24/08/2026 05:03 AST
Qatar's luxury goods market is projected to grow to $2.63bn by 2031, supported by rising tourism, investment in premium retail and hospitality, and reforms designed to attract international businesses, according to a market assessment by Mordor Intelligence.
The sector is expected to expand from $1.62bn this year, equivalent to approximately QR5.9bn, to almost QR9.6bn by 2031, representing a compound annual growth rate of 10.15%, the research showed.
The forecast suggests the market could increase by more than 62% over the next five years, creating opportunities across fashion, jewellery, premium watches, beauty products and online retail.
Clothing and apparel represented the largest segment in 2025, accounting for 29.45% of the market, driven by demand for premium tailoring, formalwear, designer collections and bespoke services.
Luxury watches are forecast to grow by 10.34% annually through 2031, supported by demand for limited-edition pieces and the expansion of authorised dealers.
Women accounted for 56.3% of luxury spending in 2025, while purchases by men are expected to increase by 10.22% annually over the forecast period.
Traditional shops remain the dominant sales channel, accounting for 74.9% of the market last year, although online luxury sales are projected to grow by 10.88% annually.
Tourism is identified as a major contributor to the sector's expansion. Official Qatar Tourism figures show the country welcomed 5.1mn international visitors in 2025, an increase of 3.7% from the previous year.
More than 10.8mn hotel room nights were sold during the year, up 8.6%, while average hotel occupancy reached 71%, reflecting stronger demand across the hospitality sector. Qatar Tourism annual performance statistics
The report also highlighted regulatory changes that have lowered barriers for international brands and investors.
The Ministry of Commerce and Industry confirmed that Ministerial Decision No 60 of 2024 reduced some business-related service fees by more than 90%, while setting the fee for a new commercial registration or licence at QR500.
The ministry said the measures were intended to support entrepreneurs, encourage foreign investment and improve the competitiveness of Qatar's business environment. Ministry of Commerce and Industry announcement.
The researchers said the market's growth prospects were also underpinned by new tourism and residential developments, increasing interest in personalised shopping experiences and Qatar's broader efforts to diversify its economy.
The assessment identified regional geopolitical instability, counterfeit products and the country's relatively small population as potential constraints, but maintained its forecast for sustained double-digit annual growth through 2031.
Gulf Times
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