Food Processing Market size is projected to reach approximately USD 99.7 Billion by 2025 at a CAGR of 7.2% between 2019 and 2025. The growth of the market can be attributed to the increasing demand for processed foods across the globe. The focus on food safety and institution of food quality regulations in various countries is leading food & beverage manufacturers to invest in high-quality processing equipment at their food processing units. The rising demand for convenience foods, especially among the increasing working population with hectic schedules, is contributing to the growth of the global food processing market. The global convenience food market was valued at approximately USD 245 Billion in 2018. The demand for processed food has resulted in the entry of a number of new entrants in the food processing business. Food processors are also starting to manufacture equipment, which is further boosting the growth of the market.
The Global Food Processing Market is growing with the increasing demand for processed and convenience foods. Consumer preference for convenience food such as ready-to-eat (RTE), ready-to-cook (RTC), and frozen food is boosting the food processing market growth. RTE food sales in 2017 valued around USD 93 Billion. Moreover, the increasing demand for functional food and beverages is influencing food processors to invest in new equipment for the integration of health beneficial ingredients. To cater to the growing consumer demand, food processors are also investing in the expansion of their food processing plants and technologically advanced equipment. For instance, Mead Johnson, a global maker of infant formula, plans to invest USD 68 Million in a new facility and purchase equipment at its Zeeland campus in the Netherlands. A focus on R&D and technological advancements by food processing equipment manufacturers is also fueling the food processing market growth.
Growing demand for processed food
- Rising demand for processed and convenience food: Across the globe, the consumption of processed and convenience foods is increasing. Rapid urbanization, increasing working population, and hectic schedules have to a rise in the sales of processed food. Consumers are opting for frozen food products with long shelf life. The global frozen food market was valued at approximately USD 230 billion in 2018. The demand for RTE and RTC meals is increasing at a rapid rate, especially among the youth, which is boosting the growth of the food processing market.
- Increased adoption of advanced equipment for production efficiency
- Regulations promoting food safety and food quality
- Growing demand for processed meat, poultry, and seafood products
- Expansion of the food & beverage industry in developing countries
By Equipment Type
- Cleaning, Sorting, & Grading Equipment
- Cutting, Peeling, & Grinding Equipment
- Extrusion Equipment: The extrusion equipment segment is projected to be the fastest-growing during the forecast period. Extrusion equipment enables uniformity in the shape and size of the final product, which is required in mass production. The increasing demand for sweet and savory snacks, breakfast cereals, and RTC products is boosting the sales of extrusion equipment.
- Fully Automated: The segment is projected to register a higher CAGR during the forecast period owing to increasing investments by food processors in technologically advanced equipment. Food processors are focused on increasing production efficiency while reducing labor costs. This is driving the growth of the fully automated segment of the global food processing market.
- Bakery & Confectionery: The segment is projected to dominate the global food processing market during the forecast period. The highly fragmented bakery & confectionery market and continuous increase in demand for bakery & confectionery products such as cookies, bread, chocolate, and cake are leading to an increased demand for high-efficiency equipment. Thus, the demand for various types of food processing equipment such as mixers, blenders, and formers with advanced technology is rising among bakery & confectionery manufacturers.
- Meat, Poultry, & Seafood Products
- Asia-Pacific: Asia-Pacific is projected to be the fastest-growing regional food processing market. With growing economies such as China, India, Indonesia, and Malaysia, the players in the food processing market can avail of lucrative opportunities in the region. The growing population is also driving the expansion of the food & beverage industry in China and India, which is expected to impact the growth of the regional food processing market.
- Marel (Iceland)
- GEA Group AG (Germany)
- The Bühler Holding AG (Switzerland)
- JBT Corporation (US)
- Alfa Laval AB (Sweden)
- TNA Solution Pty Ltd (Australia)
- Bucher Industries AG (Switzerland)
- Equipamientos Cárnicos, S.L. (Spain)
- Clextral S.A.S (France)
- SPX Flow (US)
- Bigtem Makine A.S. (Turkey)
- FENCO Food Machinery s.r.l. (Italy)
- Krones AG (Germany)
- Paul Mueller Company (US)
- Anko Food Machine Co. Ltd. (Taiwan)
Frequently Asked Questions (FAQ) :
Food Processing Market is projected to grow at a 7.2% CAGR between 2019-2025.
The APAC region is expected to lead the Food Processing Market.
Food Processing Market is predicted to touch USD 99.70 million by 2025.
Bakery and confectionery will dominate the Food Processing Market.
Fully automated segment will lead the Food Processing Market.