According to PMMI, a leading association in the packaging and processing marketplaces, the U.S. packaging machinery marketplace is set to grow by nearly five percent, reaching a total market value of $9.8 billion. The types of equipment leading this growth trend include:
- Converting equipment – which transforms raw materials like plastic sheets into functional packaging like the rings for six packs of soda.
- Conveying equipment.
- Feeding equipment – which brings the product (typically dry products) and packaging together.
- Labeling equipment.
- Quality assurance equipment, which includes inspecting, detecting, and checkweighing.
The report also assessed the industry sectors in which the most money is being spent:
- Food – valued at just under $3 billion.
- Beverages – valued at about $1.7 billion.
- Pharmaceuticals – valued at about $600 million.
- Chemical Products – also valued at about $600 million.
- Personal care and cosmetic products – valued at about $500 million.
While there are a number of trends impacting these figures, the key takeaways for the industrial design and manufacturing sector are all reflections on how end-user preferences continue to change. The pharmaceuticals sector is forecast to grow at the fastest rate, which would seem to correspond with increasing medical needs by an aging population, growth in over-the-counter medicines, and expanded use of vitamins and other nutraceutical products.
Similarly, new converting equipment has become more important as packaging operations look to be more environmentally friendly by using and wasting less material. Conveying equipment helps feed expanded automation strategies, and the growth in labeling equipment stems from growth in private labels, which is heavily influenced by e-commerce. Quality assurance equipment has been strengthened by the negative branding and economic ramifications of a recall.
While many sectors in manufacturing are either growing only slightly or are flat, packaging continues to show steady growth. With a forecast compound annual growth rate (CAGR) of around 2.2 percent, the industry could exceed $11 billion by 2022.