UAE’s robust economy & high living standard drives demand for tissues by 4.7 per cent
UAE August 02, 2016 - The demand for tissue products, especially in the away-from-home (AfH) sector, in the Near and Middle East remains robust, a recent study reveals. According to the ‘Outlook for World Tissue Business Forecast’ by RISI, the region will witness a surge in the sector at an average annual rate of 6.5 per cent from 2013 to 2023, fuelled by growth in gross domestic product (GDP) and population. Demand in countries such as Iran and Turkey will continue to remain strong, while smaller countries, including Armenia, Azerbaijan, Oman and Yemen, will witness faster growth.
The study also reported that the volume growth in the Near and Middle East will surpass 1 million tonnes by 2023 at an annual average of 103,000 tonnes. The largest volume increase during the period will be in Turkey at 39 per cent, followed by Iran at 17 per cent and Saudi Arabia at 16 per cent. Even though relative growth in the region will slow down because of well-established tissue consumption, AfH sector demand is predicted to grow faster due to robust travel tourism, retail, and food and beverage sectors.
The UAE, which has a comparatively high per capita tissue consumption, will experience moderate growth at a rate of 4.7 per cent and 420 tonnes in volume. However, the country’s rapidly expanding retail industry along with the hospitality, recreation, and food and beverages sectors will continue to drive AfH demand. Furthermore, the demand for tissue products is expected to be sustained with the highly-awaited World Expo 2020 which is expected to draw 25 million visitors to the UAE. With three tissue mills, the country boasts of 9 per cent of the total operational capacity of the Near and Middle East region.
Dhofar Global, a leading supplier of hygiene care products in the GCC, not only acknowledges the current market sentiment for tissue products but is also set to cater to the growing demand, especially in the AfH sector. Its effective, innovative, and eco-friendly products have successfully captured a majority share of the hygiene industry, helping in positioning the company as a highly preferred sanitation and lifestyle solutions brand for many iconic hotel names in the region.
“Even though the Near and Middle East has a mature market for tissue products, the outlook is optimistic with demand expected to surge with the expansion of economic and tourism opportunities. A very high standard for hygiene in the GCC has led to per capita consumption of more than 10 kg in the UAE and Bahrain, followed by Qatar and Saudi Arabia at around 8 kg. Dhofar Global remains committed to bring out high-quality tissue products particularly for the AfH sector to ensure the best international standards in hygiene and sanitation. At the same time, as an environmentally conscious company, we drive innovation to develop green products to ensure lesser carbon footprints and greater sustainability,” concluded Chandan Singh, CEO, Dhofar Global