Middle East and Africa Biodegradable Paper and Plastic Packaging Market Size, Share, and Trends Analysis Report – Industry Overview and Forecast to 2032

Biodegradable Paper and Plastic Packaging Market Size

• The Middle East and Africa Biodegradable Paper and Plastic Packaging Market size was valued at USD 1.02 Billion in 2024 and is expected to reach USD 1.54 Billion by 2032, at a CAGR of 3.2% during the forecast period
• The market growth is largely fueled by growing urbanization and industrialization, expansion of automotive sector
• Furthermore, the increasing demand for high strength and efficient materials from automakers, are further anticipated to propel the growth of the Biodegradable Paper and Plastic Packaging Market

Biodegradable Paper and Plastic Packaging Market Analysis

• The Biodegradable Paper and Plastic Packaging (AHSS) is an excellent combination of strength and ductility which has high tensile strength property that further provides the safety to the consumers and vehicles.
• The different types of Biodegradable Paper and Plastic Packaging are dual-phase (DP), martensitic (MS), transformation-induced plasticity (TRIP), twinning-induced plasticity (TWIP) and others
• U.A.E. dominates the Biodegradable Paper and Plastic Packaging Market with the largest revenue share of 42.1% in 2024, characterized by government initiatives such as the ban on single-use plastic bags and the promotion of eco-friendly alternatives.
• Saudi Arabia is expected to be the fastest growing region in the Biodegradable Paper and Plastic Packaging Market during the forecast period due to country's focus on reducing plastic waste and encouraging green manufacturing practices
• The plastic segment is expected to dominate the Biodegradable Paper and Plastic Packaging Market with a market share of 54.2% in 2024, driven by its versatility, ease of processing, and application across various packaging formats such as pouches  

Report Scope and Biodegradable Paper and Plastic Packaging Market Segmentation

Biodegradable Paper and Plastic Packaging Market Trends

“Integration of Smart Packaging Technologies for Enhanced Sustainability and Traceability”

• A significant trend in the Middle East and Africa biodegradable packaging market is the adoption of smart packaging technologies, including RFID, QR codes, and IoT sensors, to improve product traceability and sustainability.
  • For instance, companies in China are increasingly implementing RFID-enabled smart packaging solutions in logistics, enhancing supply chain efficiency and consumer engagement.
• In South Korea, the integration of NFC and IoT technologies into packaging solutions is gaining momentum, driven by the country's advanced technological infrastructure and innovation-focused industry landscape.
• The adoption of smart packaging aligns with the growing demand for transparency and efficiency in supply chains, particularly in sectors like e-commerce, food, and healthcare

Biodegradable Paper and Plastic Packaging Market Dynamics

Driver

“Rising Demand from E-commerce and Food Packaging Industries”

• The exponential growth of e-commerce and the food packaging industry in the Middle East and Africa region is a major driver for the biodegradable paper and plastic packaging market.
• Online retailers and food service providers are investing in sustainable and cost-effective packaging solutions to meet consumer preferences and regulatory requirements.
• The need for efficient, protective, and eco-friendly packaging in e-commerce and food delivery services has led to increased demand for biodegradable materials.
• This trend is further supported by the growing emphasis on environmental sustainability, leading to a higher demand for recyclable and compostable packaging options.

Restraint/Challenge

“Limited Availability of Raw Materials and Infrastructure for Biodegradable Packaging”

• The limited availability of raw materials, such as agricultural feedstocks like corn and sugarcane, poses a significant challenge for the market.
• These materials may be constrained by competing demands for food production or biofuel, affecting the consistent supply for packaging production.
• Additionally, the lack of proper infrastructure, such as industrial composting facilities, in many regions hampers the effective degradation of biodegradable materials.
• This infrastructural gap, coupled with the potential contamination of recycling streams when biodegradable plastics are mixed with conventional plastics, creates uncertainty for manufacturers and consumers.

Biodegradable Paper and Plastic Packaging Market Scope

The market is segmented on the basis of type, material, and end user.

• By Type

On the basis of type, the Middle East and Africa Biodegradable Paper and Plastic Packaging Market is segmented into Plastic and Paper. The Plastic segment dominates the largest market revenue share of 54.2% in 2025, driven by its versatility, ease of processing, and application across various packaging formats such as pouches, films, and containers. Biodegradable plastics like PLA, PHA, and PBS are gaining traction due to their compostability, performance, and rising adoption in FMCG and food delivery sectors. Government bans on single-use plastics further drive demand.

