Packaging Industry in UAE Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

The report covers Packaging Companies in UAE and the market is Segmented by Material (Plastic, Metal, Glass, Paper and Paperboard), Packaging Type (Rigid, Flexible), and End-user Industry (Food, Beverage, Pharmaceutical, Personal Care and Homecare). The market sizes and forecasts are provided in terms of value (USD billion) for all the above segments.

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UAE Packaging Market Size

United Arab Emirates (UAE) Packaging Market Summary
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Study Period 2018-2028
Base Year For Estimation 2022
Market Size (2023) USD 8.87 Billion
Market Size (2028) USD 10.20 Billion
CAGR (2023 - 2028) 2.84 %
Market Concentration Low

Major Players

United Arab Emirates (UAE) Packaging Market Major Players

*Disclaimer: Major Players sorted in no particular order
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UAE Packaging Market Analysis

The United Arab Emirates (UAE) Packaging Market size is estimated at USD 8.87 billion in 2023, and is expected to reach USD 10.20 billion by 2028, growing at a CAGR of 2.84% during the forecast period (2023-2028).

The UAE packaging industry is expanding, driven by the region's exploding need for packaging products and the expansion of e-commerce.

  • In the United Arab Emirates, where urbanization is growing at over 87% and disposable income is rising, there is a growing demand for packaged goods, which opens new opportunities for various packaging materials, thereby contributing to the market's growth.
  • The growing awareness among consumers of sustainable packaging is also among the major factors driving the packaging industry in the country. The growth is largely attributed to the consumption of non-recyclable plastic packaging, which may result in a greater need for more easily recyclable and sustainable packaging materials, such as paper and board, recycled PET (rPET), and bioplastics, and a decrease in secondary packaging.
  • The United Arab Emirates (UAE) offers huge potential for packaging vendors in the region. The country is actively investing in manufacturing. For instance, the importance the nation places on its manufacturing and industrial sectors has been emphasized by Operation 300bn, a 10-year industrial strategy that intends to make the industrial sector the principal driver of the country's economy by 2031. Therefore, the growing manufacturing sector could significantly bolster the rigid packaging segment during the forecast period.
  • The high increases in prices for energy, raw materials, transport, and packaging, which began as an impact of COVID-19, have adversely impacted the glass packaging industry. Owing to the pandemic, the glass packaging sector also faced a shortage of raw materials, impacting the price of raw materials. The fluctuating ocean freight rates are also hampering the market's growth in the country.
  • The country focuses on enhancing economic resilience and competitiveness in a post-COVID environment. To maintain the country's robust reputation for innovation and progress, the government has announced a number of programs that will considerably boost the packaging sector.

UAE Packaging Market Trends

Growing E-commerce Sector Drives the UAE Packaging Market

  • The e-commerce packaging market comprises different product types, such as pouches, protective packaging like air pillows, bubble packaging, shrink films, and other product types, such as labels and tapes.
  • Major market drivers include the expansion of online commerce, the development of an omnichannel presence, and the rise in the usage of biodegradable plastic packaging for online sales. To support the growth of plastic e-commerce packaging, businesses are creating an omnichannel distribution strategy for their products, including online purchases. The distinctions between the various sales channels will blur even more, giving customers a seamless buying experience.
  • The United Arab Emirates' technologically aware populace has propelled the country to the forefront of Middle Eastern online shopping. The steady expansion of e-commerce in the United Arab Emirates has been fueled by the rise in digital penetration and trust in online payments and mobile wallets.
  • The UAE leads the Gulf Cooperation Council (GCC) with respect to e-commerce sales, with a record USD 3.9 billion in sales in 2020, accounting for 10% of all retail sales. The market in the United Arab Emirates grew by 53% in 2020, mainly due to the pandemic and the resulting digital shift. By 2025, the Dubai Chamber of Commerce and Industry projects that online sales will reach USD 8 billion in the United Arab Emirates, where nearly everyone has an internet connection and mobile devices.
  • The adoption of sustainable packaging in the e-commerce sector may bolster the market during the forecast period. For instance, in August 2022, SupplyVan, the Middle East's MRO e-commerce firm, made effective efforts to assist the cause of sustainability through its packing materials.
  • Therefore, the significant growth in the e-commerce sector with the advancement of technology, the majority of the population using the gadgets such as smartphones, and the sustainable packaging adoption in e-commerce may boost the market's growth during the forecast period.
United Arab Emirates (UAE) Packaging Market: Projected E-Commerce Sales, In USD Billion, UAE, 2020 - 2025

