As enlisted in the FAO guidelines, Halal can be used for food items that are considered lawful. Islam for Muslims is not only a religion but it is a way of living their lives containing protocols, rules and manners that govern every facet of their lives. As food is essential for maintaining health and well-being of an individual, food laws hold a specific importance. Under Islam, Muslims are expected to eat for their survival, for maintaining health and not to live for eating. Eating is equivalent to worshipping God, just like praying, keeping fasts, alms-giving, and doing other religious activities.
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There Are Certain Criteria for Utilization of the Term “Halal”
Lawful Food- Food of Animal Origin: Under the Islamic Law, all the food sources are considered to be lawful, except pigs and boars, dogs, snakes, and monkeys, carnivorous animals with claws and fangs that include tigers, lions, bears, and other animals of similar type, birds of prey, pests such as rats, centipedes, scorpions and similar animals, animals that are forbidden to be killed in Islam that include ants, bees, and woodpecker birds, animals considered as repulsive like lice, flies, maggots, and similar organisms, mules, domestic donkeys, poisonous and dangerous aquatic animals, amphibians like frog, crocodiles, and others, any other animals that are not slaughtered as per the Islamic law, and blood.
Food of Plant Origin: This contain prohibited consumption of plants that are toxic or intoxicating, except for toxin and hazards that are capable of being removed at the time of processing. Drinks like alcohol and all the intoxicating and hazardous drinks are prohibited.
There are rules for slaughtering as well, it is required that all the lawful land animals are to be slaughtered in accordance with the rules laid down in the Codex Recommended Code of Hygienic Practice for Fresh Meat. The slaughtering should cut-off the trachea, esophagus, and the main arteries and veins of the neck.
There are certain labelling requirements as well, when a food is declared as halal, it is necessary to mention it on the label. As per the Codex General Guidelines on Claims, claims on halal food should not be utilized in ways that creates doubt regarding the safety of similar food items or claiming that halal foods are superior in nutrition or much healthier than other foods.
The market for halal foods is projected to grow at a significant pace with the rapidly surging Muslim population in the world. As per the Australian Bureau of Statistics (ABS), 2017 data, a percent increase of Islam population out of the total population in Australia was observed. This increased from 1.7% in 2006 to 2.6% in 2016.
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Source: Australian Bureau of Statistics, 2017, % Increase of Muslim Population out of the Total Population in Australia
Furthermore, it was observed that out of the non-Christian religions in Australia, Islam is the most prominent religion, followed by Buddhism, Hinduism, Sikhism, and Judaism (source: ABS, 2018)
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Source: Australian Bureau of Statistics, 2018, Number of Non-Christian Individuals
However, there have been concerns regarding risk of cross contamination of halal foods, this factor will contribute to restraining the global halal food market. It has been observed that halal food supply chain was exposed to risks that would cause an impact on the halal food supply chain integrity. One of these issues included the risk of cross-contamination between the halal and non-halal food items, resulting in converting a halal food product to a haram food product. Incidents where food products marketed as halal failed to fulfill the halal requirements have given rise to the demand for genuine halal food products. The growing issues regarding handling of halal food products passing through the entire food-supply chain from sourcing of the raw materials to manufacturing, transportation, and storage will definitely put an impact on the halal status of the product. Hence, it is being realized at a large scale that handling of halal food products does play an important role in maintaining the purity of a food product to be called as a genuine halal food item. Specifically, when these products come in contact with the non-halal products. Additionally, many cases in the world were previously reported that included the adulteration of haram ingredients in food production processes. For instance, The Muslim Council of Britain warned that around 90% of the total meat and poultry products sold in the UK may be illegally sold. Also, slaughtering as per Islam law was not followed. Hence, such crimes are contributing to the violation of people’s religious beliefs and also contribute to trust abuse, further putting an impact on hampering market growth.
It has been noticed that there has been a rising popularity of halal food from non-Muslim consumers, this is further contributing to surging the global halal food market growth. Muslim consumers round the world prefer the halal-certified food products. There has been increasing acceptance of halal food from non-Muslims as well, this is attributed to the fact that these people are associating halal with ethical consumerism. Hence it has provided strong opportunities for companies to invest in this sector and make halal food available to maximum population comprising Muslims and non-Muslims both. Expansion of manufacturing facilities by the multinational companies are further offering significant market growth prospects. Haribo, a gummy manufacturer, in 2018, inaugurated a halal candy store in the United Kingdom.
The increasing halal consumption worldwide have motivated the MNCs to enter the industry, further contributing to surging the market growth. In the UK, there is a presence of more non-Muslim halal meat consumers than the Muslim meat consumers. In Netherlands, an increasing preference for halal food among non-Muslim Dutch consumers is also surging the market demand. Furthermore, strategic partnerships among organizations is further augmenting the market growth. For example, in 2018, an announcement regarding the Mitsubishi Corporation securing a minority stake in the United Arab Emirates-based halal food manufacture was made by Al Islami Foods. The collaborative partnership aims to develop new products that will help in increasing the frozen food market share in the GCC and other global markets. The collaboration is further poised to assist Al Islami Foods for increasing their footprint in the HORECA industry and food and beverage service segment across the UAE. The investment further aims to capitalize on Mitsubishi’s well-established distribution in important global markets, specifically, in the Asian region.
Furthermore, with the growing disposable income of the Muslims and non-Muslims, the market is predicted to grow at a fast pace. The availability of halal food products in modern retail stores like the supermarket is further adding to increasing sales of halal goods. Some of the largest halal markets are located in Southeast Asia and West Asia. The Asia Pacific and the Middle East are contributing to holding a significant market share owing to the dominance of the Muslim population in these regions.
Halal Food-Adhering to Food/Food Habits That Abide by the Muslim Law
BlogAs enlisted in the FAO guidelines, Halal can be used for food items that are considered lawful. Islam for Muslims is not only a religion but it is a way of living their lives containing protocols, rules and manners that govern every facet of their lives. As food is essential for maintaining health and well-being of an individual, food laws hold a specific importance. Under Islam, Muslims are expected to eat for their survival, for maintaining health and not to live for eating. Eating is equivalent to worshipping God, just like praying, keeping fasts, alms-giving, and doing other religious activities.
There Are Certain Criteria for Utilization of the Term “Halal”
Lawful Food- Food of Animal Origin: Under the Islamic Law, all the food sources are considered to be lawful, except pigs and boars, dogs, snakes, and monkeys, carnivorous animals with claws and fangs that include tigers, lions, bears, and other animals of similar type, birds of prey, pests such as rats, centipedes, scorpions and similar animals, animals that are forbidden to be killed in Islam that include ants, bees, and woodpecker birds, animals considered as repulsive like lice, flies, maggots, and similar organisms, mules, domestic donkeys, poisonous and dangerous aquatic animals, amphibians like frog, crocodiles, and others, any other animals that are not slaughtered as per the Islamic law, and blood.
