India Automated Material Handling Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 1.47 Billion |
| Market Size (2029) | USD 2.66 Billion |
| CAGR (2024 - 2029) | 12.70 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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India Automated Material Handling Market Analysis
The India Automated Material Handling Market size is estimated at USD 1.47 billion in 2024, and is expected to reach USD 2.66 billion by 2029, growing at a CAGR of 12.70% during the forecast period (2024-2029).
An idea that evolved from material handling procedures is automated material handling. It uses a variety of machinery to assist workers in a manufacturing facility in moving the finished product to storage facilities or moving the product assembled between assembly stations.
- A substantial increase in demand for automated material handling equipment is also anticipated throughout the projection period due to the growing e-commerce sector. There is an increasing need for precise, quick, and efficient customer service to deliver the acquired product as more people turn to online shopping, customer expectations are continuously changing, and there is fierce rivalry among online retailing companies.
- The market is expanding across the region due to the expansion of product options and the increased demand for automated material-handling equipment among significant industries.
- Producers may also embrace Industry 4.0 and other digital technologies, such as retail, to accomplish this goal. The way that products are consumed in India is evolving significantly. The necessity and demand for sortation systems to meet the increased market across the retail industry are projected to be driven by the growing middle-class population.
- Additionally, the need for automated material handling equipment is being augmented by the growing number of product offerings and start-ups in numerous industries.
- However, issues similar to the rise in prices, high expenditure on capital, and high maintenance costs of equipment and systems, along with the breakdown of AMH equipment, can negatively impact the company's overall earnings as production delays the entire production process, which resolution losses and decline in plant performance which may hamper the market growth.
- The COVID-19 outbreak and lockdown restrictions across India affected industrial activities. Supply chain interruptions, a scarcity of raw materials needed for manufacture, workforce shortages, pricing fluctuations that could drive up production costs and push them beyond budget, and shipping issues are a few consequences of a lockdown.
India Automated Material Handling Market Trends
This section covers the major market trends shaping the India Automated Material Handling (AMH) Market according to our research experts:
Industry 4.0 Investments Driving the Demand for Automation and Material Handling is Expected to Drive Market
- Manufacturing's response to the COVID-19 crisis has increased investments in Industry 4.0, which will significantly boost the market's growth potential for manufacturing automation. Industrial enterprises will increasingly turn to automated assembly lines, real-time plant monitoring tools, and manufacturing data collection systems to manage their facilities with fewer employees.
- Additionally, the aircraft sector extensively uses robotic systems and other automated material-handling equipment. Because of the increased requirement for security and the ensuing adoption of strict criteria for achieving it, automated baggage handling systems are becoming more common in airports.
- The automotive sector has been growing its investments in material handling, mainly consisting of automated equipment like robots used for spot welding and associated operations. Players in the food and beverage business are employing automated systems more frequently for various manufacturing, packaging, and distribution processes in the area.
- Moreover, in November last year, Honeywell International Inc. announced a new automated storage and retrieval system that uses artificial intelligence and machine learning to allow warehouse and distribution center operators to better keep up with unprecedented e-commerce growth.
- In contrast, material-handling robots can feed, transport, or detach tools and components from one place or a machine to another. Robotics now has a wider range of uses in packaging since they can work continuously without getting tired.
Retail/Warehouse/Logistics Center is Expected to Hold Significant Share
- E-commerce is predicted to be fueled by digitization, and this will increase demand for AMH. To remain competitive and reduce the expenses associated with prolonged storage, warehouses and distribution centers are choosing automation due to the rise in supermarkets and hypermarkets in Indian cities and the rising cost of real estate in urban areas.
- The Indian retail industry has developed into one of the most dynamic and fast-paced sectors due to several new players' entries. It accounts for over 10% of the country's GDP and around 8% of the employment ratio. India is the world's fifth-largest global destination in retail space. According to IBEF, the Indian e-commerce market is expected to grow to USD 200 billion by 2026.
- India has an estimated USD 162 million MT of Agri warehousing, reefer van facilities, cold storage, etc. NABARD will take exercises to map and geo-tag them. Besides, the Government proposed to create warehousing in line with the Warehouse Development and Regulatory Authority (WDRA) norms.
- Further, Automated guided vehicles (AVGs), forklifts, order pickers, walkie-rider pallet jacks, and other related powered warehouse equipment are typically used in various product movements. The critical design factors to consider are floor levelness and flatness, power, and floor loading. Such equipment has a significant demand trend in the logistics centers in India.
India Automated Material Handling Industry Overview
The India Automated Material Handling (AMH) Market is quite competitive. It is a somewhat fragmented market with large individual companies like Godrej Consoveyo Logistics Automation Ltd, Daifuku India Private Limited, Kardex India Storage Solutions Private Limited, and Armstrong Ltd. Market participants are expanding their market share by releasing new products or engaging in strategic mergers and acquisitions.
In August 2022, Godrej Consoveyo Logistics Automation Ltd scaled up its automated supply chain solutions in partnership with German-based joint venture partner Körber Supply Chain. Since the epidemic, there has been a significant shift in the industry's usage of automation. The government has been investing in cold chain and cold storage facilities on top of the fact that Asia is emerging as a development engine for supply chain automation due to the expansion of the manufacturing sector, the development of organized 3PLs, the pharmaceutical, retail, e-commerce, and food service industries, as well as changing consumption patterns.