Food and Beverages to Boost the Market

  • The United Arab Emirates has been registering constant growth in urbanization, which significantly means that more consumers in the country would spend on packaged food due to their busy lifestyles, creating an opportunity for vendors because food packaging is essential for food preservation.
  • Plastic packaging is majorly used in food packaging as this is a highly flexible and adaptable type of packaging, allowing the users to have a customized design and shape to address the requirement of the type of food to be packed. In addition, plastic packaging solutions are space-efficient and lightweight, driving the adoption of plastic packaging across the food industries. In addition, paper packaging is also gaining traction in food packaging due to the country's objective to have biodegradable packaging materials.
  • Additionally, companies have been offering packaging solutions according to the nature of the food, including its shelf life and the required delivery temperature. According to the UAE Food and Agriculture snapshot published in March 2002 by the government, the country is expected to have an increasing demand for expensive, organic, premium foods due to the rise in per capita incomes, shifting consumer preferences, and the tourism industry, which would drive the market for food packaging in the country.
  • The country has major international travel and commercial destinations such as Dubai and Abu Dhabi, for which the demand for beverages in the country has been expanding and fueling the beverage packaging market. Dubai has been hosting many international expos, increasing the number of visitors coming to the country and creating an opportunity for the beverage packaging industry.
  • The country's beverage companies have been expanding their production lines by introducing plant-based beverages due to the demand for the drinks for their health benefits and partnering with many global packaging companies in the processing and packaging of the beverages, thus fueling the market in the country. For instance, in October 2022, UAE-based Nuitree Food partnered with Tetra Pak, the supplier of beverage packaging solutions, to integrate Tetra Pak's comprehensive packaging and processing solutions in the production facility, focusing on plant-based beverages.
  • Therefore, the increasing demand for beverages in the country due to its growth in the tourism sector, the people's choice for having plant-based beverages, and the trend of biodegradable packaging across the beverage industries in the country are fueling the market's growth for packaging in the country.
United Arab Emirates (UAE) Packaging Market: Estimated Online Food and Beverage Sales, In USD Million, UAE, 2020 - 2025

UAE Packaging Industry Overview

The UAE packaging market has a wide portfolio of suppliers from the local and international markets. This factor is leading to high competition among the vendors. Due to the absence of multiple distribution channels, the vendors often interact directly with the end users to sell their products. The market's major players are Tetra Pak, International SA, Mondi PLC, Najmuddin Packaging & Refilling Industry LLC, Aptar Group Inc., and Can Pack SA.

  • July 2022 - Tetra Pak announced a collaboration with two recycling companies, Obeikan Paper Industries (OPI) and Saudi Top Plastic Factory (STP). With this collaboration, the company aims to increase its collection and recycling of post-consumer cartons. The goal is to recycle all the components of the packages collected in the countries of the Middle East, including the United Arab Emirates.
  • March 2022 - Mondi PLC announced its plans to invest actively in corrugated packaging. For example, it announced a EUR 280 million (USD 297.50 million) investment to increase corrugated packaging output.

UAE Packaging Market Leaders

  1. Tetra Pak International SA

  2. Mondi PLC

  3. Najmuddin Packaging & Refilling Industry LLC

  4. Aptar Group Inc.

  5. Can-pack SA

*Disclaimer: Major Players sorted in no particular order

United Arab Emirates (UAE) Packaging Market Concentration

UAE Packaging Market News

  • February 2023 - Al Ain Water, an Abu Dhabi-based firm that delivers drinking water, introduced the country's first locally made 100% rPET bottle. The new 100% rPET bottle was introduced during Gulfood and is composed of post-consumer recycled plastic and is completely recyclable. The company mentioned that the introduction of Al Ain Water's 100% rPET container is in accordance with a recently issued ministerial directive by MoIAT that governs the production and sale of recycled plastic water bottles.
  • January 2023 - At Abu Dhabi Sustainability Week, representatives of Repeet, BEEAH Group, and Agthia signed an agreement to investigate the viability of a project in the presence of the Ministry of Industry and Advanced Technologies (MoIAT) representatives. At a total capacity, a 40,000-square-meter plant in Abu Dhabi is expected to create 100 employees and lower CO2 emissions by 18,000 metric ton annually. The cooperation complies with a recent ministerial directive (MoIAT) to control the trade in recycled plastic water bottles.

