Packaging Automation Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 74.52 Billion |
| Market Size (2029) | USD 104.81 Billion |
| CAGR (2024 - 2029) | 7.06 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | North America |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Packaging Automation Market Analysis
The Packaging Automation Market size is estimated at USD 74.52 billion in 2024, and is expected to reach USD 104.81 billion by 2029, growing at a CAGR of 7.06% during the forecast period (2024-2029).
- Automation enhances efficiency and productivity in secondary packaging. Automated systems excel at tasks like carton erecting, case packing, palletizing, and labeling, outperforming manual processes in speed and accuracy. This translates to increased throughput and reduced labor demands, allowing companies to reallocate human resources to more strategic tasks.
- Companies are increasingly tailoring packaging solutions to meet customer demands. For instance, in May 2023, ULMA Packaging, specializing in medical/pharmaceutical and food sectors, unveiled compact, fully automated packaging lines. These lines handle the entire packaging process, from product loading to final palletizing, catering to businesses seeking to automate or streamline their packaging operations. This innovation helps companies optimize factory footprints and improve overall operational efficiency.
- As automation gains traction in packaging, businesses are reaping its benefits, including reduced operational costs, improved accuracy, and enhanced scalability. Packaging machinery manufacturers are rolling out promotional schemes to further this trend, making it easier for end-user industries to adopt these advanced technologies.
- Automation, especially when coupled with robotics, is proving invaluable for wineries and other consumer-packaged goods businesses. While many CPG companies have already integrated automation, wineries are urged to hasten their adoption. The benefits are vast, spanning from heightened production efficiency and product quality to enhanced safety, hygiene, and data-driven insights. These technologies enable wineries to maintain consistency in product quality and streamline their production processes.
- While the advantages of packaging automation are clear, the substantial initial capital outlay can deter smaller firms. Moreover, with production costs rising in China and the Yuan strengthening against the Dollar, investors are eyeing alternative manufacturing hubs. Yet, amidst these shifts, manufacturers must not lose sight of quality and eco-friendly practices. Adapting to cutting-edge automation technologies is a gradual process, often taking years to refine. However, a sluggish approach risks stunting regional growth opportunities. Companies must balance the need for innovation with the practicalities of implementation to stay competitive in the evolving market landscape.
Packaging Automation Market Trends
Food End-User Segment Expected to Hold Significant Market Share
- Automation in food packaging is pivotal for enhancing operational efficiency, maintaining product quality, and meeting consumer demands. By automating tasks such as filling, sealing, labeling, and palletizing, food packaging operations become faster and more consistent. This, in turn, increases production rates and reduces labor requirements. Automated systems ensure precision and uniformity, which are critical for maintaining the integrity and safety of food products. Automation minimizes human error and contamination risks, thereby ensuring higher standards of hygiene and compliance with stringent food safety regulations.
- Automation has revolutionized various industries, and the food and beverage sector is no exception. From basic pick-and-drop functions to complex processes like can, pouch, or packet manufacturing, robotics solutions now cover the entire packaging spectrum. This transformation in packaging methodologies has led to increased productivity, cost efficiencies, and improved quality, even in the packaging of everyday items like candies. Advanced robotics and automation technologies enable manufacturers to handle a wide range of packaging materials and formats, offering greater flexibility and adaptability to market demands. The integration of sensors and real-time monitoring systems further enhances the efficiency and reliability of automated packaging lines.
- In May 2023, Rotzinger, a Swiss OEM packaging machinery manufacturer serving the food, beverage, and cosmetic sectors, partnered with CoreTigo, a specialist in industrial wireless automation, at Interpack. By integrating CoreTigo's IO-Link wireless technology into Rotzinger's advanced packaging equipment, the collaboration aims to introduce enhanced capabilities, emphasizing flexibility, throughput, and sustainability. This partnership highlights the growing trend of adopting wireless communication technologies in industrial automation, which facilitates seamless data exchange and remote monitoring. The integration of such technologies not only improves operational efficiency but also supports predictive maintenance and reduces downtime.
- As food companies increase their R&D investments to refine their offerings and leverage automation for improved hygiene, extended shelf life, and cost efficiencies, the outlook for packaging automation appears promising for substantial growth. The focus on R&D underscores the industry's commitment to innovation and continuous improvement. By investing in advanced automation technologies, food companies can achieve economies of scale, reduce waste, and enhance their competitive edge in the market. These advancements are expected to drive the adoption of automation solutions across the food packaging industry, supporting long-term growth and sustainability.
North America Expected to Hold Significant Market Share
- The United States stands out as a leading packaging market in North America, with industry giants like Amcor Ltd and Mondi PLC spearheading significant investments in innovation and R&D activities. This heightened focus on advanced packaging technologies aims to enhance productivity, cut labor expenses, and offer more tailored packaging solutions. Notably, a growing emphasis on sustainability is prompting firms to adopt new machinery that minimizes environmental impact and supports eco-friendly packaging practices.
