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Burak Çakmak, CEO of Fashion Commission
Burak Çakmak, CEO of Fashion Commission, said Saudi Arabia's retail fashion market was valued at $24 billion by the end of 2021, and the Kingdom maintained a healthy level in 2022, as the authority is working to issue a report on the local fashion market in May.
On the sidelines of the Retail Leaders Circle MENA Summit in Riyadh, Çakmak told Argaam that the authority is following up all information related to the fashion market to increase spending in the Kingdom and contribute to the growth of local retail fashion market.
The private companies dominate more than 90% of the total number of companies in the sector, with only one firm listed in the Saudi market and provides its data for the public.
Accordingly, the commission decided to establish a data center that will publish the first report on fashion next May, the CEO said, adding that the report will include private data collected for the first time to measure the performance.
The report will also provide the investors interested in the Saudi market with information covering all different categories and products in the fashion sector, as well as the real size of retail sales, and the number of brands and employees, whether citizens and non-nationals.
He pointed out that small brands that often operate online have nearly 10-20 employees, and the commission is working on programs to help them professionalize and develop businesses as well as create growth retail opportunities.
Almost 230,000 people are employed in the fashion industry, including retail, based on the 2022 data. On the other hand, core fashion jobs stand at 90,000, with the remaining workforce distributed in the entire sector. The sector data will be updated by the commission.
Retailing poses great opportunities today. The fashion sector accounts for 1.4% of the Kingdom’s gross domestic product (GDP). The commission aims to raise this contribution to 2% by 2030 through several programs in line with the government effort to support local content.
He concluded that the commission seeks to ensure that tourists spend more time in the Kingdom to explore local brands, and support the Saudi brands and sector to drive exports.
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