Demand for environmentally sustainable packaging solutions is increasing in the United Arab Emirates, according to findings released by the Mohammed Bin Rashid Innovation Fund (MBRIF), which cited growing interest from businesses seeking alternatives to conventional plastic packaging.
The update was shared by the MBRIF, an initiative of the UAE Ministry of Finance, which supports innovation-driven companies through financial guarantees and advisory programmes. Data referenced in the report indicates that demand for eco-friendly packaging solutions in the UAE has been growing at an estimated annual rate of 25–30%, reflecting changing regulatory requirements and corporate sustainability targets.
The figures are based on operational data from Avani Eco Middle East, a company participating in the MBRIF Guarantee Scheme and supplying biodegradable and plant-based packaging materials to businesses in the region.
According to the data cited in the report, companies that replaced conventional plastics with alternative packaging materials were able to reduce single-use plastic consumption by up to 25%. Packaging-related carbon emissions were also reported to have decreased by as much as 40% in some cases.
The shift toward biodegradable bags has also contributed to reductions in packaging consumption, with bag usage falling by approximately 30–40% among participating businesses.
Since 2022, organisations using these packaging alternatives have collectively avoided nearly 300 tonnes of single-use plastic waste and prevented more than 2,500 tonnes of carbon emissions, based on the figures shared in the update.
The report links the rising demand for sustainable packaging solutions to the UAE’s phased restrictions on single-use plastic products. Additional measures introduced from 1 January 2026 expanded the ban on several disposable plastic items, including certain food containers, cutlery, cups, lids and straws.
Industry observers note that regulatory measures and corporate sustainability commitments are prompting companies operating in retail, food service and consumer goods sectors to explore recyclable, fibre-based and plant-derived packaging materials as alternatives to conventional plastics.