Pelletizing Machine Market Size - By Type, By Automation Grade, By Throughput Capacity, By End Use Industry, By Distribution Channel Analysis, Share, Growth Forecast 2024 – 2032

Pelletizing Machine Market Size

The global pelletizing machine market was valued at around USD 2.9 billion in 2023 and is estimated to grow at a CAGR of around 3.8% from 2024 to 2032. The expanding livestock industry requires high-quality feed, with pelletized feed often preferred due to its nutritional benefits and ease of handling. This growth in the livestock sector further boosts the demand for pelletizing machinery.
 

Additionally, innovations in pelletizing technology, including enhanced efficiency, lower energy consumption, and improved pellet quality, are attracting more customers. The integration of automation and smart technologies is also increasing in this sector. Furthermore, the growing popularity of wood pellets for heating and industrial purposes, particularly in Europe and North America, is driving investments in pelletizing equipment. As a result, the market is set for robust growth, driven by rising demand for biomass energy, animal feed industry expansion, pellet production technology improvements and wood pellet market growth.
 

The pelletizing machine market faces significant challenges due to the substantial upfront investment required and the complex nature of operations. These factors present challenges for market expansion and adoption of pelletizing technology. Fluctuations in the availability and price of raw materials, such as biomass and feedstock, can significantly impact production costs and profitability, presenting a risk to pellet manufacturers. The pelletizing process is energy-intensive and increasing energy costs may adversely affect operational expenses and profit margins. Additionally, global supply chain disruptions can result in delays in equipment delivery and shortages of essential raw materials, further complicating production processes.
 

Pelletizing Machine Market Trends

Pelletizing has become a crucial process in the recycling industry, contributing significantly to waste reduction and resource conservation. As technology advances, new innovations in pelletizing are emerging, offering promising prospects for the industry. Future pelletizing lines are anticipated to incorporate advanced sorting and segregation technologies, including optical sorting systems, AI-powered robots, and spectroscopy-based sensors. These technologies enable more accurate identification and separation of different plastic types, resulting in higher purity and quality of recycled pellets. Improved sorting capabilities also enhance process efficiency and reduce contamination.
 

The future of pelletizing is characterized by innovation, sustainability, and collaboration. Emerging technologies such as advanced sorting systems, innovative extrusion techniques, and digitalization are set to transform the industry, creating new opportunities for market expansion.
 

Pelletizing Machine Market Analysis

Based on the type, the underwater machine segment accounted for revenue of around USD 1.1 billion in 2023 and is estimated to grow at a CAGR of around 4.2% from 2024 to 2032. The underwater pelletizer cuts molten polymer into pellets as it exits circular die holes. Increasingly, recycling lines, especially for engineering plastics, are integrating underwater pelletizer systems to boost material recovery rates. The underwater pelletizer supports extensive automation, with PLC control managing features like blade sharpening and in-line die-plate grinding, reducing downtime.
 

On the other hand, strand pelletizing forms pellets after the polymer cools and solidifies, operating in line with extrusion. It is cost-effective, works with various polymers, and is user-friendly. This system allows easy cleaning, color changes, and quick replacement of cutting components for fast polymer changeovers.
 

Based on the end use industry, the biomass energy segment held around 32% of the total market share in 2023 and is anticipated to grow at a CAGR of 4.2% during 2024 to 2032. Renewable energy initiatives are boosting biomass pellet production for heating and power generation. Advances in pelletizing technology are improving the efficiency and quality of these pellets, making them a viable alternative energy source. Additionally, there's a trend towards using diverse feedstocks like agricultural residues and wood waste, enhancing resource utilization.
 

On the other hand, the demand for high-quality animal feed pellets is growing, focusing on better nutrient delivery and waste reduction. The push for organic and sustainable farming is driving the development of eco-friendly feed options, increasing the need for innovative pelletizing solutions. The pelletizing machines market, spanning Agriculture, Pharmaceuticals, Chemicals, Plastics, and Biomass energy sectors, emphasizes sustainability, technological innovation, and adaptability to meet changing demands.
 

North America region dominated about 30% share of the pelletizing machine market in 2023 and is anticipated to grow with a CAGR of around 3.9% during 2024 to 2032, due to, increased demand for biomass energy, expansion of animal feed production, growth in plastic recycling and advances in pelletizing technology. Pelletizing machines are widely used in plastics, food, and pharmaceutical industries, offering diverse market growth opportunities. Furthermore, ongoing infrastructure and industrial investments in North America are driving new pelletizing machinery installations. The market demands advanced technologies that produce high-quality, consistent pellets, reflecting a focus on product excellence.
 

