Saudi Arabia Wood Pulp Market

Saudi Arabia Wood Pulp Market Overview:

The Saudi Arabia wood pulp market size reached USD 1.6 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 2.1 Billion by 2033, exhibiting a growth rate (CAGR) of 2.75% during 2025-2033. The rising demand from the packaging industry, increasing hygiene awareness driving tissue paper consumption, growing investments in sustainable paper production, expansion of local manufacturing facilities, and supportive government initiatives to boost domestic production are propelling the growth of market in Saudi Arabia.

Saudi Arabia Wood Pulp Market Trends:

Localization and Investments in Domestic Pulp and Paper Manufacturing

The increasing localization of pulp and paper manufacturing, driven by national policies encouraging industrial self-reliance and import substitution, is creating a positive Saudi Arabia wood pulp market outlook. As part of the broader Vision 2030 agenda, the Saudi government is prioritizing the development of domestic manufacturing capabilities across various sectors, including the paper and packaging industry. This policy encourages both public and private investments in integrated paper production facilities that rely heavily on a stable supply of wood pulp. Several capacity expansion initiatives are underway to reduce dependence on imported pulp and processed paper products, creating consistent demand for raw materials within the country. A notable example is the announcement made on April 25, 2024, by the Middle East Paper Manufacturing and Production Company (MEPCO), which revealed a substantial investment of 1.78 Billion Saudi Riyals to establish its fifth production line. The project is designed to boost MEPCO’s annual cardboard paper production capacity by 450,000 tons, featuring a high-speed machine operating at 1,600 meters per minute to produce lightweight cardboard. This development will nearly double MEPCO’s total capacity to around one million tons per year, significantly increasing domestic wood pulp consumption and reinforcing the strategic shift toward local manufacturing in the sector. Furthermore, joint ventures with international pulp producers have emerged to bring in technical expertise and ensure quality compliance with global standards. This shift not only reduces import bills but also strengthens the country’s position as a regional hub for pulp-based manufacturing, contributing to market stability and long-term Saudi Arabia wood pulp market growth.

Sustainability and Shift Toward Recycled and Alternative Pulp Sources

Stakeholders in the Saudi Arabia wood pulp market are increasingly prioritizing environmentally sustainable alternatives and resource-efficient production methods. In alignment with national climate objectives, Saudi Arabia has set an ambitious target to reduce carbon emissions by 278 Million Tons annually by 2030. This is prompting the pulp and paper industry to adopt greener practices and shift away from traditional, resource-intensive inputs. In addition to this, the growing pressure to mitigate deforestation and lower the environmental impact of production is driving increased use of recycled paper and alternative pulp sources, such as agricultural residues. These alternatives not only support sustainability goals but also offer viable solutions in a region with limited forest cover and constrained access to virgin wood pulp. Apart from this, manufacturers are incorporating advanced technologies in pulping processes to improve yield, reduce water and chemical usage, and ensure minimal waste generation. Also, regulatory frameworks and corporate sustainability commitments are pushing companies to disclose environmental performance and adopt circular economy principles. These efforts are gradually reshaping sourcing practices and product portfolios and augmenting Saudi Arabia wood pulp market share.

Saudi Arabia Wood Pulp Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country level for 2025-2033. Our report has categorized the market based on type, grade, and end use industry.

Type Insights:

• Hardwood
• Softwood

The report has provided a detailed breakup and analysis of the market based on the type. This includes hardwood and softwood.

Grade Insights:

• Mechanical
• Chemical
• Semi-Chemical
• Others

A detailed breakup and analysis of the market based on the grade have also been provided in the report. This includes mechanical, chemical, semi-chemical, and others.

End Use Industry Insights:

• Packaging
  • Food and Beverages
  • Pharmaceutical
  • Personal Care and Cosmetics
  • Automotive
  • Others
• Paper
  • Newspaper
  • Books and Magazines
  • Tissues
  • Others
• Others

The report has provided a detailed breakup and analysis of the market based on the end use industry. This includes packaging (food and beverages, pharmaceutical, personal care and cosmetics, automotive, and others), paper (newspaper, books and magazines, tissues, and others), and others.

Regional Insights:

• Northern and Central Region 
• Western Region 
• Eastern Region 
• Southern Region 

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region, and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Wood Pulp Market News:

• On April 10, 2025, Crown Paper Mill (CPM) unveiled a new tissue paper mill in Saudi Arabia, equipped with a high-speed Valmet machine capable of producing 2,200 meters of tissue paper per minute. This facility adds an initial capacity of 60,000 metric tonnes per year, increasing CPM's total manufacturing capacity to 160,000 metric tonnes annually. CPM plans to develop innovative tissue paper products and invest in sustainable technologies to reduce its environmental footprint.

Saudi Arabia Wood Pulp Market Report Coverage:

Key Questions Answered in This Report:

• How has the Saudi Arabia wood pulp market performed so far and how will it perform in the coming years?
• What is the breakup of the Saudi Arabia wood pulp market on the basis of type?
• What is the breakup of the Saudi Arabia wood pulp market on the basis of grade?
• What is the breakup of the Saudi Arabia wood pulp market on the basis of end use industry?
• What is the breakup of the Saudi Arabia wood pulp market on the basis of region?
• What are the various stages in the value chain of the Saudi Arabia wood pulp market? 
• What are the key driving factors and challenges in the Saudi Arabia wood pulp market?
• What is the structure of the Saudi Arabia wood pulp market and who are the key players?
• What is the degree of competition in the Saudi Arabia wood pulp market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia wood pulp market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia wood pulp market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia wood pulp industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.