Saudi Arabia Food and Beverages Packaging Market

Saudi Arabia Food and Beverages Packaging Market Grows at Steady CAGR of 3.50% During 2023–2029

Published | 17 January 2023

Saudi Arabia food and beverages packaging market is flourishing owing to an increasing demand for convenience food by shifting demographics and rapid urbanization, and for packaging materials that help in preventing food contamination and improving shelf-life.

BlueWeave Consulting, a leading strategic consulting and market research firm, in its recent study, expects Saudi Arabia food and beverages packaging market size to grow at a CAGR of 3.5% during the forecast period between 2023 and 2029. Convenience food demand is expected to rise as a result of evolving lifestyles and new eating habits, which will boost market demand. It is expected that convenience and the use of high-performance materials will aid in the industry's expansion. Growth in the industry is expected to be fueled by increased efficiency in preventing content contamination and improved shelf-life. Growing disposable income and declining household sizes are two other factors that favor the market expansion in Saudi Arabia.

Saudi Arabia Food and Beverage Packaging Market – Overview

Paper is widely used in the packaging industry because it is inexpensive, can maintain its shape, and is simple to decorate. Usually, paper and board are calibrated or weighed. Silica, sodium carbonate, and calcium carbonate make up commercial glass. In the packaging industry, tin-plated or aluminum metals are frequently used to create food and drink cans, aerosol cans, tubes, drums, and slip or hinged lids. Drumsboxes for gift sets, as well as biscuit and candy options. All of these packages are recyclable.

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Opportunity: Manufacturers’ focus on convenient packaging

Saudi Arabia food and beverages packaging market is expected to expand as a result of advancements in practical packaging options. Packaging solutions benefit consumers who are always on the go and have health concerns. Manufacturers are producing more bag closures to assist consumers in reclosing the packaging and enjoying the remaining product at a later time. Snack food packaging manufacturers are diversifying their offerings to meet consumer demand for grab-and-go packaging options. Food safety, sustainability, and reusability are increasingly guiding factors in the production of convenience packaging.

Challenge: High fluctuations in raw material prices

A typical raw material for food packaging is plastic. Polypropylene and polyethylene, two synthetic polymers made from natural resources, are used to make plastic packaging. The packaging industry is impacted by the fluctuating cost of these raw materials. Regulations created by the government and associations to conserve resources are driving up the cost of these raw materials and restricting market growth. The development of technological packaging solutions is hampered by the lack of readily accessible raw materials. Many new packaging technologies are becoming unaffordable due to the high cost of raw materials, forcing companies to rely on outmoded packaging that is equally detrimental to the environment and the economy.

Impact of COVID-19 on Saudi Arabia Food and Beverages Packaging Market

The COVID-19 pandemic wreaked havoc on communities across the country. It had a significant impact on all businesses and manufacturing firms throughout the country. As a result of prolonged lockdowns and disrupted supply chains, rigid plastics witnessed a mix of increased market demand for essential goods and decreased demand for non-essential product packaging. The demand for rigid plastic packaging increased in the personal and healthcare sectors. In the rigid plastic packaging market, key market participants are looking for ways to overcome resistance. Following the COVID-19 breakdown, market participants in Saudi Arabia food and beverages packaging market are expanding their production capacity to gain a competitive advantage.

Saudi Arabia Food and Beverage Packaging Market – By End Use

Saudi Arabia food and beverages packaging market by application is segmented into Bakery & Confectionary, Dairy Products, Fruits & Vegetables, Convenience Foods, Meat & Seafood, Sauces & Dressings, and Others. The bakery and confectionery segment holds the highest market share. High moisture barrier packaging is commonly used to extend the shelf life of bakery and confectionery products. Flexible packaging is frequently used for the aforementioned application due to its advantages over paper cartons and tins, such as lightweight, printability, and cost-effectiveness. The attractive packaging of confectionery products is expected to aid segment growth.

The bakery and confectionery segment is expected to grow during the forecast period. Due to the convenience, they provide, prepared or ready-to-eat bakery products are frequently chosen by households with two earners and by students. As a result of the high acceptance of packaged foods, the bakery and confectionery segment is expected to grow.

Competitive Landscape

Saudi Arabia food and beverages packaging market is fiercely competitive. Prominent players in the market include Saudi Modern Packaging Co. Ltd., Packaging Products Company, Napco National, SAPIN, LAMINA, Al Sharq Flexible Packaging Factory, National Packaging Products, Amcor, Ball Corporation, and Graham Packaging Company. These companies use various strategies, including increasing investments in their R&D activities, mergers, and acquisitions, joint ventures, collaborations, licensing agreements, and new product and service releases to further strengthen their position in Saudi Arabia food and beverages packaging market.

Don’t miss the business opportunity in the Saudi Arabia Food and Beverages Packaging Market. Consult our analysts to gain crucial insights and facilitate your business growth.

The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of Saudi Arabia Food and Beverages Packaging Market. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends in Saudi Arabia Food and Beverages Packaging Market and industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyzes the growth drivers, challenges, and competitive dynamics of the market.

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