricultural imports recorded 18,762 thousand tons in 2024. Since the launch of Vision 2030, the Kingdom has pursued an ambitious strategy to reduce reliance on imported products by enhancing local production and providing high-quality alternatives, particularly in the fresh produce market.
At the forefront of this shift is Grove, a Riyadh-based agricultural technology startup. Positioning itself as a consumer brand, Grove leverages technology to create a demand-driven supply chain that connects farms directly to markets and households while minimizing waste and maximizing quality.
In an exclusive interview with Co-founder Mohammed Bin Ghannam, Sharikat Mubasher delved into how Grove is revolutionizing the fresh produce sector in Saudi Arabia, the key challenges it addresses, and its plans for market expansion. Ghannam also shared his vision for the future of the market both within the Kingdom and globally, outlining the key trends set to define its trajectory.
Grove describes itself as a consumer brand connecting farms, markets, and households. Can you walk us through how Grove's technology and operations enable this coordination?
At its core, Grove is solving a flavor and variety problem created by how traditional supply chains are designed. Because the system is optimized for predictability, shelf-life, and intermediaries, not end-consumer taste, farmers are pushed toward limited varieties and harvest timing that prioritizes transport and handling over ripeness. The result is a product that is often picked too early, travels too long, and reaches households with muted flavor and inconsistent eating quality.
Grove's technology changes that by turning real consumer demand into farm-level decisions through what we call a grade-to-channel system. We start by analyzing multi-channel demand, what people buy through our app, what retailers need, and what B2B clients order, then translate that into precise production planning at the farm level. This means farmers know what to plant, when to harvest, and which quality standards to meet before the season even starts.
On the operations side, we have built an integrated system that handles everything from harvest planning and quality grading to cold-chain logistics and last-mile delivery. Our software generates accurate harvest schedules days in advance based on real-time demand, and our routing algorithms ensure each grade is directed to the best-fit outlet based on quality specs and customer requirements.
What makes this work is vertical coordination. We are not a marketplace that just connects buyers and sellers. We operate as one extended system where farms, logistics partners, and sales channels share data and processes. This allows coordinated decisions across the entire chain, from soil to doorstep, so supply is shaped by real consumer demand instead of intermediary convenience.
What are the main challenges facing the fresh-produce market in Saudi Arabia, and how does Grove address them?
The biggest challenge is structural, not operational. The traditional supply chain was designed to move volume through intermediaries, not to deliver quality to consumers. This creates four major problems.
First, there is a massive quality gap. Most produce is harvested too early to survive the long journey through wholesale markets and distribution centers. Tomatoes arrive firm but flavorless. Strawberries are red but lack sweetness. Consumers pay premium prices but receive mediocre products optimized for travel, not taste.
Second, variety is extremely limited. The assortment on supermarket shelves does not match how people actually cook or eat. Generic varieties dominate because they fit standard supply chain flows, reflecting what intermediaries are comfortable managing rather than what kitchens actually need. What is surprising is that almost all imported products have local alternatives that are often far superior, closer to consumers, fresher, and in many cases cheaper to produce. But farmers do not know this, and even if they did, wholesale market brokers will not risk pushing new products into the market.
Third, there is zero transparency. Information about origin, handling, and farming practices is minimal. Without transparency, consumers cannot verify that their produce is safe or grown responsibly. They are forced to trust a system that has no accountability.
Fourth, food waste is massive; up to 30% of fresh produce is wasted in the traditional chain. When consumers purchase produce days after harvest, a significant portion of its usable lifetime has already elapsed. The result is spoilage in refrigerators, a hidden cost that makes cheap produce expensive.
Grove addresses these challenges through our demand-driven operating model. We partner directly with farmers through our Agri-Marketing service, which handles sales planning, coordinated planting and harvest, certified quality standards, cold-chain logistics, and guaranteed market access. This allows farmers to prioritize quality over volume because they know their entire harvest will be absorbed across appropriate channels.
For consumers, this means fresher, riper produce with full traceability. Our direct pathway eliminates premature harvesting, ripens fully, and reaches customers faster. We also solve the variety problem by moving the "what should be farmed" decision downstream, giving end consumers agency and input. That demand signal flows back upstream to farmers, giving them confidence that expanding into local alternatives will have commercial success.
The results speak for themselves. Our repeat-purchase rate is nearly 48%, and our food waste remains under 5%. These metrics prove that prioritizing quality and aligning with farmers aren't just idealistic goals, they lead to superior commercial performance.