Country Level Analysis

North America: In terms of the country, the US dominates with an overall market share of around 78% in the North America pelletizing machine market, primarily due to high demand from the biomass energy sector and the animal feed industry. Technological advancements and increased investments in infrastructure are fostering a favorable environment for market expansion.
 

On the other hand, Canada market expressing notable growth rate of around 4% in 2023. The market's potential is further enhanced by the growing interest in biomass production among rural areas and Indigenous communities, contributing to its overall development.
 

Europe: The Europe pelletizing machine industry with a share of around 26% in 2023 and anticipated to grow with a CAGR of around 3.7% up to 2032. Germany dominates the European pelletizing machine market, driven by supportive policies and strong industrial demand. The European market emphasizes sustainability and efficiency, leading to increased investments in advanced pelletizing machinery and processes.
 

In terms of country, Germany market expressing notable growth rate of around 4.2% in 2023. Germany's robust policies promoting renewable energy, including biomass as a key energy source, contribute to its market leadership. The country's market is further bolstered by significant demand from the animal feed and plastics industries, which require efficient pelletizing equipment.
 

Asia Pacific: The Asia Pacific pelletizing machine market with a market share of around 32% in 2023 and anticipated to grow with a CAGR of around 4.2% during 2024 to 2032. Industrial demand, government initiatives, and technological advancements are rapidly propelling the regional growth.
 

In terms of country, China is dominating the Asia Pacific market in terms of market share of around 32% in 2023. There is a consistent push towards R&D investments and modernizing production facilities, all aimed at boosting efficiency and enhancing product quality.
 

On the other hand, India is emerging as a fastest growing country for the pelletizing machine industry in terms of CAGR of 4.7% between 2024 to 2032. Moreover, there is a notable growth in investments directed at modernizing agricultural practices and broadening the biomass sector.
 

Pelletizing Machine Market Share

In 2023, key companies like KraussMaffei, Nordson, Coperion, Japan Steel Works and Maag held a combined market share of 17%-20%. These companies are actively engaging in mergers, acquisitions, facility expansions, and collaborations to enhance their product portfolios, reach more customers, and strengthen their market positions. Manufacturers are investing in R&D to boost efficiency, reduce energy use, and improve product quality. Companies offering customized solutions often gain a competitive edge. Many companies are expanding into emerging markets, particularly in Asia and Africa, where demand for pelletizing machines is increasing.
 

Pelletizing Machine Market Companies

Major companies operating in the global pelletizing machine industry include:

• Baracco 
• Coperion
• Diamond America
• Econ
• Farrel Pomini
• Fuji Industries
• Japan Steel Works
• Kerke Extrusion Equipment
• KraussMaffei
• Maag
• Neoplast
• Nordson
• Retech Machine
• Useon
• Xinda     
       

Pelletizing Machine Industry News

• In August 2023, Useon inaugurated a new factory, heralding a significant milestone in its history. As the industry evolves, Useon is poised to innovate and lead, crafting a promising future centered on high-quality development.
   
• In June 2023, The Maag Group is expanding in China to drive growth. They are increasing production capacity and introducing new products for the Chinese market. This positions Maag to enhance its localization efforts in China.
   
• In April 2023, ADG Solutions Inc. now offers a new range of pelletizing systems and spin dryers in the U.S. Designed by Baracco in Occhiobello, Italy, and assembled in the U.S., these products include underwater pelletizing systems, vertical spin dryers, and watering pelletizing systems. ADG Solutions recently became the exclusive U.S. agent for Baracco equipment.
   

This pelletizing machine market research report includes in-depth coverage of the industry, with estimates & forecasts in terms of revenue (USD Billion) (Units) from 2021 to 2032, for the following segments:

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Market, By Type

• Strand machine
• Water ring machine
• Underwater machine
• Others (melt pelletizing etc.)   

Market, By Automation Grade

• Manual
• Semi-automatic
• Automatic   

Market, By Throughput Capacity

• Below 1000 Kg/hr
• 1000 - 2000 Kg/hr
• 2000 - 5000 kg/hr
• Above 5000 Kg/hr

Market, By End Use Industry

• Agriculture
• Pharmaceuticals
• Chemicals
• Plastics
• Biomass energy
• Others (metallurgy etc.)  

Market, By Distribution Channel

• Direct sales
• Indirect sales

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea 
• Latin America
  • Brazil
  • Mexico 
• MEA
  • Saudi Arabia
  • UAE
  • South Africa