Image: Getty Images/ For illustrative purposes
The Middle East and North Africa region is emerging as one of the fastest-growing markets globally for consumer packaged goods, driven by strong volume growth in Saudi Arabia and the UAE, according to a new report by Bain & Company.
Bain’s Middle East Consumer Products Report 2025 stated that the region’s fast-moving consumer goods market exceeded $450bn in sales in 2024 and is projected to reach as much as $650bn by 2030, implying annual growth of about 5 per cent, outpacing global averages.
The report found that the UAE recorded around 6 per cent volume growth in consumer products, well above the global average of 1.7 per cent, while Saudi Arabia posted approximately 4 per cent growth, supported by resilient consumer demand and favourable demographic and economic fundamentals.
MENA is a growth area for consumer goods
“CPG leaders should view MENA as a true growth arena,” said Faisal Sheikh, senior partner at Bain & Company. “The opportunity is real, but the bar is rising, consumers are more time-starved, more intentional, and increasingly focused on trust and relevance.”
The research is based on a survey of 3,500 consumers across Saudi Arabia, the UAE, Egypt and Iraq, alongside interviews with 20 regional consumer goods executives and Bain’s market analysis.
Despite inflationary pressures and shifting consumption patterns, Bain said consumer sentiment in the region remains resilient, with respondents scoring sentiment at 6 out of 10. However, purchasing decisions are becoming more selective, with brands increasingly judged on value, convenience and alignment with consumer values.
The report found that convenience has become a baseline expectation, with 37 per cent of consumers saying they lack sufficient time for daily essentials.
More than half of respondents said they had boycotted brands due to misalignment with their values, elevating trust to a key decision factor alongside price and quality.
Digital channels are also reshaping growth. Bain estimates e-commerce accounts for 12 to 14 per cent of retail sales in the UAE and could rise to 20 to 25 per cent by 2030, capturing about 60 per cent of incremental retail growth.
“MENA’s growth is being shaped by channel evolution and rising expectations on convenience,” said Federico Piro, partner at Bain & Company. “Companies that adapt route-to-market and execute with discipline can capture growth while strengthening brand resilience.”
The report said consumer goods companies in the region face increasing competition from local and regional players, regulatory complexity and rising cost pressures, even as global CPG growth remains muted.
Read: What UAE retailers can learn from China’s evolving luxury market
Growth strategy
To sustain growth, Bain outlined three priorities: rethinking growth strategies to expand profit pools, simplifying operations to fund reinvestment, and scaling digital and artificial intelligence capabilities. While 91 per cent of global executives see generative AI as strategically important, only 6 per cent have a clear implementation roadmap, the report said.
“The next chapter in MENA will reward companies that turn complexity into advantage,” said Karim Chehade, associate partner at Bain & Company.
