PUNE, INDIA — A changing pet food landscape demands the evolution of processing and packaging technologies. According to a recent report from MarketsandMarkets shared by the Food Processing Suppliers Association (FPSA), today’s equipment suppliers are catering to a variety of requirements from modern processors, including innovative and hygienic design, flexibility for mass production, and specialized equipment that speaks to the premiumization of dog and cat food.

In the report, “Food Processing and Packaging Equipment Market — Global Forecast to 2028,” MarketsandMarkets suggested premiumization, rising awareness of pet health and nutrition, and technological processing advancements were the three key factors driving increased demand for pet food processing and packaging equipment.

In all, MarketsandMarkets clocked the global pet food processing and packaging equipment sector at a value of $5.32 billion in 2023, projecting a 5% CAGR through 2028 to $6.78 billion.

By region

North America held the largest global market share of pet food processing and packaging equipment in 2023 at 36.2%, followed by Europe at 24.3%, the Asia Pacific at 19.7%, South America at 12.3%, and the rest of the world (including Africa, the Middle East and remaining countries) at 7.6%.

According to the report, the United States is home to nearly 700 pet food processors who produce more than 7 million tons of pet food per year, most of which is for the nation’s population of 65.1 million dogs and 46.5 million cats. Because of this robust demand, the United States held 75.5% of the North American pet food processing and packaging market in 2022, followed by Canada at 15.8% and Mexico at 8.7%. The United States also held the largest market share on the global stage at 27.4% in 2023, significantly exceeding the next highest market shares of 6.5% in Germany and 6.1% in China.

The global market is expected to grow at a steady rate from 2023 to 2028, with a projected CAGR of 5.2% in North America, 5.6% in the Asia Pacific, 4.8% in Europe, 4.3% in South America, and 3.7% in the rest of the world.

In 2023, the North American pet food processing and packaging equipment market was valued at $1.93 billion and is expected to reach $2.50 billion in 2028. In Europe, the market was valued at $1.29 billion and is projected to reach $1.63 billion. A similar story is told across all other global regions, with growth in the Asia Pacific anticipated from $1.05 billion in 2023 to $1.38 billion in 2028, growth in South America expected from $654.1 million in 2023 to $807.9 million in 2028, and slightly slower growth across the rest of the world from $402.1 million in 2023 to $482.1 million in 2028.

The pet food processing and packaging equipment market in the Asia Pacific region is expected to grow at a higher CAGR than other global regions from 2023 to 2028, with MarketsandMarkets attributing accelerated growth to “a surge in pet humanization trends, a shift towards premium pet food options, and expanding manufacturing capabilities, especially in emerging economies like China and India.”

By equipment type

On the processing side of production, forming equipment is currently the most-used solution in pet food processing applications, according to the report. This category was valued at $2.08 billion globally in 2023 and is expected to grow at a 5.5% CAGR to $2.71 billion by 2028. Not far behind is mixing and blending equipment, valued at $1.67 billion in 2023 and projected to grow at a CAGR of 5.0% to $2.14 billion through 2028.

The market for baking and drying equipment was valued at $812.1 million in 2023 with an anticipated CAGR of 4.6% to $1.02 billion through 2028. Cooling equipment was valued at $457.1 million in 2023 and is expected to hit $561.2 million by 2028 at a CAGR of 4.2%, and coating equipment was valued at $184.0 million in 2023 with the potential to reach $218.1 million by 2028 at a CAGR of 3.5%. Other types of equipment were lumped together in the report, representing a value of $114.9 million in 2023 that is expected to grow at a 2.7% CAGR to $131.5 million by 2028.

At the end of the line, form-fill-seal equipment is the largest market with a value of $754.3 million in 2023 and is expected to grow at a 6.4% CAGR to $1.03 billion through 2028. Filling and dosing equipment was valued at $606.3 million and is expected to reach $819.1 million through 2028 at a CAGR of 6.2%. Cartoning equipment, which is used for the production of pet food sold in cartons like Tetra Paks, was valued at $226.7 million in 2023 and will grow at an anticipated 5.2% CAGR to $292.1 million through 2028.

