Middle East & Africa Masterbatch Market Forecast to 2031 - Regional Analysis - by Type, Polymer, and End-use Industry

The Middle East & Africa masterbatch market was valued at US$ 1.11 billion in 2023 and is expected to reach US$ 1.60 billion by 2031; it is estimated to register a CAGR of 4.6% from 2023 to 2031.

Adoption of Biodegradable and Compostable Masterbatch Bolsters Middle East & Africa Masterbatch Market

Bio-based polymers are environmentally friendly and are the subject of extensive research in various fields. Biodegradable materials exhibit sustainability, thereby driving their use in commercial applications. The easy availability of natural raw materials for the production of biodegradable polymers is an added factor fueling its supply and demand. Further, increasing awareness regarding environmental concerns such as plastic pollution and waste management propels the demand for sustainable alternatives to conventional plastics. Biodegradable and compostable masterbatch offer solutions to mitigate environmental impact by reducing plastic waste and promoting circular economy principles.

Stringent government regulations pertaining to the utilization of toxic chemicals across the world have encouraged many market players to develop nontoxic and biodegradable alternatives, aiding global sustainability goals. Key market players are also focused on the development of technology to produce a post-consumer recyclate carrier resin. Masterbatches can also be produced using a post-consumer recyclate carrier resin to enable recyclates and articles to be produced with the minimum virgin polymer content. In 2023, Braskem and Engeflex developed a masterbatch composed of 100% Wenew post-consumer recycled resin.

By 2025, the company aims to enhance its product portfolio by ~300,000 metric tons of products with recycled content. In 2030, the company aims to dispose of ~1.5 million metric tons of plastic waste for incineration and landfills. Thus, the development of biodegradable and compostable masterbatch is expected to positively influence the Middle East & Africa masterbatch market in the coming years.

Middle East & Africa Masterbatch Market Overview

An upsurge in infrastructural projects, sustainable construction, and industrialization in the Middle East & Africa drives the demand for construction materials. As per the International Trade Administration, the construction sector's value in the UAE is expected to grow by 4.7% per annum in the next five years. The growth can be attributed to the increasing construction initiatives. The rising need for residential and commercial buildings in the Middle East & Africa bolsters the growth of the architectural paints & coatings industry. As per the Packaging Council of South Africa (Packaging SA), South Africa consumed ~3.84 million metric tons of packaging made of glass, paper, metal, and plastic, in 2022.

Increasing government initiatives and investments in charging infrastructure foster the penetration of electric vehicles in the Middle East & Africa. In 2023, Saudi Arabia's Public Investment Fund (PIF) partnered with the Saudi Electricity Company (SEC) to develop an electric vehicle infrastructure. The company aims to establish its presence in more than 1,000 locations and install 5,000 chargers across the country by 2030. Color masterbatches are widely used in the electronics industry to color wires, lighting fixtures, and electric components. Moreover, in the packaging industry, coloring masterbatches are used to color plastic packaging and caps and closures. Thus, developments in the end-use industries fuel the demand for masterbatches in the Middle East & Africa.

Middle East & Africa Masterbatch Market Revenue and Forecast to 2031 (US$ Million)

Middle East & Africa Masterbatch Market Segmentation

The Middle East & Africa masterbatch market is categorized into type, polymer, end-use industry, and country.

Based on type, the Middle East & Africa masterbatch market is divided into white, black, additives, color, filler, and others. The white segment held the largest Middle East & Africa masterbatch market share in 2023.

In terms of polymer, the Middle East & Africa masterbatch market is segmented into polyethylene, polypropylene, polyethylene terephthalate, polystyrene, and others. The polyethylene segment held the largest Middle East & Africa masterbatch market share in 2023.

By end-use industry, the Middle East & Africa masterbatch market is divided into building and construction, automotive, packaging, agriculture, electrical and electronics, and others. The packaging segment held the largest Middle East & Africa masterbatch market share in 2023.

By country, the Middle East & Africa masterbatch market is categorized into Saudi Arabia, the UAE, South Africa, and the Rest of Middle East & Africa. Saudi Arabia dominated the Middle East & Africa masterbatch market share in 2023.

Avient Corp, Ampacet Corporation, Cabot Corp, LyondellBasell Industries NV, and FRILVAM SPA are some of the leading companies operating in the Middle East & Africa masterbatch market.