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Report explores the packaging automation market

Industrial Market Research

Global Packaging Automation Market - Segmented By Solution (Filling, Labeling, Horizontal and Vertical Pillow), By End-User Industry (Food, Consumer Goods, Pharmaceutical & Healthcare), and Region - Growth, Trends And Forecasts (2018 - 2023)

Pricing pressure from the food & beverages industry, rising demand for complete packaging line from end users, increasing demand for modular machines, and shift in purchasing habits, are the major trends that are expected to shape the packaging automation market over the forecast period. The scope of the market covers the automation solutions for machinery that are solely used for packaging.

The trend toward less staff per line, improving labor productivity, ensuring quality, and reducing packaging and storage costs, has been driving the need for automated packaging machinery across the globe. Further, the integration of Big Data analysis, smart maintenance, and model-based engineering are providing scope for improvement.

These benefits of automation in packaging, coupled with the rising demand for supply chain integration, have augmented the growth of the packaging automation market.

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Focus of Manufacturers on Cost Cutting and Business Process Improvement

To remain productive and competitive, manufacturers are adopting creative and energy-efficient ways, to conserve resources, improve recycling levels, and develop new generations of materials. For example, labor rates in Chinese cities have increased dramatically over the past few years, implying that the supposed low-cost offshoring no longer makes sense, without significant investment in automation.

The seamless integration of hardware and software is enabling manufacturing industries to reduce wastage, lower accident rates, and produce robust and accurate products, in an economically profitable way. These systems offer better monitoring and maintenance options, thus reducing glitches in the manufacturing process.

With technologies, such as DCS, PLC, SCADA, and MES, automation equipment have become more sophisticated, and can perform more complex actions at a comparatively low operating cost. In addition, with advances in the sensor technology, these technologies have started the era of smart packaging, which results in an improvement in manufacturing processes.

North America to Hold a Major Market Share

Due to the high penetration of packaging machinery in the region, North America accounts for a significant market share. The formation of the ‘Advanced Manufacturing Partnership (AMP)’ is an initiative undertaken by the United States, to make the industry, universities, and the federal government invest in emerging technologies.

This initiative has helped the country gain a competitive edge in the global economy, by investing in packaging equipment used in the final line of production. The country also boasts of a strong export base of packaging machinery, which has contributed to its growth.

Companies, like Bosch Packaging Services, have expanded their businesses by investing in various packaging sectors, such as confectionery, bakery, fresh food, frozen food, and pharmaceutical. The increasing pace of competition is forcing manufacturers to take steps, in order to reduce costs of their packaging processes, thus opting for automation.

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Palletizing to Gain Prominence in the Food & Beverage Sector

Among all machinery products used in packaging, palletizers are the most preferred and beneficial for the packaging of food and beverages. Palletizing systems are used in the packaging line in industries, such as pharmaceutical, chemical, and personal care & cosmetics.

Due to the simplification of multi-line palletizing with the elimination of the upstream conveyor system, robotic palletizers are gaining popularity more than conventional ones. Several loads can be built inside the robotic work envelope, which allows the arm to work on all loads at the same time, while storing partial loads in cubic form, at the floor level.

The pharmaceutical sector plays a crucial role in the palletizer industry. Fully automatic palletizers are used for unattended pharmaceutical production.

Due to significant investments by the companies in Europe and Asia-Pacific, the palletizers segment is expected to register healthy growth over the forecast period.

Key Developments in the Market

  • Feb 2017 - ABB acquired a Spanish start-up company NUB3D, a leading innovator of digital, 3D inspection and quality-control solutions. The acquisition was aimed at expanding ABB’s portfolio in the industrial Internet of Things, and complement ABB’s ability for intelligent cloud solutions, using connected devices to generate actionable digital information for a broad range of customers.
  • Jul 2017 - ABB acquired B&R. The acquisition was aimed at integrating B&R with ABB’s Industrial Automation division, as the new Machine & Factory Automation global business unit, and complement the company’s offerings in PLCs, industrial PCs, servo motion products, and software and solution suites, for end-to-end digitization in automated manufacturing and processes, in plastics, packaging, food & beverage, and other end-user industries.

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Major Players:


Reasons to Access this Report

  • Understanding how the focus of manufacturers on cost cutting and business process improvement packaging act as drivers to the global market scenario.
  • Analyzing various perspectives of the market with the help of Porter’s five forces analysis.
  • The solution and end-user vertical that are expected to dominate the market.
  • The regions that are expected to witness the fastest growth during the forecast period.
  • Identify the latest developments, market shares, and strategies employed by the major market players.
  • 3 months analyst support along with the Market Estimate sheet (in excel).

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