Mechanical engineering 2023: at record levels worldwide!
In 2023, German manufacturers of food processing and packaging machines achieved a nominal export increase of 8,6 percent and reached a record value of 9,85 billion euros. But it wasn't just German manufacturers who benefited from the strong global demand. According to the data available so far, the global trade in food machinery and packaging machines is expected to rise to over 2023 billion euros in 52.
With an export turnover of 86 percent, the German food machinery and packaging machinery industry is active above average in foreign markets. “On the one hand, we benefit from the continued high investments in automated, efficient and sustainable production and packaging technologies in industrialized countries and, on the other hand, from the growth dynamics in highly populated countries,” says Beatrix Fraese, economic expert in the VDMA Food Machinery and Packaging Machinery Association. Last year, 53 percent – and therefore more than half of exports – were delivered to countries outside of Europe, with a focus on Asia and North America.
The food and beverage sector is the strongest industry in many countries
In many emerging economies, including the populous countries of India, Indonesia, Mexico, Brazil and Nigeria, the food and beverage industries are the strongest industrial sectors (source: United Nations Industries Development Organization UNIDO). By investing in hygienic processing and packaging technology, these countries, which are often rich in raw materials, increase local added value and the level of self-sufficiency with safe, durable food and drinks. They are increasingly moving away from exporting pure raw materials and instead exporting their own products within the region and, in some cases, worldwide. “The potential is far from exhausted and will continue to ensure strong demand for machines,” believes Beatrix Fraese.
The food and beverage industry is also the largest industry in many industrialized countries, especially in the USA. In the United States, the sector employs almost 2 million people and achieved a production value of over 2023 trillion euros in 1,1 (source: Euromonitor International). Here, despite the lack of qualified workers, we are continuing to invest in automated, efficient and stable processes. This ensures that machine imports continue to reach new highs. German manufacturers have been the USA's most important trading partner in the food processing and packaging machinery segment for many years.
USA remains number 1 market – India and Mexico in the top 10
In 2023, too, the strongest impulses came from the USA. German deliveries of food machinery and packaging machines to the United States rose by 19 percent to 1,7 billion euros, an all-time high.
The USA has led the ranks of the top 10 sales markets for many years. France, China, the United Kingdom, Poland, Switzerland, Mexico, the Netherlands, India and Italy followed far behind in 2023. Regionally, German manufacturers sold 33 percent of the machines exported to EU countries. A further 14 percent went to other European countries, 19 percent to North America, 17 percent to Asia, 8 percent to Central/South America, 4 percent to Africa, 3 percent to the Near/Middle East and 2 percent to Australia/Oceania.
World machinery trade will reach record levels in 2023
The world machinery trade - this is the sum of exports from around 50 industrialized countries - reflects the global demand for imported food machinery and packaging machines and has been growing dynamically for years. Over the last 10 years, global machinery trade increased by 43 percent from 33,9 billion euros in 2012 to 48,6 billion euros in 2022. EU countries supplied a good 60 percent of this. This makes European food and packaging machinery manufacturing the most successful mechanical engineering segment in Europe, with Germany and Italy at the top.
According to data available so far, the global trade in food machinery and packaging machines will rise to over 2023 billion euros in 52 despite difficult conditions, which corresponds to an increase of around 7 percent.
“We also see growth for our industry in 2024, because the global demand for safe and high-performance machines continues to be immense,” explains Beatrix Fraese, pointing to the strongest investment drivers, namely hygiene and food safety, automation and efficiency improvements, resource conservation and sustainability in production and in the packaging process.
