GCC Dry Ice Market Forecast to 2028 - COVID-19 Impact and Regional Analysis By Type and Application

The GCC dry ice market is expected to grow from US$ 19.01 million in 2022 to US$ 24.78 million by 2028. It is expected to grow at a CAGR of 4.5% from 2022 to 2028.

Dry ice is the solid form of carbon dioxide and is being increasingly used for temporary refrigeration. CO₂ does not have a liquid state at normal atmospheric pressure and sublimates directly from the solid state to the gas state. Dry ice is an ideal and highly-effective cooling and freezing agent for food. It is particularly convenient for in-transit cooling, where power supply may prove to be challenging.

Based on application, the dry ice market is segmented into food & beverage, storage & transportation, healthcare, industrial applications, and others. In 2021, the storage & transportation segment held the largest market share. However, the food & beverage segment is expected to register the highest CAGR in the market during the forecast period. Dry ice is being increasingly used in the maceration stage of winemaking (i.e., the time the juice from the grapes is left in contact with the fruit skin and stems) to inhibit the beginning of fermentation by rapidly reducing the temperature below 10°C. It is also being used in the meat processing industry and commercial bakeries to maintain critical temperatures to reduce product spoilage by inhibiting bacterial growth, slowing yeast growth, and delaying fermentation during production. It leaves no residue to contaminate or compromise the quality of food. Dry ice is also added in small amounts to serving trays to produce a fog effect around the food dishes.

The GCC dry ice market is segmented into Saudi Arabia, the UAE, Kuwait, Qatar, and the Rest of the GCC. The increase in cold chain storage and distribution facilities, and a rise in the import of pharmaceutical ingredients is driving the growth of the market in this region. Along with this, a surge in the imports of COVID-19 vaccines contributes to the high demand for dry ice in the GCC.

The chemicals & materials industry faced unprecedented challenges due to the COVID-19 pandemic. The shortage of raw materials and laborers, shutdown of factories, and other operational difficulties associated with COVID-19 safety protocols adversely affected the GCC dry ice market. The lockdown measures disturbed the supply chains and production of dry ice. Despite such adverse conditions, the GCC dry ice market continued to grow to some extent due to the large demand for COVID-19 vaccines, as the substance is being used for maintaining apt temperature conditions during the storage and distribution of vaccine vials.

Rawabi Holding; Gulf Cyro; United Parcel Service of America, Inc.; Esnadee; Linde Plc; Albarrak Group Company; Asco Carbon Dioxide Ltd.; Eco Green Dry Ice; Saboo International; and Freezpak International are leading players in the GCC dry ice market. These companies are adopting strategies, such as mergers and acquisitions, and product launches for expanding their geographic presence and consumer bases.

The GCC dry ice market has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. Also, multiple primary interviews have been conducted with industry participants to validate the data and gain more analytical insights. Participants of this process include VPs, business development managers, market intelligence managers, national sales managers, and external consultants - including valuation experts, research analysts, and key opinion leaders - specializing in the GCC dry ice market.