- Moreover, the United States leverages its robust packaging machinery exports, bolstering its market position. Companies, including Bosch Packaging Services, are diversifying into various sectors such as confectionery, bakery, fresh and frozen foods, and pharmaceuticals. This diversification strategy not only broadens their market reach but also drives technological advancements and operational efficiencies across different packaging applications.
- Intelligent Conveyor Technology (ICT) systems are emerging as a smart alternative to traditional mechanics, overcoming their throughput and physical limitations. Rockwell Automation's MagneMove Lite system, for instance, is revolutionizing operations by enabling faster and more flexible payload movement. This system enhances higher-SKU operations' efficiency, allowing for quicker adaptation to changing production demands and reducing downtime.
- Meanwhile, Canada's packaging sector is increasingly turning to compact, automated solutions like remote vision sensors, aligning with the advancements of Industry 4.0. Notably, AI and ML technologies are finding applications in facilities where space constraints limit investments in larger automation machinery. These innovations, such as remote sensors with enhanced resolution, allow for precise inspections without direct human involvement, improving accuracy and reducing the need for manual labor. In addition, these technologies facilitate real-time monitoring and data analysis, leading to more informed decision-making and optimized production processes.
Packaging Automation Industry Overview
The packaging automation market is highly fragmented, with major players like Multivac Group, Coesia SpA, ULMA Packaging, Syntegon Technology, and Swisslog Healthcare. Companies in the market are strategically investing, forming partnerships, and collaborating to address the increasing demand for water management. They are expanding product or solutions portfolios, enhancing distribution networks, and leveraging advanced technologies to improve production efficiency and product quality to gain sustainable competitive advantage.
- May 2024: LeafyPack, a pioneer in packaging automation, collaborated with KindPack, a leader in flexible packaging solutions, to launch the industry's first Lease-to-Own Program. This innovative initiative is set to transform cannabis operations by significantly enhancing the accessibility of packaging automation.
- December 2023: MULTIVAC Group opened a new site in India with a production facility, showroom, and training and application center to address the growing demand for food packaging machines in the South Asian region.
- November 2023: ULMA Packaging established itself as one of the leaders in the dynamic and diverse Scottish packaging industry, offering sustainable and competitive packaging machinery solutions that meet its customers' needs. The ULMA's unique proposition includes the widest range of machines and applications available on the market, comprising Flow Pack (HFFS), Thermoforming (TF), Traysealing (TS), Vertical (VFFS), Stretch Film packaging technologies, and ULMA Packaging Automation (UPA).
Packaging Automation Market Leaders
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Multivac Group
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Coesia SpA
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ULMA Packaging
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Syntegon Technology
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Swisslog Healthcare
*Disclaimer: Major Players sorted in no particular order
Packaging Automation Market News
- May 2024: Intel, in collaboration with 14 Japanese companies, is spearheading the development of automation technology for 'backend' semiconductor processes, particularly in packaging. The collective goal is to achieve full automation by 2028. This strategic partnership aims to bolster manufacturing efficiency and plays a pivotal role in mitigating geopolitical risks within the semiconductor supply chain. Under the leadership of Kunimasa Suzuki, Managing Director of Intel Japan, the alliance is set to inject hundreds of billions of Japanese Yen into R&D, with a clear target of showcasing their technological advancements well before the 2028 deadline. Notable partners in this venture include Omron, Yamaha Motor, Resonac, and Shin-Etsu Polymer, a subsidiary of Shin-Etsu Chemical Industry.
- April 2024: The Swiss technology group Buhler, in collaboration with Premier Tech, Canada's packaging equipment manufacturer, introduced the CHRONOS OMP-2090 B. This advanced bagging station is engineered for a wide range of products, including powders and non-free-flowing materials. Featuring a fully automatic system, it ensures optimal productivity and exceptional bagging accuracy and prioritizes both product and operational safety.
