Soft drinks consumption rises as heat and bottled water reliance lift demand
Soft drinks in Iraq recorded strong growth in terms of volume sales in 2025, driven by hotter seasons, population growth and rising reliance on bottled water. Price sensitivity stayed high, keeping competition focused on low pricing and wide availability, even as awareness of sugar-related health risks increased. Over the forecast period, volume sales are set to rise strongly, with bottled water remaining essential, while differentiation and health-led propositions become more important as local supply expands and consumer expectations evolve.
Delivery:
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
This report comes in PDF with additional info in Excel included.
Overview:
Understand the latest market trends and future growth opportunities for the Soft Drinks industry in Iraq with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
Data and analysis in this report provides further detailed coverage dedicated to the following key categories, where applicable:
- Bottled Water
- Carbonates
- Concentrates
- Juice
- RTD Coffee
- RTD Tea
- Energy Drinks
- Sports Drinks
- Asian Speciality Drinks
If you're in the Soft Drinks industry in Iraq, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
The Soft Drinks in Iraq report includes:
- Analysis of key supply-side and demand trends
- Detailed segmentation of international and local products
- Historic volume and value sizes, company and brand market shares
- Five year forecasts of market trends and market growth
- Robust and transparent research methodology, conducted in-country
This report answers:
- What is the market size of Soft Drinks in Iraq?
- To what extent are health considerations impacting consumption of Soft Drinks in Iraq?
- How are changing social attitudes and legislation (eg sugar tax) reshaping demand and consumption?
- How are changing demographics (for example, an ageing or predominantly young population) determining consumption of Soft Drinks in Iraq?
- Which are the leading brands in Soft Drinks in Iraq?
- What potential exists for multinational or domestic soft drinks companies to expand in Iraq?
- How are products distributed in Soft Drinks in Iraq?
- How is the rise of e-commerce changing the retail and competitive landscape?
- How have home seclusion and social distancing measures following COVID-19 impacted sales of Soft Drinks?
- How are sustainability issues, such as environmentally-friendly packaging, legislation on recyclability, or the amount of plastic in bottles, impacting the soft drinks industry?
- Where is future growth expected to be most dynamic?
Soft Drinks in Iraq
Soft drinks consumption rises as heat and bottled water reliance lift demand
KEY DATA FINDINGS
Strong growth seen in 2025
Price sensitivity high as supply expands and offers converge
Bottled water reliance intensifies as infrastructure constraints deepen
Category demand varies by occasion, seasonality and lifestyle
New launches struggle outside RTD as consumer preferences stay pragmatic
Health and sustainability awareness rises, but behaviour shifts remain gradual
Local production expands under policy support, despite regulation and distribution frictions
Volume growth to stay strong as bottled water keeps essential role
Local production expansion amid both consolidation and fragmentation
Differentiation and health-led shifts to become more influential
UB Holding leads through bottled water scale while Nestlé gains momentum in RTD
Price-led competition persists amid broad availability and operational complexity
Small local grocers remain dominant channel alongside informal trade
On trade holds substantial share of sales as cafés expand
COUNTRY REPORTS DISCLAIMER
Key data findings
2025 Developments
Carbonates sees robust growth amid high heat and low prices
Industry performance
Iraq’s carbonates volume sales rise strongly in 2025
Pricing pressure eases, but high costs reshape competition
Health awareness rises slowly, benefiting reduced-sugar options
What’s next?
Demand growth will persist as urban living drives frequency
Reduced-sugar variants to gain ground thanks to stronger health influence
Retail execution becomes decisive while costs rise and premiums emerge
Competitive landscape
Pepsi and Coca-Cola lead through production scale and distribution reach
Smaller brands gain listings on retailer margins and value positioning
Channels
Small local grocers anchor distribution while modern grocery expands
Modern grocery accelerates as retail infrastructure investment scales up
Category Data
Key data findings
Local supply constraints limit category potential
Industry performance
Volume sales rise demand expands from low base
Juice drinks gains traction thanks to domestic players’ focus on value formats
Fresh juice culture shapes packaged demand and skews premiumisation
Health positioning supports demand, but sugar content limits credibility of juice drinks
What’s next?
Volume growth to continue amid persistent structural constraints
Shift towards higher fruit content and lower sugar propositions
Full potential stays out of reach without investment and stronger capabilities
Competitive landscape
Karwanchi leads as local production supports price and availability
Local brand dominance limits innovation and keeps distribution regional
Channels
Small local grocers leads distribution as price competition supports high throughput
Modern grocery benefits from urban bulk buying
Category Data
Key data findings
2025 developments
Bottled water demand rises as tap water quality deteriorates
Industry performance
Volume sales increase amid persistently weak infrastructure
Tap water quality issues keep bottled water essential
Prices stay low as domestic production scales up
What’s next?
Demand growth continues as bottled water stays the default option
Local supply dominates as fragmentation persists across regions
Sustainability and quality concerns gain visibility, but packaging shifts stay gradual
Competitive landscape
UB Holding leads as scale and distribution secure availability
Local brands dominate while promotion focuses on trade incentives
Channels
Small local grocers leads distribution through convenience and bulk handling
Modern grocery expands faster as bulk promotions attract shoppers
Category Data
Key data findings
2025 Developments
Sports drinks demand stays niche as high prices limit broader uptake
INDUSTRY PERFORMANCE
2025 growth continues, but affordability keeps sports drinks non-essential
Consumption remains confined to small, high-income audience
What’s next?