Food of Plant Origin: This contain prohibited consumption of plants that are toxic or intoxicating, except for toxin and hazards that are capable of being removed at the time of processing. Drinks like alcohol and all the intoxicating and hazardous drinks are prohibited.
There are rules for slaughtering as well, it is required that all the lawful land animals are to be slaughtered in accordance with the rules laid down in the Codex Recommended Code of Hygienic Practice for Fresh Meat. The slaughtering should cut-off the trachea, esophagus, and the main arteries and veins of the neck.
There are certain labelling requirements as well, when a food is declared as halal, it is necessary to mention it on the label. As per the Codex General Guidelines on Claims, claims on halal food should not be utilized in ways that creates doubt regarding the safety of similar food items or claiming that halal foods are superior in nutrition or much healthier than other foods.
The market for halal foods is projected to grow at a significant pace with the rapidly surging Muslim population in the world. As per the Australian Bureau of Statistics (ABS), 2017 data, a percent increase of Islam population out of the total population in Australia was observed. This increased from 1.7% in 2006 to 2.6% in 2016.
Source: Australian Bureau of Statistics, 2017, % Increase of Muslim Population out of the Total Population in Australia
Furthermore, it was observed that out of the non-Christian religions in Australia, Islam is the most prominent religion, followed by Buddhism, Hinduism, Sikhism, and Judaism (source: ABS, 2018)
Source: Australian Bureau of Statistics, 2018, Number of Non-Christian Individuals
However, there have been concerns regarding risk of cross contamination of halal foods, this factor will contribute to restraining the global halal food market. It has been observed that halal food supply chain was exposed to risks that would cause an impact on the halal food supply chain integrity. One of these issues included the risk of cross-contamination between the halal and non-halal food items, resulting in converting a halal food product to a haram food product. Incidents where food products marketed as halal failed to fulfill the halal requirements have given rise to the demand for genuine halal food products. The growing issues regarding handling of halal food products passing through the entire food-supply chain from sourcing of the raw materials to manufacturing, transportation, and storage will definitely put an impact on the halal status of the product. Hence, it is being realized at a large scale that handling of halal food products does play an important role in maintaining the purity of a food product to be called as a genuine halal food item. Specifically, when these products come in contact with the non-halal products. Additionally, many cases in the world were previously reported that included the adulteration of haram ingredients in food production processes. For instance, The Muslim Council of Britain warned that around 90% of the total meat and poultry products sold in the UK may be illegally sold. Also, slaughtering as per Islam law was not followed. Hence, such crimes are contributing to the violation of people’s religious beliefs and also contribute to trust abuse, further putting an impact on hampering market growth.
It has been noticed that there has been a rising popularity of halal food from non-Muslim consumers, this is further contributing to surging the global halal food market growth. Muslim consumers round the world prefer the halal-certified food products. There has been increasing acceptance of halal food from non-Muslims as well, this is attributed to the fact that these people are associating halal with ethical consumerism. Hence it has provided strong opportunities for companies to invest in this sector and make halal food available to maximum population comprising Muslims and non-Muslims both. Expansion of manufacturing facilities by the multinational companies are further offering significant market growth prospects. Haribo, a gummy manufacturer, in 2018, inaugurated a halal candy store in the United Kingdom.
The increasing halal consumption worldwide have motivated the MNCs to enter the industry, further contributing to surging the market growth. In the UK, there is a presence of more non-Muslim halal meat consumers than the Muslim meat consumers. In Netherlands, an increasing preference for halal food among non-Muslim Dutch consumers is also surging the market demand. Furthermore, strategic partnerships among organizations is further augmenting the market growth. For example, in 2018, an announcement regarding the Mitsubishi Corporation securing a minority stake in the United Arab Emirates-based halal food manufacture was made by Al Islami Foods. The collaborative partnership aims to develop new products that will help in increasing the frozen food market share in the GCC and other global markets. The collaboration is further poised to assist Al Islami Foods for increasing their footprint in the HORECA industry and food and beverage service segment across the UAE. The investment further aims to capitalize on Mitsubishi’s well-established distribution in important global markets, specifically, in the Asian region.
Furthermore, with the growing disposable income of the Muslims and non-Muslims, the market is predicted to grow at a fast pace. The availability of halal food products in modern retail stores like the supermarket is further adding to increasing sales of halal goods. Some of the largest halal markets are located in Southeast Asia and West Asia. The Asia Pacific and the Middle East are contributing to holding a significant market share owing to the dominance of the Muslim population in these regions.
The Emergence of Electronic Waste Management
BlogElectronic waste is referred to all the electronic equipment that has served its purpose and may contain materials like circuit boards or chips which can be used again. Televisions, modern computers, and their components, home appliances, and lab electronic equipment among others fall under this category. The electronic waste consists of plastics, metals, cables, and other toxic substances like liquid crystal, mercury, lithium, barium, and nickel, among others. These toxic substances possess a threat to the environment even in minute quantities. However, the high cost for recycling incurred due to lack of awareness is expected to restrain the growth of the market in the coming years.
In the last one-decade information technology and communication, the industry has increased the adoption of electronic components significantly. Quicker up-gradation and availability of updates in electronic products are forcing customers to discard their existing or old electronic products which are leading to an increase in e-waste. Today consumers tend to switch over to the new models with a small period of time which has increased the life of the product thus propelling the electronic waste management market growth during the forecast period. According to the United Nations estimates globally nearly forty-six million tons of e-waste was generated in 2014. With increasing population growth and rapid urbanization, the annual electronic waste generation is expected to increase significantly in the coming years.
Besides, on account of the affordability of various consumer electronic devices, consumers are keenly interested in trying new brands with novel and innovative features and with the introduction of advanced technologies is further contributing to faster communication and providing an impetus in surging the growth prospects of sale of these mobile devices. For instance, according to the United Nations, in 2017, it was estimated that the mobile-based subscriptions at the global level reached nearly 4.3 billion.
Advancement in the Smartphones Industry
In smart phones industry latest technology such as wireless charging is continuing to grow in popularity and in the last few years the market witnesses increasing demand for wireless charging for smartphones. The increasing number of product launches by big market players to cater to the growing demand increases the competition in the market which is anticipated to drive the growth of the market for smart phones segment during the forecast period. For instance, recently Samsung launches its Fast Wireless Charging 2.0 which offers a convenient way to charging a smart phone. In addition, the increasing launch of technologically advance new smartphones is expected to deliver rapid growth and business opportunities in electronic waste management as with new products consumers will prefer to dispose of the existing or the old products.
