Market Definition
Packaged food includes partial or whole food items or beverages, pre-packed in the packaging so that the external environment can not alter the usability of the content inside unless it's not opened. The consumption of packaged food is rapidly growing among the urban population in Qatar since it provides convenient food options. The demand for packaged food has been promulgated mainly by the high consumption of snacks, carbonated beverages, milk & milk products, etc.
Moreover, its demand has also been fueled by a growing government focus on ensuring food security in Qatar. The harsh climatic conditions, desalinated chlorine water, poor annual rainfall, etc., are unfavorable for agriculture in the country. Due to this, it is highly dependent on other neighboring countries while importing packaged food.
Market Insights
The Qatar Packaged Food Market is projected to grow at a CAGR of around 5.8% in revenue terms during the forecast period, i.e., 2022-27. Presently, Qatar has one of the highest per capita GDPs globally. It has around 99% urban population that can afford a wide range of packaged & fresh food due to the high-income level. The unavailability of fresh open food due to unfavorable agricultural conditions in Qatar drives the demand for packaged food. The transportation, cold chain systems, & retail infrastructure of the country are highly developed.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2017-20 |
| Base Year: 2021 | |
| Forecast Period: 2022-27 | |
| CAGR (2022-2027) | 5.8% |
| Key Companies Profiled | Baladna Food Industries, PepsiCo Inc., Mesaieed Bakery, Dandy Co Ltd., Arab Qatari Co for Dairy Production, Mars Inc., Kellogg’s Co., Nestle SA, Korean Bakeries WLL, Royal FrieslandCampina N.V., Ferrero Group, American Group Others |
| Unit Denominations | USD Million/Billion |
As a result, the distribution of packaged food is manageable in Qatar. Along with this, for the storage of packed food products, the penetration of refrigerators & freezers is also very high, thus making it convenient for customers to store their packaged food products for a longer time. Hence, the easy availability of packaged food and the high purchasing power of customers is driving the Qatar Packaged Food Market through 2027.
Key Trend in the Qatar Packaged Food Market
Biodegradable food packaging is an emerging trend in Qatar. With the high consumption of packaged food, a significant amount of plastic waste is generated in the country, which has led companies involved in the food & beverages sector to adopt sustainable packaging to reduce environmental pollution. As a result, it shall surge the demand for biodegradable packaging and promote customers to buy respective brands in the food & beverages sector.
Impact of COVID-19 on the Qatar Packaged Food Market
In 2020, due to the Covid-19 pandemic, the demand for packaged food products rapidly surged as people started stockpiling food products to ensure availability owing to extended lockdown. Packaged food was at the center of the demand amidst the lockdown period to avoid virus transmission since it has been considered relatively safer. The government of Qatar ensured the ample availability of packaged food with the allowance of supermarkets & hypermarkets to stay open during the lockdown from April 2020 to June 2020.
The lockdown restrictions imposed by the government led to the panic buying of food items among consumers to sustain long lockdowns. This phenomenon helped surge the sales of packaged food items in the country. The government also ensured the supply of food items with available food stock imports, which further led to fuel the purchase of packaged food items by consumers. Moreover, the high purchasing power of consumers has attracted international packaged food companies in the country amidst the crisis.
