Pallet Conveyor Market Forecast 2023 - 2030

By Type :

Based on the type, the market is bifurcated into gravity pallet conveyors, drag chain pallet conveyors, belt driven live roller pallet conveyors, and others. The gravity pallet conveyors segment accounted for the largest revenue share in the year 2022. Gravity pallet conveyors are employed for moving pallets and are integrated with a track featuring a series of rollers laid in sequence within the conveyor frame. The rollers are utilized for keeping the pallet in motion by reducing friction between the pallet and rollers. Moreover, gravity pallet conveyors offer several benefits including high versatility, ease of use and maintenance, greater handling capacity, and relatively economical. The above benefits of bi-wing pallet conveyors are increasing its utilization in food & beverage, pharmaceutical, and other related industries.

In March 2022, Kerry Group, a food, and beverage company, launched its new food manufacturing facility worth USD 137 million in Georgia, United States. Hence, the growth of food & beverage industry is among the key factors driving the application of gravity pallet conveyors in food and beverage manufacturing facilities, in turn contributing to the growth of the market.

The drag chain pallet conveyors segment is anticipated to register the fastest CAGR growth during the forecast period. Drag chain pallet conveyors comprise of parallel strands of roller chains that are utilized for conveying loads. Drag chain pallet conveyors are an ideal method for the transportation of pallets that refrain movement on roller conveyors or lack enough adequate strength to support the load. Moreover, drag chain pallet conveyors offer several benefits such as efficient material transport, versatile material handling, space-saving design, robustness, reliability, and others. Drag chain pallet conveyors are utilized in chemical, and food & beverage industries among others.

According to the American Chemistry Council, the total production of industrial chemicals in the United States witnessed a growth of 5.5% in 2021 as compared to 2020. Therefore, the growth of chemical industry is driving the adoption of drag chain pallet conveyors for transportation of materials used in chemical production facilities, thereby driving the market growth during the forecast period.

By End-User :

Based on the end-user, the market is segregated into food & beverage, retail & e-commerce, chemical, pharmaceutical, and others. The retail & e-commerce segment accounted for the largest revenue share of 35.4% in the year 2022. Factors including rising digitalization, growing consumer preference for online shopping, and rising deployment of retail automation solutions are key prospects driving the growth of the retail & e-commerce segment.

In April 2022, the government of India announced the launch of an online retail network across 100 Indian cities to offer consumers with an alternative to multinational platforms including Flipkart and Amazon. Therefore, the growth of retail & e-commerce sector is driving the adoption of pallet conveyors for transporting, accumulating, and distributing goods from warehouses to specific positions required by the logistics operations, in turn fostering market growth during the forecast period.

Food & beverage segment is expected to witness fastest CAGR growth during the forecast period. The growth of food & beverage segment is attributed to several factors including significant investments in food & beverage facilities, rising hygiene standards in the food industry, and increasing utilization of pallet conveyors for transportation of food products.

For instance, in October 2020, Nestle invested around USD 550 million for the development of a new food processing factory in Ohio, U.S., to fulfill the rising demand for high-quality pet foods. The new facility is scheduled to be operational in 2023.Thus, the rising development of food processing facilities is further driving the adoption of pallet conveyors for transporting raw materials from storage to the processing area, moving finished products onto the packaging line, and transferring packaged goods to the shipping area. The above factors are anticipated to drive the growth of the market during the forecast period.

Get More Information

Download Sample Report

By Region :

The regional segment includes North America, Europe, Asia Pacific, Middle East and Africa, and Latin America.

North America accounted for the largest revenue share of USD 585.93 Million in 2022. The adoption of pallet conveyors in the North American region is primarily driven by its usage in food & beverage, pharmaceutical, chemical, and other sectors. Moreover, North America has been a major hub for the companies associated with pharmaceutical and food & beverage manufacturing among others. The increasing application of pallet conveyors in food & beverage plants for transporting raw materials, moving finished products onto the packaging line, and transferring packaged goods to the shipping area is among the significant factors driving the market growth in the region. For instance, in August 2021, Tyson Foods, invested USD 300 million to build a food processing facility in Virginia, U.S. The facility is scheduled to be operational in 2023. The above factors are further propelling the growth of the pallet conveyor market in the North American region.

Asia-Pacific is accounted for the largest revenue share of USD 508.06 Million in the year 2022 and is expected to reach USD 787.20 million by 2030 registering the fastest CAGR growth of 6.0% during the forecast period. In addition, in the region, China is accounted for the maximum revenue share of 33.4% in the same year. The rapid pace of industrialization and development is creating lucrative opportunities for market growth in the region. Moreover, factors including the growth of multiple industries including pharmaceutical, food & beverage, retail & e-commerce, and others are fostering the market growth for pallet conveyors in the Asia-Pacific region.

For instance, according to the India Brand Equity Foundation (IBEF), India ranked third in terms of pharmaceutical production by volume in 2021. According to IBEF, the local pharmaceutical industry in India consists of approximately 10,500 pharmaceutical manufacturing units and 3,000 drug companies. Therefore, the growing pharmaceutical facilities are driving the deployment of pallet conveyors for applications involving manufacturing, packaging, and distribution of pharmaceutical products, thereby, proliferating the market growth in the Asia-Pacific region.