According to estimates, the packaging machinery market is estimated to be valued at US$ 59.3 billion in 2023. The market is expected to reach US$ 92.0 billion by 2033 developing at a CAGR of 4.5%.
Packaging Machinery Market Trend Analysis
The rise in popularity of a wide range of goods available in various shapes, growth in global food packaging equipment, and sizes of packaging solutions are expected to drive the packaging machinery market. Out of the total sales of packaging machinery in 2022, the food and beverages companies accounted for almost 67.5% of the market share.
The growing demand for high-quality, advanced machinery and the rising focus on automation, and energy efficiency, in various manufacturing industry to drive the packaging machinery market trends.
The demand for packaging machinery is high in the pharmaceutical industry due to the regulatory requirements for serialization, track-and-trace, and counterfeit prevention.
Recent advancements in the development of packaging technology complying with energy-saving protocols and worker safety norms have boosted the prospects for the global packaging machinery market.
2018 to 2022 Historical Analysis vs. 2023 to 2033 Market Forecast Projections
A study by our analysts found that a 4.0% CAGR was experienced between 2018 and 2022 in the packaging machinery market. Global demand for packaging machinery is predicted to increase at a CAGR of 4.5% from 2023 to 2033.
Increasing industrial automation of packaging machinery ensures that the various packaging phases are time as well as energy-efficient which has augmented the packaging machinery market trends. As a result of the diversification of product offers by several packaging machinery manufacturers, there is now a great need for highly advanced and flexible packaging machinery to handle different product lines.
Automated packaging machinery improves production efficiency and productivity. Manufacturers are hugely utilizing automated packaging machines for commodities and products due to their effectiveness and capacity to minimize labor time and cost.
Packaging Machinery Market Drivers
· Increasing automation in various industries like food & beverages, pharmaceuticals, and personal care, are expected to boost the packaging machinery market size.
· The rise of e-commerce has led to a surge in the need for efficient and automated packaging solutions to handle a high volume of small parcels and packages, driving the demand for packaging machinery.
· Increasing global population and urbanization lead to great consumption of packaged products and fuel the need for packaging machinery to meet the rising demand.
· The growing stringent food safety regulations by governments in many countries are prompting food and beverage manufacturers to invest in advanced packaging machinery. This can further ensure the safety and integrity of their products.
· Rapid industrialization and urbanization in emerging markets, particularly in Asia-Pacific and Latin America, are driving the packaging machinery market.
Packaging Machinery Market Restraints
· Government regulations about controlling plastic pollution and the promotion of energy-saving solutions are expected to pose a key challenge for the packaging machinery adoption trends.
· The technological innovations, for designing machinery that are compatible with materials other than plastic are anticipated to result in new emerging trends in the global packaging machinery market to compensate for the downturn.
· Packaging machinery can be expensive to purchase and install. Small and medium-sized businesses may find it challenging to make the initial capital investment, and this may hinder the market demand.
· Increasing technological change can make it challenging for manufacturers to keep up with the latest advancements in packaging machinery.
· Increasing environmental awareness and regulations related to sustainable packaging can pose challenges for manufacturers. Adapting to eco-friendly packaging solutions may require investment in new equipment and materials.
· Lack of availability of skilled labor to operate and maintain packaging machinery can be difficult. This can impact productivity and efficiency.
· The packaging machinery market is highly fragmented, with numerous manufacturers offering a wide variety of machines, thus there is high competition
· Continuously changing consumer preferences and trends can lead to shifts in packaging requirements, requiring machinery reconfiguration or upgrades to meet new demands
Country-wise Insights
Increased Demand for Food & Beverage Packaging Propel the United States Market
According to estimates, the United States packaging machinery market is estimated to lead with a value of US$ 42.1 billion by the end of 2033 at a CAGR of 4.4%.
The United States is one of the leading markets for packaging machinery globally, owing to its vast manufacturing base, and growing beverage carton packaging machinery market. The growth of the market in the country is driven by increasing demand for packaged goods, including food and beverages, pharmaceuticals, cosmetics, and consumer products.
The growth of e-commerce has led to a surge in demand for packaging machinery to handle the packaging needs of online retailers and distribution centers.
The United States is anticipated to account for the substantial demand for highly automated and integrated machines that give better efficiency and high processing speeds with reduced energy usage. Several end-use industries that need effective, and flexible packaging machines are anticipated to be upgrading their production lines soon thereby, creating more opportunities.
Investment Opportunity in the United Kingdom Packaging Machinery Market
The United Kingdom has one of the significant markets for packaging machinery. This country has a significant demand for manufacturing high-quality and innovative packaging machinery for various industries.
The rising need for prepared meals and the consumption of organic and nutritious food items are all predicted to render the country a promising market for high sales of packaging machinery. The United Kingdom packaging machinery market is influenced by evolving consumer preferences, environmental concerns, and the need for automation. Post-Brexit trade dynamics may also impact the industry.
The packaging machinery market in the United Kingdom is anticipated to rise at a 4.3% CAGR from 2023 to 2033. By the end of the said forecast period, a valuation of US$ 37.5 billion is expected.
The Growing Opportunity in the Pharmaceutical Industry to Boost Market Growth in China
Packaging machinery trends in China are taking a turn for the better. A 4.2% CAGR is forecasted for the country from 2023 to 2033. By the end of this forecast period, the packaging machinery market in China is likely to total US$ 30.6 billion. China is found to be the best-performing market and contributed to almost 43% of the revenue generated globally.
The significantly growing food processing, pharmaceutical, and cosmetics sectors in the country boost the market demand during the forecast period. The country’s focus on automation, export growth, and technological advancements drives the market. The increasing demand for pharma blister packaging machines in the region drives demand for pharma packaging machinery.
The high consumption rate of finished products in the country, owing to the huge population residing creates a huge demand for the packaging industry. The packaging machinery market in the region has benefited from a vast manufacturing sector and increasing domestic consumption.
Market Competition
Some of the leading players in the packaging machinery market are KHS Group, SIG Combibloc Group Ltd., Tetra Laval International S.A., Krones AG, I.M.A. Industria Macchine Automatiche S.p.A., Syntegon Technology GmbH, ProMach, GEA Group Aktiengesellschaft, Sacmi, Bradman Lake Ltd., ROVEMA GmbH, Douglas Machine Inc., Coesia S.p.A, Maillis Group, Duravant and others.
Leading participants in the market are focusing on adopting capacity expansion, collaboration, mergers, and acquisition strategies to gain an edge in the highly competitive market.
Tetra Laval International S.A. is a leader in the packaging of liquid and semi-liquid products, particularly in the dairy and beverage industries. The company has been working on sustainable packaging materials and solutions, such as renewable plastics and carton-based packaging. Tetra Pak has also been involved in initiatives to reduce food waste through innovative packaging designs.
ProMach is a global provider of packaging machinery and integrated packaging solutions. The company has been expanding its product portfolio through acquisitions, allowing it to offer a broad range of packaging equipment. ProMach has also been investing in advanced automation and robotics to enhance its packaging solutions.
Krones AG specializes in packaging solutions for the beverage and liquid food industries, including bottling and canning lines. The company has been investing in digitalization and automation to improve the performance and reliability of its machines. Krones has also focused on lightweight and sustainable packaging materials.
