Over the past two decades, the Middle East’s construction industry has directly been impacting the paints and coatings market, with some dynamics that have been reshaping it over the past 10 years.
Future Market Insights has estimated the paints and coating market of the Middle East to reach a valuation of $4,690.2 million in 2022. Sales prospects in the paints and coating are expected to witness a steady growth of 4.7 per cent and are expected to top a valuation of $7,447.9 million by 2032, according to the premier provider of market intelligence and consulting services.
As a result of a rise in infrastructure projects in several Middle Eastern countries, the paints and coatings market is anticipated to further expand over the next few years as governments raise public funding to finance new projects. Furthermore, the coatings industry in the Middle East will get stronger in the near future as a result of the building of hotels and restaurants, the repainting of historic hotels, and the upkeep of the architectural and aesthetic infrastructure. Throughout the forecast period, the region’s paints and coatings market is anticipated to see several opportunities for growth due to the rising demand for eco-friendly products.
Demand for cutting-edge specifications
According to data supplied by Global Data, an increase in urbanisation projects will fuel growth in the Middle East's construction industry in the years to come. This, in turn, will spur the demand for interior and exterior paints as well as coatings.
Furthermore, the fast growing economies in the region are leading to increased spending on commercial, institutional, and residential construction sectors.
Due to this increased spending and smart technological advancements, leading players in the coatings business have been investing in research and development (R&D) and innovation to cater to the requirements of construction projects. Speaking of technological advancements, conductive paint is gaining immense traction. With the use of these conductive paints, a wall may now be transformed into a smart device. Containing a conductive nickel grid that forms electrodes on the wall, these paints help a wall function as an electromagnetic sensor, or touchscreen, tracking the position, spotting things, and responding to gesture commands. Furthermore, all smart gadgets can be controlled from the wall.
Some of the most beautiful structures in the world can be found in the Middle East. Furthermore, the launch of mega projects such as The Red Sea Project, and the Qiddiya entertainment city in Riyadh is expected to boost the sales of paints and coatings in Saudi Arabia.
Consumers are increasingly demanding products that are long-lasting and maintain their quality, fuelling the need for more durable paints and coatings. Paint manufacturers in the region are also offering a new generation of paints that boast qualities focused on sustainability, health and safety of the environment and are in line with international trends in this regard.
This apart, key players in the paints and coatings market need to keep pace with digital technology. Across the Middle East, in the past year alone, several new online marketplaces, including B2B and B2C e-commerce platforms, have emerged, creating new opportunities for industry players to reach millions of customers.
Technologies such as artificial intelligence (AI), Internet of Things (IOT) and Industry 4.0 can bring about operational efficiency, leading to reduced costs and success in the long term. Furthermore, the growth in the telecom sector and the ‘smartphones era’ is playing a highly significant role in the marketing of acrylic paints and associated services as well. Information about type, colour, price and application of paints is being made available to customers and manufacturers are utilising smartphones as a key marketing tool for their growth.
Construction spending, both for the residential and non-residential sectors, has witnessed an uptrend over the past year and the same is expected to continue in the coming years.
In Saudi Arabia, the south and west regions are expected to create higher opportunities while UAE, Iraq, Kuwait, Qatar, and Bahrain will be the key regions for growth.
Looking ahead, demand for paints and coatings is expected to grow consistently owing to the rapid growth in the construction industry. The technological advancements in the Middle Eastern paint and coating sector will help meet consumers’ needs by offering highly durable coatings.
Furthermore, the increasing urban population, coupled with rapid industrialisation, is anticipated to significantly impact the growth of paints and coatings over the forecast period. On account of the anticipated surge in housing and infrastructural projects across various parts of the world, the construction industry is anticipated to regain strength over the coming years, providing tailwinds to the paints and coatings market.
* Future Market Insights is the premier provider of market intelligence and consulting services, serving clients in more than 150 countries.