The Food Processing Equipment Market is projected to reach $98.57 billion by 2030, at a CAGR of 5.8% during the forecast period of 2023 to 2030. The growth of the food processing equipment market is driven by increasing demand for processed foods, a growing focus on food and worker safety, a growing need to increase productivity, food manufacturers’ increasing focus on reducing production costs, and government support to promote the food processing industry. However, the high cost of equipment and the consumers’ increasing inclination towards minimally processed food products restrain the growth of this market.
In addition, emerging economies such as Latin America, Southeast Asia, and Africa and a rapidly growing plant-based foods market are expected to generate growth opportunities for the players operating in this market. However, the lack of trained labor is a major challenge for market growth.
Growing Need to Increase Productivity Increases the Adoption of Food Processing Equipment
The demand for food is expected to grow substantially by 2050. The major factor for this increase is the growth in the world population. According to the Department of Economic and Social Affairs of the United Nations, the world population reached 7.8 billion in 2020 and is projected to reach 9.7 billion by 2050. Also, according to FAO, the global food supply would need to increase by 50% to meet the food demand in 2050 from 2020. At the same time, global economic growth would significantly reduce or even eliminate absolute economic poverty in developing countries. These trends mean that the demand for food or processed foods will continue to grow.
Moreover, changes in agricultural practices over the past 50 years have increased the world's capacity to provide food for its people through increased productivity, greater food diversity, and lower seasonal dependence. However, the food industry faces challenges such as food wastage and international trade. According to the Food and Agriculture Organization of the U.S. (FAO), every year, more than one-third of the food produced is lost or wasted during operations globally. This postharvest loss accounts for the greatest overall loss; hence, reducing postharvest losses could be a sustainable solution to increase food availability. Thus, understanding the capacities of agricultural systems, projecting the future demand for food, and reducing food wastage is only possible through the adoption of modern food processing technologies and equipment among food processors.
Therefore, increased agricultural production and the need to minimize postharvest losses are expected to drive the global food processing equipment market.
Rapidly Expanding Plant-Based Foods Market Offers Growth Opportunities for the Food Equipment Manufacturers
The burgeoning market for plant-based foods presents substantial growth opportunities for manufacturers of food equipment. As the demand for plant-based alternatives continues to rise, there is a growing need for specialized machinery to process and produce these products efficiently. This trend is driven by various factors, including increasing consumer awareness of health and sustainability, ethical considerations, and a shift towards plant-based diets.
Food equipment manufacturers can capitalize on this shift by developing and offering machinery tailored to the unique requirements of plant-based food processing. This may include equipment for the extraction of plant proteins, processing of alternative ingredients, and the creation of meat and dairy substitutes.
In recent years, the plant-based foods sector has garnered substantial investments, leveraging the growing popularity of veganism and the increasing demand for sustainable food options. According to the Good Food Institute, a U.S.-based nonprofit organization, plant-based meat, seafood, egg, and dairy companies attracted USD 1.9 billion in investments in 2021, a figure comparable to the USD 2.1 billion raised in 2020 and nearly three times the USD 693 million raised in 2019. Since 2010, these companies have collectively secured USD 6.3 billion in investments, with 30% of this total raised in the year 2021 alone.
The dynamics of the COVID-19 pandemic reshaped the food market in North America, notably leading to a 200% increase in plant-based meat sales in the last week of April 2020 compared to the same period the previous year. Such remarkable growth in the plant-based foods industry is poised to enhance investors' confidence in the food processing equipment sector.Top of Form
Thus, the rapidly growing plant-based foods market is expected to offer growth opportunities for the players operating in the food processing equipment market.
Key Players
The report offers a competitive analysis based on an extensive assessment of the leading players’ product portfolios and geographic presence and the key growth strategies they adopted in the last 3–4 years. Some of the key players operating in the global food processing equipment market are Bühler AG (Switzerland), Marel hf (Iceland), GEA Group Aktiengesellschaft (Germany), Bucher Industries AG (Switzerland), John Bean Technologies Corporation (U.S.), The Middleby Corporation (U.S.), Heat and Control Inc. (U.S.), SPX Flow, Inc. (U.S.), Alfa Laval AB (Sweden), Krones AG (Germany), Paul Mueller Company (U.S.), Tetra Pak International S.A. (Sweden), Bigtem Makine A.S. (Turkey), TNA Australia Pty Limited (Australia), and Hosokawa Micron B.V. (Netherlands).
