Jakarta-based Asia Pulp & Paper (APP), the world’s largest paper mill, highlights the Middle East and Africa (MEA) as a pivotal market for its eco-friendly paper and products due to rising demand for biodegradable packaging solutions, projected to grow around 4% annually. MEA’s post-COVID surge in demand for environmentally friendly paper products, notably in food packaging, catering, hygiene, pharma, and cosmetics, is expected to reach a market size of approximately US$28.72 billion, according to Mordor Intelligence. E-commerce growth, notably in Saudi Arabia and the UAE, further fuels this demand.
Sandeep Raina, Export Sales Head for APP in the Middle East and Africa, emphasizes MEA’s importance, citing over three decades of presence and steady year-on-year growth, with the region accounting for nearly 15% of APP’s global sales. The UAE and Saudi Arabia are prominent markets for APP in the GCC, followed by Iraq and others. With fully integrated operations in Indonesia covering Pulp, Paper, Packaging, Tissue, and Stationery, APP has established a strong foothold in MEA.
Having maintained a presence in the UAE since 1989 through a branch office and an extensive network of distributors, APP chose the UAE as its official base due to its robust business environment, including top-notch banking, warehousing, and re-export facilities. Moreover, as a major supplier of Halal-certified paper for printing the Holy Quran in the ME region, APP has garnered a significant market share, certified by Majlis Ulema.”
Carbon-neutral solutions
The increasing awareness of lessening carbon footprint and stricter legislation on single-use plastics in many countries in the region, particularly in the GCC, green packaging materials, particularly paper packaging solutions, are major catalysts of growth. APP has been evolving its product portfolio and market strategy in this context, leading to innovation and new product range.
Packaging grades/tissue/photocopy paper/specialty grades are very much in demand and trends suggest that due to the increase in online business packaging grades will continue to be in demand.
Letchumi Achanah, Head of Stakeholder Engagement & Advocacy for APP said that in line with the changing trend, APP has launched its bio-degradable Foopak Bio Natura range paper packaging solutions targeted at households, FMCG brands and the food packaging sector petroleum-free recyclable options to take on the plastic scourge.
“Sustainability is fundamental to APP’s vision as we continue to improvise and evolve towards our production towards a greener future. The company is making significant strides toward achieving its net-zero emissions goal by 2060 or earlier, whilst exploring and implementing various measures,” said Achanah.