GCC Rigid Plastic Packaging Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR (2024 - 2029) | 4.01 % |
Major Players
*Disclaimer: Major Players sorted in no particular order |
GCC Rigid Plastic Packaging Market Analysis
The GCC Rigid Plastic Packaging Market size in terms of shipment volume is expected to grow from 2.29 Million tonnes in 2024 to 2.79 Million tonnes by 2029, at a CAGR of 4.01% during the forecast period (2024-2029).
- Growing urbanization, economic recovery, and the reopening of the hospitality and tourist industries in the region are all projected to contribute to a moderate increase in food consumption. For instance, according to UNDP, most GCC nations have an urbanization rate of more than 80%. This would significantly enhance the number of consumers visiting grocery stores, mostly finding food packaged in rigid containers.
- Rigid plastic is expected to be among the most popular packaging types during the forecast period. Almarai's investments to meet the growing need for PET bottles in the region further confirm this. As the leader in the juice market, Almarai installed two new Sidel PET complete lines, each handling 54,000 bottles/hour, in its Al Kharj central processing plant (CPP).
- The region includes significant countries like Saudi Arabia and the United Arab Emirates, where the food industry remains one of the most vital sectors in the overall economy. According to Foodex Saudi, the total domestic food consumption in the country is 3,130 calories per person per day. This creates an annual consumption growth rate of 18.5% in the food industry. Consumption rates were anticipated to expand by 55% through 2023. Such trends would significantly create demand for rigid plastic products in the region.
- Further, in the region, the adoption of rigid plastic packaging for pharmaceuticals is on the rise. Various market players have successfully carved out niches to meet this demand. Given the growing consumption of packaging by diverse end users and a notable shift toward longevity-focused packaging solutions, the market is poised for favorable growth rates during the forecast period.
- The primary challenge facing the GCC rigid plastic packaging market is the environmental apprehensions surrounding plastic disposal. With a rising commitment to zero-waste principles, consumers and companies are placing sustainability at the forefront of their agendas. For instance, in line with its ambition to attain carbon neutrality by 2050, the United Arab Emirates is expected to ban the import of plastic cutlery, drink cups, styrofoam, and boxes in 2024.
GCC Rigid Plastic Packaging Market Trends
Food Segment to Hold Significant Market Share
- Food packaging stands out as a pivotal application for plastics in the GCC. Specifically, the demand for rigid plastic packaging is on a notable upswing. This surge is largely attributed to plastics' inherent advantages, notably their lightweight nature and cost-effectiveness, which have led the industry to pivot away from traditional materials like paperboard, metals, and glass.
- Moreover, the conservative food sector in the GCC has been steadily expanding, buoyed by concerns about economic and international relations. These dynamics are poised to propel the growth of the rigid plastic packaging market further.
- Notably, GCC is experiencing a notable shift in consumer preferences, gravitating toward fresh, frozen, and baked foods. This evolving palate, marked by a growing emphasis on health-conscious choices and a willingness to invest in premium fresh products, is a key driver behind the rising demand for rigid plastic packaging solutions.
- Many regional packaging firms are bolstering their production capacities, which is evident in their investments in new facilities tailored for food packaging. This underscores the region's promising growth trajectory.
- As the United Arab Emirates, alongside potentially other GCC nations, witnesses a surge in organic food sales, the food and beverage sector emerges as a significant consumer of rigid plastic packaging. This packaging finds its place in various applications, from bottled beverages to fresh produce containers and sealed packaging for processed organic foods.
- Highlighting the growth, the Dubai Chamber of Commerce and Industry reported that the sale of organic food in the United Arab Emirates, valued at approximately USD 34 million in 2020, is projected to reach USD 52 million by 2025. Therefore, with the rising food sales across the country, the demand for rigid plastic packaging options like plastic bottles, trays, containers, and closures is also expected to increase.
