Morocco Flexible Packaging Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 3.53 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Morocco Flexible Packaging Market Analysis
The Moroccan flexible packaging market was valued at USD 1.77 billion the previous year and is expected to reach USD 2.18 billion by the end of the forecast period, registering a CAGR of 3.53%.
- Flexible packaging allows more economical and customizable options for packaging products. Flexible packaging products are particularly useful in industries requiring versatile packaging, such as the food and beverage, personal care, and pharmaceutical industries. It has grown popular due to its high efficiency and cost-effectiveness.
- Major technological trends are emerging in flexible packaging: growing e-commerce demand for shippable packaging or convenient packaging; the need to integrate technology with packaging is driven by rising demand for packaging materials with improved barrier qualities, product innovation, and increasing supply chain digitization.
- The growth of the food ingredients market in the region is driven by the expansion of the food and beverage industry, increasing consumption of dairy and frozen dairy products, and increased focus on demand for processed and packaged foods. Flexible packaging is the common packaging material. The growing demand for portable and suitable food packaging is driving the use of flexible packaging across various industries.
- The demand for flexible packaging products is generally driven by millennial customers, who prefer single-serving and on-the-go food and beverage foodstuffs. Its flexible packaging, durability, portability, and lightweight properties make it a prominent option for packing products. This is expected to drive the demand for flexible packaging in Morocco's food and beverage industry.
- Morocco is concerned about managing solid waste, especially non-biodegradable post-consumer plastics, mainly generated from the packaging industry. The government of Morocco is focused on developing action plans to reduce the amount of marine plastic pollution that enters the oceans. It plans to prevent this by adopting a "circular economy" to minimize waste and pollution by extending the life cycle of plastic products and promoting the sharing of materials and products. This can restrain the market's growth.
- In the era of post-COVID packaging, most consumers also became aware of sustainability as a broader idea, although having embraced the use of plastic for more advanced safety in terms of hygiene. The pandemic increased awareness of flexible food packaging. The crisis accelerated the online shopping boom, causing significant disruption to shopping and consumption habits, especially among rural residents who traditionally shop at retail stores. Multiple factors, such as the increasing use of soft and flexible materials, drive the market with varying impacts over the short, medium, and long term.
Morocco Flexible Packaging Market Trends
Plastic to Dominate the Material Segment
- Morocco is focused on collecting solid waste, especially non-biodegradable post-consumer plastics, mainly from the packaging industry. The government of Morocco is focused on developing action plans to reduce the amount of marine plastic pollution that enters the oceans. It plans to prevent this by adopting a "circular economy" to minimize waste and pollution by extending the life cycle of plastic products and promoting the sharing of materials and products, which is expected to promote the growth of flexible pouches during the forecast timeframe.
- Additionally, Morocco plastic recycling company Sumilon is expanding operations to fulfill the growing global demand for recycled plastics. Its research showed that only 1,000-1,200 tonnes are collected yearly. The company aims to process 90% of this supply in Morocco, and its new production line is anticipated to come online towards the end of 2023. The company is boosting its presence in Morocco and other parts of Africa.
- Moreover, organizations are focused on expanding their business in the country. For instance, in July 2023, Smurfit Kappa inaugurated a packaging facility in Rabat, Morocco. The group has invested over EUR 35 million (USD 37.5 million approximately) in the 25,000 m2 facility, which will be completed from ground break to operation in seven months and will support 400 direct and indirect jobs. The facility will allow the company to efficiently supply advanced and sustainable packaging solutions to local customers and multinationals in Morocco. Such expansion will leverage the market for bags and pouches in the country.
- Furthermore, growing demand for non-alcoholic beverages is expected to fuel market growth. Flexible packaging is crucial in reducing waste and allowing online brands to innovate their packaging to enhance the experience. There is a considerable high demand for flexible packaging in the beverage sector due to reduced production, shipment costs, and ease of handling. According to the Government of Canada, The total retail sales of beverages in Morocco in 2020 were estimated at more than USD 3.1 billion. This included approximately USD 2.7 billion in non-alcoholic beverage sales. By 2024, the total retail sales value is expected to be around USD 3.5 billion, with USD 3.1 billion million generated from non-alcoholic beverage sales.
