Middle East And Africa Rigid Bulk Packaging Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 4.71 Billion |
| Market Size (2029) | USD 5.17 Billion |
| CAGR (2024 - 2029) | 1.88 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Middle East And Africa Rigid Bulk Packaging Market Analysis
The Middle East And Africa Rigid Bulk Packaging Market size is estimated at USD 4.71 billion in 2024, and is expected to reach USD 5.17 billion by 2029, growing at a CAGR of 1.88% during the forecast period (2024-2029).
- The increase in consumption and consumer expenditure in the food and beverage industry and the escalated use of rigid plastic to make innovative and inexpensive bulk packaging options are aiding the market for the Middle East region. Furthermore, the growing government initiatives in the region are bolstering the market’s growth rate. For instance, in October 2023, the United Arab Emirates (UAE) government unveiled the start of Food Tech Valley to Transform the Gulf Nation into a Global Agriculture and Food Technology Hub. These initiatives aimed at boosting local food and agricultural production are expected to boost the demand for bulk packaging products.
- In the Middle East, the need for sustainable packaging materials is increasing as people become more aware of the importance of protecting the environment and adopting sustainable practices. Companies and consumers are turning to eco-friendly alternatives with an increased focus on reducing packaging waste. There is a growing demand for reusable and recyclable lightweight bulk containers across the region. Both Saudi Arabia and the United Arab Emirates (UAE) are among the largest economies in the Gulf Cooperation Council (GCC) and have set ambitious 2030 targets, with the United Arab Emirates aiming to divert all municipal solid waste from landfills and Saudi Arabia aiming for zero waste to landfill.
- Most Middle East oil-producing states are associated with the Organization of Petroleum Exporting Countries, which coordinates oil extraction quotas and oil pricing on behalf of its members. About 37.9% of the world’s oil is produced by non-OPEC countries, with Saudi Arabia being its founding member, producing more than 12.2 million barrels per day (BPD). Also, the region exports oil to significant countries of the world. Therefore, there is a constant demand for bulk oil barrels in the Middle East.
- Also, there is an increase in the adoption of automation in the Middle East and Africa. Automated packaging solutions increase the safety of goods in transit, which is a crucial part of pharmaceutical, food, and beverage packaging. Stronger business ties are cultivated through increasing productivity and consistency, which in turn gives significant and continuous support to important clients. Automation has made it possible for enterprises that outsource their packaging to meet increased demand more easily, which has proven extremely handy.
Middle East And Africa Rigid Bulk Packaging Market Trends
Increase in Demand For Bulk Drums Backed By the Oil Exports
- The Middle East oil market is very seamless and largely a function of high demand. As the second most active downstream market, the Middle East has accounted for over 30% of global refining capacity growth in recent years. It is expected to account for an even higher proportion of global firm refining projects over the next few years.
- About one-third of the world’s oil supply originates in the Middle East. Most Middle Eastern countries are members of the oil-producing Organization of Petroleum Exporting Countries (OPEC), which holds considerable sway over oil prices by acting as a single entity. Saudi Arabia is one of the world’s largest oil exporters. With its abundant oil reserves and advanced extraction techniques, the Kingdom has consistently supplied the bulk of the world's oil supply. Saudi Arabia’s oil exports are projected to reach record levels by 2024, providing a vital link in the global supply chain.
- Saudi Arabia is in the process of expanding its existing oil and gas fields. A few major expansion projects include the Berri field and the Marjan oil field. The Berri field is located partly onshore and partly offshore on the east coast of Saudi Arabia and was being expanded under the Berri Increment Program (BIP) to double its crude production capacity to 500,000 barrels per day (bpd) by 2023. The project was scheduled to be completed by the end of 2023, with an estimated investment of USD 6 billion.
- Moreover, there is a consistent expansion of oil digging and intervention services across the region to increase the production capacity, consequently increasing the demand for rigid bulk packaging options. For instance, in the recent past, Abu Dhabi National Oil Company (ADNOC) awarded three oilfield services contracts to ADNOC drilling, Schlumberger NV, and Halliburton Co., respectively, to increase the production capacity of 5 million barrels per day for both onshore and offshore operations by 2030.
- As stated by the report published by Emirates Investment Authority, in 2023, OPEC's net oil export revenue is expected to reach USD 682 billion in 2024. This robust export revenue is mainly attributed to Middle Eastern countries, including Saudi Arabia, the United Arab Emirates, Kuwait, and others. The robust trend of export trade is expected to increase in the forecast period as well, attributing to the robust demand for oil barrels and industrial drums across the region.