Saudi Arabia to Register Fastest Growth
- Saudi Arabia's demand for rigid plastic packaging solutions has been witnessing growth across end-user industries such as food, beverage, consumer goods, cosmetics, and pharmaceuticals. The demand is primarily attributed to rapid urbanization, which usually translates to increased consumer spending and production of consumer goods, a large expatriate population, and the changing dietary habits of the resident citizens.
- The country has been implementing several initiatives and regulatory reforms, such as Saudi Vision 2030 and the National Industrial Development and Logistics Program (NIDLP), which are expected to increase regional industrial production. This is expected to create considerable demand for packaging products from the region's non-oil sector.
- Furthermore, according to the Saudi Arabian General Authority for Investment (SAGIA), spending on food services will increase by 6% per annum over the next five years. The increase in food delivery options is due to the separation between food preparation and consumption location.
- Additionally, Saudi Arabia is home to an increasing number of restaurants, and the food manufacturing sector benefits from the growth in population and income, lifestyle changes, state support, and favorable trade agreements. The demand for disposable packaged foods is growing, and more multinational companies are entering the market. This is expected to drive significant growth opportunities for market vendors in the coming years.
- The pharmaceutical industry places a strong emphasis on packaging safety and integrity to shield its contents from contamination and damage. Rigid plastics offer durability, tamper-evident features, and the ability to extend product shelf life, making them the preferred choice. With an expanding pharmacy retail market, the demand for robust packaging solutions, especially rigid plastics, is set to surge.
- Nahdi Medical Company projects that the pharmacy retail market in Saudi Arabia will grow to USD 10.01 billion by 2026, up from USD 8.70 billion in 2021. This significant growth underscores the need for advanced packaging solutions to meet the evolving demands of the market, ensuring that products remain safe and effective throughout their shelf life.
GCC Rigid Plastic Packaging Industry Overview
The rigid plastic packaging industry is fragmented in GCC, with market incumbents such as Takween, Zamil Plastics, and Packaging Products Company, accompanied by several regional packaging firms. Although the barriers to entry for new players are high, regional packaging companies are witnessing value in foraying, especially in the rigid packaging industry, owing to significant demand from industrial, food, beverage, and other end-user industries.
- November 2023: Spinneys, a prominent fresh food retailer in the United Arab Emirates, partnered with packaging manufacturer Al Bayader International to roll out recycled plastic packaging (rPET) in its outlets. Al Bayader, in collaboration with regional partners, collects and converts plastic waste into post-consumer recycled plastic (rPET), effectively reducing landfill waste.
GCC Rigid Plastic Packaging Market Leaders
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Zamil Plastic Industries Co.
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Takween Advanced Industries (Plastico SPS)
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Packaging Products Company (PPC)
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Al Rashid Boxes and Plastic Co., Ltd.
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Saudi Arabian Packaging Industry WLL (SAPIN)
*Disclaimer: Major Players sorted in no particular order
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GCC Rigid Plastic Packaging Market News
- April 2024: SABIC, a prominent player in the global chemical industry and a member of GPCA, announced Saudi Arabia's inaugural circular packaging initiative. This initiative is a pivotal part of SABIC's TRUCIRCLE program, designed to propel the adoption of a circular plastic economy.
- November 2023: PepsiCo started using 100% recycled plastic bottles for its Pepsi, Diet Pepsi, and Pepsi Zero brands in the United Arab Emirates. This move marked a significant milestone, making PepsiCo the first in the country to introduce locally produced, fully recycled packaging in the carbonated soft drinks (CSDs) segment.
