UAE’s packaging industry is expected to register a Compound annual growth rate of 4.2% during the projection period. There is an increasing demand for secondary packaging in the country, because of the rising trend of folding cartons in categories, such as perfumes and skincare. Packaging manufacturers in the country are investing in innovative packaging, in terms of both design and materials used, considering the demographic and lifestyle changes.
There is a shift to larger pack sizes in food packaging. For example, large pack sizes, like Nutella’s 750 g pack, are proving to be increasingly popular, as they offer better value, while in baby food, the rising popularity of growing-up milk formula is also supporting the sales of larger packs.
Companies are looking for alternative ways of offering multipacks and larger pack sizes, which are more economical, as well as smaller packs, which are more affordable. High taxation in canned packaging is a factor that impacts the demand adversely.
Government bodies are setting packaging requirements for food companies by making changes to comply with the regulations pertaining to beauty and personal care. New rules and regulations have been introduced for milk, juices, and other beverages. Innovative pack designs are seen in beauty and personal care. There is an increasing focus on environment-friendly packaging.
The adoption of sustainable packaging is one of the vital food packaging trends in the United Arab Emirates that may impact the growth of the packaging market in the country. Factors contributing to the growth in the country are the increasing demand for convenience by consumers, an increase in disposable income, and changing consumer behavior. Disposable income and improved global flight connectivity have further augmented the regional market demand.
There is a rising demand for packaged food among consumers, owing to the changing eating habits, and the quickening pace of life is expected to have a major impact on the industry. Packaged food items offer extended and stable shelf life, high barrier properties, and safety, thereby, boosting the industry growth. Food safety is one of the primary factors driving the market, as the quality of food is a significant issue faced by the manufacturers and consumers of food products.
With the rising environmental and health concerns, due to the accumulation of non-biodegradable waste, companies are focusing on adopting sustainable packaging options.