Expanding the consumer electronic industry and increasing the integration of new integrated technology in a variety of electronics and electrical devices is expected to drive the market during the forecast period. In addition, increasing and expanding internet retailing as one of the biggest distribution channels is expected to boost up the sales for consumer electronics which will further anticipate the demand for electronic waste management systems in the coming years. For instance, according to the Census Bureau of the Department of Commerce, retail sales in the United States have increased by nearly 5.33 percent in 2018. Increasing demand for slimmer smartphones with advanced camera facilities will lead to increased investment in research and development of innovative waste management solutions.
Advance systems like electronic security systems are the equipment that could perform security operations like surveillance, alarming, or access control among many others, and are broadly utilized within corporate workplaces, shopping centers, government premises, etc. Smart city technologies are increasingly being used to improve public safety and increasing investment towards converting cities into smart cities is expected to be one of the drivers for the growth of the electronic-waste management market during the forecast period. In the developing and emerging economies like India, there is an increasing government investment to increase the number of smart cities which will further increase the demand for electronic waste management systems during the forecast period. For instance, the Smart City Mission that will cover nearly 100 cities in the country receives nearly Rupees one lakh crore of government/ULB funds for the smart cities’ development.
The Asia Pacific Is Holding a Significant Share in the Market
Expanding the telecom industry coupled with increasing demand for energy-efficient solutions is expected to be one of the prime drivers for the growth of the market during the forecast period. In fact, according to the Ministry of Industry and Information Technology of China, the telecom sector revenue increased by nearly three percent year on year to 1.3 trillion Yuan in 2018. In addition, the growing adoption of home automation systems is anticipated to provide ample opportunities for e-waste management service providers over the forecast period. Furthermore, rising household expenditure coupled with increasing demand for portable healthcare devices consumer electronics is expected to attract market players to invest in the country in order to cater to the growing consumer base which is further expected to propel the growth of the market in the coming years. For instance, according to the Organisation for Economic Co-operation and Development, household spending in China has increased from USD 4249.188 billion in 2010 to USD 8,423.258 billion in 2018.
China Household Spending, 2010 to 2018, US$ Billion
Source: Organisation for Economic Co-operation and Development, Knowledge Sourcing Intelligence Analysis
Key strategies and area of focus made by the government and other regulatory authorities in various parts of the world to minimize the impact of solid waste management are as follow:
Infrastructure: Providing capital investments to build or upgrade waste sorting and treatment facilities, construct or refurbish landfills, and provide basic instruments like dumpsters, bins, and trucks.
Legal: Framing a legal structure to advise on sound policy measures and coordinated institutions for the waste management sector which will include electronic waste management also.
Awareness/Knowledge: Behaviour change and public participation is key to a function of the electronic waste management policy. The policy should be framed in such a way that it supports designing incentives and awareness systems and motivate them to adopt new management systems.
Rice Protein Market Growth – Redeifingning Plant-Based Consumption Trend
BlogIncreased consumer interest in health, ethical considerations accommodating environment stress, animal welfare are the prime factors that are driving the plant-based consumption. Additionally, the pool of consumers who wishes to substitute the source from which the protein content of their diet is derived is also shifting their focus on plant-based protein like rice protein. Furthermore, copious amounts of dissemination of information pertaining to detrimental effects of meat and dairy consumption leading to Green House Gas (GHG) emission are also another factor that is driving the demand for plant-based protein sources like rice protein. Moreover, the demand is further augmented by the value-driven millennials who occupy a significant share of the consumers’ pool. On the other hand, from the perspective of food processing companies, there is an increasing need for them to invest in newer opportunities to expand their existing geographical footprint. This is mainly to achieve economies of scale are increasingly turning towards plant-based product innovation which necessitates the use of rice protein among others.
Further, the food and beverage MNCs are also increasingly aware of the small disruptor brands which are engaged in plant-based market space making them invest in either mergers and acquisitions and /or launch a new range of products enabling them to protect their market share and capitalize on expanding market. This also positively impacts the market for rice protein reaffirming its upward growth trajectory in the coming few years. Nevertheless, there has been an increasing appetite for traditional protein in developing markets as opposed to that of developed economies. Further with protein being an essential ingredient for animal feed that is necessary for animal growth is also an important consideration in today's’ animal feed product design where rice protein has emerged as a viable alternative that leads to cost reduction as well.
Final Consumption Expenditure of Households – Food and Non-Alcoholic Beverage
Source: EUROSTAT
In Millions of Euro, at current prices
Food and Beverage applications that are inclusive of but not limited to bakery & confectionery, dairy alternatives, meat analogs & extenders, sports & energy nutrition, among others, are expected to dominate the rice protein market during the next few years. Like many other plant-based proteins derived from rice are used along with other proteins which are also derived from plants in predefined proportions. Increasing consumers awareness buttressed by rising earning capacity, shifting dietary preference (both stemming from dietary restrictions & lifestyle choices) and proactive government initiatives are the primary drivers that are facilitating the expansion of food and beverage share of the rice protein market. It is also widely recognized for being a good source of aminoacids, Vitamin B, and Vitamin E. Further it is hypoallergic and is the natural preference of individuals who are allergic to bovine milk or are lactose intolerant. Along with assisting in reduced high-carb meals absorption, rice proteins are accompanied by quite a few health benefits like blood sugar level stabilization.
In recent times, vegan consumers in German have emerged as a cognizable group that its erstwhile fringe status. Moreover, people who identified themselves as either complete or nearly completely vegetarians were reported 8 million people in 2019 which is an increase by approx., 700 thousand individuals. Furthermore, as per the study conducted by the Federal Ministry of Food and Agriculture, 1% of the 8 million are vegans along with the fact that 63% of Germans are making efforts to reduce their meat consumption. Moreover, in the case of Germany is reportedly the net importer of all categories of food products and grocery retailing had attained an estimated 273.5 billion in 2018, with agricultural products imports increasing by 2.9% to USD 108 billion. Additionally, the German vegan/vegetarian market was worth $1.96 billion. Additionally, in Spain, there is a similar consumer inclination towards protein derived from plants. To this end, a Spanish biotechnology company involved in R&D and manufacturing of food ingredients and protein derivatives, Pevesa Biotech, SAU had reportedly launched a new rice protein concentrate for extrusion applications monikered as OryzaPro V80 that consists of 80% protein in February 2019. It is reported as devoid of GMOs and non-allergic. Further in cognizance of the importance of and opportunities that can be leveraged from hydrolyzed plant protein space, the world’s leading company in taste and nutrition Kerry Inc had reportedly acquired Pevesa Biotech, SAU.
