Emerging Economies: Food Packaging Machinery Market Growth

Food Packaging Machinery Market: Growth Opportunities in Emerging Economies

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Introduction to the Food Packaging Machinery Market

The food packaging machinery is the equipment that is used to package foods to preserve the quality and freshness for as long as possible. This market is significant in the global food market, where packaging is a crucial factor in maintaining the quality of the products and meeting the required legal requirements.

The global food packaging equipment market size was valued at USD 17.43 billion in 2019 and is expected to reach USD 28.29 billion in 2032 with a CAGR of 3.6% during the forecast period, as stated by Fortune Business Insights. The Asia Pacific region has become a leading market in this global market industry, contributing to 32.82% of the total market share in 2019. About the filling equipment, it increased its market share to 29.6%, thus implying its significance in the food packaging market growth.

The food packaging machinery market is expected to grow at a steady pace in the future due to the changing market trends and the rising demand influenced by technology. , particularly evident in recent years. This paper will analyze the factors that are driving, challenging, and trending the food packaging machinery market to understand the current state and prospects of the market.

food packaging machinery market

Key Drivers of the Food Packaging Machinery Market

Technological Advancements

In the field of food packaging machinery, technological progress can be said to be the core driving force of the market expansion within the beverage industry. The convergence of automation and the Internet of Things (IoT) has enabled production lines to leap to “intelligence”. For example, some modern packaging equipment is now able to monitor packaging environment data, such as temperature and humidity changes, in real time via smart sensors, which means that food manufacturers can adjust environmental conditions in real time to prevent any potential quality issues. This is vital for extending the shelf life of products and ensuring food safety. In the field of food packaging machinery, technological advancement can be said to be the main reason for the market expansion breakthrough within the food and beverage industry. The integration of automation and IoT has made it possible for production lines to go to the next level of “intelligence”. For instance, some of the modern packaging equipment can detect the packaging environment data like temperature and humidity changes through smart sensors, and this means that food manufacturers can control the environment in real time to avoid any quality problems. This is important in increasing the shelf life of foods and also in ensuring that foods do not become a health hazard to the consumers.

On the other hand, there has been an inclined advancement of packaging machinery at the middle of speed and accuracy. As for some high-speed filling systems, they can even produce 1,200 bottles per minute, which substantially increases the utilization of cementing equipment as compared with the previous equipment. This is undoubtedly a powerful tool for those manufacturers who produce high-demand goods to increase the capacity and decrease costs. At the same time, the design of equipment is becoming more integrated, and more and more equipment can be directly connected to the existing production line, which can minimize the maintenance time and directly enhance the production continuity and efficiency.

Growing Demand for Packaged Foods

Due to the busy lifestyles of the people, especially in the North America and Asia Pacific region, there has been a high demand for convenience foods which are ready to eat. Thus, the global ready-to-eat packaged foods market is anticipated to reach $2.5 trillion by 2026 and has a Compound Annual Growth Rate (CAGR) of 6%, according to Statista. This not only implies an increase in the range of packaged foods and their consumption but also an increase in the need for versatility and productivity of the packaging equipment.

The packaging machinery is becoming more efficient and precise in its design. For instance, in the packaging of packaged food, the speed and sealing of the automated sealing equipment have been enhanced. For instance, some of the high-speed packaging lines can reach up to 300 boxes per minute, and the sealing process provides a good sealing effect to prevent food from being contaminated during transportation. This technological advancement not only increases production rate but also guarantees the quality and safety of the food products consumed by consumers.

food packaging machinery market

Shift Toward Sustainable Packaging Solutions

The importance of environmental factors in the area of food packaging machinery is increasing day by day. A gradual trend is observed in using recyclable and biodegradable food packaging material in various companies. For instance, Tetra Laval has come up with biodegradable packaging materials that help in the reduction of plastics. The survey also revealed that 72% of the consumers stated that the use of environmentally friendly packaging material by a brand would enhance their perception of that brand.

However, packaging machinery, such as the Sigpack TTMD cartoner, is also changing with the times and is also being developed to accommodate the use of new environmentally friendly materials. For instance, Syntegon Technology GmbH has created machinery that is useful in handling novel biomaterials including plant-based plastic that ensures optimality in packaging while at the same time being environmentally friendly.

Changing Consumer Preferences

Consumers have today turned into wise customers that are seeking safe and quality products, often demanding the producer to declare the content of the products. Today, consumers are increasingly demanding information on the source of origin, the components used or the process through which a particular product is made, and packaging serves as a medium in availing this information. For instance, more and more food packages contain information such as the production date and the source of the ingredients, and this increases the consumers’ confidence in the brand.

As the e-commerce and direct selling models are becoming more popular, packaging is also changing to be more transportable, easy to open, and to maintain the product. For instance, vacuum and easy open types of packaging have evolved into standard packaging for some convenience products. In this type of packaging, the machines should not only be productive but also versatile in a way that they can accommodate the various sizes and shapes of the products.