UAE Packaging Market Report - Table of Contents

  1. 1. INTRODUCTION

    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study

  2. 2. RESEARCH METHODOLOGY

  3. 3. EXECUTIVE SUMMARY

  4. 4. MARKET INSIGHTS

    1. 4.1 Market Overview

    2. 4.2 Industry Value Chain Analysis

    3. 4.3 Industry Attractiveness - Porter's Five Forces Analysis

      1. 4.3.1 Bargaining Power of Suppliers

      2. 4.3.2 Bargaining Power of Buyers

      3. 4.3.3 Threat of New Entrants

      4. 4.3.4 Threat of Substitutes

      5. 4.3.5 Intensity of Competitive Rivalry

    4. 4.4 Impact of COVID-19 on the UAE Packaging Industry Market

    5. 4.5 Technology Snapshot

  5. 5. MARKET DYNAMICS

    1. 5.1 Market Drivers

      1. 5.1.1 Increasing Environmental Awareness

      2. 5.1.2 Growing E-commerce Sector

    2. 5.2 Market Challenges

      1. 5.2.1 Fluctuations in the Prices of Raw Materials

  6. 6. MARKET SEGMENTATION

    1. 6.1 By Material

      1. 6.1.1 Plastic

      2. 6.1.2 Metal

      3. 6.1.3 Glass

      4. 6.1.4 Paper and Paperboard

    2. 6.2 By Packaging Type

      1. 6.2.1 Rigid

      2. 6.2.2 Flexible

    3. 6.3 By End-user Industry

      1. 6.3.1 Food

      2. 6.3.2 Beverage

      3. 6.3.3 Pharmaceutical

      4. 6.3.4 Personal Care/Homecare

      5. 6.3.5 Other End-user Industries

  7. 7. COMPETITIVE LANDSCAPE

    1. 7.1 Company Profiles

      1. 7.1.1 Tetra Pak International SA

      2. 7.1.2 Mondi PLC

      3. 7.1.3 Najmuddin Packaging & Refilling Industry LLC

      4. 7.1.4 Aptar Group Inc.

      5. 7.1.5 Can-pack SA

      6. 7.1.6 Rotopacking Materials Ind. Co. LLC

      7. 7.1.7 Gulf East Paper and Plastic Industries LLC

      8. 7.1.8 Arabian Packaging LLC

      9. 7.1.9 Amber Packaging Industries LLC

      10. 7.1.10 Huhtamaki Flexibles UAE (Huhtamaki OYJ)

      11. 7.1.11 Corys Packaging LLC

      12. 7.1.12 Integrated Plastics Packaging LLC

    2. *List Not Exhaustive

  8. 8. INVESTMENT ANALYSIS

  9. 9. MARKET OPPORTUNITIES AND FUTURE TRENDS

**Subject to Availability

UAE Packaging Industry Segmentation

The UAE packaging market is defined based on the revenues generated from the material type used in various end-user industries such as food, beverages, pharmaceuticals, personal/homecare, and other end-user industries. The analysis is based on the market insights captured through secondary research and the primaries. The market also covers the major factors impacting the market's growth in terms of drivers and restraints.

The scope of the study has been segmented based on the material type (plastic, metal, glass, and paper and paperboard), packaging type (rigid and flexible), and end-user industry (food, beverage, pharmaceutical, personal/homecare, and other end-user industries) across the United Arab Emirates. The market sizes and forecasts are provided in terms of value (USD billion) for all the segments.

The study tracks the key market parameters, underlying growth influencers, and major vendors operating in the industry, which supports the market estimations and growth rates over the forecast period. The study also provides the UAE packaging market trends and key vendor profiles. The study further analyses the overall impact of COVID-19 on the ecosystem.

By Material
Plastic
Metal
Glass
Paper and Paperboard
By Packaging Type
Rigid
Flexible
By End-user Industry
Food
Beverage
Pharmaceutical
Personal Care/Homecare
Other End-user Industries

Report scope can be customized per your requirements. Click here.

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UAE Packaging Market Research FAQs

The United Arab Emirates Packaging Market size is expected to reach USD 8.87 billion in 2023 and grow at a CAGR of 2.84% to reach USD 10.20 billion by 2028.

In 2023, the United Arab Emirates Packaging Market size is expected to reach USD 8.87 billion.

Tetra Pak International SA, Mondi PLC, Najmuddin Packaging & Refilling Industry LLC, Aptar Group Inc. and Can-pack SA are the major companies operating in the United Arab Emirates Packaging Market.

UAE Packaging Industry Report

Statistics for the 2023 UAE Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. UAE Packaging analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.

UAE Packaging Market Report Snapshots

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