Case packaging equipment was valued at $220.9 million in 2023 and is expected to reach $285.9 million by 2028 at a CAGR of 5.3%. Wrapping and bundling equipment sat at $175.9 million in 2023 and will reach $228.8 million by 2028 at a CAGR of 5.4%, according to the report. The market for labeling and coding equipment was valued at $116.4 million in 2023 and is expected to grow at a 6.4% CAGR to $158.8 million through 2028. Inspecting, detecting and checkweighing machinery represented the smallest share of the pet food packaging equipment market in 2023, valued at $114.1 million, but is expected to experience steady growth of 5.1% through 2028 to $146.3 million.

The market for all other packaging equipment was valued at $181.9 million in 2024 and expected to reach $232.2 million through 2028 at a CAGR of 5.0%, according to the report.

Most of this equipment speaks to dry pet food manufacturing, which continues to dominate the industry. According to Circana, a Chicago-based market research firm, sales of dry dog food from June 2022 to June 2023 hit nearly $7 million, up 19.7% year-over-year, in the US Multi-Outlet channel. This sales channel includes grocery, drug, mass market, convenience, military, select clubs and dollar retailers, and does not include sales from online-only retailers such as Amazon and Chewy. Similarly, dry cat food sales trumped other cat nutrition categories with $3.38 billion in sales over the same 12-month period, up 21.8% year-over-year.

“The usage of the dry form of pet food remains high due to its convenience and cost-effectiveness, due to which the segment is projected to dominate the pet food processing and packaging equipment market,” the report shared.

Manual versus automated systems

As of today, manual processing and packaging equipment is slightly more popular in the pet food space, accounting for 53.4% of equipment, while automatic equipment represents 46.6%. MarketsandMarkets stated it expects the prevalence of manual equipment technologies to continue through 2028, projecting 56.1% of equipment will be manual and 43.9% will be automatic.

In terms of value, manual pet food processing and packaging equipment was clocked at $2.84 billion in 2023 and is expected to reach $3.81 billion by 2028 at a CAGR of 6.0%. The automated side of this market was valued at $2.48 billion in 2023 and is expected to grow to $2.97 billion by 2028 at a CAGR of 3.7%.

Regardless, MarketsandMarkets noted automated equipment and the capabilities it offers pet food and treat processors will be an area to watch moving forward.

“The hot bets impacting new revenue sources in the pet food processing and packaging equipment market are automated, AI-enabled equipment and innovative extrusion technology for pet food and feed,” the report stated. “The revenue shift for pet food processing and packaging equipment manufacturers in the market appears across various areas, such as packaging for high-protein food and equipment for raw meat products and treats.”

By species

It is no surprise that processing and packaging equipment for dog food outperforms the market for cat food processing and packaging, as the industry has historically leaned toward the doghouse and away from the cat perch. This is changing, however, as cat ownership levels rise and cat parents become more interested in products that deliver the same level of premiumization and quality as those seen in the dog food aisle.

According to the report, the dog food processing and packaging equipment market was valued at $2.83 billion in 2023 and expected to reach $3.67 billion in 2028 at a CAGR of 5.3%, “due to the diverse nutritional needs and preferences of the larger and more varied dog population.” On the other hand, the market for cat food processing and packaging equipment was valued at $1.79 billion in 2023 and is expected to grow to $2.26 billion by 2028 at a CAGR of 4.8%.

Opportunities and challenges

As pet food consumers increasingly seek out “better-for-you” nutritional products for their four-legged companions, they are also looking for brands that commit time and resources to reducing their environmental impacts.

“The environmental impact associated with traditional processing methods prompts a shift towards eco-friendly and energy-efficient technologies,” the report shared. “This transition reflects the broader industry commitment to sustainability and aligns with the growing consumer preference for environmentally responsible pet care products.”

While a majority of emissions from pet food processing operations typically come from raw materials and packaging films, there is still a significant opportunity to address sustainability in manufacturing plants. Many processors are addressing this by seeking energy efficient, hygienic equipment that requires less water to clean and reduces material waste.

High costs for equipment and various regulations in the pet food marketplace are the two key challenges for this sector, according to the report. Additionally, a growing prevalence of homemade pet diets, as well as limited raw material availability and consumer price sensitivity, are also restricting the market for pet food processing and packaging equipment.

“The high initial investment required for advanced processing machinery may deter some players, hindering the market’s inclusivity,” the report stated.

Find more articles about the latest pet food processing technologies on our Equipment page.