Global Conveyor System Market- Market Overview:

The global conveyor system market is expected to grow from USD 9.59 billion in 2022 to USD 13.5 billion by 2030, at a CAGR of 4.4% during the Projection period 2023-2030.The growth of this market is mainly driven owing to the rising automation in various end-user industries.

A conveyor system is a mechanical device used to transport various materials with minimum effort. It typically consists of a frame supporting wheels, rollers, or belts which move the materials from one location to another. The advantages of conveyor systems include reduced operational costs, improved efficiency, and elimination of excess labour use. Cost saving and improved efficiency have been the main drivers of conveyor systems' widespread adoption. Increasing demand for belt conveyor systems in the world will be driven by modernization in the food processing industry and the introduction of automated production lines in packaged food and beverages. Food-grade conveyor belt systems are expected to be in high demand due to rising initiatives encouraging agricultural and food processing activities. In the coming years, the conveyor system market is expected to grow rapidly due to the rapid growth of e-commerce. E-commerce refers to businesses and individuals that conduct business online. A conveyor system is an ideal option for e-commerce because it can deliver packages of different sizes and parcels efficiently, and rapidly, and is ideal for products that require specialized capacities. Further, the lack of skilled labour required for maintenance and repairs, maintaining safety standards, and reducing accidents are potential restraints for the global conveyor system market.

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Market Dynamics:

Drivers:                          

• Adoption of automated technologies in various end-user industries

Automation across various industries is driving the growth of the global conveyor system market. There is a growing demand for conveyor systems in manufacturing and assembly units since goods need to be transported quickly from one place to another. With the help of a conveyor system, a larger volume of goods can be handled efficiently and quickly.

Restraints:         

• High initial investment

A major restraining factor to market growth is the increasing initial investments. Furthermore, rising concerns regarding the environmental impact of mining activities, and the increased usage of automated guided vehicles & robotics. The high initial investment is making it difficult for small and medium-sized enterprises to adopt such advanced technologies.

Opportunities:

• Rising government initiatives

The increase in government initiatives to promote the industrialization of the economy and policies to attract foreign direct investments (FDIs) is likely to boost the global conveyor system market during the Projection period by driving the development of manufacturing facilities. Conveyor system market growth would be bolstered by the lucrative growth opportunities offered by the developing regions, which would propel the demand for conveyor systems.

Challenges:

• Lack of skilled professionals

Despite the immense growth of the market, certain factors are hindering the market's growth, such as the increasing demand for skilled labor to perform repairs and maintenance, the increasing demand for reducing contamination in food items and the increasing requirement for ensuring safety and reducing accidents, which will further challenge the conveyor system market.

Segmentation Analysis:

The global conveyor system market has been segmented based on type, load, end-user, and region.

By Type

The type segment includes pallet, roller, belt and overhead. The belt segment led the largest share of the conveyor system market with a market share of around 31.7% in 2022. It is estimated that the belt segment will continue to dominate the global conveyor system market during the Projection period, as it dominated in 2021 in terms of revenue. Belt conveyors are designed to handle heavy items efficiently due to their durability and toughness. In recent years, belt conveyors have grown in popularity in various industries to handle heavy goods, especially in the automotive industry.

By Load

The load segment includes bulk and unit. The bulk segment led the largest share of the conveyor system market with a market share of around 67.5% in 2022. Several manufacturing industries, including mining, food, and beverage, and others, are expected to handle and process bulk loads more than units during the Projection period. The segment expands due to the use of different conveyor systems to transport different bulk loads, depending on the material, the physical state, and the packaging of the bulk loads.

By End-User

The end-user segment includes airport, food & beverages, retail, poultry & dairy, automotive and others. The retail segment led the largest share of the conveyor system market with a market share of around 30.9% in 2022. As a major distribution channel for consumer goods and food and beverage products, retail is one of the leading sectors. In developed markets like North America and Europe, this segment is expected to grow as a result of the increasing use of retail channels, including supermarkets and hypermarkets. Retail distribution generates constant revenue streams for any industry.

Global Conveyor System Market - Sales Analysis.

The sale of conveyor systems expanded at a CAGR of 3.8% from 2016 to 2022.

As retail, packaging, and food & beverages industries compete more aggressively, automated equipment is becoming increasingly prevalent, driving the demand for conveyor systems around the world.

The incorporation of technological advancements also contributes to market growth. A smarter motor and controller for easier and quieter operations and the integration of advanced communication systems with automated conveyors will boost the market growth in the coming years.

As more and more industries embrace automated solutions, the conveyor systems market will grow. Rising awareness of the advantages of conveyor systems, including cost-effectiveness, saving time, improving products, and improving customer service, is driving the market.

Thus, owing to the aforementioned factors, the global conveyor system market is expected to grow at a CAGR of 4.4% during the Projection period from 2023 to 2030.

