Global Grain Processing Equipment Market 2024-2031

Global Grain Processing Equipment Market 2024-2031

Grain Processing Equipment Market Size, Share & Trends Analysis Report by Mode of Operation (Semi-Automatic, and Automatic), by Machine (Pre Processing, and Processing) by Application (Milling, Cleaning and Sorting, Drying, Storage and Handling, Packaging, and Others), and by Distribution Channel (Online, and Offline) Forecast Period (2024-2031)

Grain processing equipment market is anticipated to grow at a CAGR of 7.6% during the forecast period (2024-2031). The grain processing equipment market is influenced by various factors, including the increasing demand for processed and packaged food, advancements in technology, and growth in the food and beverage industry. The global population rise, and urbanization have resulted in a rise in the need for efficient grain processing equipment to meet the demand for processed and packaged food. Technological advancements, such as automation, IoT integration, and AI, have contributed to enhanced efficiency and productivity. Government regulations and policies are also playing an important role in encouraging equipment upgrades and new purchases.

Market Dynamics

Increased Population and Urbanisation

Global population growth and urbanization are driving increased demand for staple foods such as grains, as urban populations consume processed and packaged foods, necessitating efficient grain processing. According to the United Nations estimates, in November 2022, the globe's population exceeded 8.0 billion marks. The global population has increased by one-third, approximately 2.1 billion individuals, in the last 25 years. It is predicted that by 2050, there are projected to be nearly 10.0 billion individuals on the globe. Most of the expansion is anticipated in emerging countries, especially in Asia and Oceania, in addition to in Africa. Within these regions, a few larger countries are predicted to accommodate the majority of the estimated rises.

Market Segmentation

Based on the mode of operation, the market is segmented into semi-automatic, and automatic.

Based on machines, the market is segmented into preprocessing and processing.

Based on application, the market is segmented into milling, cleaning and sorting, drying, storage and handling, packaging, and others (solar dryers).

Based on distribution channel, the market is segmented into online, and offline.

Milling is Projected to Emerge as the Largest Segment

The primary factor supporting the segment's growth includes technological advancements in grain processing, including redesigned machines like destoners and intensive wheat scourers, which are improving efficiency, product quality, and precision in cleaning and sorting processes. For instance, in December 2021, Henry Simon introduced the first phase of new grain cleaning machines for the milling industry, redesigned to meet the latest industrial standards. The new destoner and intensive wheat scourer have undergone a facelifting process, with structural improvements, and the industrial design process is ongoing with other grain cleaning and milling machines.

Regional Outlook

The grain processing equipment market is further segmented based on geography including North America (the US, and Canada), Europe (UK, Italy, Spain, Germany, France, and the Rest of Europe), Asia-Pacific (India, China, Japan, South Korea, and Rest of Asia-Pacific), and the Rest of the World (the Middle East & Africa, and Latin America).

Focus on Food Safety and Quality in North America Region

The regional governments are enhancing food safety and quality by utilizing advanced grain processing equipment for high hygiene standards and contamination-free processing, catering to both home and away-from-home market demands. According to the US Department of Agriculture (USDA), in March 2022, it estimated US food expenditures at $1.8 trillion, with $808.0 billion for home consumption and $978.2 billion for food away from home. Restaurants account for three-quarters of food-away-from-home sales, with six in ten adults ordering takeout or delivery.

Asia-Pacific Holds Major Market Share

The regional governments and private entities are investing heavily in agricultural infrastructure to improve grain processing productivity and efficiency, including subsidies for modern equipment, operator training programs, and supportive storage and transportation facilities. According to the India Brand Equity Foundation (IBEF), in May 2023, the government set a target for foodgrain production of 332 million tonnes (MT) for the upcoming year, representing a 2.6% increase from the previous year. The goal includes specific production targets for pulses (29.25 MT), oilseeds (44 MT), and millets (17 MT). Strategies are being developed to mitigate the potential impact of El Nino, including increasing the area through intercropping, crop diversification, and adopting agronomic practices in low-yielding zones. Additionally, the ministry plans to improve productivity by introducing high-yielding varieties.

Market Players Outlook

The major companies serving the grain processing equipment market include AGCO Corp., Ag Growth International Inc., Bühler AG, PETKUS Technologie GmbH, and Westrup ApS among others. The market players are increasingly focusing on business expansion and product development by applying strategies such as collaborations, mergers and acquisitions to stay competitive in the market. for instance, in September 2023, BoMill partnered with Nexeed Inc. to distribute its innovative BoMill InSight grain sorting solution for the Canadian market. The innovative equipment can segregate kernels at an industrial pace, reaching up to 15 metric tons per hour or 125,000 kernels per second. This innovative solution targets industrial grain companies with sustainability objectives, enhancing product quality and grain supply.