Packaging Automation Market

Packaging Automation Market Outlook for 2024 to 2034

The global packaging automation market size is foreseen to be valued at USD 55.6 billion in 2024 and is anticipated to grasp USD 67.6 billion by 2034, with a CAGR of 2.0%. The market is experiencing a surge in demand due to digitization and online shopping growth, highlighting the global impact of industrialization in various sectors.

Consumption Analysis of the Packaging Automation Market

• Demand for packaging automation is significant as it reduces labor reliance, improves efficiency, and manipulates market growth by packaging products without human intervention.
• Need for automated packaging machines is prevalent due to improved efficiency, cost reduction, and widespread use across various industries.
• Technological betterment encourages the demand for intelligent packing machines, leading manufacturers to launch ingenious technologies and creating growth opportunities in the market.
• Automation in packaging eliminates human struggle and lowers costs by eliminating redundant jobs and improving quality while reducing manufacturing costs.
• E-commerce growth in developing economies boosts demand for packaging automation, significantly influencing consumer preferences and market growth in the online retail sector.
• Logistics industry notices growth prospects in the market, guided by sustainable and eco-friendly packaging needs, whereas it faces challenges in skilled operators and advanced technology integration.

Attributes	Details
Market Value for 2024	USD 55.6 billion
Market Value for 2034	USD 67.6 billion
Market Forecast CAGR for 2024 to 2034	2.00%

Historical Performance and Future Growth of the Packaging Automation Market

The global demand for packaging automation has historically developed at a CAGR of 1.40%. However, sales have increased at a prompter pace, displaying a CAGR of 2.00% from 2024 to 2034.

Attributes	Details
Market Historical CAGR for 2019 to 2023	1.40%

Automation machines’ high development and maintenance costs are foreseen to impede market progress due to increased equipment costs, skilled labor, maintenance expenses, and stricter worker safety regulations.

Acute aspects that are anticipated to influence the demand for automation in packaging through 2034 include:

• Market players anticipate displaying a productive opportunity by introducing new customization mechanisms to boost production.
• With the growth of the packaging industry, there is an opportunity to promote automation in packaging with easy and suitable applications for operator comfort.
• Introducing novel technologies such as packaging robots, artificial intelligence, and sealing and bagging machines has paved the way for developing the market.

Key Trends Influencing the Packaging Automation Market

E-Commerce Industry Generates a Wave of Change in the Market

• E-commerce platforms are gaining global endorsement, especially in emerging economies such as India and China, boosting online shopping and creating an emergent consumer base for the industry.
• E-commerce industry's rapid growth has heightened packaging demand, necessitating innovation in packaging automation to ensure item safety and influence customer-purchasing decisions.
• Need for E-commerce packaging is rapidly increasing, causing the demand for packaging machinery across all stages of production to rise too. Automation ensures product security and distinguishes brands.

Integration of Robotics Fuels the Demand for Packaging Automation

• Packaging robots, utilizing untried robotic technology for efficient handling, sorting, and packaging, are anticipated to boost the market by streamlining operations and downsizing labor provisions.
• Packaging automation is encountering a transition due to the demand for robotic packaging machines in the food, beverage, consumer goods, and pharmaceutical sectors.
• Robotic machines for packaging applications are predicted to compel demand for automation in packaging due to their service in various industries, improving productivity and reducing labor expenditures.
• Packaging robots enhance efficiency in the e-commerce sector, lowering manual work and human errors, boosting sales, and improving the speed and accuracy of production.

Trend of Customized Packaging Transits the Demand for Packaging Automation

• Packaging companies are evolving their consumer base by offering customized product packaging, increasing demand for machines with customized parts.
• Renowned food and beverage retail outlets like Domino's, Burger King, and McDonald’s are attracting demand for similar customization, highlighting their expertise in unique packaging designs.
• Emerging brands across various sectors are boosting demand for unique custom packaging, leveraging brand marketing to showcase their uniqueness, leading to augmented demand for automation in packaging with customized features.

Category-wise Insights

An in-depth segmental analysis of the packaging automation market indicates that filling and dosing are in significant demand. Similarly, the food sector has developed an emergent demand for packaging automation.