Key Machine Types in the Food Packaging Machinery Market

The food packaging industry depends on several machines to ensure that the food is processed in the right manner and in the shortest time possible. Every type of machine has its purpose in the packaging process, depending on whether it is for liquids, solids, or even flexible packaging. Here are some of the most common and important machines that are used in food packaging lines and their benefits depending on the type of food and the production line.

Filling Machines

Food packaging machinery market includes filling machines that are used to dispense food products into containers with a high degree of accuracy. These machines are common in the beverages, dairy products, and condiments industries. Their main roles are to provide accurate and clean filling of products, reduce wastage, and optimize production. As automation technology advances, the filling machines are more and more equipped with the automatic control system to maintain the stability of the machine and minimize the impact of human factors.

Depending on the requirements, filling machines can be classified into the following categories:

TypeApplicable ProductsFilling MethodsEquipment Features
Liquid Filling MachinesBeverages, sauces, milk, etc.Gravity, pressure, pistonHigh-precision filling, suitable for low to medium viscosity liquids
Viscous Filling MachinesCream, jam, condiments, etc.Piston, screwSuitable for precise filling of high-viscosity food products
Powder Filling MachinesMilk powder, flour, coffee powder, etc.Vibrating, screw, airflowPrevents powder spillage, suitable for loose powder products
Granular Filling MachinesCandies, rice, nuts, etc.Gravity, vibrationSuitable for automatic filling of granular materials

These filling machines not only enhance production productivity but also enable the determination of the right filling technique depending on the type of food and production needs. For instance, liquid filling machines are commonly used for products with high fluidity while viscous filling machines are more appropriate for thick foods. Powder filling machines are designed in such a way that it does not allow dust formation and also provides efficient filling.

Form-Fill-Seal Machines

Another type of food packaging machinery is the form-fill-seal (FFS) machines. These machines are capable of forming, filling and sealing the product in one operation. FFS machines are ideal for making flexible packaging such as snack foods, frozen foods, and liquid packaging bags. This makes it possible for production lines to easily adapt to the various packaging requirements of the products that are in demand in the market.

FFS machines are different from pre-made bag packaging in terms of the material used and the speed of packaging. FFS machines employ roll film to create the packaging bags on the production line, making it possible to produce large quantities of bags. On the other hand, pre-made bag packaging involves the use of bags that are already manufactured and are ideal for small production runs, and are less flexible. Pre-made bag packaging equipment is cheaper and easier to purchase than FFS machines, but it is not as versatile or fast. FFS machines not only significantly improve production efficiency but also reduce waste of packaging materials, making them an essential part of modern food packaging production lines.

food packaging machinery market

Labelling and Wrapping Machines

The labeling and packaging machines are very important in the food industry, especially in the process of labeling food products for sale in the market. In this industry, it is essential to meet the requirements of the legislation and provide the necessary information about the product. These machines assist in compliance with the law and increase brand awareness among the targeted population. In the current world where e-commerce and online food delivery services are common, labels play a crucial role since consumers rely on the information provided on the labels to make their decisions.

Contemporary labeling and packaging equipment include automatic labeling and printing mechanisms that accurately label the products to meet the required standards and make them easily noticeable to the consumers. Also, when it comes to customized labels, machines can handle the small quantities in addition to large quantity orders, which adds versatility to the packaging.

Palletizing Machines

Palletizing equipment is employed in the process of packing and arranging packaged foods in a way that they are ready for transportation or storage. This way, manufacturers can enhance the flow of operations, cut on costs of hiring employees and guarantee that products are transported safely without incurring losses due to breakages. With the increasing need for faster and efficient supply chain, automated palletizing systems have become a trend since these systems can palletize large volumes of packaged food at a very high rate.

Palletizing machines are usually equipped with robotics technology to enable them to arrange various types of packaged products on pallets and stack them properly. This not only saves time but also minimizes the chances of making mistakes that may be made when stacking the items manually.

Vacuum Packaging Machines

Vacuum packaging machines are very important in the preservation of foods, especially the perishable foods such as meats, poultry, and dairy products. These machines remove air from the packaging and create a vacuum that helps to preserve the products for longer periods and also inhibits bacterial and microbial growth. With the rising trend of consumers’ preference for fresh and minimally processed foods, vacuum packaging machines are becoming essential in the food packaging machinery industry.

Vacuum packaging also enhances the shelf life of the food and also retains the taste and nutritional value of the food products. As the trend of healthy foods is on the rise, vacuum packing is now an important process in food processing.

Levapack: Efficient and Reliable Food Packaging Solutions

Levapack is a company that deals with the production of quality food packaging machines that are unique in the market. These manufacturers comprise solid, liquid, and power filler, sealer, capper, and labeler machines, which are made from 2mm thick #304 or #316 of steel for added durability to facilitate easy cleaning.

We incorporate first-line components such as Siemens, SEW, SMC, and Schneider, whereby they offer accurate control, they are easy to maintain, and are long-lasting. Our 4000 square meter factory equipped with CNC precision technology can guarantee tight tolerance and monthly production of over 80 units to meet the production requirements.

Our engineering team manually assembles the product and also tests it to ensure that it is very reliable. Our equipment caters for various packaging requirements and operates on aluminum, tin, and plastic containers.