Food Industry to be the Largest End User
- The food processing industry in Morocco contributes nearly 6% of the country's GDP. It benefits from first-rate manufacturing facilities, good infrastructure, and easy market access in neighboring African nations. Over the medium-term forecast period, Fitch Solutions indicated a favorable outlook for Morocco's food service market. It anticipated that between 2022 and 2026, nominal household spending on restaurants and hotels (as a stand-in for food services) would increase at a compound annual growth rate of 3.9%.
- Morocco has been working to produce local plastic, metallic, and paperboard packages because packaging is an integral part of agrifood production and distribution. Morocco's federations in the agrifood and packaging industries agreed in June 2022 to reduce its reliance on imports. Moroccan players in the agrifood and packaging industries banded together to lessen the MAD 8 billion (~USD 786 million) burden of imports after being adversely affected by the economic crisis and the rise in raw material prices.
- Market players are increasing their investment, partially supported by the government's initiatives to become a self-sustained food economy. Packaging organizations are poised to witness growth owing to this development. For instance, in May 2022, the largest retailer in Morocco, Retail Holding, and the UAE-based packaging manufacturer Hotpack Global announced plans to take 80% of the country's packaging market jointly.
- Moreover, in March 2022, International Paper (IP), one of the largest manufacturers of packaging, pulp, and paper products made from renewable fibers, announced a new 2020 investment program worth MAD 100 million (nearly USD 10 million) for its Moroccan production facilities. The purchase of new machinery to increase the plant's production capacities is planned to receive MAD 65 million (nearly USD 7 million) as part of this investment program. The goal is to strengthen International Paper's position in the fresh produce industry.
- Further, Moroccan federations in the agrifood and packaging sectors agreed to cut the country's reliance on imports and create 7,500 direct job opportunities by 2060. Impacted by the economic crisis and surge in the prices of raw materials, Moroccan actors in the agrifood and packaging industries came together to reduce the MAD 8 billion (USD 786 million) burden of imports. The price rise has prompted Moroccan agrifood federations, in partnership with the packaging industry, to increase the sector's integration rate to 39%, up from the current rate of 26%. This is causing players to set up their regional manufacturing units to meet the growing demand for paper packaging.
Morocco Flexible Packaging Industry Overview
The Moroccan flexible packaging market is characterized by fragmentation. It features several key players, including Mondi Pap Sac Maghreb SA (Mondi PLC), Compagnie Industrielle Des Fibres, Multisac SA, Afrimag Glue, and Hotpack Packaging Industries LLC. These market leaders with significant market share are actively engaged in expanding their customer base across the country.
In July 2023, Smurfit Kappa made a substantial investment of approximately EUR 4.7 billion (USD 5.17 billion) to support its global customer base. The company celebrated the opening of its inaugural site in North Africa, a state-of-the-art integrated plant located in Rabat, Morocco. Morocco, recognized as one of the fastest-growing economies globally, is anticipated to achieve a growth rate of 3.5% in 2023, with a further 3.7% increase projected for 2024, according to OECD forecasts. Smurfit Kappa's strategic positioning in Morocco allows it to efficiently serve both the local market and the broader African regions. Notably, the group has invested more than EUR 35 million (USD 38.51 million) in this expansive 25,000 m2 facility.
In December 2022, Mondi announced the commencement of production at its impressive EUR 16 million (USD 16.8 million) manufacturing plant located in Tangier, Morocco. This strategic investment significantly enhances production capacity in West Africa, enabling the production of over 500 million paper bags annually. This investment was undertaken with the primary objective of capitalizing on Mondi's existing expertise to meet the rising demand for paper bags within the region.
