Packaging Automation Market Size and Share Analysis by Product Type (Filling, Labelling, Case Packaging, Bagging, Palletizing, Capping, Wrapping), End Use (Food Processing, Beverage Processing, Pharmaceuticals, Personal Care and Toiletries, Industrial and Chemicals) - Global Industry Growth Forecast to 2030

Market Overview

The global packaging automation market size was $61,848.5 million in 2021. This number is expected to increase to $125,220.4 million by 2030, advancing at a CAGR of 8.2% during 2021–2030. The increasing adoption of automation in the manufacturing sector, rapid industrialization, rising manufacturing activities owing to the growing population, and need to lower the labor requirement are the prima factors contributing to the market growth.

Filling Equipment Contributes Majority of Revenue

Filling equipment accounted for the largest revenue share, of around 23%, in 2021, and it is expected to continue the trend during the forecast period. This can be attributed to the wide usage of automated filling machines to improves packaging operations. Packagers can save the time and cost of packaging with the higher reliability, consistency, and versatility of automated machines.

Moreover, wrapping machines accounted for a substantial market share in 2021, owing to their usage in the secondary and tertiary packaging of a range of goods. The automation of the wrapping process benefits manufacturing units with high efficiency, increased productivity, improved inventory control, timesaving, and lower expenses on wrapping films.

Furthermore, the labeling category will witness significant growth during the forecast period, as labeling equipment is widely used in the manufacturing industry to label or print the brand name and other valuable information on the product packaging. Moreover, the government regulations regarding proper labeling, to serialize or trace the products, propel the market growth.

In addition, palletizing machines, or palletizers, will witness a significant growth in procurement during the forecast period. This will be due to the increasing usage of such machines for stacking large quantities of identical items onto a pallet for shipping, owing to the benefits of stability, product integrity, and a faster and safer process than manual loading.

Growing E-Commerce Industry Propels Market Growth

E-commerce is among the biggest trend nowadays as a huge number of people around the world have accepted online shopping as the new normal. Online shopping activities are growing on a massive scale in emerging economies, such as China and India. The booming e-commerce industry is, in turn, driving the automation packaging market as there is a massive need for packaging machinery throughout e-commerce production stages, including the primary and secondary packaging, labeling, and coding and marking of the products. Additionally, the product packaging greatly influences consumers’ buying decisions as it helps keep the products safe and distinguish brands from each other via vivid and innovative graphics.

Pharmaceutical Sector To Witness Fastest Growth

Based on end use, the pharmaceutical category is expected to witness the fastest growth during the forecast period, at a CAGR of around 9%. This can be ascribed to the rapid growth of the pharmaceutical industry, increasing demand for sustainable packaging solutions, high R&D spending, and rising investment by market giants to improve their manufacturing capabilities.

Moreover, advanced packaging solutions are needed to protect pharmaceutical drugs from environmental conditions, which could cause a change in their chemical properties, thereby subjecting pharma firms to the scrutiny of regulators, such as the EMA and FDA.

The food processing category accounted for the largest revenue share, of over 37%, in 2021, and it is further expected to dominate the market during the forecast period. This can be ascribed to the high demand for automated food packaging machines as they improve productivity and provide safety and security without human intervention. In this regard, the key drivers for the market are the increasing investments by government and market giants in setting up warehouses to store food products, in response to the rapidly growing retail sector.

Moreover, consistent product market availability, inventory management, consumer education, shelf life elongation, and even assurance of the safety and quality of the food products are enabled by innovative packaging solutions, which further fuels the packaging automation market's expansion.

Additionally, the rising beverage consumption, shifting consumer preferences toward organic and functional beverages, and a widening variety of beverage products are likely to be the primary drivers for the packaging robot demand at beverage factories. Moreover, beverage companies, such as Pepsi and Coca-Cola, are expanding their product portfolio, which is driving the sales of beverage packaging machines.

Technological Advancements Drive Market

The demand for packaging machines integrated with the IoT technology and smart embedded systems is rising as a result of the rapid technological advancements in this domain. Packaging machines with such advanced technologies can be easily monitored from anywhere, via personal computers, mobile phones, and laptops. Such advanced technologies make it easier for production line operators to evaluate the efficiency and consistency of these automated systems. Furthermore, they assist in detecting and resolving faults by allowing for remote control and sending critical instructions to activate or inactivate a machine function from a distant location.

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APAC Is Prime Revenue Contributor

APAC accounted for the largest revenue share, of over 37%, in 2021, and it is further expected to maintain its position during the forecast period. This will be due to the rapid urbanization, rising household purchasing capacity, growing e-commerce industry, and concrete government policies on energy conservation and technology and equipment upgrades. Additionally, North American and European industrial giants are attempting to establish manufacturing facilities in the region, which fuels the market expansion. Furthermore,

• China was the prime revenue generator in 2021, and it is expected to continue its dominance during 2021–2030. This can be attributed to the presence of a huge manufacturing base, growing population, rising disposable income, enhancing lifestyles, and surging need to reduce the expenses on packaging.

North America is the third-largest revenue contributor to the market, owing to the highly developed food and beverage industry, high adoption rate of new technologies, and advancements in manufacturing facilities. Moreover,

• The U.S. contributes the majority of the revenue to the regional market. This is due to the increasing usage of e-commerce platforms, intensely competitive nature of the packaging industry owing to a large number of packaging companies, and rising cost of labor in the manufacturing sector in the nation.

Europe held the second-largest revenue share in the market in 2021, and it will grow with a substantial rate during 2021–2030. This growth can be ascribed to the high demand for highly automated, adaptable, and efficient packaging machinery across the food, beverage, chemical, personal care, and pharmaceutical industries; rising consumption of packaged food due to the sedentary lifestyles, and the availability of advanced automation technologies for packaging. Additionally,

• Germany held the major revenue share in 2021, owing to the large manufacturing sector, existence of a huge number of market players, and increasing need for packaging from the automotive industry, to bag spare parts.

The demand for robust packaging solutions to ensure the long-term durability of the products throughout transportation has increased as a result of the rise in the disposable income, which is leading to an improvement in the standard of living. This factor is tempting enterprises in the e-commerce, logistics, food and beverage, as well as healthcare sectors to adopt advanced packaging solutions, to speed up their production to the mass scale. Furthermore, several manufacturers are acquiring cutting-edge technologies for the packaging of goods, owing to the increasing need for supply chain integration. These technologies boost the efficiency of production line processes and help companies reduce the number of employees at production lines, which saves labor cost as well as the production time.

Packaging Automation Market Key Players:

• Syntegon Technology GmbH
• MULTIVAC Sepp Haggenmüller SE & Co. KG
• ULMA Packaging S.Coop.
• Coesia S.p.A.
• Swisslog Healthcare AG
• Sealed Air Corporation
• Rockwell Automation Inc.

Market Size Breakdown by Segment

The study offers a comprehensive market segmentation analysis along with market estimation for the period 2017-2030.

Based on Product Type

• Filling
• Labelling
• Case Packaging
• Bagging
• Palletizing
• Capping
• Wrapping

Based on End Use

• Food Processing
• Beverage Processing
• Pharmaceuticals
• Personal Care and Toiletries
• Industrial and Chemicals

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Spain
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • Saudi Africa
  • Saudi Arabia