Packaging Automation Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumption and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Market Overview
- 4.2 Industry Value Chain Analysis
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4.3 Industry Attractiveness - Porter's Five Forces Analysis
- 4.3.1 Bargaining Power of Suppliers
- 4.3.2 Bargaining Power of Buyers
- 4.3.3 Threat of New Entrants
- 4.3.4 Threat of Substitutes
- 4.3.5 Intensity of Competitive Rivalry
- 4.4 Assessment of the Impact of COVID-19 on the Industry
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Increasing Number of Automation for Secondary Packaging
- 5.1.2 Increasing Adoption of Automation Solutions Across Various Industries
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5.2 Market Challenges/Restraints
- 5.2.1 High Capital Cost and Cybersecurity Concerns
6. MARKET SEGMENTATION
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6.1 By Product Type
- 6.1.1 Filling
- 6.1.2 Labelling
- 6.1.3 Case Packaging
- 6.1.4 Bagging
- 6.1.5 Palletizing
- 6.1.6 Capping
- 6.1.7 Wrapping
- 6.1.8 Other Product Types
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6.2 By End-user
- 6.2.1 Food
- 6.2.2 Beverage
- 6.2.3 Pharmaceuticals
- 6.2.4 Personal Care and Toiletries
- 6.2.5 Industrial and Chemicals
- 6.2.6 Other End-users
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6.3 By Geography
- 6.3.1 North America
- 6.3.1.1 United States
- 6.3.1.2 Canada
- 6.3.2 Europe
- 6.3.2.1 United Kingdom
- 6.3.2.2 Germany
- 6.3.2.3 France
- 6.3.2.4 Italy
- 6.3.2.5 Spain
- 6.3.2.6 Rest of Europe
- 6.3.3 Asia-Pacific
- 6.3.3.1 China
- 6.3.3.2 Japan
- 6.3.3.3 India
- 6.3.3.4 Australia
- 6.3.3.5 Rest of Asia-Pacific
- 6.3.4 Latin America
- 6.3.4.1 Brazil
- 6.3.4.2 Argentina
- 6.3.4.3 Mexico
- 6.3.4.4 Rest of Latin America
- 6.3.5 Middle East and Africa
- 6.3.5.1 Saudi Arabia
- 6.3.5.2 South Africa
- 6.3.5.3 Egypt
- 6.3.5.4 Rest of Middle East and Africa
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles
- 7.1.1 Multivac Group
- 7.1.2 Coesia Spa
- 7.1.3 ULMA Packaging
- 7.1.4 Syntegon Technology
- 7.1.5 Swisslog Healthcare
- 7.1.6 Rockwell Automation Inc.
- 7.1.7 Sealed Air Corporation
- 7.1.8 Mitsubishi Electric Corporation
- 7.1.9 Automated Packaging System LLC (Sealed Air Corporation)
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Packaging Automation Industry Segmentation
Packaging automation refers to the procedure of packaging a product without the need for human assistance. The study aims to analyze and understand the packaging automation market's current growth, opportunities, and challenges.
The scope of market analysis is segmented by product type (filling, labeling, case packaging, bagging, palletizing, capping, wrapping, and other product types), end-user (food, beverage, pharmaceuticals, personal care, and toiletries, industrial & chemicals, and other end-users), and geography (North America [United States and Canada], Europe [United Kingdom, France, Germany, Italy, Spain, and rest of Europe], Asia-Pacific [China, Japan, India, Australia, and rest of Asia-Pacific], Latin America [Brazil, Argentina, Mexico, and rest of Latin America], the Middle East, and Africa [Saudi Arabia, South Africa, Egypt, and rest of the Middle East and Africa]). The market sizes and forecasts are provided in terms of value in (USD) for all the above segments.
| By Product Type | Filling | |
| Labelling | ||
| Case Packaging | ||
| Bagging | ||
| Palletizing | ||
| Capping | ||
| Wrapping | ||
| Other Product Types | ||
| By End-user | Food | |
| Beverage | ||
| Pharmaceuticals | ||
| Personal Care and Toiletries | ||
| Industrial and Chemicals | ||
| Other End-users | ||
| By Geography | North America | United States |
| Canada | ||
| By Geography | Europe | United Kingdom |
| Germany | ||
| France | ||
| Italy | ||
| Spain | ||
| Rest of Europe | ||
| By Geography | Asia-Pacific | China |
| Japan | ||
| India | ||
| Australia | ||
| Rest of Asia-Pacific | ||
| By Geography | Latin America | Brazil |
| Argentina | ||
| Mexico | ||
| Rest of Latin America | ||
| By Geography | Middle East and Africa | Saudi Arabia |
| South Africa | ||
| Egypt | ||
| Rest of Middle East and Africa |
Packaging Automation Market Research FAQs
How big is the Packaging Automation Market?
The Packaging Automation Market size is expected to reach USD 74.52 billion in 2024 and grow at a CAGR of 7.06% to reach USD 104.81 billion by 2029.
What is the current Packaging Automation Market size?
In 2024, the Packaging Automation Market size is expected to reach USD 74.52 billion.
Who are the key players in Packaging Automation Market?
Multivac Group, Coesia SpA, ULMA Packaging, Syntegon Technology and Swisslog Healthcare are the major companies operating in the Packaging Automation Market.
Which is the fastest growing region in Packaging Automation Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Packaging Automation Market?
In 2024, the North America accounts for the largest market share in Packaging Automation Market.
What years does this Packaging Automation Market cover, and what was the market size in 2023?
In 2023, the Packaging Automation Market size was estimated at USD 69.26 billion. The report covers the Packaging Automation Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Packaging Automation Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Packaging Automation Systems Industry Report
Statistics for the 2024 Packaging Automation Systems market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Packaging Automation Systems analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