Levapack also has smart counting and weighing systems, servo positioning, and overload protection to ensure that the packaging is leak-free and production is efficient.

Also, we have extra protection for shipping, installation included, one-year spare parts, and round-the-clock technical service. We provide a one-year warranty for all the equipment and OEM/ODM services to assist customers in promotion and after-sales services.

It is time to improve your production line with Levapack! Get more specific information about our products or fill out the information to get a quote.

Regional Insights: Focus on Emerging Economies

The food packaging machinery market is growing at a fast pace in the emerging economies. The demand for packaged food products is high in the Asia Pacific, Latin America, the Middle East, and African countries, which has led to the need for better packaging solutions. So as these regions are experiencing urbanization and an increase in disposable income, there is a demand for better packaging machinery.

Asia Pacific’s Dominance in the Market

The Asia Pacific region has again dominated the market with China, India, and Japan being among the leading countries experiencing growth of their food market. The increase in the middle income group, urbanization, and increase in disposable income has led to increased consumption of packaged food and hence the need for better packaging solutions. Also, automation and flexible packaging systems are on the rise, which is driving the market in the region even more.

Growth in Latin America and the Middle East

Latin America and the Middle East are two regions that are expected to show high growth in the food packaging machinery market. In Latin America, the markets such as Brazil and Mexico are experiencing new and growing demand for packaged food products because of factors such as urbanization and a change of lifestyles. In the Middle East region, there is a concern for food safety and the increasing trend of convenience food, which has led to the need for better packaging solutions for these regions.

Opportunities in Africa

Africa, which is still in the early stages of market development, has great potential. Demographic factors such as urbanization, increase in income levels, and enhanced supply-chain opportunities are potential for greater demand for packaged food items. Also, the requirement for packaging to preserve food products like fruits and dairy products is a factor that is boosting demand for modern packaging machinery in the region. With the development of the infrastructure, these opportunities are anticipated to increase.

Challenges in the Food Packaging Machinery Market

The food packaging machinery is crucial in the food production process to guarantee the efficiency and safety of the food products, but it has some challenges. These are key factors that affect the manufacturing industry, and which the manufacturers have to overcome to remain relevant. Some of the challenges that companies in this sector face include the following.

food packaging machinery market

High Initial Investment Costs

The major issue that is evident in the food packaging machinery market is the high initial investment cost. Some of the advanced packaging systems may be costly to purchase, especially for the small and medium scale industries. This is especially the case with fully automated systems that may call for a huge capital investment at the onset. However, in the long run, these machines assist the companies to enhance their operations, cut on labor costs, and enhance the rate of production, making it a worthy investment.

Integration with Existing Systems

The managers may also face difficulties in implementing a new packaging machinery in the existing production line. It is time-consuming and requires expertise to ensure that new machines are compatible with the older systems. However, the integration phase also causes some interruption to the production process and thus a slight decline in production rate. It is therefore important for companies to assess their current systems and the benefits that can be accrued from new machinery.

Regulatory Compliance Issues

The legal and regulatory factors are a significant factor in the food packaging machinery market since the manufacturers are bound by food safety, labeling, and environmental laws. While operating in the United States, machinery has to meet the requirements of FDA, EPA, and USDA standards, whereas in the European Union, it has to meet the standards of EFSA and REACH relating to food safety and the safety of the materials used respectively. These regulations are related to hygiene, contamination, and packaging that is friendly to the environment. The packaging sector remains dynamic in terms of rules, where manufacturers of packaging machinery have to align themselves well to meet various regulatory demands to avert penalties, recall, or reputational loss.

Supply Chain Challenges

The food packaging machinery market is also affected by the supply chain issues around the world, especially in the procurement of materials and parts. Hazards like natural calamities, political conflicts, or even the recent pandemic may in some way slow down the production process or even make it more expensive. With the increase in demand for food packaging, manufacturers should be in a position to source the packaging equipment to meet the increasing demand.

Future Outlook for the Food Packaging Machinery Market

food packaging machinery market

The future of the food packaging machinery market is bright, and the market is expected to grow in the future in the forecast period. The growth of the global packaging machinery market is pegged on steady growth since people are spending more and more money on packaged foods, and there is continuous technological improvement in these machines, coupled with the rise of sustainability being embraced globally. With the growth of the new economy, the demand for better and cheaper packaging materials will drive the growth and competition in the industry.

New directions that were recently introduced in food packaging include smart packaging, the use of environmentally friendly packaging materials, and high-level automation in machinery, all aimed at minimizing environmental impact. The key players in this evolution include Tetra Pak, Krones AG, and GEA Group Aktiengesellschaft, among others, who are constantly developing new solutions to fit the new trends in consumption and production of food products.

Stakeholders should consider the strategic value of investing in modern packaging machinery as the market evolves in this regard. Today’s successful companies require strategic forward investments to capture the industry that is being driven by the need for better efficiency, the ability to be environmentally friendly, improvements in product portfolio, and new product launches in the ever-changing landscape of the consumers’ demands.

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