GCC Packaging Market Size (2024 - 2029)

GCC Packaging Market Analysis

The GCC Packaging Market was valued at USD 24.26 billion in the previous year and is expected to reach a value of USD 31.30 billion over the forecast period registering a CAGR of 4.2%.

• The rising demand for food packaging is driving the packaging industry in the country. Online orders for fresh fruits, vegetables, meats, poultry, and ready-to-eat meals from restaurants and cafes have increased due to the COVID-19 pandemic. Manufacturers observed that this tendency had moved the industry's attention to upgrading the current product portfolio and developing more environmentally friendly packaging.
• Corrugated packaging is becoming popular as sustainability is critical across the supply chain. Recycling is easy, as the pulp and paper industry already converted the raw materials into the latest generations of containerboards. There has been a rise in accepting corrugated protective formats over polymer-based alternatives, such as (EPS) foams. Sustainable packaging and its financial benefits are also a growing priority for the nation's regulatory and governmental organizations. This factor is also promoting market growFurthermoremore, folding cartons are one of the most versatile and cost-effective formats to package and deliver goods, with diverse possibilitfors in a visually appealing product. Folding carton packaging is one of the most used eco-friendly packaging solutions due to its ability to be produced in many sizes with a small footprint compared to other bulkier packaging options, thus making it feasible for use in almost all end-user industries.
• The recyclable rigid plastic packaging products are made of plastic jars with open tops and independent lids, closures, or covers. Large rigid containers are widely used in supermarkets and shops to transport various products, including foods, products, and pharmaceuticals. Therefore, rigid plastics' durability and ability to be recycled are the main factors driving the industry in the region.
• 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 GCC's food and beverage industry.
• Further, metal packaging is one of the most famous modes of packaging in the oil and gas and chemicals industry, in the form of bulk packaging elements, such as drums and cans. Metals also have a high adoption in the FMCG domain for making food and drink cans, aerosol cans, tubes, and containers for confectionery or biscuits.
• The beverages market is witnessing an increased demand for glass containers such as liquor bottles. In addition, the growth in the use of glass bottles for personal care and cosmetics products further augments the development of glass packaging in the country. More and more liquor and cosmetics manufacturers are becoming aware of using recycled materials in their packaging and raising the percentage of recycled glass used in their bottles and cosmetic products. For instance, companies like Hawkins & Brimble UAE are using glass in many of their new products, like moisturizers and beard oil, which is easily recyclable.
• Following the COVID-19 pandemic, major technological trends emerged in packaging: growing e-commerce demand for shippable packaging and 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.
• According to the Gulf International Forum, the energy policies of the GCC countries and their continued partnership with Russia dominate the Gulf region's international agenda. From an economic point of view, the war in Ukraine negatively affects trade cooperation between the GCC and Russia. There are also indications that this could slow GDP growth in the GCC. Growth and recovery would likely have a significant impact on the market studied, as the economy is the main driving force for the packaging industry.

GCC Packaging Industry Segmentation

The GCC Packaging Market is segmented by Material(Plastic, Metal, Glass, Paper, and Paperboard), Packaging Type (Rigid, Flexible), End-user Industry (Food, Beverage, Pharmaceutical, Personal/Homecare, and Other End-user Industries), and Country (Saudi Arabia, United Arab Emirates, Qatar, and the Rest of GCC). The market sizes and forecasts are provided in terms of value (USD million) for all the segments.