Regional soft drink sales soar amid boycotts of Israel-linked brands
Consumers turn to local alternatives as boycotts of global soda giants gain momentum, alongside a rising demand for healthier beverages
DUBAI, UAE (MNTV) – The carbonated beverage market in the Middle East and Africa, valued at $21.7 billion in 2024, is experiencing a major shift as local brands see a surge in demand.
A key driver of this trend is the Palestinian-led Boycott, Divestment, and Sanctions (BDS) movement, which has led consumers to abandon brands like Coca-Cola and PepsiCo over their reported ties to Israel.
However, the shift is also propelled by growing consumer interest in healthier and sugar-free alternatives, according to UAE daily The National.
Market Data Forecast projects that the regional soft drink industry will expand to $26.3 billion by 2032.
At Dubai’s Gulfood expo, industry leaders noted that regional brands are capitalizing on the momentum.
Jordan’s Defaf Al-Nahrayn Company, maker of Matrix Cola, reported a staggering 200% increase in sales since December 2023.
Export manager Firas Hamdan credited the initial boost to the BDS movement but emphasized that the brand’s quality and reputation have sustained interest.
Matrix Cola is now available in 45 countries and recently secured a UAE distribution deal.
Similarly, Saudi Arabia’s Alsi Cola, which dominates 60-70% of its domestic market, has witnessed rising sales in Oman and Jordan.
Sales manager Ahsan Shams revealed that demand is also growing in the Americas and Europe.
In the UAE, both nostalgia-driven and health-conscious consumers are reshaping the market.
India’s iconic Campa Cola, revived by Reliance Consumer Products, has launched in the UAE, targeting the large Indian expatriate community.
Meanwhile, Pakistan’s 75-year-old Pakola brand is experiencing renewed popularity, fueled by the ongoing boycott movement.
Health-focused alternatives are also gaining ground.
Egypt’s Healthy and Tasty recently introduced Healthy Cola, an aspartame-free soft drink now expanding into Saudi Arabia and the UAE.
Saudi Arabia’s Milaf Cola, the world’s first date-based carbonated beverage, is also gaining traction, backed by the kingdom’s Public Investment Fund.
As regional brands continue to innovate and expand, the soft drink industry in the Middle East and Africa is poised for dynamic growth, offering consumers homegrown alternatives to global giants.
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