GCC Rigid Plastic Packaging Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumption 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
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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 Substitutes
- 4.3.5 Intensity of Competitive Rivalry
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4.4 Trade Scenario
- 4.4.1 Trade Analysis (Top Five Import-export Countries)
- 4.5 Industry Regulation, Policy and Standards
- 4.6 Technology Landscape
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4.7 Pricing Trend Analysis
- 4.7.1 Plastic Resins (Current Pricing and Historic Trends)
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Demand for Recyclable Rigid Plastic Packaging is Expected to Increase with New Regulations
- 5.1.2 Increasing Demand for Rigid Plastic Packaging to Increase Shelf Life of the Products
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5.2 Market Restraints
- 5.2.1 Environmental Concerns Over Safe Disposal and Price Volatility of the Raw Materials
6. MARKET SEGMENTATION
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6.1 By Resin Type
- 6.1.1 Polyethylene (PE)
- 6.1.1.1 Low-density Polyethylene (LDPE) and Linear Low-density Polyethylene (LLDPE)
- 6.1.1.2 High Density Polyethylene (HDPE)
- 6.1.2 Polyethylene terephthalate (PET)
- 6.1.3 Polypropylene (PP)
- 6.1.4 Polystyrene (PS) and Expanded polystyrene (EPS)
- 6.1.5 Polyvinyl chloride (PVC)
- 6.1.6 Other Resin Types
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6.2 By Product Type
- 6.2.1 Bottles and Jars
- 6.2.2 Trays and Containers
- 6.2.3 Caps and Closures
- 6.2.4 Intermediate Bulk Containers (IBCs)
- 6.2.5 Drums
- 6.2.6 Pallets
- 6.2.7 Other Product Types
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6.3 By End-user Industry
- 6.3.1 Food**
- 6.3.1.1 Candy and Confectionery
- 6.3.1.2 Frozen Foods
- 6.3.1.3 Fresh Produce
- 6.3.1.4 Dairy Products
- 6.3.1.5 Dry Foods
- 6.3.1.6 Meat, Poultry, And Seafood
- 6.3.1.7 Pet Food
- 6.3.1.8 Other Food Products
- 6.3.2 Foodservice**
- 6.3.2.1 Quick Service Restaurants (QSRs)
- 6.3.2.2 Full-Service Restaurants (FSRs)
- 6.3.2.3 Coffee and Snack Outlets
- 6.3.2.4 Retail Establishments
- 6.3.2.5 Institutional
- 6.3.2.6 Hospitality
- 6.3.2.7 Others Food Service Sectors
- 6.3.3 Beverage
- 6.3.4 Healthcare
- 6.3.5 Cosmetics and Personal Care
- 6.3.6 Industrial
- 6.3.7 Building and Construction
- 6.3.8 Automotive
- 6.3.9 Other End-user Industries
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6.4 By Country***
- 6.4.1 Middle East and Africa
- 6.4.1.1 United Arab Emirates
- 6.4.1.2 Saudi Arabia
- 6.4.1.3 Qatar
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles*
- 7.1.1 Zamil Plastic Industries Co.
- 7.1.2 Takween Advanced Industries (Plastico SPS)
- 7.1.3 Packaging Products Company (PPC)
- 7.1.4 Al Rashid Boxes and Plastic Co. Ltd
- 7.1.5 Saudi Arabian Packaging Industry WLL (SAPIN)
- 7.1.6 AL-Ghandoura Plastic Co. (GhanPlast)
- 7.1.7 Al Bayader International
- 7.1.8 KANR For Plastic Industries
- 7.1.9 Saudi Plastic Factory Company
- 7.1.10 Precision Plastic Products Co. (LLC)
- 7.1.11 Al Jabri Plastics
- 7.1.12 Premier Plastic Company (PPC).
- 7.2 Heat Map Analysis
- 7.3 Competitor Analysis - Emerging vs. Established Players
8. RECYCLING & SUSTAINABILITY LANDSCAPE
9. FUTURE OUTLOOK
** Subject To AvailablityGCC Rigid Plastic Packaging Industry Segmentation
The GCC rigid plastic packaging market tracks the demand for rigid plastic packaging products catering to the food, beverage, healthcare, personal care, cosmetic, and other industries. Plastics can be of different grades and different material combinations based on the type of product being packed, such as polyethylene, polypropylene, and polyvinyl chloride.
