U.A.E. Packaged Drinking Water Market To Generate Revenue Worth $948.2 Million by 2030

The U.A.E. packaged drinking water market generated an estimated revenue of $625.4 million in 2021, and the market size will advance at a CAGR of 4.7% during the forecast period, to reach $948.2 million by 2030. This can be ascribed to the surging population and increasing urbanization. For instance, the growing population leads to a higher demand for drinking water.

Other major factors that drive the industry include the long storage life span of high-capacity drinking water bottles. The reusable bottles have a long storage lifespan and can store drinking water for future use. They are less harmful to the environment than individual plastic water bottles. Instead of using hundreds of individual water bottles every day, switching to a bulk water bottle can help reduce plastic waste and the need of buying a new bottle, which, in turn, saves money.

B2B Distribution Channel Dominates the Market

The B2B distribution channel holds a larger market share because of the high demand for water in companies for their employees and the rise in the number of corporate offices in the country. Bottled water is considered safer compared to ground and tap water. They also contain high nutritional value compared to other sources of drinking water. These factors increase the sales of bottled water in corporate offices.

Sales of packaged drinking water at workplaces, based on end use, are projected to generate largest revenue during the forecast period. Most of the offices in the country sign contracts with companies manufacturing bottled drinking water for its supply, as providing clean water to their employees is necessary. This is due to the stringent regulations about employee health in the country. For instance, the Ministry of Human Resources & Emiratisation has cautioned companies that workers must be supplied with water at all times, as well as minerals that are approved for use by health authorities.

Collaborations and Partnerships Are Most-Effective Strategic Measures

Players in the U.A.E. packaged drinking water market have been involved in collaborations and partnerships to remain competitive in the industry. For instance:

• In March 2020, National Food Products Company (NFPC), the U.A.E.-based Food and Beverage organization, signed a partnership agreement with Al Ain Sports and Cultural Club for the next three years, enabling it to be the sole beverage supplier to Al Ain Football Club, which operates under the Cultural Club.
• In January 2019, Abu Dhabi National Energy Company PJSC (TAQA), a leading water and energy company in the U.A.E., partnered with Agthia Group PJSC, a world-class food and beverage company headquartered in Abu Dhabi, to enhance strategic alignment and provide its services to TAQA’s headquarters and U.A.E.-based assets.

Some of the major players operating in the U.A.E. packaged drinking water market are Agthia Group PJSC, Danone S.A., Mai Dubai LLC, Masafi Co LLC, National Food Product Company, Nestle Waters Factory H&O LLC, AL Ghadeer Drinking Water LL, AL Furat Drinking Water LLC, and Awafi Mineral Water CO. LLC.