Morocco Flexible Packaging Market Leaders
Hotpack Packaging Industries LLC
Afrimag Glue
Multisac SA
Compagnie Industrielle Des Fibres
Mondi Pap Sac Maghreb SA (Mondi PLC)
*Disclaimer: Major Players sorted in no particular order
Morocco Flexible Packaging Market News
- February 2023: The European Bank for Reconstruction and Development (EBRD) granted a loan of EUR 15 million (USD 16.10 million) to Moroccan packaging manufacturer Multisac SA. Multisac is a local producer of woven Polypropylene bags in the country. This loan will facilitate Multisac's expansion by enabling the incorporation of Biaxially Oriented Polypropylene Films (BOPFs) into its product range. BOPFs are renowned for their reusability, recyclability, and low carbon footprint, making them an eco-friendly choice for flexible packaging films. Furthermore, the funding will support Multisac in constructing an environmentally sustainable manufacturing facility with Building Research Establishment Environmental Assessment Method (BREEAM) certification. This new plant is projected to increase Multisac's annual bag production from 220 million to 250 million units.
- May 2023: Hotpack Global announced its plans to establish an office in Morocco. This strategic move is expected to solidify Hotpack Global's position in the Moroccan packaging market, giving the company control over 80% of the market share. Hotpack Global's expansion in Morocco will be executed in partnership with Best Financiers, one of Retail Holding's investment divisions.
Morocco Flexible Packaging Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Buyers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitutes
4.3.5 Intensity of Competitive Rivalry
4.4 Post COVID-19 Impact on the Market
4.5 Import and Export Analysis
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Increased Demand for Convenient Packaging Solution
5.1.2 Growing Demand for Sustainable Packaging Solution
5.2 Market Challenges
5.2.1 Concerns Regarding Impact of Plastics on the Environment
5.3 Coverage of Raw Materials for Flexible Packaging
5.4 Identification of Key Manufacturer/Suppliers of Pulp and Paper
5.5 Insight on the Pricing Trends of the Products
6. MARKET SEGMENTATION
6.1 By Material
6.1.1 Paper
6.1.2 Plastic
6.1.3 Aluminum Foil
6.2 By Product Type
6.2.1 Pouches
6.2.2 Bags
6.2.3 Films and Wraps
6.2.4 Other Product Types
6.3 By End-user Industry
6.3.1 Food
6.3.2 Beverages
6.3.3 Household and Personal Care
6.3.4 Other End-user Industries
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Hotpack Packaging Industries LLC
7.1.2 Afrimag Glue
7.1.3 Multisac SA
7.1.4 Compagnie Industrielle Des Fibres
7.1.5 Mondi Pap Sac Maghreb SA (Mondi PLC)
7.1.6 Societe Nouvelle Des Etablissements Manusac
7.1.7 Unibag Maghreb
7.1.8 Amcor Group GmbH
7.1.9 Almapack
7.1.10 Atlantic Packaging SA (Diana Holding)
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Morocco Flexible Packaging Industry Segmentation
Flexibility packaging, which allows for more economical and configurable options, is a method of packaging products that use nonrigid materials. It is a new method with a high degree of efficiency and cost-effectiveness that has gained popularity in the packaging market.
The Moroccan flexible packaging market is segmented by material type (paper, plastic, and aluminum foil), product type (pouches, bags, films & wraps, and other product types), and end-user industry (food, beverages, household & personal care, and other end-user industries).
The market sizes and forecasts are provided in terms of value in USD for all the above segments.
| By Material | |
| Paper | |
| Plastic | |
| Aluminum Foil |
| By Product Type | |
| Pouches | |
| Bags | |
| Films and Wraps | |
| Other Product Types |
| By End-user Industry | |
| Food | |
| Beverages | |
| Household and Personal Care | |
| Other End-user Industries |
Morocco Flexible Packaging Market Research FAQs
What is the current Morocco Flexible Packaging Market size?
The Morocco Flexible Packaging Market is projected to register a CAGR of 3.53% during the forecast period (2024-2029)
Who are the key players in Morocco Flexible Packaging Market?
Hotpack Packaging Industries LLC, Afrimag Glue, Multisac SA, Compagnie Industrielle Des Fibres and Mondi Pap Sac Maghreb SA (Mondi PLC) are the major companies operating in the Morocco Flexible Packaging Market.
What years does this Morocco Flexible Packaging Market cover?
The report covers the Morocco Flexible Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Morocco Flexible Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Morocco Flexible Packaging Industry Report
Statistics for the 2024 Morocco Flexible Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Morocco Flexible Packaging analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
