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Market Summary

The global Food Automation market valued at USD 9.08 Billion in 2018 and is expected to reach USD 15.78 Billion by the year 2026, at a CAGR of 7.1%. The market is anticipated to be driven by technological advancements in the food industry, coupled with the growing demand for processed food. In addition, increasing food safety regulations is also likely to influence growth. For instance, the FDA Food Safety Modernization Act (FSMA) is transforming the food safety system of the U.S. by shifting the focus from responding to foodborne illness to preventing it. Thus, farmers and manufacturers in the region have been turning to automation for prevention-based control throughout the supply chain. Robotic and automation are being highly employed in most processing and packaging facilities. According to a report by the Association for Packaging and Processing Technologies, 94% of food packaging operations use robotics, and around 33% of companies use robotics for processing. Apart from this, key players have been focusing on adopting various strategies such as new product launches, mergers, and acquisitions to maintain their position in the market. For instance, Soft Robotics Inc. recently introduced a flexible gripper that can handle delicate foods such as fruits and vegetables.

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Food preparing, processing, and packaging have become a highly automated process. The food automation streamlines the packaging process, which includes the operation of sorting, packaging, and managing. It acts as an efficient and cost-effective solution for ventures that require an effective and efficient solution for overcoming difficulties. For example, enhancing productivity, improving yield, optimization of resources, reducing security risks, and improve asset management.

Europe is projected to be a key revenue-generating region in the forecast period. Increasing pressure on the food companies by the regulatory authorities to switch to automation from manual labor is anticipated to drive demand. Development in big data, artificial intelligence, and machine learning in the region has also driven demand for automation, which can accomplish the food processing and packaging processes in seconds.

Key Coverage of the Report

Region and country-wise assessment from the period 2016-2026. For the study, 2016-2017 has been utilized as historical data, 2018 as the base year, and 2019-2026, has been derived as forecasts

Various types of machines, including motors and generators, rotary products, linear products, and motor controls, among others have been analyzed. Statistical analysis has been conducted on obtaining the individual share of these segments.

Detailed analysis of the application of the market including processing, packaging and repackaging, palletizing, and sorting & grading among others for the forecast period.

Regional Competitors products analysis

Demand and Supply GAP Analysis

Regulatory framework of each region.

Regional up-coming research and application outlook.

Market share analysis of the key industry players

Strategic recommendations for the new entrants

Market forecasts for a minimum of 6 years of all the mentioned segments, and the regional markets

Key Trends (Drivers, Constraints, Opportunities, Threats, Challenges, and recommendations)

Strategic recommendations in key business segments based on the estimations

Competitive landscaping mapping the key common trends

Company profiling with detailed strategies, financials, and recent developments.

Salient Trends of the Food Automation Market

Industrial robots have more flexibility and efficiency. This increasing robotic capabilities and the corresponding increase in automation levels are compelling the development of new products in processing and packaging plants. For instance, Orfer’s newest system, ORFER BoxCellPlus, expands on the BoxCell packing cell and possesses the capacity to open flattened boxes, folding the flaps, and sealing the bottom with tape and then filling the box with products. The implementation of robotics in packaging is anticipated to support industrial growth.

Manufacturers are investing in technological developments such as automated packaging systems. Rising need to overcome the challenge of sustaining product safety and quality will drive the market during the forecast years.

Motors and generators are expected to grow significantly in the forecast period. Motors are being increasingly adopted in the food and beverage (F&B) industry owing to their unique and demanding requirements in applications such as grinders, mixers and conveyers and in segments such as meat, poultry and fish, dairy and baking goods. Motors can help companies to manage everything from raw material handling to processing and conveying, to packing and storage, without compromising with the industrial standards.

Meat, poultry and seafood companies are forecasted to adopt the product in the coming years increasingly. Based on studies, meat cutting is one of the most hazardous operations in manufacturing. Regulatory authorities such as the USDA have been considering putting an end to mandated limits on line speed for pork processing, which is currently at 1,106 hogs per hour for almost all plants. Automation has the potential to increase both safety as well as efficiency in meat cutting.

Palletizing is a key application area in the industry. The growing adoption of robots in the food & beverage industry is projected to lead to enhanced quality, improved throughput, and cost-efficiency.

The high cost of capital and the need for labor-management are anticipated to be major challenges for growth across the globe.

Companies considered and profiled in this market study

Key players include Rockwell Automation, Siemens AG, ABB Ltd, Mitsubishi Electric Corporation, Schneider Electric, Yokogawa Electric Corporation, GEA Group, Fortive Corporation, Emerson Electric, and Nord Drivesystems. Recently in September 2019, ABB Limited announced commencing construction of its new 67,000-square meter robotics manufacturing and research facility in Shanghai. The company’s robotics solutions serve manufacturers in applications such as pharmaceuticals, electronics, F&B, and logistics automation.

Market-O-Nomics

Palletizing segment was valued at 3610.3 million in 2018 and is expected to grow significantly in the forecast period. The use of robots in palletizing is expected to lead to an increased efficiency, operational reliability, and uniformity. Automation can be easily applied to a wide range of processes such as handling of all types of pallets, separation sheets and various kinds of packaging materials.

Based on type, the motors & generators segment, dominate the industry with nearly 35% market share. This is due to the multi-functional nature of motors as well as generators. Companies operating in the market have been focusing on offering an extensive range of performance-proven and energy-efficient motors, which can cover the entire scope of the F&B sector.

As of 2018, Europe dominates the global market 2016 with 38% share owing it to the growing demand for processed food in the region. Increasing adoption of automation by giant food manufacturing companies in the region is likely to stimulate market growth. Automation is finding application mainly in end-of-line packaging and palletizing. However, these systems are currently only being installed for the long-life, high-volume, and single-product lines.

Food automation has not been successful for the SME’s in the region. This can be mainly associated with low-cost labor and expertise, and market volatility. Moreover, the predominance of short-term orders in the region has also discouraged capital investments in the product.

Segments covered in the report

This report forecasts revenue growth at a global, regional & country level, and provides an analysis of the market trends in each of the sub-segments from 2016 to 2026. For the purpose of this study, Reports and Data have segmented the Food Automation market on the basis of type, function type, application, and region:

Type (Revenue, USD Million; 2016–2026)

Motors & Generators

Motor controls

Discrete controllers & visualization

Rotary products

Linear products

Others

Function Type (Revenue, USD Million; 2016–2026)

Processing

Packaging & Repackaging

Palletizing

Sorting & Grading

Picking & Placing

Others

Application (Revenue, USD Million; 2016–2026)

Dairy

Bakery

Confectionery

Fruit & vegetable

Meat, poultry, and seafood

Beverages

Regional Outlook (Revenue in USD Million; 2016–2026)

North America U.S. Canada

Europe Germany France UK Spain Italy Rest of the Europe

Asia Pacific China India Japan Rest of Asia-Pacific

Middle East & Africa

Latin America Brazil