By Regional Analysis:

The regions analyzed for the conveyor system market include North America, Europe, South America, Asia Pacific, the Middle East, and Africa. The Asia Pacific region dominated the conveyor system market and held a 37.9% share of the market revenue in 2022.

• The Asia Pacific region witnessed a major share. The conveyor system market is expected to be dominated by Asia Pacific during the Projectioned period, as a result of increasing investments by both public and private entities in the region. It is anticipated that in the coming years, the increased industrialization in this region will drive the demand for conveyor systems. Countries such as China and India are competing for the world's manufacturing hub.
• North America is anticipated to experience significant growth during the predicted period. According to the conveyor system market, North America has seen the second-largest growth rate, resulting from the increasing demand for processed food which increases the demand for food & beverage conveyor systems, and growing awareness of personal wellness, which increases the demand for conveyor systems in this region.

Global Conveyor System Market - Country Analysis:

• Germany

Germany's conveyor system market size was valued at USD 0.69 billion in 2022 and is expected to reach USD 0.98 billion by 2030, at a CAGR of 4.5% from 2023 to 2030.

Over the Projection period, Germany is expected to lead the Europe conveyor system market due to its technologically advanced automotive industry and thriving food and beverage sector. German automotive companies are at the forefront of the Industry 4.0 revolution, and they are investing in smart technologies to automate their manufacturing facilities, including conveyor systems. As a result of growing research activities, the thriving online retail and e-commerce industry, and the growing automotive industry in the country, conveyor system manufacturers will have many opportunities in the future.

• China

China’s conveyor system market size was valued at USD 0.94 billion in 2022 and is expected to reach USD 1.35 billion by 2030, at a CAGR of 4.7% from 2023 to 2030.

Conveyor system demand in China has been driven by the growing mining industry, the increasing passenger handling capacity of airports and freight and the increase in e-commerce trends.

• India

India's conveyor system market size was valued at USD 0.72 billion in 2022 and is expected to reach USD 1.03 billion by 2030, at a CAGR of 4.6% from 2023 to 2030.

Over the Projection period, the demand for conveyor systems will increase in the Indian retail, airport, and parcel and post industries. A key factor driving the retail market is the introduction of e-market and online shopping, which led to the establishment of fulfilment centers and warehouses. Moreover, the internet is contributing to the growth of e-commerce and m-commerce because of the increased use of communication devices.

Key Industry Players Analysis:  

To increase their market position in the global conveyor system market business, top companies focus on tactics such as adopting new technology, mergers & acquisitions, product developments, collaborations, partnerships, joint ventures, etc.

• TGW Logistics Group Gmbh
• Taikisha Ltd.
• Interroll Holding Ltd.
• Swisslog Holding AG
• Vanderlande Industries
• Dematic Group
• Siemens AG
• Daifuku Co., Ltd.

Latest Development:

• In March 2021, With Columbus McKinnon acquiring Dorner, Dorner will continue to operate within the Columbus McKinnon portfolio, enhancing Dorner's automation capabilities and enhancing prospects for new products.
• In February 2021, AFT Industries AG, a German company that has been involved in material handling for the automotive industry, and Daifuku Co., Ltd. formed a business partnership. The partnership will allow Daifuku and AFT to establish new channels and secure growing investment and demand from automotive manufacturers.
• In January 2021, Material Handling Systems Inc. signed a contract to acquire certain US conveyor assets located in Norton Shores, Michigan. The contract was signed last week, and the acquisition will be completed shortly.

Report Metrics

Report Attribute	Details
Study Period	2022-2030
Base year	2022
CAGR (%)	4.4%
Market Size	9.59 billion in 2022
Projection period	2023-2030
Projection unit	Value (USD)
Segments covered	By Type, By Load, By End-User, and By Region.
Report Scope	Revenue Projection, competitive landscape, company ranking, growth factors, and trends
Companies covered	TGW Logistics Group Gmbh, Taikisha Ltd., Interroll Holding Ltd., Swisslog Holding AG, Vanderlande Industries, Dematic Group, Siemens AG, and Daifuku Co., Ltd.
By Type	Pallet Roller Belt Overhead
By Load	Bulk Unit
By End-User	Airport Food & Beverages Retail Poultry & Dairy Automotive Others
Regional scope	North America Europe Asia-Pacific South America Middle East and Africa

Scope of the Report

Global Conveyor System Market by Type:

• Pallet
• Roller
• Belt
• Overhead

Global Conveyor System Market by Load:

• Bulk
• Unit

Global Conveyor System Market by End-User:

• Airport
• Food & Beverages
• Retail
• Poultry & Dairy
• Automotive
• Others

Global Conveyor System Market by Region:

• North America
  • USA
  • Canada
  • Mexico
• Europe
  • Germany
  • France
  • UK
  • Italy
  • Spain
  • Russia
• Asia-Pacific
  • Japan
  • China
  • India
  • Korea
  • Southeast Asia
• South America
  • Brazil
  • Peru
• Middle East and Africa
  • UAE
  • South Africa
  • Saudi Arabia