South Africa is Expected to a Significant Market Share in the Future
- South Africa's rigid bulk packaging is growing due to strong industrial growth, owing to urbanization, changing lifestyles, and increasing consumption of food and beverages. Also, the food and beverage industry is one of the major packaging consumers in South Africa. The demand for packaged foods, beverages, and ready-to-eat products continues to grow, driven by busy lifestyles and an increasing preference for convenience.
- Moreover, according to the Agricultural Business Chamber of South Africa, agricultural exports reached a new record of USD13.2 billion in 2023, up 3% from the past year in a row. As production conditions improved and commodity prices increased. Cereals continued to dominate export earnings, with maize, wine, and grapes leading the way, followed by citrus, fruit, nuts, pears, sugar, avocado, and others.
- Bulk packaging plays a crucial role in preserving and transporting these perishable products, and any fluctuations in export volumes can impact the packaging industry's production and distribution requirements. Owing to this, the demand for safe transit of food drives the consumption of rigid bulk industrial containers across the market.
- South Africa is forecasted to be one of the fastest-growing beer markets globally, with several expansions and investments from several big brands, which may bolster the need for rigid bulk containers, drums, and barrels. For instance, in April 2023, Heineken announced that it would invest more than ZAR 15.5 billion (approx. USD 852.8 million) into the South African market through a series of projects over the next five years.
- This includes a ZAR 3.8 billion (approx. USD 165 million) investment in constructing a new greenfield brewery. In addition, Heineken is set to invest ZAR 1.7 billion (approx. USD 93.5 million) into a new maltery. As Heineken expands its operations and introduces new facilities, the need for suitable and efficient packaging solutions becomes evident, favoring the growth of the rigid bulk packaging market.
- As a beer-loving nation, South Africa's beer industry remains a significant contributor to beer barrel and drum consumption. The wider availability of products in the market studied, and the continued strength of well-positioned brands have been the main drivers of growth in the bulk barrel and drums market across the country. As per the statistics depicted by Barth-Haas Group published in July 2023, South Africa was ranked as the leading beer-producing African country with about 33.75 million hectoliters.
Middle East And Africa Rigid Bulk Packaging Industry Overview
The Middle East and Africa rigid bulk packaging market is moderately competitive with major players like Nampak Ltd, Greif Inc., Mauser Packaging Solutions, STARLINK Dubai LLC, and more. Additionally, the other major players in the packaging market are adopting acquisition and partnership strategies to enter the market and grow their offerings.
• In May 2023, Tosca Packaging Systems introduced the New Life Cycle Analysis (LCA) tool to help companies shipping bulk liquids reduce environmental impact by selecting sustainable liquid intermediate bulk containers (IBC). As stated by Tosca EMEA president Dan Lee, they are showcasing dedication to sustainability with the LCA tool. Also, the firm is demonstrating its commitment to continuously improve the environmental performance of the products and solutions it produces while driving more efficient and high-performing supply chains.
• February 2023 - As one of the world’s leading solutions and services providers throughout the entire packaging life cycle, Mauser Packaging Solutions has expanded its product portfolio in South Africa by acquiring modern equipment for producing plastic drums. The investment also supports the collection and delivery of recycled packaging in the region. The new production line, located in Durban (South Africa), manufactures UN-approved, tight-heading plastic drums in sizes 210L (standard), 232L (standard), and 250L (standard). Plastic drums come in mono-layered or multi-layered configurations and are suitable for chemical, food processing, oil, and lubricant applications.
Middle East And Africa Rigid Bulk Packaging Market Leaders
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Nampak Ltd
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Mauser Packaging Solutions
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Greif Inc.
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STARLINK Dubai LLC
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Arsalan Barrels Trading (ABT)
*Disclaimer: Major Players sorted in no particular order
Middle East And Africa Rigid Bulk Packaging Market News
- April 2023: Alujain Corporation, a Saudi industrial company, collaborated with a global player for technology transformation for polypropylene manufacturing. In addition, the company reported receiving USD 2 billion in funds from the Ministry of Energy to initiate the petrochemical project in November 2022 and completed extensive engineering work for a new plant to manufacture propylene, polypropylene, and other specialty products. Instances like this would bolster the growth of rigid plastic across the region.
- October 2022: the BIR Plastics Committee hearings suggested the Gulf’s commitment to recyclable plastics is on the rise. According to the committee's managing director, the United Arab was working on a plastics management and recycling action plan based on the European Union and the OECD’s ‘life-cycle approach. New pledges included using more recycled materials, reducing plastic waste, creating better designs, and investing in new infrastructure.
