"Compassion knows no bounds, race or religion. If someone is in pain somewhere, we as Turkey should support them," Kızılay's Deputy Chairman Naci Yorulmaz said at the event.
He added that the aid campaign will help the people in the region.
Yemen has been dogged by conflict since 2014, when Houthi rebels overran much of the country, including the capital Sanaa, forcing the government to take up temporary residence in the coastal city of Aden.
Despite ongoing humanitarian assistance, 15.9 million people wake up hungry everyday. The conflict has also displaced more than three million people and killed thousands of civilians, according to the World Food Programme.
"We [Turkey] aim to contribute for permanent peace and stability in the world," Asip Kaya, Turkish Consul General in Vienna said, adding that Turkey supports countries from Philippines to Colombia.
Fatih Karakoca, head of UID in Austria said the aid will be delivered to the people in Yemen through Kizilay.
"We as Muslims living in Europe won't leave our brothers and sisters in Yemen alone," Karakoca said.
In 2015, Saudi Arabia and several of its Arab allies launched a massive air campaign in Yemen aimed at rolling back Houthi gains.
While the Saudi-led coalition has succeeded in wresting some territory back from the Houthis, the Shia rebel group remains firmly ensconced in Sanaa and in several other parts of the country.