Industry Analysis & Industry Trends
The Food Processing Machinery Manufacturing industry is highly dependent on the level of activity within downstream food and beverage manufacturers, and capital investment in equipment and machinery in these industries. The major markets for food processing machinery include beverage manufacturers, meat and seafood processors, bakeries, dairy product manufacturers and fruit and vegetable processors. The industry manufacturers a range of products, such as ovens, canning and bottling machines, food processing machinery and distilling equipment, to meet the varied needs of its downstream markets.
Industry revenue is projected to increase at an annualised 0.9% over the five years through 2015-16. This includes a projected 3.3% growth in 2015-16, to $926.4 million... purchase to read more
Industry Report - Industry Investment Chapter
The industry has a medium level of capital intensity. Companies in the industry manufacture an extensive range of products, some of which are custom-made for large customers. The limited market for individual products can make it difficult to introduce high-volume production line processes, which limits the level of automation in the industry. To calculate the capital intensity level, IBISWorld uses data from the industry cost structure. Depreciation is used as a proxy for capital and wages are used as a proxy for labour. In 2015-16, depreciation is projected to account for 2.6% of industry revenue, with wages estimated at 16.0%. These show that for each $1.00 required for labour inputs, an estimated $0.16 will be invested in capital plant and equipment... purchase to read more