Grove, a Saudi agritech startup, raises $5M in seed funding to build a demand-driven fresh produce supply chain, connecting farms, markets, and consumers across the Kingdom.
Saudi agritech startup Grove has raised $5 million in a seed funding round led by Outliers VC, with participation from a group of angel investors, as it seeks to address structural inefficiencies in the Kingdom’s fresh-produce supply chain.
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Founded in 2024 by Mohammed bin Ghanam and Ayman AlFifi, Riyadh-based Grove operates as a consumer-facing brand in the fresh agricultural produce sector. Unlike traditional marketplaces that rely on fragmented supplier networks, the company is building a vertically coordinated model that connects farms, markets, and households into a single, integrated system. The aim is to ensure that produce reaches its most appropriate and highest-value destination, while reducing waste and quality loss along the way.
Grove’s founders argue that the core challenge facing fresh food is not agricultural output but distribution. “The real challenge isn’t farming; it’s supply chains optimized for speed over quality,” said co-founder Ayman AlFifi. “Grove is building a practical, scalable alternative that proves better food can also be commercially viable and sustainable.”
The company is targeting a large and complex market. Saudi Arabia’s agricultural sector is valued at about $31.5 billion, while imports of plant-based products are expected to reach $10.7 billion in 2025. Despite growing domestic production, the startup notes that local supply chains remain misaligned with consumer needs, resulting in inconsistent quality, limited product variety, and shorter shelf lives for fresh produce.
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According to Grove, many of these challenges stem from systems designed to prioritize long storage and extended transportation, often at the expense of freshness, flavor, and nutritional value. This structure, the company says, creates inefficiencies for farmers and frustration for consumers, while contributing to higher levels of food waste.
To address this, Grove is developing a demand-driven supply chain that aligns production planning, pricing, and market access from early stages of the growing cycutilizingy using technology to coordinate supply and demand more precisely. The startup aprovideto give farmers clearer visibility into market needs and pricing expectations, while offering consumers fresher produce and a broader selection.
The company says its model also improves transparency across the value chain, helping stakeholders make better decisions and reducing losses associated with overproduction and spoilage. While Grove has not disclosed detailed expansion plans, the fresh capital is expected to support operational scaling, supply chain development, and deeper engagement with local producers.
As Saudi Arabia continues to push for greater food security and sustainability under its broader economic diversification agenda, startups like Grove are positioning themselves at the intersection of agriculture, logistics, and consumer demand. The company’s challenge will be proving that a quality-first approach to fresh produce can scale efficiently in a market long shaped by cost and speed considerations.
Why Grove Matters to MENA
Food supply chains across MENA remain fragmented, import-heavy, and inefficient, creating opportunities for tech-driven platforms that can improve margins, reduce waste, and stabilize pricing. Grove’s vertically coordinated model targets a large and under-optimized market in Saudi Arabia, where food security and local production are strategic priorities. For investors, the startup reflects a shift in agritech funding toward scalable supply-chain infrastructure rather than capital-intensive farming, with potential for predictable revenues, regional expansion, and alignment with Vision 2030-linked demand.
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