The GCC rigid plastic packaging market report is segmented by resin type (polyethylene [PE] (low-density polyethylene [LDPE] and linear low-density polyethylene [LLDPE], high-density polyethylene [HDPE], polyethylene terephthalate [PET], polypropylene [PP], polystyrene [PS] and expanded polystyrene [EPS], polyvinyl chloride [PVC], and other resin types), product type (bottles and jars, trays and containers, caps and closures, intermediate bulk containers [IBCs], drums, pallets, and other product types), end-user industry (food [candy and confectionery, frozen foods, fresh produce, dairy products, dry foods, meat, poultry, and seafood, pet food, and other food products], food service [quick service restaurants {QSRs}, full-service restaurants {FSRs}, coffee and snack outlets, retail establishments, institutional, hospitality, and other food service sectors], beverage, healthcare, cosmetics and personal care, industrial, building and construction, automotive, and other end-user industries), and country (United Arab Emirates, Saudi Arabia, Qatar, and Rest of GCC). The report offers market sizes and forecasts in volume (tonnes) for all the above segments.
| By Resin Type | Polyethylene (PE) | Low-density Polyethylene (LDPE) and Linear Low-density Polyethylene (LLDPE) |
| High Density Polyethylene (HDPE) | ||
| By Resin Type | Polyethylene terephthalate (PET) | |
| Polypropylene (PP) | ||
| Polystyrene (PS) and Expanded polystyrene (EPS) | ||
| Polyvinyl chloride (PVC) | ||
| Other Resin Types | ||
| By Product Type | Bottles and Jars | |
| Trays and Containers | ||
| Caps and Closures | ||
| Intermediate Bulk Containers (IBCs) | ||
| Drums | ||
| Pallets | ||
| Other Product Types | ||
| By End-user Industry | Food** | Candy and Confectionery |
| Frozen Foods | ||
| Fresh Produce | ||
| Dairy Products | ||
| Dry Foods | ||
| Meat, Poultry, And Seafood | ||
| Pet Food | ||
| Other Food Products | ||
| By End-user Industry | Foodservice** | Quick Service Restaurants (QSRs) |
| Full-Service Restaurants (FSRs) | ||
| Coffee and Snack Outlets | ||
| Retail Establishments | ||
| Institutional | ||
| Hospitality | ||
| Others Food Service Sectors | ||
| By End-user Industry | Beverage | |
| Healthcare | ||
| Cosmetics and Personal Care | ||
| Industrial | ||
| Building and Construction | ||
| Automotive | ||
| Other End-user Industries | ||
| By Country*** | Middle East and Africa | United Arab Emirates |
| Saudi Arabia | ||
| Qatar |
GCC Rigid Plastic Packaging Market Research FAQs
How big is the GCC Rigid Plastic Packaging Market?
The GCC Rigid Plastic Packaging Market size is expected to reach 2.29 million tonnes in 2024 and grow at a CAGR of 4.01% to reach 2.79 million tonnes by 2029.
What is the current GCC Rigid Plastic Packaging Market size?
In 2024, the GCC Rigid Plastic Packaging Market size is expected to reach 2.29 million tonnes.
Who are the key players in GCC Rigid Plastic Packaging Market?
Zamil Plastic Industries Co., Takween Advanced Industries (Plastico SPS), Packaging Products Company (PPC), Al Rashid Boxes and Plastic Co., Ltd. and Saudi Arabian Packaging Industry WLL (SAPIN) are the major companies operating in the GCC Rigid Plastic Packaging Market.
What years does this GCC Rigid Plastic Packaging Market cover, and what was the market size in 2023?
In 2023, the GCC Rigid Plastic Packaging Market size was estimated at 2.20 million tonnes. The report covers the GCC Rigid Plastic Packaging Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the GCC Rigid Plastic Packaging Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
GCC Rigid Plastic Packaging Industry Report
Statistics for the 2024 GCC Rigid Plastic Packaging market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. GCC Rigid Plastic Packaging analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