The APAC region is estimated to reach a healthy growth in the rice protein market owing to various development in the food and beverage industry
Looking towards the orient, the outbreak of African Swine Fever in 2019 (ASF) that had affected many countries in the APAC region has inadvertently aided in the significance of animal-based protein. The APAC region mostly comprises of newly industrialized nations and emerging economies they are witnessing healthy growth in various industries namely the food and beverage industry in this context. The plant-based trend has spilled over the earlier limitation of meat alternatives and is are being made available in the form of cookie dough, plant-based ice creams, and protein bars. The plant-based trend, among others, also incentivized Starbucks in April 2020 to introduce a plant-based food and beverage menu in China reportedly across its 4,300 stores. Thus, with such opportunities, the rice protein market of the APAC is expected to further strengthen the growth of the market during the next few years. The region has witnessed certain market developments. Axiom Foods, Inc. has been reportedly awarded the first patent in China i.e. Patent No. ZL 201480013156.1 pertaining to Oryzatein® brown rice protein, which encompasses methods of increasing the rate of absorption of leucine – an essential branched-chain amino acid which has reportedly equivalent muscle development benefits that are experienced with animal-based whey protein, albeit with a different amino acid profile.
The organization also mentioned its intention to offer licensing opportunities for manufacturers to integrate the patent process as well as to formulate products containing Oryzatein® brown rice protein.
Another development that was reported in February 2020 is the strategic partnership between cooperative group 12,000 farmers with expertise in sugar process from a variety of resources and its product portfolio are finds applications in animal feed, food, among others and Jinnong which is a major player in the rice protein sector in Asia and is acknowledged for supplying rice as well as known for producing rice protein and various derivatives which is to the tune of 5,500 tons of rice protein per year. Within the ambit of this partnership, a full range of rice proteins will be reduced for and subsequently supplied to Tereos who will be responsible for exclusively market these products in the APAC region, except for China.
The Revolution of Additive Manufacturing
BlogAdditive manufacturing application is limitless ranging from 3D Printing, Direct Digital Manufacturing (DDM), layered manufacturing, Rapid Prototyping (RP), and additive fabrication. The growing adoption of additive manufacturing is estimated to have a significant impact on the manufacturing industries, especially in the fields of prototyping, product designing, and tooling. Furthermore, this increasing adoption has also led to an introduction of multiple new technologies and rapid advancements both in terms of the machines and the materials used and has allowed the manufacturers to cut down on not only the cost of manufacturing but at the same time increasing the output and efficiency. In addition to this, it also allows for the manufacturing of complex designs while also easing the implementation of changes, if required. These benefits have resulted in a strong adoption of this technology in the fields of aerospace and defense, automotive, healthcare, and semiconductor industries, which are estimated to hold a noteworthy share in the additive manufacturing market. Increasing the defense budget in various parts of the world coupled with the increasing investment in research and development is expected to boost the adoption of additive manufacturing in the aerospace and defense industry in the coming years. For instance, according to the World Bank, Military expenditure at current USD in India, China, and Indonesia has increased from US$33.002, US$86.36, US$3.232 billion in 2008 to US$66.51, US$249.99, and US$7.43 billion by the end of 2018. Along with this, the rapid investments and expansions in these industries are also projected to positively impact the global additive manufacturing market. This increase adoption of additive manufacturing in core manufacturing processes has also resulted in an increased demand for more dependable materials, in the form of metals, which are estimated to see a staggering rise in demand in the coming years. Thermoplastics, which were the go-to material for additive manufacturing in the early days of the technology are still witnessing decent demand, however, the global outlook towards a reduction in the use of plastics is assessed to be a major concern for this segment’s demand.
Additive manufacturing technologies such as Binder Jetting is a relatively new 3D printing technology which utilizes a liquid-based binder material and a powder building material for the 3D additive process. In addition, the rapid advancements in technology and its increasing utilization by multiple players in the market are estimated to boost its demand in the coming years. In December 2017, General Electric Additive released the first image of a binder jetting technology-based additive machine (project name H1), with its plans to include further iterations of the product by early 2018 and start the shipping of the products by mid-2018. In addition to this, there are rapid advancements in the materials for 3D printing for binder jetting technology, which is thus estimated to further strengthen the growth of the binder jetting technology market in the coming years. In September 2019, Digital Metal announced the availability of its two new superalloys for its DM P2500 binder jetting platform which are considered as one of the latest and most advanced technologies in the market.
Source: The World Bank, Knowledge Sourcing Intelligence Analysis
On the basis of material type, the additive manufacturing market is segmented as metals, thermoplastics, ceramics, and glass. Thermoplastics are estimated to hold a noteworthy share in the market owing to its early adoption and easier availability. The rapid advancements in the field of metals for additive manufacturing are estimated to shoot its demand in the years to come. Ceramics and glass additive manufacturing are also estimated to hold a good share and grow at a decent pace during the forecast period. Metals are a commonly used material in additive manufacturing owing to its increased versatility and chemical properties allowing it to be used across multiple industries such as automotive, aerospace and defense, and construction, among others. The demand for metal-based additive manufacturing is estimated to increase in the coming years on account of rising applications of additive manufacturing in multiple industries to manufacture working prototypes and tools. In November 2019, Volkswagen announced that the company, alongside with GNK and HP, 3D printed 10,000 metal parts for the automotive sector with the help of HP’s Metal Jet System. In addition to this, the rapid advancements in the field of metal additive manufacturing, such as the introduction of new materials and technology are estimated to shoot this demand further during the forecast period.
For example, in November 2019, 6K, formerly known as Amastan Technologies, a leading producer of advanced materials for use in additive manufacturing, and other industries, announced their new premium additive manufacturing ready metal powders, which will be shown at FormNext in Frankfurt, in November. Furthermore, rising investments in the field of metal additive manufacturing are also estimated to further widen the scope of this market in the years to come. In October 2019, UK’s Manufacturing Technology Center opened its new metal additive manufacturing hub in Coventry, England. Similarly, in the same month, US-based Remet Metal Labs also opened a metal additive manufacturing laboratory for the production of prototype parts in Poland. Moreover, the entry of newer market players in the metal additive manufacturing market is further estimated to fuel the growth of this segment in the years to come. In November 2019, Alpha Laser GmbH, a mobile laser welding and cladding machine manufacturer, entered the additive manufacturing industry with the launch of its AL3D-Metal additive manufacturing system.
