Market Size of GCC Metal Cans Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 2.83 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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GCC Metal Cans Market Analysis
The GCC metal cans market is expected to register a CAGR of 2.83% over the forecast period (2022 - 2027). The product is gaining prominence due to its distinct features, such as resistance to transportation, hermetically sealed cover, irregular handling, and easy recyclability.
- The high recyclability of metal cans is one of the significant drivers of the market. Making products from recycled metals uses less energy, reduces carbon emissions, and uses less water compared with using raw materials.
- Owing to the increasing consumption of both alcoholic and non-alcoholic beverages, such as beer and carbonated drinks, in GCC, there is significant demand for metal cans in the region. According to a new report from the Dubai Chamber of Commerce, the UAE's food and beverage trade grew steadily to more than USD 20 billion in the first nine months of 2021.
- Moreover, consumer trends, such as a preference for small-size and multi-pack packaging formats, are also supporting the volume growth of the metal cans market in the region. For instance, in March 2022, Rexam's chief executive said that growth prospects for the beverage can in the Middle-East were attractive, and they look forward to working together with their partners in UAC to lead further expansion in the region.
- The rise in consumer awareness concerning the application of non-carcinogenic materials in packaging and increased demand for lightweight packing is generating high growth prospects for the metal cans market. However, due to the replacement possibility of polymer-based packaging materials, including polyethylene and polyethylene terephthalate (PET), metal cans are witnessing a challenge in their usage.
- In response to the COVID-19 pandemic's impact on demand, GCC aluminum production has swiftly increased by 179 thousand metric ton in 2020, while producing only 5654 thousand metric tonnes of aluminum in 2019, as per International Aluminum Institute. Also, the non-ferrous metals industry is a key supplier of essential value chains, including food packaging. COVID-19 is causing significant and growing economic impacts on the GCC non-ferrous metals sector, caused by major demand reduction in key-value chains, supply disruptions, and transport difficulties.
