A comprehensive analysis categorising the automated material handling equipment market
A report published by Research and Markets on the forecast of the material handling market from 2016-2021. “‘Material handling market was estimated to be worth $115.342 billion in 2015 and will reach a total market size of $148.542 billion by the end of forecast period at a compound annual growth rate of 4.31 per cent,” the report states. The report is a comprehensive analysis of the Material Handling Market. The report categorises the automated material handling equipment market on the basis of product type, system type, software and service, operation, application, and geography.
The improving economic conditions across the globe have caused tremendous amount of growth in the investment in the areas of construction. The growing trend has also changed the overall spending patterns of the consumers. The rising labour costs are another reason stated in the report which has led to the growth in the material handling market.
The report claims that points like workplace safety have augmented the demands for these solutions. As per the report, Asia Pacific will be the major market for the material handling industry. Regions like Europe, the Middle East and Africa will also see a growth in the market share. “Asia Pacific will emerge as the fastest growing market and high growth will be observed across the major economies like China and India; which are fast becoming the major markets for these equipment, driving the material handling market over the forecast period,” says the report.
Automotive application expected to hold the largest share
Automated material handling (AMH) equipment play a vital role in the automotive industry by improving production processes, lowering labour intensity, and ensuring timely delivery of materials. AMH equipment such as AGVs, ASRSs, automated conveyors, and robotic systems are used to fulfill the manufacturers’ and suppliers’ requirements related to automated material handling capacity such as Just-in-Time (JIT) delivery of raw material, computerized control of received assembled parts, and tracing shipped articles within the factories and storage places.
It is estimated that amongst the different sectors in material handling, it will be sectors like Automated Guided Vehicles and Automated Storage/Retrieval Systems that will witness the maximum growth as a result of the increasing demand that is coming from different verticals across the industry.
Robotic system expected to lead
The report states that it will be the robotic systems that will lead the automated material handling equipment market. Robotic systems reduce labour cost, help prevent injury to personnel, and provide high return on investment. The report stated, “A robot can do the work of four manual labourers, which results in further cost reduction. Manufacturers introducing robots in their production processes have typically seen a significant transformation in their productivity and efficiency with higher levels of output, product quality, and flexibility.”
The report also provides an in-depth knowledge of the Material Handling Market, while explaining major market segmentation, while giving out details about the key players in the market and the major competitors, the report also explain porter’s five forces and explains them in detail.