Key players in the field are asserting their dominance through major investments towards expansion, mergers and acquisition, product launches, and more. Furthermore, technological advancements in the field and the rapid rise in the demand for additive manufacturing has also resulted in the entry of multiple new players in the field. However, the market is still estimated to be dominated by older players, with only breakthrough technologies leaving a significant mark on the market.
Refrigerated Truck Market – Cold Chain Logistics Is on Fire
Thought ArticlesIndustries such as fruits and vegetables, dairy, chemical, and pharmaceuticals among others are critically dependent of the cold supply chain solutions. Refrigerated trucks ensure that the food is fresh by inhibiting the growth of bacteria while keeping the internal health standards. These trucks are used in the transportation of chilled food, seafood, vegetables and fruits. In addition, some refrigerated trucks also have a temperature control function, which allows to adjust the temperature according to the specific requirements of the commodity being transported in order to achieve the best fresh effect. These refrigerated trucks are also used to store and transport drugs and medicines as well as different chemical products since these need to be at a lower temperature to ensure their efficacy. These vehicles need to go through disinfection before they can be loaded with the good that needs to be transported in order to achieve the preservation of quality.
Rising purchasing power and living standards have boosted the demand for convenient food and beverage products. As the working population is growing rapidly, people are tend to consume packed food and beverage items that are easy to make and consume less time. As a result, food and beverage manufacturers are also continuously expanding their product portfolio to keep up with the intense competition in this industry. With globalization, global trade volume of perishable and temperature-sensitive food and beverage products is also booming at a tremendous rate which is constantly driving the growth of cold chain logistics sector. Thus, growing middle class population, combined with mushrooming global trade volume, is one of the prime drivers of global refrigerated truck market.
A flood of capital pouring into temperature-controlled logistics facilities have been witnessed in the past few years, with investors and buyers eager to snap up the facilities that support the food supply chain. Recent deals include:
With the booming popularity of online grocery shopping on account of proliferation of connected devices and increasing penetration of internet, customers are seeking same-day delivery of fresh food products which eventually escalates the demand for more and more cold-storage facilities and thus, more refrigerated trucks to transport these goods directly to consumers. The figure below shows the internet penetration as the percentage of population for the period 2012-2017:
Global Internet Penetration, Percentage of Population, 2012 to 2017
Source: The World Bank Group
Another major factor that is significantly driving these investments in cold chain logistics is the strict regulations and standards by governments and global organizations regarding the storage and transportation of perishable goods.There are also specific temperature requirements for certain categories of food products apply to food in order to eliminate the growth of pathogenic micro-organisms or the formation of toxins. Growing concerns regarding consumer health is pressurizing food and beverage companies to opt for efficient cold supply chain solutions and services. This, in turn, is positively impacting the global refrigerated truck market growth.
Global companies across chemical and pharmaceutical industries are investing heavily in the expansion of their R&D as well as production facilities so as to better serve their customers in different locations. In Germany, more than 60 per cent of chemical companies are involved in research activities, with R&D spending exceeds €11 billion each year. According to CEFIC, chemicals, including pharmaceuticals, became the second-largest industry in Spain in 2018, accounting for 13.4 per cent of manufacturing gross product of the country. Supportive government policies and measures to boost the domestic R&D scale is further contributing the market growth. The leading biopharmaceutical analytical and bioanalytical contract solutions provider, SGS, announced the investment of €3.5 million for a two-phase expansion project at its laboratory in Poitiers (France) in December 2018, implementing a 50 per cent increase in bioanalytical capabilities at the site by 2020. The UK government has also recently announced to increase its investment in R&D to £22 billion annually by 2024-25, almost doubling the £11.4 billion spent in 2020.
European Union (Eu-28) Trade-In Chemicals, Eur Billion, 2010-2018
Source: EUROSTAT
The above figure depicts the trade value of EU-28 for the period 2010-2018 across the chemical sector. According to the EUROSTAT, the region was the largest exporter of chemical products in the world and the second largest importer after the United States in 2018. Also, the United States and Switzerland were the largest partners of the EU-28 for both imports and exports of chemicals in the same year. With ongoing rise in the chemical trade, the corresponding rise in the demand for safe and efficient refrigerated trucks will continue to bolster the overall market growth during the forecast period.
The recent global pandemic outbreak caused by the coronavirus has brought the global economy to a near standstill. As geographic borders has been closed, the cold chain logistics has also felt the hit. However, the increased production across chemical and pharmaceutical industries to deliver disinfectants and medicines in order to combat with this disease has somehow reduced the negative impact on the market growth. Moreover, a sudden rise in the growth of online grocery sales in order to curtail the transmission of COVID-19 has further brightened the market outlook for refrigerated trucks in both short and medium term.
ABOUT THE AUTHOR:
Anjali Joshi is a senior market research analyst at Knowledge Sourcing Intelligence. She oversees a team of analysts and is known for the quality of market intelligence she delivers to the clients which range from start-ups and Non-profit Organizations to Fortune 500 companies. Anjali’s keen understanding of international business and market dynamics, coupled with her years of experience working in this industry, allows her to analyse current and future trends across both global and clients’ target markets and help them in making informed decisions.
Automotive Sensors Market: A Brief Overview
Thought ArticlesOver the past few decades, the global automotive sector has been seen undergoing a continuous process of evolution. This evolution has been in every aspect of this sector stretching from automotive performance to automotive design. Industry players have been funnelling huge investments into research and development in order to keep their innovation engine running and develop better performance and better design-vehicles. The result of these innovations is not only enhanced comfort and safety as compared to earlier designs, but also improving profit margins for automakers. This evolution is changing the way people see passenger cars and commercial vehicles, both light and heavy. For a fairly long period of time, people sought vehicles with good fuel economy and some required features, and which fit well into people’s budget. However, this approach of people to find a good vehicle is losing traction. People, now, look for vehicles which offer a high degree of automation, which adds to the overall safety of the passengers, and high degree of comfort.
