Star Paper Mill has inaugurated its AED 200 million recycled containerboard manufacturing facility in Khalifa Economic Zones Abu Dhabi (KEZAD), as demand for paper-based packaging and corrugated materials continues to grow across the UAE and GCC markets.
The facility was officially inaugurated by H.E Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology of the UAE, during Make it in the Emirates 2026 in Abu Dhabi.
According to the company, the plant has been established to support the UAE’s industrial development goals and circular economy initiatives through the recycling of locally sourced waste paper into containerboard used in corrugated boxes and paper-based packaging applications.
Spread across 90,000 square metres, the facility has an annual production capacity of 135,000 tonnes of recycled containerboard jumbo reels for downstream paper convertors. Star Paper Mill stated that the plant will recycle up to 80% of waste paper sourced domestically, helping reduce landfill pressure while supporting local raw material availability for packaging manufacturers.
“For us, this is a defining moment in our journey with the new plant contributing to the UAE’s industrial and sustainability vision. The KEZAD facility will convert locally sourced waste paper into high-quality recycled containerboard, in turn supporting the packaging industry at a time of unprecedented demand,” said Hussein Adam Ali, Chairman, Star Paper Mill.
The company said the project comes as the UAE paper packaging market, currently valued at approximately US$3.8 billion, is projected to exceed US$6 billion by 2033. The corrugated packaging segment alone is estimated at US$1.3 billion.
“Significantly, sourcing a sizeable share of waste paper in-country, Star Paper Mill will also be contributing to self-sufficiency and decreased reliance on imports in raw materials, while promoting the UAE’s net zero ambitions,” said Majid Rasheed, Managing Director, Star Paper Mill.
H.E Ahmed Mohamed Al Naqbi, CEO of Emirates Development Bank, and Mohammed Ghareeb Al Hosani, CXO, KEZAD Group, also highlighted the project’s role in strengthening sustainable industrial manufacturing in the UAE.