The Paper segment is anticipated to witness the fastest growth rate of 8.7% from 2025 to 2032, supported by growing environmental consciousness and consumer preference for renewable, recyclable materials. Paper-based biodegradable packaging is favored for its low carbon footprint and recyclability, especially in dry food, personal care, and retail applications. Expansion of e-commerce and green retailing also boosts demand.

• By Material

On the basis of material, the market is segmented into Plastic and Paper. The Plastic segment held the largest market revenue share in 2025, owing to the widespread use of bio-based polymers such as PLA and starch blends. These materials offer performance parity with conventional plastics while supporting environmental goals. Their use in flexible and rigid packaging solutions makes them suitable for varied applications across retail, personal care, and industrial packaging.

The Paper segment is projected to witness the fastest CAGR from 2025 to 2032, driven by rising demand for fiber-based alternatives and the implementation of plastic substitution mandates across Middle East and Africa countries. Paper materials offer high printability and biodegradability, making them ideal for sustainable branding and eco-labeling initiatives.

• By End-User

On the basis of end-user, the Middle East and Africa Biodegradable Paper and Plastic Packaging Market is segmented into Packaging, Food and Beverage, Catering Servicewares, Personal and Home Care, Healthcare, and Others. The Food and Beverage segment dominates the largest market revenue share of 42.1% in 2025, fueled by demand for sustainable packaging in fast food, ready-to-eat meals, and beverage applications. Brands are adopting biodegradable formats to align with green consumption and reduce plastic dependency.

The Healthcare segment is anticipated to witness the fastest growth rate of 9.8% from 2025 to 2032, driven by increasing regulatory scrutiny on waste disposal and the need for safe, single-use biodegradable materials. Applications in pharmaceutical blister packs, medical trays, and diagnostic kits support rapid adoption across regional health sectors.

Biodegradable Paper and Plastic Packaging Market Regional Analysis

• U.A.E. dominates the Biodegradable Paper and Plastic Packaging Market with the largest revenue share of 42.1% in 2024, driven by government initiatives such as the ban on single-use plastic bags and the promotion of eco-friendly alternatives.
• The country's commitment to sustainability and hosting of global environmental events like COP28 have further accelerated the shift towards biodegradable materials.

Saudi Arabia Biodegradable Paper and Plastic Packaging Market Insight

Saudi Arabia Biodegradable Paper and Plastic Packaging Market is growing rapidly with the highest CAGR of 6.7%, driven by regulatory measures mandating oxo-biodegradable materials and the nation's Vision 2030 plan emphasizing environmental sustainability. The country's focus on reducing plastic waste and encouraging green manufacturing practices supports market growth.  

Egypt Biodegradable Paper and Plastic Packaging Market Insight

Egypt Biodegradable Paper and Plastic Packaging Market is projected to expand at a substantial CAGR throughout the forecast period, primarily driven by increasing environmental consciousness and government efforts to reduce plastic pollution. The country's strategic location and growing manufacturing sector make it a key player in the MEA biodegradable packaging market.

Biodegradable Paper and Plastic Packaging Market Share

The Glass Fiber Reinforced Plastics Composites Industry is primarily led by well-established companies, including:

• Hsing Chung Paper Ltd (Taiwan)
• Stora Enso (Finland)
• Be Green Packaging (U.S.)
• DoECO (Ukraine)
• Ultra Green Sustainable Packaging (U.S.)
• Ecoware (India)

Latest Developments in Middle East and Africa Biodegradable Paper and Plastic Packaging Market

• In January 2025, Emirates Biotech, a leading innovator in the biopolymers industry, participated in ArabPlast 2025 at the Dubai World Trade Centre. The company presented its latest sustainable solutions, focusing on biodegradable materials aimed at reducing plastic waste in the region.
• In November 2024, Tetra Pak announced its ambition to achieve a 40% recycling rate for its products by 2030 in the Middle East and Africa. This initiative is part of the company's broader commitment to sustainability, aiming to enhance recycling infrastructure and promote the use of renewable materials in packaging.
• In October 2024, Green Valley introduced its latest sustainable luxury packaging solutions at BeautyWorld Middle East 2024, held at the Dubai International Convention and Exhibition Centre. The showcased designs emphasized eco-friendly materials and innovative aesthetics, catering to the beauty and fragrance industries' growing demand for environmentally responsible packaging.

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