The automotive sensors market growth is tightly tied to the growth of automotive industry which has somewhat flattened over the past couple of years. Although revenues for automakers from vehicle sales are witnessing a continuous decline in many countries worldwide, the automotive sensors market still continues to have a fairly strong hold in the landscape. According to the information from the International Organization of Motor Vehicle Manufacturers (OICA), sales of vehicles slipped for two consecutive years in 2018 and 2019. A consecutive decline like this was witnessed when the global recession kicked in in 2007. The recession squeezed the liquidity out of the market and severely impacted people’s spending capacity which led to a drop in sales of vehicles. The automotive sector is witnessing another downturn now and the onset can be market to the year 2018. The trend is clear from the figure given below:
Global Automotive Sales, 2006 to 2019
Source: International Organization of Motor Vehicle Manufacturers
When the big recession started about a decade ago, a blow to spending power of people led to a continuous drop in automotive sales in 2008 and 2009. However, this time, this downturn in worldwide vehicle sales is not because of inability of customers to pay for them, but because there is already a fairly high penetration of vehicles in many countries. North America and Europe, which have some of the most developed economies in the world, have been witnessing a huge impact of this factor. Since disposable income of people in developed economies across these regions is high, their standard of living is also high. With many households already having at least one vehicle, the demand for new vehicles among them is declining. But, this is not as bad as it looks like, since the broader picture shows some benefits of presence of a large number of vehicles on road on the growth of automotive industry. Although automotive sensors are designed in a way that allows them to withstand harsh environmental conditions, the number of vehicles being taken to workshops for sensor replacement is increasing. Parking sensors, for instance, need replacement in the event of the vehicle suffering a collision from the side sensors are installed on. Since all the sensors in the array are configured in a way that malfunctioning of one might hinder the performance of the other, replacement of these sensors often involves replacement of the complete array. As internet penetration continues to increase, and businesses continue to expand to online channels, growth of companies which offer vehicle maintenance on demand is becoming robust. Rapid growth of this market, on account of lucrative offers by vendors, is increasing the number of vehicle repairs performed each year. This is boosting the demand for automotive parts, thus contributing to the growth of automotive sensors market.
However, continuously declining automotive production in many regions across the globe has been hindering the growth of this market. The global production of vehicles declined in two years in a row. The decline in vehicle production in years 2018 and 2019 was the first of its kind in this decade. The figure given below shows a data from the International Organization of Motor Vehicle Manufacturers, which shows the trend:
Global Automotive Production, 2011 to 2019
Source: International Organization of Motor Vehicle Manufacturers
While this decline was caused by shrinking automotive sales in many countries, the COVID-19 pandemic in 2020 has given another hit to the automotive sector. Disruptions in local and global supply chains, due to nationwide lockdowns in many parts of the world and closing of borders by many countries, have brought many manufacturing facilities to a temporarily halt. Declining production of vehicles is shrinking with it the demand for automotive sensors, thus restraining the market growth. Yet, increasing flow of investments into electric and hybrid vehicles in many parts of the world is expected to fuel the market growth to some extent. Players across many countries are seeking to tap the potential these new markets hold. According to a data from the German Association of the Automotive Industry (VDA), automotive industry in Germany accounts for more than one-third of total spending in R&D in automotive sector globally. This industry in Germany employs more than one-fourth of the total R&D workforce in Germany. With around one-third of all patents for electric mobility and hybrid drives filed worldwide coming from Germany, and increasing number of trials of self-driven cars being conducted, German automakers are expected to bring a good number of advanced mobility options on road over the next few years. As many other countries like China, Japan, South Korea, India, the United States, Spain and Italy among others are showing a continuous growth in this new landscape, the market for automotive sensors seems promising over the next five years.
About the Author:
Dhiraj Kumar Sharma is a Market Research Analyst at Knowledge Sourcing Intelligence. He combines his outright understanding of technologies with years of experience working in the industry to deliver actionable information to clients who span across industries and geographies. Dhiraj often works closely with clients in order to better understand their requirements and is known for the quality of market insights he delivers to them.
3d Scanner: The Real-World Analysis Tool
BlogThe emerging demand for understanding the real-world scenario has led to the adoption of 3D scanners. Through the 3D scanning technology, these devices allow the creation of high-precision 3D models of the existing objects. 3D scanners take multiple snapshots of an object and then assemble them to develop the exact copy in a three-dimensional format.
Thus, 3D scanning helps in the measurement of finer details and is in high demand for inspection of contoured surfaces and complicated geometries requiring huge amounts of data for accurate description. Such precise measurements are almost impossible by utilizing traditional measurement methods. The growing demand of these scanners across various end-use applications is augmenting the 3D scanner market growth.
Archeology and Heritage
3D scanning technologies have gained wide popularity in heritage conservation. The emerging concept of digital preservation where 3D scanning is utilized by combining digital film and photography for building a complete image of a structure is propelling the market growth in this segment. The technology assists archeologists to view a site and digitally construct so as to have a look of the ancient structure as it would have been hundreds or thousands of years ago. Several organizations round the world are making use of 3D laser scanning for site survey in various parts of the world. The use of digital scans for restoration of buildings is quite common where 3D scanning along with modeling, and analysis is done for structures that are still standing. The analysis is then used for determining the structural and physical relationships to the current absent elements. 3D scanning helps in checking the structural and physical conditions and assists in analyzing the possible effects of weather, pollution, or footfall. This has further helped conservationists to gather relevant measures in place and contribute to the development of replicas of places or items through the digital information. As part of the restoration process, these replicas can be viewed in place of an original artifact or set within a structure. In addition, designing of new and sustainable buildings is also possible using 3D scanners.
3D Scanners for Crime Scene Investigation
3D scanning is gaining grounds in forensics owing to the portability, flexibility, and accuracy of the advanced 3D scanners. Through technological innovations, portable scanners are capable of providing detailed analysis of indoors and outdoors. It has made the collection of forensic data easier. The technology in comparison to the traditional methods are able to collect data in minutes. The findings and conclusions that are based on 3D scanned information are reliable and presented in court in the form of evidence, additionally, they are used by the insurance companies as well.
3D laser scanners are becoming investigative tools and can be found in various areas of public health and justice. They are also used for blood stain pattern analysis, reconstruction of a shooting incident, traffic collision, and other related crime scene collection and reconstruction purposes.
FARO Technologies, Inc. manufactures 3D scanners for forensic applications. The company’s 3D laser scanners are capable of providing critical evidences by capturing the entire scene. The products use laser scanning for capturing millions of data points known as 3D point cloud. This point cloud offers an accurate 3D representation of the proofs such as skid marks, vehicle positions or charring patterns and many more. Products include FocusS 350/350 Plus for long-range measurements ranging up to 350 meters, FocusS 150/150 Plus for measuring mid-range up to 150 meters, and FocusS 70 for short-range measurements up to 70 meters. The scanners are ultraportable.
3D Scanners Contribution to the Healthcare Industry
The medical industry is highly benefitted by the integration of 3D scanning technology for carrying out various operations within the healthcare facility. The 3D scanners market growth is further supported by the growing trend of personalized solutions in the industry. These scanners have been utilized for biomedical research and patient-care applications. The speed and accuracy, in addition to the safety aspects of 3D scanners are contributing to its acceptance in the medical field. The scanners, available in the form of stationary or portable/handheld devices are capable of providing a quick complete body scan. The obtained data can be utilized for carrying out research or monitoring changes in body measurement, before and after a medical procedure. Through 3D scanning technology, it is now possible to make customized healthcare solutions like implants, prostheses, and personalized medical equipment faster. The required information can be easily captured by a 3D scanner and is processed by a specialized 3D software. The image with exact specifications is sent for manufacturing.
