EGYPT PLASTIC RECYCLING MARKET

Egypt plastic recycling market is estimated to grow at a robust CAGR during the forecast period due to growing efforts to protect the environment along with a rising need for recycled plastics in packaging.

Major Market Drivers and Emerging Trends

Egypt plastic recycling market size growth is mainly fueled by increasing concern over the significant quantity of plastic waste accumulated in the country. Producing around five million tonnes of plastic each year, Egypt stands as the leading plastic polluter in Mediterranean and the Arab World. A study highlighted with concern that 92 percent of marine fish populations in Alexandria were polluted with microplastics. This issue has been intensified by rapid urban development and poor waste management infrastructure. This has led to millions of tonnes of plastic waste being discarded improperly which results in environmental pollution while microplastics contaminate many fish species.

To address this issue, Egypt has implemented major measures to curb plastic consumption especially single-use plastics by introducing laws and regulations that encourage recycling. Key actions include the Waste Management Act along with regional restrictions on single-use plastics such as those implemented in the Red Sea Governorate. The national initiative to reduce single-use plastics also seeks to reduce environmental risks by setting a minimum thickness requirement for plastic bags and limiting their free distribution. The target is to decrease plastic bag usage to 50 bags per individual each year by 2030.

The government has also introduced various financial supports to drive businesses toward plastic waste recycling. To encourage recycling the government offers tax incentives and other financial benefits to businesses that invest in recycling plants or utilize recycled plastic in manufacturing. The government has further invested in modern plants along with equipment while also streamlining the collection and sorting processes for plastic waste. Minister of Environment Yasmine Fouad revealed that the government is investing around USD 186 million to improve the waste management infrastructure in the country with plans to construct more recycling facilities and landfills.

These efforts are showing progress with around 1.5 million tonnes of plastic recycled in 2022 and 2023. The country also occupies the number one spot in the region and 14th worldwide in recycling rates with 28 recycling facilities currently operating and plans to expand to 56 as per the IDSC.

The other factor supporting market growth is the growing need for recycled plastic. The plastic production sector in the country has grown substantially which contributes twelve percent to the national GDP and produces two million tons annually. The growing need for recycled plastic especially in the packaging sector has driven the new plastic waste recycling firms to emerge in the country. These firms are focusing on upgrading technologies and methods to increase their recycled plastic production capacity. It positively impacts the environment by reducing waste in landfills or natural habitats. The need for recycled plastic not only offers environmental advantages but is also contributing to economic growth. The sector is creating new employment opportunities and attracting investment while using recycled plastics in manufacturing helps lower raw material costs for manufacturers.

By material type, PET is expected to dominate the market share driven by its extensive use in applications like food packaging and textile fibers. The requirement for recycled materials suitable for food products in the food and beverage sector is propelling the growing demand for PET. Recycling PET helps minimize environmental pollution and preserve natural resources.

By application, the packaging segment is projected to lead the market given its importance in marketing and its impact on how consumers view products. Packaging also shields products from contamination or deterioration during shipping and storage. Plastic is widely used in the packaging sector because of its accessibility and comparable properties to raw plastics.

Top Market Players

Several notable players within the market include SUEZ SA, Bariq, BASF SE, Outgreens Egypt, among others.

Key Developments

• • In 2024, an agreement was signed between Nile Recycling Company and Main Development Company for a USD 20 million PET recycling plant designed to produce 22,000 tonnes annually.
  • In 2021, leading firms in Egypt such as Henkel and Unilever committed to a new charter to recycle plastic waste to promote the circular economy.

Segments covered in the Report:

The Egypt Plastic Recycling Market has been segmented on the basis of material type and application. Based on the material type, the market is segmented into PET, PP, PS, PVC, polyethylene, and others. Based on the application, the market is segmented into packaging, building & construction, textile, automotive, and others.

Market Segmentation

Egypt Plastic Recycling Market by Material Type

• • PET
  • PP
  • PS
  • PVC
  • Polyethylene
  • Others

Egypt Plastic Recycling Market by Application

• • Packaging
  • Building & Construction
  • Textile
  • Automotive
  • Others

Egypt Plastic Recycling Market Leading players (Option 1: Free 25% Customization – Profiles of 5 Additional Companies of your Choice)

• • SUEZ SA
  • Bariq
  • BASF SE
  • Outgreens Egypt