Middle East and Africa Plastic Packaging Market

Middle East and Africa Plastic Packaging Market Size (2024-2029):

The Middle East and Africa Plastic Packaging Market is expected to grow at a CAGR of 4.1% during the forecast period 2024-2029. The market value was at USD 38.31 billion in 2023, and the value is expected to reach USD 48.75 billion by the end of 2029.

Market Drivers and Restraints:

Although there is a strong call for decreasing the usage of plastics, it remains one of the most preferred materials for packaging in the Middle East and African countries. Food packaging, beverage, lamination, etc., are various industries in which plastic still dominates even after the availability of various alternative materials. The ease of availability and low price is the crucial aspect of driving the demand in the plastic packaging industry.  The African region is also expected to become one of the highest-growing regions for plastic packaging. This is because of the high recyclability practised and continuous improvements in the waste management sector. The economies of various African countries are growing, and this presents lucrative opportunities to various industries including plastic packaging.

The recent emergence of bioplastics has enhanced the usage of those materials and provides a cheap and environment-friendly alternative to plastic. These factors hinder the development of the market. In addition to this, socio-economic practices can also be a hindering factor. Various countries in the Middle East are plagued by social conflicts and wars, impeding investment opportunities in the region.

Market Segmentation:

Middle East and Africa Plastic Packaging Market - By Type:

• Rigid plastic packaging
• Flexible plastic packaging

Middle East and Africa Plastic Packaging Market - By Product:

• Bags
• Pouches
• Cans
• Bottles

Middle East and Africa Plastic Packaging Market - By End-User:

• Food and Beverages
• Pharmaceutical
• Healthcare
• Retail
• Personal and Home Care

Market Regional Analysis:

In the Middle East region, the pharmaceutical packaging sector is experiencing high demand for plastic materials owing to the low cost and longevity of the material. During the COVID-19 global pandemic, the demand for plastic packaging proliferated and companies witnessed high demand.

The growth in the African retail food sector is very fortuitous for the plastic packaging industry, as per USDA the market size in Egypt is around 15 billion USD. Due to rapid urbanization in various African countries, many people are adopting a fast-paced lifestyle. This includes the consumption of packaged food and goods. Thus in the segment of packaged food and goods, the plastic packaging industry is growing rapidly.
Saudi Arabia is one of the largest markets in the Middle East region in plastic packaging. The country is focusing on various non-oil sectors to diversify its economy. In doing so, the packaging industry has benefitted from various government initiatives. Rich in the supply of raw materials, Saudi Arabia is expected to achieve a total polyolefin capacity of 15 million metric tonnes.

Impact of COVID-19 on the Middle East and Africa Plastic Packaging Market

COVID-19 has led to severe challenges for the plastic packaging market in the MEA. Because of the slack in demand for oil across the world, other industries had to be functioning properly to drive the economy. The plastic packaging industry in the Middle East and Africa region has gone up and is doing very well. The demand for packaging has increased during the pandemic. In the medical sector, Plastic is extensively used for various purposes and thus highest demand has been witnessed from this sector, and it also witnessed high demand from the African region.

Market Key Players:

1. AMCOR Plc
2. SABIC
3. Plastico SPS
4. Zamil Plastic
5. RPC Group Limited
6. Sonoco Products Company
7. Constantia Flexibles GmbH

Market Key Developments:

• In 2019, Amcor completed the acquisition of Bemis Company Inc. This acquisition brings additional capabilities and adds another dimension to their existing portfolio. This will also generate considerable value for the shareholders.
• In October 2019, SABIC launched the TRUCIRCLE initiative and solutions, showcased at K 2019, along with their top-of-the-line flagship certified circular polymers from the chemical recycling of mixed plastic waste, certified renewable polymers, its new polycarbonate (PC) based on certified renewable feedstock and mechanically recycled polymers.