Demand for Filling and Dosing Fills Up Around 15.7% of Market Share

Attributes	Details
Top Product Type	Filling and Dosing
Market Share in 2024	15.7%

The need for packaging automation for filling and dosing is significant in 2024, involving an estimated market share of 15.7%. The subsequent aspects display the demand for automation in filling and dosing operations:

• Demand for automatic filling and packing machines is increasing in various packaging operations, necessitating different steps on the assembly line for dosing operations.
• Automation enhances efficiency in dosing operations, increasing the demand for technological innovation.

Packaging Automation for Food Sector Cultivates Around 35.2% of the Market Share

Attributes	Details
Top End Use	Food
Market Share in 2024	35.2%

Automation for food items is anticipated to acquire almost 35.2% market share in 2024. The development of food packaging automation is due to the following aspects:

• Food packaging equipment, essential for the industry, handles tasks like wrapping, sealing, scripting, and stuffing, ensuring durability and increasing demand for automated systems.
• Demand for on-the-go meals and increased consumer consciousness for hygienic food products push demand for automation in food packaging.
• Food packaging equipment sector is foreseen to grow due to rising disposable income and online market growth, compelled by customers' demand for new, easy-to-carry packaging.

Country-wise Insights

The following section explains the demand for packaging automation in various countries. Chinese and Indian industries are slotted in to experience intermediate growth in the upcoming decade, while Thailand and South Korea are also progressing in the automated packaging machine market.

Countries	CAGR from 2024 to 2034
Spain	2.1%
Thailand	3.1%
China	3.7%
India	4.1%
South Korea	2.2%

Industrialization Bubble in India Incorporates Packaging Automation

India is emerging as an opportunistic market for packaging automation, anticipated to register a CAGR of 4.1% for the period through 2034 due to the developed packaging industry and the evolving supply chain operations.

India is witnessing a surge in IoT-enabled packaging machinery adoption, indicating the potential for increased productivity and digital future development in machinery, infrastructure, and expertise.

The pandemic and geopolitical tensions have significantly impacted India's packaging industry, particularly in the pharmaceutical and food sectors, leading to an anticipated increase in the adoption of packaging automation in the forthcoming decade.

Chinese Manufacturers Opt for Innovation in Strategies

China, the world's manufacturing hub, is foreseen to report a 3.7% CAGR for packaging automation by 2034, bolstered by significant demand for electronics packaging. China's mounting retail industry and rising consumer numbers compel the need for automation in packaging, creating demand for packaging robots.

China is lucrative for the market due to its strategic partnerships with regional vendors and cheap labor and raw materials, attracting global electronics manufacturers.

Rising Consumer Awareness Develops Demand for Packaging Automation in Thailand

Thailand's import and export industry highlights an anticipated CAGR of 3.1% from 2024 to 2034 for the market. The Thai market is experiencing a transition due to the country's maturing packaged food and beverage industries, notably in the processed food sector.

Thailand's demand for automation in packaging is anticipated to thrive due to pharmaceutical evolution, rising science and technology interest, and increasing demand for food and beverage products.

Surge of Robotics Technologies in South Korea Skyrockets the Demand

In South Korea, the demand for automation is significant for packaging applications in various industries, with the market pegged to witness a CAGR of 2.2% through 2034.

South Korea has pioneered developing and deploying collaborative packaging robots designed to work safely alongside human operators, enhancing efficiency and flexibility in tasks such as pick-and-place, sorting, and packing.

South Korea's robotics industry is integrating AI and advanced vision systems, enabling robotic packaging machines to optimize processes, adapt to changing conditions, and handle complex tasks more precisely.

Spain Supports the Need for Innovation in Packaging Automation

The industry in Spain is supposed to display a CAGR of 2.1% through 2034, with ongoing development in the research on automated packaging equipment aiding its cause. Spain is poised to dominate the European robotic packaging market due to the growing use of robotic packaging machines in the thriving packaging sector.

The Spanish packaging sector is developing by inventing more flexible robotic machines that accommodate various packaging formats and sizes. Automated packaging robots are gaining popularity in Spain's packaging sector for safe, efficient tasks like pick-and-place, palletizing, and quality inspection.