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Key Findings in the Food Processing Equipment Market Study:
In 2023, the Beverage Processing Equipment Segment is Projected to Register the Highest CAGR During the Forecast Period
Based on type, the global food processing equipment market is segmented into meat, poultry, and seafood processing equipment; bakery processing equipment; beverage processing equipment; dairy processing equipment; chocolate and confectionery processing equipment; fruit and vegetable processing equipment; snacks processing equipment; and other food processing equipment. In 2023, the meat, poultry, and seafood processing equipment segment is expected to account for the largest share of the global food processing equipment market. The large share of this segment is attributed to growing meat production, high demand for processed meat products, growing focus on food safety requirements of meat processors, and consumer preference for protein-rich food products.
However, the beverage processing equipment segment is projected to register the highest CAGR in the global food processing equipment market during the forecast period of 2023–2030. The rapid growth of this segment is mainly attributed to the increasing demand for alcoholic beverages, increasing consumption of ready-to-drink beverages, increasing per capita spending of the population in developing countries, and rising use of advanced technologies to enhance productivity & product efficacy.
In 2023, the Semi-automatic Segment is Expected to Dominate the Food Processing Equipment Market
Based on mode of operation, the global food processing equipment market is segmented into semi-automatic and automatic. In 2023, the semi-automatic segment is expected to account for the largest share of the global food processing equipment market. The segment’s large share is attributed to the benefits of semi-automatic food processing equipment, such as greatly improved labor productivity, flexibility in production processes, and technical & economic feasibility.
However, the automatic segment is projected to register the highest CAGR in the global food processing equipment market during the forecast period of 2023–2030. The high growth of this segment is mainly driven by the increasing need for higher efficiency and improved food safety and the benefits of automatic food processing equipment, such as monitored production, reduced labor costs, automatic tracking of individual loads, no human errors, effective cleaning, and no cross-contamination.
Asia-Pacific: Fastest Growing Market
Based on region, the global food processing equipment market is segmented into North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In 2023, Asia-Pacific is expected to account for the largest share of the global food processing equipment market. Asia-Pacific’s major market share is attributed to the increasing demand for processed food products in emerging and developing countries of the region, including India, China, Indonesia, and Thailand; rising investments from major food and beverage players; and government support to promote the food processing sector. Moreover, this region is projected to register the highest CAGR during the forecast period, mainly due to tremendous growth in its food & beverage industry, primarily due to increasing urbanization, growing health awareness, and rising disposable income levels.
Scope of the Report:
Food Processing Equipment Market Assessment, by Type
- Meat, Poultry, and Seafood Processing Equipment
- Cutters and Grinders
- Smokers, Massagers, and Tumblers
- Mixers and Blenders
- Tenderizers
- Killing and Defeathering Equipment
- Slicers
- Evisceration Equipment
- Cookers, Roasters, and Grillers
- De-heading and Gutting Equipment
- Filleting Equipment
- Other Meat, Poultry, and Seafood Processing Equipment
- Beverage Processing Equipment
- Brewery Equipment
- Filtration Equipment
- Carbonation Equipment
- Blenders and Mixers
- Heat Exchangers
- Other Beverage Processing Equipment
- Bakery Processing Equipment
- Ovens and Proofers
- Dough Mixers
- Molders and Sheeters
- Dividers and Rounders
- Depositors and Pan-greasers
- Other Bakery Processing Equipment
- Dairy Processing Equipment
- Pasteurizers
- Homogenizers
- Separators
- Evaporators and Drying Equipment
- Membrane Filtration Equipment
- Other Dairy Processing Equipment
- Chocolate and Confectionery Processing Equipment
- Depositors
- Formers
- Coating and Spraying Systems
- Mixers
- Coolers
- Other Chocolate and Confectionery Processing Equipment
- Fruit and Vegetable Processing Equipment
- Juice Extractors
- Peelers, Cutters, and Pulpers
- Dryers
- Evaporators
- Other Fruit and Vegetable Processing Equipment
- Snack Processing Equipment
- Extruders
- Mixers
- Dryers
- Fryers
- Seasoning & Flavoring Equipment
- Other Snack Processing Equipment
- Other Food Processing Equipment
Food Processing Equipment Market Assessment, by Mode of Operation
Food Processing Equipment Market Assessment, by Geography
- Asia-Pacific
- China
- India
- Japan
- Australia
- Rest of Asia-Pacific
- Europe
- Germany
- France
- Italy
- U.K.
- Spain
- Netherlands
- Rest of Europe
- North America
- Latin America
- Brazil
- Mexico
- Argentina
- Rest of Latin America
- Middle East & Africa
Key Questions Answered in the Report: