UAE Rigid Plastic Packaging Market Size (2024 - 2029)

The UAE rigid plastic packaging market is experiencing growth driven by increased demand for essential services, particularly during the COVID-19 pandemic. Despite challenges posed by new single-use plastic policies aimed at reducing plastic consumption, the market's expansion is supported by significant manufacturing developments in plastic materials like polyvinyl chloride. The region's high per capita plastic consumption and its status as a major exporter of plastics further contribute to the market's dynamics. However, the pandemic has introduced some flexibility in regulatory measures, impacting the market's trajectory.

Market Size of UAE Rigid Plastic Packaging Industry

UAE Rigid Plastic Packaging Market
Study Period 2019 - 2029
Base Year For Estimation 2023
Forecast Data Period 2024 - 2029
Historical Data Period 2019 - 2022
CAGR 5.01 %
Market Concentration Low

Major Players

UAE Rigid Plastic Packaging Market Major Players

*Disclaimer: Major Players sorted in no particular order

UAE Rigid Plastic Packaging Market Analysis

The UAE rigid plastic packaging market is expected to record a CAGR of 5.01% during the forecast period (2021-2026).

With the outbreak of COVID-19, rigid plastic packaging has been witnessing growth, owing to the demand for essential services. According to Aster Retail, pharmaceutical groups in the UAE had registered an increase of up to a 200% in the sales of multivitamins and zinc supplements since March 2020, as residents started taking proactive steps to boost their immunity. Since April 2020, there has been a 220% increase in the sales of supplements, such as vitamin C and zinc, as compared to 2019. Moreover, the rate was up by 50% in the first five months of 2021 at over 30 pharmacies. Aster Retail has more than 200 pharmacies across the UAE.

  • The plastic consumption level in the UAE exceeded 100 kg per person. In the UAE, the plastic consumption level per capita showed an upward trend over the past decade, mainly due to the development of new products and material substitution in the established markets. In many cases, plastics are still the material of choice in a range of standard products. Also, plastics are the third most exported commodity in the UAE.
  • Further, the region is witnessing significant manufacturing developments pertaining to plastic materials, such as polyvinyl chloride (PVC), which are used considerably in the rigid plastic packaging landscape. In June 2021, Reliance Industries Limited and the UAE's state-run oil giant, Abu Dhabi National Oil Company (ADNOC), announced their plan to develop a new petrochemical joint venture to produce chloralkali, ethylene dichloride, and PVC at the Ta'ziz Industrial Complex in Ruwais. The new unit is designed to have an annual production capacity of 1.1 million metric ton of ethylene dichloride, 940 thousand metric ton of chloralkali, and 360 thousand metric ton of PVC.
  • The EAD's new single-use plastic policy also targets plastic cups, lids, cutlery, straws, stirrers, and food containers. Plastic bottles will be targeted through the introduction of a plastic bottle return deposit scheme.
  • Such policies are poised to negatively affect the usage of rigid plastic packaging in the UAE, as several entities are poised to follow steps against single-use plastic locally. However, the COVID-19 outbreak has created flexibility in implementing directives for banning/regulating single-use plastics and any non-essential regulatory initiatives on plastic products in the region. Also, the demand for premium goods and non-food packaging has been hit, as stores had to be closed due to the lockdown and consumers started to cut back on their spending.

UAE Rigid Plastic Packaging Industry Segmentation

Rigid plastic packaging solutions are used across various industries, such as manufacturing, retail, and healthcare. Rigid plastic packaging gained significant traction in the healthcare industry due to its high barrier properties, long shelf-life, and durability. The several product types considered in the study of the UAE rigid plastic packaging market include bottles and jars, tubs, cups, bowls, and trays, among others. Also, the study focuses on the material segment, covering PE, PET, and others.

Material
Polyethylene (PE)
Polyethylene Terephthalate (PET)
Polypropylene (PP)
Polystyrene (PS) and Expanded Polystyrene (EPS)
Polyvinyl Chloride (PVC)
Other Rigid Plastic Materials
Product Type
Bottles and Jars
Trays and Containers
Caps and Closures
Other Product Types
End-user Industry
Food
Fresh Food
Frozen Food
Baked Goods
Other Types of Food
Beverage
Carbonated Soft Drinks
Bottled Water
Dairy Products
Other Types of Beverages
Healthcare and Pharmaceutical
Cosmetics and Personal Care
Other End-user Industries
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UAE Rigid Plastic Packaging Market Size Summary

The UAE rigid plastic packaging market is experiencing growth driven by increased demand for essential services, particularly during the COVID-19 pandemic. The rise in sales of health supplements, such as multivitamins and zinc, has significantly contributed to this demand. The region's high per capita plastic consumption, coupled with the development of new products and material substitutions, has solidified plastics as a preferred material in various standard products. The food industry, a major consumer of packaging, benefits from the country's rapid urbanization and the influx of tourists and expatriates, who favor safe processed foods. The adoption of economical and bulk packaging solutions in the food and beverage sector further underscores the market's expansion. However, challenges related to food hygiene and storage in the UAE's high temperatures necessitate the use of heat-tolerant plastic materials for effective packaging.

