Report

The UAE Corrugated Board Packaging Market size is worth USD 1.43 Billion in 2025, growing at an 3.23% CAGR and is forecast to hit USD 1.68 Billion by 2030.

Corrugated boarding packaging is becoming more popular due to the country's growing penetration of the e-commerce industry, rising consumer environmental consciousness, and the demand for sustainable packaging options.

Key Highlights
- Government and regulatory bodies in the nation are becoming increasingly concerned about sustainable packaging and its financial advantages. This element also fuels the expansion of the market studied. As the government took significant steps to urge citizens to lessen their environmental impact, Abu Dhabi retailers started phasing out plastic packaging in June 2022.
- The population's growing environmental consciousness and demand for convenient, environment-friendly packaging options (partially offset by new single-use packaging regulations in some countries) contribute to the market's accelerated growth. Other significant factors include the expanding e-commerce market, rising demand for electronic goods, home and personal care products, economic development, and rising per capita income.
- The country also has a high rate of packaged food and beverage consumption, owing to urbanization and a rising number of tourists and expatriates who often prefer safer processed foods. The country has stringent packaging regulations regarding food and beverages. The increasing demand for packaged food in the country is augmenting the demand for corrugated board packaging.
- The United Arab Emirates is witnessing a surge in packaged food consumption, driven by swift urbanization and a growing influx of tourists and expatriates who favor safer, processed foods. Furthermore, the expanding retail sector and the heightened demand for eco-friendly packaging materials propel the market's growth. Several factors fuel the rapid growth of the UAE corrugated packaging market. These include heightened environmental awareness, a rising demand for convenient and sustainable packaging, and an uptick in demand for electronic goods and other products.
- Sustainable packaging is often more expensive than conventional packaging. Many companies prefer paper packaging as a suitable alternative to plastic and metal, as it is lighter, eco-friendly, and recyclable. However, the corrugated packaging industry is facing challenges as the prices of its primary raw material, kraft paper, have started shooting up.


UAE Corrugated Board Packaging Market Trends

Strong Demand from the E-commerce Sector


- To ensure quality, e-commerce packaging is becoming more confidential and efficient. Smaller packaging allows postal and delivery personnel to load more products onto trucks, reducing carbon emissions and saving time. Now that more corrugated boxes are arriving on doorsteps rather than in stores, the sector is counting on more people to keep up with recycling.
- Corrugated packaging will profit immensely if e-commerce becomes a more significant retail component. Owing to the popularity of e-commerce packaging, corrugated boards are often the preferred material.
- According to the International Trade Administration, in November 2023, retailers are strategically entering the UAE e-commerce landscape. Luxury brands have rolled out Arabic-language websites to engage local customers deterred by language barriers. Cross-border e-commerce is gaining traction among Middle Eastern online shoppers.
- In the country, 58% of online purchases are made by overseas vendors, driven by trust in gateway security and dependable, complimentary shipping. Social media platforms play a pivotal role, with product and brand reviews shaping e-shopping preferences. Since online shopping platforms have been overgrown across the region, the demand for tertiary and secondary paper packaging products and corrugated boxes has increased dramatically.
- Online shopping offers numerous brands to provide retail-ready packaging solutions for food items, contributing to the expansion of the market study. Retail-ready packaging provides significant cost savings for retailers, with estimates suggesting these secondary packaging formats can cut shelf restocking and handling costs by as much as 50%.
- According to the USDA Foreign Agricultural Service, the retail e-commerce in the country in 2023 was USD 6,217 million, and it increased from USD 4,577 million in 2020. Over recent years, the country has witnessed a surge in demand for ready-to-eat foods, driven by factors like industrialization, fast-paced lifestyles, and increasing female labor participation.


Food Industry to Witness Significant Growth


- The food industry is witnessing growth as the appetite for packaged foods grows, increasing the demand for corrugated board packaging. The rise of single-person households has amplified the need for takeaway and delivery services, reshaping the food service sector and propelling market growth. Notably, a survey by Bayt.com highlighted that 26% of consumers in the United Arab Emirates prefer home food delivery during Ramadan.
- Corrugated cases are pivotal in transporting goods to online retailers' warehouses. A rising trend in the market is the popularity of subscription boxes and meal kit services, which deliver specialized foods directly to consumers. This shift presents a lucrative opportunity for corrugated board suppliers, especially with their delivery-friendly formats featuring die-cut interiors.
- The meat industry dominates the food industry in the country. Poultry meat has become the favored choice over red meat, valued for its high-quality proteins, despite concerns over potential health complications. With a noticeable shift from imported frozen poultry to fresh options-especially in specific portions and fillets-local production is set to ramp up to satisfy this rising demand.
- As demand for packaged food surges in the country, so does the need for corrugated board packaging. The Middle East, accounting for 5% of global packaged goods consumption per Interpack (a packaging trade fair), is witnessing rapid business growth. According to the Dubai Chamber of Commerce and Industry, in 2023, organic food sales in the country accounted for approximately USD 44 million, and they are expected to reach a value of USD 52 million by 2024.
- By 2026, demand is projected to rise by 21%, reaching 44 million tons. Leading the Middle East in packaged food consumption, Saudi Arabia holds just under 30% of the market, trailed by Iraq and the United Arab Emirates. Interpack forecasts consumption increases in these regions, with the United Arab Emirates at 19%. Additionally, as single households increasingly turn to takeaway and delivery services, the reshaped demand in the food service sector propels the growth of the market studied in the country.


UAE Corrugated Board Packaging Industry Overview

The UAE corrugated board packaging market is consolidated, as various players domestically provide corrugated packaging products for end users. Some of the key players in the market are Arabian Packaging Co. LLC, Queenex Corrugated Carton Factory, Falcon Pack, World Pack Industries LLC, M.A.H.Y. Khoory and Co., and Universal Carton Industries LLC. The entry-level barrier is low for this market since the country is increasingly emerging as a startup hotspot in the Middle East. The country has considerable support from government initiatives as a part of its effort to reduce its dependence on the oil and gas industry.


- August 2024: M.A.H.Y Khoory Group committed approximately AED 1 billion (USD 0.27 billion) to expand its Al Dhafra Paper Manufacturing Company. This expansion will add 500,000 metric tons of recycled kraft paper capacity. Once completed, the total capacity will reach 900,000 metric tons annually, positioning Al Dhafra as the region's leading kraft paper manufacturer.


Additional Benefits:

- The market estimate (ME) sheet in Excel format
- 3 months of analyst support