Significant collaborations among the companies for increasing patient-care via 3D scanning is fueling the market growth. In 2017, the German healthcare company, Otto Bock HealthCare GmbH entered into a partnership with Creaform, the manufacturer of portable 3D measurement solutions. The signing of the original equipment manufacturing agreement among the two companies is geared to utilize Creaform HCP 3D scanner and become a part of the Otto Bock’s 3D Design system. The design system is further poised to gain benefit through the integration of the Creaform HCP 3D scanner for delivering faster and accurate scans. In addition, the scanner will enable the non-contact scanning of the patient limbs and will be able to replace messy and difficult plaster castings, thus, contributing to enhancing patient comfort. The high scanning speed will further help in ensuring shorter consultation times and minimizing longer waiting time of patients, hence, it will also encourage the treatment of a greater number of patients in a day.
3D Scanners Gaining Significance in the Education Sector
3D scanners have started gaining attention in the area of education. Through the use of sculpting clay or similar medium, it is possible for students with minimum or no 3D CAD modelling skills to create and print completely unique 3D models that are near unachievable for producing through software only. The introduction of 3D scanning in education is aimed towards bringing an up-to-date model of learning that are capable of enhancing the knowledge and skills of the students of the modern era.
The Urban World Loves to Groom Its Pets
BlogPet grooming refers to the sanitary care and cleaning of a pet, as well as it involves a process by which a pet’s physical appearance is intensified by their owners. It involves all the products ranging from shampoo & conditioners to clippers & scissors. The availability of various high-quality products coupled with the growing number of product launches by major market players is also boosting the growth of the market over the forecast period. Also, today there is an increasing number of pet grooming institutes and schools in various parts of the world and even manufacturers and retailers are investing in product innovation, customization, and product line expansion to cater to the growing demand from pet lovers globally. Furthermore, pet grooming companies are trying innovative new products like deodorants, pet’s sunscreen, and other cosmetics products which further boost the product offerings thus propelling the market growth opportunities in the coming years. However, lack of knowledge and awareness about the information about the use of specific or specialized pet grooming products for the training and other purposes among the customers around the globe is expected to restraint the growth of the pet grooming market over the forecast period.
Growing Pet Humanization
When it comes to pets, humanization is considered as the attribution of human thoughts, feelings, and beliefs of non-human animals which is growing day by day. Today pet owners are increasingly treating their pets like members of their family and with the growing trend of the nuclear family in various economies, this concern is further increasing. Additionally, treating their pets as the family members there is also an increase in the demand for insurance of pets for a more stable and secure life. Therefore, pet humanization is considered as one of the prime driving forces for the growth of the pet grooming market. Owners with more involvement with their pets are expected to seek care from veterinarians more frequently and are less sensitive to the cost involved. According to the American Pet Products Association (APPA) in 2017 total spending on pets in America has reached nearly $69.35 billion. With the increase in the level of disposable income, the adoption of pets has also increasingly affected the market for pet's food directly which can impact the whole pet specific food and beverage industry. Providing proper and safe diet also increases the life span of the pets which further drives the growth of the market.
Premium Products Getting Popularity
The growth of organic products attributed to the growing inclination towards organic products including shampoo and conditioners production in various parts of the world on account of rising support by the private sector. Furthermore, the various government initiatives regarding the promotion of organic products have also led to the implementation of various directives and standards by the Food Standards Ministry of Agriculture and Cooperatives (in Thailand), regarding the promotion of organic-based products. Also, the increasing concerns regarding the health of animals are projected to be one of the key factors that are expected to drive the adoption of organic and advance grooming products.
The United States Holds a Substantial Share in the Pet Grooming Industry
According to the latest report by American Pet Products Association and Insurance Information Institute, Inc. the basic annual expenses for grooming aids of dogs and cats in 2019-2020 is around $73 and 43$ respectively.
Source: American Pet Products Association, Insurance Information Institute, Inc, Knowledge Sourcing Intelligence Analysis
In addition, increasing the propensity of pet owners toward buying pet grooming and training products coupled with the growing number of natural and eco-friendly products is opening the growth opportunities for manufacturers and vendors during the forecast period. An increasing number of pets events, shows and competition are attracting major consumers to spend more on their pets grooming activities which is also boosting the growth of the pet grooming market in the coming years. For instance, in the United Kingdom, a significant number of dogs festival were organized in 2019 making it a place of attraction for both pet owners and pet products manufacturers.
By distribution channel, the online source of sales channel for pet grooming products is projected to exhibit the highest CAGR over the forecast period owing to increasing penetration of smart devices and the internet in developing countries like Indonesia and India. Also, an increasing range of new and advanced products coupled with the rising customer loyalty through subscription and bonus/incentive programs are expected to drive the growth of the online channel segment.
Regional Analysis
North America and the European region are expected to hold the largest share in 2019 owing to the high adoption of street dogs and other pets coupled with the growing pet humanization. For instance, according to Pet Leadership Council, a significant amount of U.S. households has a dog and this share is s likely to increase in the coming years. Rising concerns over the protection of pets from the skin and other health allergies are driving the growth of the market in the region over the forecast period. In addition, Asia Pacific region is estimated to witness the substantial growth rate during the forecast period owing to rapid urbanization, the growing trend of nuclear families, coupled with the changing perception towards animals like dogs and cats among others, resulting in growth in the pet adoption rates in emerging countries like China and India.
Recent Updates
February 2020, Kane Biotech Inc a biotechnology company announced the launch of its silkstemTM (scientifically formulated anti-itch shampoo for dogs and cats) at the Global Pet Expo taking place at Orlando, Florida famous Orange County Convention Center.
February 2019, global leading haircare brand, MONAT, launched new dog shampoo and deodorizing spray A BREED APART™, which is a natural lightweight shampoo specifically formulated for a dog’s skin. The product can remove dirt and grime, giving the pet a fresh, clean, velvety coat of fur.