The market landscape is characterized by significant manufacturing developments, such as the planned petrochemical joint venture by Reliance Industries Limited and ADNOC, aimed at producing key materials like PVC. Despite the introduction of policies targeting single-use plastics, the pandemic has allowed for some flexibility in their implementation. The 'Made in UAE' initiative is enhancing local manufacturers' global presence, reducing import reliance, and boosting export potential. The UAE's rapid growth as a leading e-commerce market in the MENASA region further fuels the demand for packaging solutions. The market is highly competitive, with numerous global and regional players focusing on expanding their client base and investing in research and development. Sustainability initiatives, such as those by Agthia and Veolia, are also shaping the market, promoting eco-friendly packaging solutions.

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UAE Rigid Plastic Packaging Market Size - Table of Contents

  1. 1. MARKET DYNAMICS

    1. 1.1 Market Overview

    2. 1.2 Impact of COVID-19 on the UAE Rigid Plastic Packaging Market

      1. 1.2.1 Supply Chain Scenario

      2. 1.2.2 Rise in the Demand for E-commerce Due to Restrictions on the Offline Trade Effect of End-user Performance Over Near- and Medium-term Growth Forecasts

      3. 1.2.3 Macro-economic Outlook and its Impact on the Packaging Industry, Based on Various Scenarios and Company Developments

    3. 1.3 Market Drivers

      1. 1.3.1 Demand for Oxo-degradable Plastics is Expected to Increase with New Regulations

      2. 1.3.2 Increasing Demand for Rigid Plastic Packaging Solutions Across End-user Industries

    4. 1.4 Market Challenges

      1. 1.4.1 Stringent Laws and Regulations Pertaining to the Plastic Industries

      2. 1.4.2 Competition from Flexible Plastic Packaging

    5. 1.5 Industry Value Chain Analysis

    6. 1.6 Porter's Five Forces Analysis

      1. 1.6.1 Threat of New Entrants

      2. 1.6.2 Bargaining Power of Buyers/Consumers

      3. 1.6.3 Bargaining Power of Suppliers

      4. 1.6.4 Threat of Substitute Products

      5. 1.6.5 Intensity of Competitive Rivalry

  2. 2. MARKET SEGMENTATION

    1. 2.1 Material

      1. 2.1.1 Polyethylene (PE)

      2. 2.1.2 Polyethylene Terephthalate (PET)

      3. 2.1.3 Polypropylene (PP)

      4. 2.1.4 Polystyrene (PS) and Expanded Polystyrene (EPS)

      5. 2.1.5 Polyvinyl Chloride (PVC)

      6. 2.1.6 Other Rigid Plastic Materials

    2. 2.2 Product Type

      1. 2.2.1 Bottles and Jars

      2. 2.2.2 Trays and Containers

      3. 2.2.3 Caps and Closures

      4. 2.2.4 Other Product Types

    3. 2.3 End-user Industry

      1. 2.3.1 Food

        1. 2.3.1.1 Fresh Food

        2. 2.3.1.2 Frozen Food

        3. 2.3.1.3 Baked Goods

        4. 2.3.1.4 Other Types of Food

      2. 2.3.2 Beverage

        1. 2.3.2.1 Carbonated Soft Drinks

        2. 2.3.2.2 Bottled Water

        3. 2.3.2.3 Dairy Products

        4. 2.3.2.4 Other Types of Beverages

      3. 2.3.3 Healthcare and Pharmaceutical

      4. 2.3.4 Cosmetics and Personal Care

      5. 2.3.5 Other End-user Industries

UAE Rigid Plastic Packaging Market Size FAQs

The UAE Rigid Plastic Packaging Market is projected to register a CAGR of 5.01% during the forecast period (2024-2029)

Al Amana Plastic Bottles & Containers Manufacturing L.L.C, Interplast Co. Ltd (Harwal Group), Petco Gulf FZE, Amber Packaging Industries L.L.C. and Shubham Plastics FZE are the major companies operating in the UAE Rigid Plastic Packaging Market.

UAE Rigid Plastic Packaging Market Size & Share Analysis - Growth Trends & Forecasts (2024 - 2029)