Players Shaping the Outlook of the Market

The market is encountering a surge in demand due to digitization and the growth of online shopping, which has led to a rise in automation across various sectors. Companies are developing novel packaging features such as robotic sorting systems, incorporating barcode scanners and AI algorithms, essential for enterprises manufacturing smaller product volumes during packing operations.

The increasing efficiency and productivity of production plants in industrial and chemical packaging processes propel the need for packaging automation. Advanced technologies are being used to deliver digital transformation, allowing manufacturers to automate complex tasks and processes.

This includes machine learning, artificial intelligence, process mining, and other advanced manufacturing tools. Startups in the market are enhancing packaging efficiency by quickly developing turn-key robots to sort secondary or tertiary packing and investing in factory upgrades to boost output, efficiency, and productivity.

Recent Developments in the Packaging Automation Market

• In March 2024, Martin Automatic, headquartered in Rockford, Illinois, developed automated converting equipment to address workforce shortages and high-quality demands, reducing manual labor, minimizing production errors, and ensuring operational flexibility.
• In March 2024, Videojet introduced its 9560 PL pallet labeling system to streamline operations, reduce errors, and ensure secure warehouse management. The system can cover up to 3 pallet sides and process 120 pallets per hour.
• In March 2024, Tension Packaging and Automation announced plans to launch its fitPACK 500 right-sized packaging system at MODEX 2024, enhancing efficiency, reducing waste, and cutting costs in e-commerce and pharmacy order fulfillment operations.
• In March 2024, CMC Packaging Automation North America opened its Tech Center in Atlanta, Georgia, marking a significant milestone in the United States packaging and automation industry. The new Tech Center in Atlanta is set to become a hub for experimentation, innovation, and collaborative discussions for clients and technology partners, CMC Packaging Automation.
• In February 2024, Kirin Holdings' Bell's Brewery announced investments of over USD 2 million in packaging automation to boost the production capacity of its variety packs.

Key Companies in the Market

• Siemens AG
• Schneider Electric SE
• Rockwell Automation, Inc.
• ABB Ltd.
• Mitsubishi Electric Corporation
• Emerson Electric Co.
• Bosch Packaging Technology
• Krones AG
• Pro Mach, Inc.
• Omron Corporation

Key Coverage in the Packaging Automation Market Report

• Sales Analysis of Packaging Automation in the United States
• Growth Analysis of the Demand for Automatic Bagging and Sealing Machine
• Assessment of Emerging Trends in Robotic Packaging Technology
• Growth Overview of Demand for Robotic Packaging Machines in the United States
• Market Dynamics of Robotic Pick and Place Automation Market
• Development of the Automated Mailer System Market in the United States

Key Segments

By Product Type:

• Bottling Line
• Cartoning Machines
• Case Handling
• Closing
• Filling and Dosing
• Form, Fill, and Seal
• Labelling, Decoration, and Coding
• Palletizing and Depalletizing
• Wrapping and Bundling
• Other Machines (Conveying Machines)

By Packaging Technology:

• Automatic
• Semi-Automatic
• Manual

By End Use:

• Food
• Beverages
• Homecare and Personal Care
• Healthcare
• Other

By Region:

• North America
• Latin America
• Europe
• East Asia
• South Asia
• Oceania
• Middle East and Africa

Frequently Asked Questions

How Big is the Packaging Automation Market?

The market is pegged to be valued at USD 55.6 billion in 2024.

What is the Future Outlook of the Packaging Automation Industry?

The global packaging automation industry is slotted in to be valued at USD 67.6 billion by 2034.

Which Country is Forecast to be Productive for the Packaging Automation Market?

The packaging automation industry in India is estimated to register a CAGR of 4.1% from 2024 to 2034.

What is the Forecast for the Packaging Automation Industry?

The market is set to register a CAGR of 2.00% from 2024 to 2034.

Which Product is in Significant Demand for Packaging Automation in 2024?

Filling and dosing automation is anticipated to acquire a 15.7% market share in 2024.