At 6.0% CAGR, the Middle East & Africa Non-Alcoholic Beverages Market is projected to be worth US$ 107.27 million by 2028, says Business Market Insights

According to the Insight Partners’ research, the Middle East & Africa non-alcoholic beverages market was valued at US$ 75.54 million in 2022 and is expected to reach US$ 107.27 million by 2028, registering a CAGR of 6.0% from 2022 to 2028. Sustainable and innovative packaging to appeal to consumers and rising demand for non-alcoholic beverages with functional benefits are the critical factors attributed to the market expansion.

In recent times, consumers have become more aware of environmental sustainability. Regional population growth and urbanization are the primary causes of natural resource depletion, global warming, overflowing landfills, and infertile lands. Today, plastic waste is one of the biggest environmental problems causing significant harm to the overall ecosystem. The packaging industry accounts for most of the plastic usage and plastic waste generation. According to Plastic Oceans International, the packaging industry is the largest end user of plastic, accounting for more than 40% of the total plastic usage. Due to the rising concerns regarding waste generation and landfills, the preference for sustainable and eco-friendly packaging has grown significantly. The manufacturers of non-alcoholic beverages are also launching products in sustainable packages to meet the changing consumer requirements and reduce their carbon footprints. PepsiCo, one of the prominent soft drink manufacturers, has partnered with Pulpex, a packaging technology company, to develop and scale the fully recyclable paper bottle. The paperboard used for developing the bottle is sustainably sourced and 100% recyclable. Moreover, the bottle is coated with a food-grade, water-based coating to prevent leaks. Before launching the bottle in the market, it will undergo extensive laboratory tests to evaluate its safety, recyclability, and performance. Such initiatives are expected to provide immense growth opportunities to the Middle East & Africa non-alcoholic beverages market over the forecast period.  Another sustainable packaging trend prevailing in the market is the increased use of post-consumer recycled (PCR) plastic. PCR plastics are made from previously used and recycled plastic bottles and other plastic items. PCR plastic supports consumer demand for sustainable packaging and reduces landfill waste from single-use plastics. The manufacturers of non-alcoholic beverages are also investing in innovative packaging to attract a large number of consumers. For instance, High Brew Coffee offers ready-to-drink coffee in self-heating cans. These cans are powered with HeatGen technology that heats the beverage within two minutes. Moreover, it has passive thermal controls that ensure the heat does not exceed the defined temperature. Such packages are projected to gain massive traction among tech-savvy consumers, opening significant growth opportunities in the Middle East & Africa non-alcoholic beverages market.

On the contrary, concerns related to high-sugar content of beverages hurdles the growth of Middle East & Africa non-alcoholic beverages market.

Based on type, the Middle East & Africa non-alcoholic beverages market is segmented into carbonated soft drinks, juices & nectars, bottled waters, dairy-based beverages, dairy alternative beverages, RTD tea & coffee, and others. The carbonated soft drinks segment held 28.4% market share in 2022, amassing US$ 21.45 million. It is projected to garner US$ 26.84 million by 2028 to expand at 3.8% CAGR during 2022–2028.

Based on packaging type, the Middle East & Africa non-alcoholic beverages market is segmented into bottles, cartons, cans, and pouches. The bottles segment held 55.2% market share in 2022, amassing US$ 41.73 million. It is projected to garner US$ 55.82 million by 2028 to expand at 5.0% CAGR during 2022–2028.

Based on category, the Middle East & Africa non-alcoholic beverages market is bifurcated into sugar-free and conventional. The conventional segment held 81.4% market share in 2022, amassing US$ 61.52 million. It is projected to garner US$ 84.50 million by 2028 to expand at 5.4% CAGR during 2022–2028.

Based on distribution channel, the Middle East & Africa non-alcoholic beverages market is segmented into supermarkets & hypermarkets, convenience stores, online retail, and others. The supermarkets & hypermarkets segment held 53.1% market share in 2022, amassing US$ 40.15 million. It is projected to garner US$ 55.98 million by 2028 to expand at 5.7% CAGR during 2022–2028.

Based on country, the Middle East & Africa non-alcoholic beverages market has been categorized into South Africa, Saudi Arabia, the UAE, and the Rest of Middle East & Africa. Our regional analysis states that the Rest of Middle East & Africa captured 66.5% market share in 2022. It was assessed at US$ 50.23 million in 2022 and is likely to hit US$ 68.18 million by 2028, exhibiting a CAGR of 5.2% during the forecast period.

Key players profiles in the Middle East & Africa non-alcoholic beverages market report are Asahi Group Holdings, Ltd.; Bolthouse Farms, Inc.; Califia Farms, LLC; Danone S.A.; Keurig Dr Pepper, Inc.; Nestlé S.A.; PepsiCo Inc.; Red Bull; SUNTORY HOLDINGS LIMITED.; and The Coca-Cola Company, among others.  

• Feb-2021, PepsiCo, Inc. is preparing to unleash Unmuddled, a new line of premium, non-alcohol cocktail mixers set to roll out in early September.

• Feb-2022, Pepsi launched Nitro Pepsi which is the first-ever nitrogen-infused cola which is softer than a soft drink. Nitro Pepsi are available in two flavors, Draft Cola, and Vanilla Draft Cola.

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