India Automated Material Handling Market Leaders
Daifuku India Private Limited (Incl. Vega Conveyors & Automation
Godrej Consoveyo Logistics Automation Ltd (GCLA)
Kardex India Storage Solutions Private Limited
Armstrong Ltd.
Space Magnum Equipment Pvt. Ltd
*Disclaimer: Major Players sorted in no particular order
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India Automated Material Handling Market News
- November 2022: Daifuku India Private Limited, an automated material handling tech solutions provider, announced its investing 450 crores in setting up a new 2 lakh sq ft intra-logistics equipment facility at Hyderabad; the new facility will add to the company's current manufacturing footprint of 60,000 sq ft will produce automated storage and retrieval systems, sortings transfer vehicles conveyors and sorters.
- September 2022: Godrej Consoveyo Logistics Automation Ltd announced its material handling strengthens its product portfolio in Telangana; aims for 30% revenue in the region. The city's E-commerce, retail, and pharma companies are key drivers of the warehousing demand in Hyderabad. Retail and e-commerce companies prefer to manage their operations or outsource their logistics and warehousing operations to third-party logistics (3PL) players and equipment rental providers. This has led to increased demand for battery-operated equipment that can work in narrow aisles and stack vertically up to 12m. Thus, the need for this equipment has increased in the state. With technologically advanced innovations, Godrej Material Handling aims to achieve 30% of revenue in FY23 with an aspiration to achieve 50% in the next three years.
India Automated Material Handling Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHT
4.1 Market Overview
4.2 Industry Value Chain Analysis
4.3 Industry Attractiveness - Porter Five Forces
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
4.4 Impact of COVID-19 on the Industry Ecosystem
4.5 Evolution of Warehousing Industry in India
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Industry 4.0 investments driving the demand for automation and material handling
5.2 Market Challenges
5.2.1 Harsh Operating Conditions and Availability of Cheap Labor
6. MARKET SEGMENTATION
6.1 Solution Type
6.1.1 Automated Conveyor
6.1.2 Automated Storage & Retrieval System (AS/RS)
6.1.3 Automated Guided Vehicles (AGV)
6.1.4 Palletizer/Sortation Systems
6.1.5 WMS/WCS Solutions
6.2 End-User
6.2.1 Airport
6.2.2 Manufacturing
6.2.3 Retail/Warehouse/Logistics Center
6.2.4 Other End-User
7. COMPETITIVE LANDSCAPE
7.1 Company Profiles
7.1.1 Daifuku India Private Limited (Incl. Vega Conveyors & Automation)
7.1.2 Space Magnum Equipment Pvt. Ltd
7.1.3 Godrej Consoveyo Logistics Automation Ltd (GCLA)
7.1.4 Kardex India Storage Solutions Private Limited
7.1.5 Armstrong Ltd.
7.1.6 Falcon Autotech Private Limited
7.1.7 GreyOrange Pte. Ltd.
7.1.8 Addverb Technologies Inc.
7.1.9 Hinditron Group
7.1.10 The Hi-Tech Robotic Systemz Limited
7.1.11 Bastian Solution Private Limited
- *List Not Exhaustive
8. INVESTMENT ANALYSIS
9. FUTURE OUTLOOK OF THE MARKET
India Automated Material Handling Industry Segmentation
Automated material handling (AMH) equipment eliminates the need for human interference in a material handling process. The continuous rise in demand for automation with the advent of technologies such as robotics, wireless technologies, and driverless vehicles in different industries like retail, general manufacturing, post and parcel, and others has revolutionized the adoption of automated material handling equipment.
The India Automated Material Handling (AMH) Market is segmented by Solution Type (Automated Conveyor, Automated Storage & Retrieval System, Automated Guided Vehicles, Palletizer/Sortation Systems, and WMS/WCS Solutions) and End-User (Airport, Manufacturing, and Retail/Warehouse/Logistics Center). The market sizes and forecasts are provided in terms of value (USD million) for all the above segments.
| Solution Type | |
| Automated Conveyor | |
| Automated Storage & Retrieval System (AS/RS) | |
| Automated Guided Vehicles (AGV) | |
| Palletizer/Sortation Systems | |
| WMS/WCS Solutions |
| End-User | |
| Airport | |
| Manufacturing | |
| Retail/Warehouse/Logistics Center | |
| Other End-User |
India Automated Material Handling Market Research FAQs
How big is the India Automated Material Handling (AMH) Market?
The India Automated Material Handling (AMH) Market size is expected to reach USD 1.47 billion in 2024 and grow at a CAGR of 12.70% to reach USD 2.66 billion by 2029.
What is the current India Automated Material Handling (AMH) Market size?
In 2024, the India Automated Material Handling (AMH) Market size is expected to reach USD 1.47 billion.
Who are the key players in India Automated Material Handling (AMH) Market?
Daifuku India Private Limited (Incl. Vega Conveyors & Automation, Godrej Consoveyo Logistics Automation Ltd (GCLA), Kardex India Storage Solutions Private Limited, Armstrong Ltd. and Space Magnum Equipment Pvt. Ltd are the major companies operating in the India Automated Material Handling (AMH) Market.
What years does this India Automated Material Handling (AMH) Market cover, and what was the market size in 2023?
In 2023, the India Automated Material Handling (AMH) Market size was estimated at USD 1.30 billion. The report covers the India Automated Material Handling (AMH) Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the India Automated Material Handling (AMH) Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
India Automated Material Handling Industry Report
Statistics for the 2024 India Automated Material Handling market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. India Automated Material Handling analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