Middle East And Africa Rigid Bulk 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/Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
4.4 Market Dynamics
4.4.1 Market Drivers
4.4.1.1 Robust Demand from the Food and Beverage Industry in South Africa
4.4.1.2 Substantial Increase in Demand Owing to the Rise of Oil Export
4.4.2 Market Restraints
4.4.2.1 Competition from Lightweight and Flexible Packaging Solutions
5. MARKET SEGMENTATION
5.1 By Material
5.1.1 Plastic
5.1.2 Metal
5.1.3 Wood
5.1.4 Other Materials
5.2 By Product
5.2.1 Industrial Bulk Containers
5.2.2 Drums
5.2.3 Pails
5.2.4 Bulk Boxes
5.2.5 Other Bulk Containers
5.3 By End-user Industry
5.3.1 Food
5.3.2 Beverage
5.3.3 Industrial
5.3.4 Pharmaceutical and Chemical
5.3.5 Other End-user Industries
5.4 By Country***
5.4.1 United Arab Emirates
5.4.2 Saudi Arabia
5.4.3 South Africa
6. COMPETITIVE LANDSCAPE
6.1 Company Profiles
6.1.1 Nampak Ltd
6.1.2 Mauser Packaging Solutions
6.1.3 Greif Inc.
6.1.4 STARLINK Dubai LLC
6.1.5 Arsalan Barrels Trading (ABT)
6.1.6 PTM mechatronics GmbH
6.1.7 Elan Incorporated FZE
6.1.8 Middle East Container Solutions
6.1.9 BG Servers
6.1.10 Palletco L.L.C.
6.1.11 Tosca Packaging Systems Corp.
- *List Not Exhaustive
7. INVESTMENT ANALYSIS
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
Middle East And Africa Rigid Bulk Packaging Industry Segmentation
Rigid bulk packaging is a high-strength packaging solution mainly used in packaging products that are sensitive and perishable. The global market for rigid bulk packaging is expected to grow due to the increasing demand from the chemical, pharmaceutical, and food and beverages industries. The demand for reusable bulk packaging is also increasing due to the cost-effectiveness of reusable bulk containers compared to smaller containers.
The Middle East and Africa Rigid Bulk Packaging market is segmented by material (plastic, metal, wood, and other materials), by product (industrial bulk containers, drums, pails, bulk boxes, and other bulk containers), and by end-user industry (food, beverage, industrial, pharmaceutical and chemical, and other end-user industries), and by country (United Arab Emirates, Saudi Arabia, South Africa, and Rest of Middle East and Africa). The market sizes and forecasts are provided in terms of value USD for all the above segments.
| By Material | |
| Plastic | |
| Metal | |
| Wood | |
| Other Materials |
| By Product | |
| Industrial Bulk Containers | |
| Drums | |
| Pails | |
| Bulk Boxes | |
| Other Bulk Containers |
| By End-user Industry | |
| Food | |
| Beverage | |
| Industrial | |
| Pharmaceutical and Chemical | |
| Other End-user Industries |
| By Country*** | |
| United Arab Emirates | |
| Saudi Arabia | |
| South Africa |
Middle East And Africa Rigid Bulk Packaging Market Research Faqs
How big is the Middle East And Africa Rigid Bulk Packaging Market?
The Middle East And Africa Rigid Bulk Packaging Market size is expected to reach USD 4.71 billion in 2024 and grow at a CAGR of 1.88% to reach USD 5.17 billion by 2029.
What is the current Middle East And Africa Rigid Bulk Packaging Market size?
In 2024, the Middle East And Africa Rigid Bulk Packaging Market size is expected to reach USD 4.71 billion.
Who are the key players in Middle East And Africa Rigid Bulk Packaging Market?
Nampak Ltd, Mauser Packaging Solutions, Greif Inc., STARLINK Dubai LLC and Arsalan Barrels Trading (ABT) are the major companies operating in the Middle East And Africa Rigid Bulk Packaging Market.
What years does this Middle East And Africa Rigid Bulk Packaging Market cover, and what was the market size in 2023?
In 2023, the Middle East And Africa Rigid Bulk Packaging Market size was estimated at USD 4.62 billion. The report covers the Middle East And Africa Rigid Bulk Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Middle East And Africa Rigid Bulk Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Middle East And Africa Rigid Bulk Packaging Industry Report
Statistics for the 2024 Middle East And Africa Rigid Bulk Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Middle East And Africa Rigid Bulk Packaging analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
