Report Overview

An increasing demand for plastic products and also for bio-based masterbatches is expected to boost the growth of Saudi Arabia Masterbatch Market during the forecast period between 2024 and 2030.

Saudi Arabia Masterbatch Market - Industry Trends & Forecast Report, 2030

Saudi Arabia Masterbatch Market size was estimated to be worth USD 1.89 billion in 2023. During the forecast period between 2024 and 2030, the Saudi Arabia Masterbatch Market size is projected to grow at a CAGR of 5.66%, reaching a value of USD 3.01 billion by 2030. Major growth factors for the Saudi Arabia Masterbatch Market include the rising use of plastic across various sectors, such as packaging, automotive, and construction.

By volume, the Saudi Arabia Masterbatch Market size was estimated at 0.32 million tons in 2023. During the forecast period between 2024 and 2030, the Saudi Arabia Masterbatch Market size is expected to expand at a CAGR of 6.74% reaching a volume of 0.67 million tons by 2030. A spurring demand for and increasing adoption of innovations in the industry, such as bio-based masterbatch, is projected to drive the Saudi Arabia Masterbatch Market during the period in analysis.

Masterbatch – Overview

The use of masterbatches allows the factory to keep stock of fewer grades of the polymer, and to buy cheaper natural polymers in bulk. The carrier material of the masterbatch can be based on wax or a specific polymer, identical or compatible with the natural polymer used. Masterbatch is a solid plastic additive that gives polymers color or other characteristics. After the components are measured, combined, and prepared, they are extruded into pellets and go through quality control checks before being packed and kept in storage. To achieve the standards, the extrusion process must be regulated, and the end product must be exactly formulated. By using masterbatches, the firm may purchase natural polymer in larger quantities at a lower cost and maintain a smaller inventory of polymer grades. The masterbatch's carrier material may be derived from wax or a particular polymer that is either compatible or identical to the natural polymer that is being employed.

Saudi Arabia Masterbatch Market

Growth Drivers

Rising Demand for Bio-based Masterbatch

The rising consciousness towards the effects of masterbatches on the environment is propelling innovations in the industry and boosting demand for sustainable alternatives, such as bio-based masterbatches. Using renewable resources to create bio-based masterbatches lessens reliance on fossil fuels and lowers carbon emissions. They support a circular economy by using natural and agricultural waste as feedstock. Filler masterbatch provides a long-term fix for the plastic waste issue. It can lessen the quantity of plastic used to make goods, increase the material's capacity for biodegradation and recycling, and lessen the carbon footprint associated with plastic manufacturing.

Challenges

Stringent Regulations Regarding the Use of Plastic

The rising plastic pollution and stringent government regulations to curb the use of plastic in Saudi Arabia may limit the growth of the Masterbatch Market in the Kingdom. Plastics cannot be burned or decomposed, which leads to major environmental issues, such as contamination of the land, air, water, and food. The toxic elements of plastic that linger on the soil and water's surface affect all living things, including plants. The growing awareness among consumers about the environmental effects of plastic consumption is also directly affecting Saudi Arabia's masterbatch demand.

Saudi Arabia Masterbatch Market

Segmental Coverage

Saudi Arabia Masterbatch Market – By Product

Based on product, the Saudi Arabia Masterbatch Market is segmented into oxo-biodegradable masterbatch, white masterbatch, black masterbatch, color masterbatch, additives, and filler. The white masterbatch segment holds the largest share in the Saudi Arabia Masterbatch Market. Plastics are painted using a premium pigment called White Masterbatch. This type of masterbatch can be molded, coated, laminated, and utilized as protective films, among other applications. They consist of premium grades of titanium dioxide (TiO2) for both indoor and outdoor use.

Saudi Arabia Masterbatch Market – By Carrier Polymer

Based on carrier polymer, the Saudi Arabia Masterbatch Market is divided into polypropylene (PP), polyethylene (PE), Polyvinyl Chloride (PVC), polyethylene terephthalate (PET), and other (Polystyrene) segments. The polyethylene (PE) segment accounts for the highest market share in the market by carrier polymer. The growth of the PE segment is mainly attributed to the growing need for polyethylene in the production of various sheets and films that are used in lamination, industrial films, food packaging, carrier bags, geosynthetics, and waste bags.

Saudi Arabia Masterbatch Market – By Application

Based on application, the Saudi Arabia Masterbatch Market is segmented into packaging, building & construction, consumer goods, automotive, agriculture, and others (textiles). The packaging segment dominates the Saudi Arabia Masterbatch Market. Masterbatch in packaging is used to provide various properties to the plastic, such as weather resistance, antioxidant, and UV stability. The packaging industry is growing at a high rate owing to the flourishing e-commerce sector, the high use of plastic packaging in the food & beverages industry, and the significance of attractive packaging as a marketing technique, which is anticipated to drive the demand for the Masterbatch Market in Saudi Arabia.

Competitive Landscape

Major players operating in the Saudi Arabia Masterbatch Market include Avient Corporation, Astra Polymers, Cabot Corporation, Ingenia Polymer Corp., Ampacet Corporation, MD International Masterbatch & Compound, Pure Polymers, Rifd Plastics, Polyalwan, and Clariant.

To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Scope of the Report

By Product

• Oxo-Biodegradable Masterbatch

• White Masterbatch

• Black Masterbatch

• Color Masterbatch

• Additives

• Filler

By Carrier Polymer

• Polypropylene (PP)

• Polyethylene (PE)

• Polyvinyl Chloride (PVC)

• Polyethylene Terephthalate (PET)

• Others (Polystyrene)

By Application

• Packaging

• Building & Construction

• Consumer Goods

• Automotive

• Agriculture

• Others (Textiles)