Growth will continue, but high prices keep the category niche
Competitive landscape
Powerade sets the competitive benchmark
Channels
Small local grocers leads distribution in 2025
Category Data
Key data findings
2025 Developments
Energy drinks consumption expands as low prices widen everyday use
Industry performance
Volume sales rise strongly in 2025 thanks to broader daily use
Price sensitivity keeps distribution and affordability at the centre of competition
Health concerns and illicit trade create uncertainty, but do not curb demand materially
What’s next?
Volume sales to see further though slowed growth
Pricing and distribution will keep defining success as local production expands
Brands to polarise with health perceptions and product integrity shaping outlook
Competitive landscape
Karwanchi leads as local players gain share through price and availability
Frequent launches continue, but smaller brands struggle to build durability
Channels
Small local grocers anchors energy drinks distribution
Category Data
Key data findings
2025 developments
Growth still sluggish as value positioning supports a niche role
Industry performance
Volume sales rises modestly in 2025
Value positioning supports use in families and seasonal gatherings
Inflation, new flavours and limited differentiation shape 2025 performance
What’s next?
Modest growth to continue, with performance sensitive to household budgets
Health-led shifts curb upside as fresh alternatives strengthen
Limited investment among persistent fragmentation
Competitive landscape
Al Nadir leads overall concentrates in 2025
Nichols gains momentum as powder brands hold value-focused roles
Channels
Small local grocers anchors concentrates distribution
Wider listing supports growth as modern grocery strengthens
Category Data
Key data findings
2025 developments
RTD tea expands from low base as availability widens in cities
Industry performance
RTD tea volumes, but category stays niche
Price pressure and limited familiarity hold back wider uptake
On-trade relevance stays limited and product formats remain narrow
What’s next?
Volume sales set to rise as hot weather and urbanisation widen exposure
Pricing, local production and fragmentation shape the competitive path
Marketing and taste adaptation become essential for broader adoption
Competitive landscape
Unilever leads through Lipton’s distribution advantage
Pergama gains momentum as newer challenger
Channels
Small local grocers expands listings and becomes the main sales engine
Modern grocery retains relevance as refrigeration and parallel flows shape availability
Category Data
Key data findings
2025 Developments
RTD coffee accelerates as younger consumers drive trial despite high prices
Industry performance
Volume growth surges as RTD coffee becomes more visible in urban routines
High inflation and low essentiality keep category narrow
Availability and refrigeration needs constrain distribution reach
What’s next?
Volume growth to moderates as price remains main limiter
Health-led positioning supports expansion and pushes lower-sugar options
Development to continue, but limited investment curbs full potential
Competitive landscape
Ennstal Milch leads while Nestlé drives momentum through Nescafé
Brand choice stays narrow as inflation pressures smaller importers
Channels
Small local grocers leads distribution while forecourt retailers grows fastest
Distribution stays concentrated, with local production offering a route to wider access
Category Data
The following categories and subcategories are included:
Soft Drinks
-
-
- Carbonated Natural Mineral Bottled Water
- Carbonated Spring Bottled Water
- Carbonated Purified Bottled Water
-
- Still Flavoured Bottled Water
- Sparkling Flavoured Bottled Water
- Functional Bottled Water
-
- Still Natural Mineral Bottled Water
- Still Spring Bottled Water
- Still Purified Bottled Water
-
-
- Regular Carbonates
- Reduced Sugar Carbonates
-
- Regular Cola Carbonates
- Reduced Sugar Cola Carbonates
-
- Regular Non-Cola Carbonates
- Reduced Sugar Non-Cola Carbonates
-
- Regular Lemonade/Lime
- Reduced Sugar Lemonade/Lime
-
- Regular Tonic Water/Mixers/Other Bitters
- Reduced Sugar Tonic Water/Mixers/Other Bitters
-
- Regular Orange Carbonates
- Reduced Sugar Orange Carbonates
-
- Regular Other Non-Cola Carbonates
- Reduced Sugar Other Non-Cola Carbonates
-
- Liquid Concentrates
- Powder Concentrates
-
-
- Not from Concentrate 100% Juice
- Reconstituted 100% Juice
- Coconut and Other Plant Waters
- Juice Drinks (up to 24% Juice)
- Nectars
-
- RTD Coffee
-
- Carbonated RTD Tea and Kombucha
-
- Regular Still RTD Tea
- Reduced Sugar Still RTD Tea
-
- Regular Energy Drinks
- Reduced Sugar Energy Drinks
-
- Regular Sports Drinks
- Reduced Sugar Sports Drinks
- Asian Speciality Drinks
Soft Drinks
This is the aggregation of the following categories; Carbonates, Fruit/vegetable juice, Bottled water, Functional drinks, Concentrates, RTD tea, RTD coffee and Asian speciality drinks.
See all of our definitionsWhy buy this report?
- Gain competitive intelligence about market leaders
- Track key industry trends, opportunities and threats
- Inform your marketing, brand, strategy and market development, sales and supply functions
This report originates from Passport, our Soft Drinks research and analysis database.
NEW REPORT GUARANTEE
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extraction Free!