How does Grove's unique demand-driven approach position the company to meet the rising demand for premium, organic, and specialty produce?
The traditional supply chain cannot meet premium demand effectively because it is built for volume and commoditized pricing. Grove starts from actual consumer demand and works backward to production planning. When we see demand for organic strawberries or specialty herbs, we translate that signal directly to farmers with clear guidance and guaranteed market access.
Our multi-channel structure de-risks farmer adoption. Premium grades go to our DTC channel at quality-aligned prices, while lower grades move through wholesale at fair value. This blended economics gives farmers confidence to invest in quality and specialization.
How does Grove contribute to reducing food waste in line with Vision 2030's food security objective?
Grove contributes to reducing food waste at three levels. At production, our grade-to-channel system helps ensure full harvest absorption; every kilogram finds its optimal market. At distribution, we harvest to order based on real-time demand, keeping our operational waste under 5% versus industry averages of 20-30%. At consumption, our produce arrives with a more usable lifetime intact, and we've designed packaging for smaller households and modern lifestyles.
Beyond operations, we are working to strengthen local production by proving Saudi farms can produce high-quality alternatives to imports. Our partnerships span the Kingdom, from Tabuk to Al-Hasa, Al-Jouf to Al-Qassim, contributing to a more resilient domestic supply chain that reduces import dependence. As part of the broader ecosystem, when we reduce waste, we are helping increase supply while optimizing the use of Saudi Arabia's rich agricultural resources, contributing to the Kingdom's vision for sustainable food security.
Grove recently closed a $5 million seed round. How will this new capital accelerate the company's growth strategy?
This is Grove's first institutional funding since we began operations in mid-2024, led by Outliers VC. The capital will be deployed across three priorities: deepening farm integration and partnerships, scaling logistics and fulfillment infrastructure, including cold-chain and regional fulfillment centers, and investing in technology systems that coordinate production planning, harvest scheduling, and demand forecasting.
Does Grove's long-term expansion plan include entering into regional and international markets?
Our current focus is on expanding within Saudi Arabia. We serve Riyadh today and are progressing toward additional cities across the Kingdom.
Finally, how do you see the future of the fresh-produce sector in Saudi Arabia, and what are the key trends that will reshape it?
The fresh-produce sector in Saudi Arabia is at an inflection point. Several converging trends are reshaping the market, and companies that understand and adapt to these trends will define the future of the industry.
The first trend is changing consumer behavior. Families are smaller, live in smaller homes, and work longer hours relative to previous generations. This has pushed fruit and vegetable consumption slightly out of diets, not because people don't want fresh produce, but because they have less time to cook, less time to visit central markets for better selection, and they need smaller quantities that don't match traditional market buying sizes. The future belongs to companies that can make fresh produce more convenient, more accessible, and better suited to modern lifestyles.
The second trend is rising quality expectations. Consumers are becoming more health-conscious, more informed, and more willing to pay for quality, traceability, and sustainability. They want to know where their food comes from, how it was grown, and whether it's safe. The traditional opacity of supply chains won't be acceptable in the future. Transparency and trust will become competitive advantages, not just nice-to-haves.
The third trend is technology adoption. Agriculture has historically been resistant to change, but that's shifting. Farmers are increasingly open to data-driven decision-making, precision agriculture, and partnerships that reduce risk and improve outcomes. The companies that can provide farmers with actionable insights, guaranteed market access, and operational support will win farmer loyalty and secure a reliable supply.
The fourth trend is sustainability and food security, driven by Vision 2030. The government is investing heavily in local agriculture, water efficiency, and reducing food waste. Companies that align with these national priorities, by strengthening local production, reducing waste, and building resilient supply chains, will benefit from policy support and consumer preference.
The fifth trend is consolidation and vertical integration. The fragmented, intermediary-heavy supply chains of the past are inefficient and unsustainable. The future will see more vertically coordinated systems where technology enables direct connections between farms and consumers, cutting out unnecessary intermediaries and reallocating value to the people who actually create it, farmers and consumers.
At Grove, we are building for this future. We are not just a produce delivery company. We are building the infrastructure for a demand-driven, tech-orchestrated agricultural system that aligns the incentives of farmers, consumers, and the market. We believe that is the future of fresh produce, not just in Saudi Arabia, but globally.
The companies that will succeed in this future are those that solve real structural problems, not just offer incremental improvements. That is what Grove is doing.