News Feature | October 9, 2014

Food Packaging Technology & Equipment Markets Have A Prosperous Future

Source: Food Online

By Isaac Fletcher, contributing writer, Food Online

Due to a growing demand for safer packaging, extended shelf-life, and more convenient packaging formats, the markets for food packaging equipment and food packaging technology are expected to demonstrate healthy growth through 2019

A new market research report, Food Packaging Technology & Equipment Market by Technology (Controlled, Active, Intelligent, Aseptic), by Equipment (FFS, Labeling, Coding, Wrapping, Case Packaging), by Application, and Geography — Trends & Forecast to 2019, projects the food packaging technology market to be worth $46,694.4 million and the food packaging equipment market to be worth $19,215.4 million by 2019.

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The markets for packaging technology and packaging equipment are expected to experience CAGRs of 6.1 percent and 4.8 percent, respectively, from 2014 to 2019. The global markets for these two areas are being largely driven by rising health concerns among consumers and strict food-safety regulations and oversight. As consumers have become increasingly concerned with food-related health risks, packaged food has become more popular, since many consumers view these goods as safer alternatives to non-packaged foods.

Convenience food is currently the dominating application segment in the food-packaging equipment and technology market. With regard to the various types of food-packaging technology, controlled packaging captures the majority market share, with form, fill, and seal holding the majority of the market for food-packaging equipment.

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Both market segments have seen high rates of growth in recent years, as food-packaging technology and equipment offer food producers a critical marketing tool, extended shelf-life, sustainability, and the ability to adhere to stringent safety standards. Through 2019, market growth will be primarily driven by hygienic packaging of food, rising demand for fresh and quality-packaged food, manufacturers’ demand for longer shelf life, easy-to-handle packaging, and efforts to fit the on-the-go lifestyles of many consumers. Research and development of these advancements is taking across all major regions, especially in Europe.

One of the major hurdles facing the market is the high cost associated with the development of new products and methods that meet all the demands of consumers. Additionally, environmental legislation has become more strict, which, although important for sustainability and environmental efforts, has created additional restraints.