Smart Hospitality Market: Entering a New Era of Hospitality
BlogThe global hospitality sector has, for long, been undergoing a continuous transformation and this transformation is picking up even more pace as societies continue to welcome the fusion of different cultures into them. Cultures from the eastern world and the western world can be seen blending into what we, today, call as a modern society. From the way people live, to the way they eat, drink, socialize and interact with other elements of the modern ecosystem, societies are witnessing a continuous evolution on all key fronts. The pace at which this modernization of societies is taking place can be deduced from the pace at which urbanization is increasing worldwide. It is interesting to see how people’s desire to become a part of modern society is driving the urbanization engine worldwide. The figure given below shows the urbanization trend at a global level:
Global Urban Population, % of Total Population
Source: The World Bank Group
Clearly, the drift of people from rural areas towards urban areas does not seem to stop any time soon and this drift is being fuelled by people’s perception about urban localities. People believe urban areas can offer them a better standard of living by improving the access they have to basic amenities and by offering them enough opportunities to boost both their professional and personal growth. As urbanization continues, and trends continue to change, players across hospitality sector can be seen putting in efforts to evolve their offerings. Since the growth of this sector is very closely aligned to the degree of comfort and cost-effectiveness players across this sector offer to customers, any change in societies reflects in the offerings by hospitality providers. Smart hospitality is a relatively new practice which involves the incorporation of technology into various aspects of hospitality in order to provide customers a better experience. The smart hospitality market growth is majorly attributed to rapid growth of tourism sector across the globe. The figure given below shows the increase in the number of international tourist departures from countries worldwide over the years:
Global International Tourism, Number of Arrivals, in Billion
Source: The World Bank Group
This continuous increase in the number of international tourist arrivals is partially attributed to continuous efforts by many governments into strengthening their tourism sector.The government of Indonesia, for instance, is working towards making the country a more attractive tourist destination for travellers from high income countries and this focus of the government is visible through the initiatives being taken by it to meet this goal. For instance, in December, 2019, the government announced its focus on attracting tourists from European countries following a decline in the number of visitors from China on account of China’s ongoing trade war with the United States. While this is just one example, many other countries across the globe, which hold enough growth potential in their tourism sector, can be seen working rigorously towards strengthening this sector. As this continues, hospitality players are increasing the flow of investments into advanced technologies in order to offer high degree of comfort and satisfaction to their customers. Smart hospitality solutions use technologies like Internet of Things (IoT) and Artificial Intelligence (AI) to enhance their comfort and safety. Since these two parameters are very critical for the business growth of hospitality providers, many companies are adopting smart hospitality solutions across their businesses. Hilton, for instance, one of the key hotel chains in the United States, delivers smart, hyper-personalized hotel rooms to its customers.
The company spent more than US$100 million to develop and install a digital key technology that allows guests to open their rooms with their smartphones. This might seem a small functionality to some customers but adds significantly to the security, convenience and thus, to the overall customer satisfaction. Success stories like these are influencing many other players to adopt solutions like these in their hotels or other such establishments. This is fuelling the demand for smart hospitality solutions and services, thus driving the market growth. Since this market still holds immense growth potential, many smart hospitality companies are engaging in partnerships and other growth strategies to diversify their product portfolio so as to expand their market reach. In 2018, the creator of the speech-enabled device built for hotels, Roxy, partnered with leading provider of smart home solutions, Control4 to allow hotel guests to use their voice to adjust room controls including lights, thermostat, and blinds. This trend can be seen in other parts of the world as well. The growth of this business is also attributed to continuous advancements in technologies. As Internet of Things and Artificial Intelligence continue to become even more advanced, their penetration is not confined to some specific sectors. As their know-how continues to increase, these technologies are breaking the walls and penetrating into every sector across the globe. The adoption of these technologies across sectors like hospitality is also being fuelled by improving affordability of these technologies. Availability of enough skilled workforce, and presence of a large number of vendors offering everything from hardware and software to professional and managed services is making these technologies easily accessible for various customers. This is fuelling the shift towards smart hospitality, thus augmenting the market growth.
Geographically, the report, titled Smart Hospitality Market, from Knowledge Sourcing Intelligence, segments the market into North America, South America, Europe, Middle East and Africa, and Asia Pacific. To give a clearer view of the market, these regional markets have been further segmented into countries which account for a significant share in the market. North America and Europe account for a major market share while the Asia Pacific smart hospitality market is expected to show a higher growth over the next five years.
About the Author:
Dhiraj Kumar Sharma is a Market Research Analyst at Knowledge Sourcing Intelligence. He combines his outright understanding of technologies with years of experience working in the industry to deliver actionable information to clients who span across industries and geographies. Dhiraj often works closely with clients in order to better understand their requirements and is known for the quality of market insights he delivers to them.
Additive Manufacturing Market Trend – Changing Tomorrow’s Manufacturing Landscape
Thought ArticlesAlso known as 3-dimensional printing, additive manufacturing (AM) is the process of creating three-dimensional (3D) objects in a layer based on data that is derived from CAD. Over the last few decades, AM has undergone an explosively swift evolution that has led to a transition from making basic models which are also better known as rapid prototyping through the ability to carry out near-net-shape processes to execute the production of objects with complex shapes ultimately being integrated to conventional production methods. The factor that is determinative in driving the anticipated growth of the market is the reduction of lead time and minimizing the cost of production.
The other driver that forms as the basis of all other benefits is continuous investments in additive manufacturing technology that has rendered the manufacturing of metal components with high tensile strength and which are complex in shape practicable, enabling its utilization in a range of engineering applications, among others. There are quite a few techniques pertaining to AM that has been thus far developed, among them the noteworthy mentions are digital light processing (DLP), electron-beam melting (EBM), fused deposition modeling (FDM), selective laser melting (SLM), stereolithography (SLA), among others. Since the system incorporates the layer-by-layer process, it is possible to efficaciously create geometrically complex prototypes and products in relatively smaller quantities. Therefore, applications that are customized, complex, high value, time-sensitive application Viz. automobile and aerospace parts (complex designs), broken part replacement (time-sensitive), and medical implants (highly customized Viz. hip joints replacement) are best served by AM.
The other factors that are conducive to the sustenance of the additive manufacturing market are the increased incidence of customer co-creating whereby the manufacturers are gaining better clarity on ways to leveraging the opportunities of supply chain reduction and inventory minimization by either producing the needful close to the production point where the requirement for the same is expected to arise. Another advantage is crowdsourcing, in case design resources and engineering divisions are not co-located or in the stray event of not being connected, or if the organizations are hard-pressed for time and involved in other deliverables. It has emerged as a viable means through which an organization can effectively capitalize on the opportunities, which arise from the aspect of democratization of technological applications.
One recent example of the aforementioned is an announcement made, in April 2020, by Volkswagen AG (ETR: VOW) which invited upcoming automotive designers and professional to upload their designs on their own Instagram profile and tag images with the #VolkswagenDesign2050 hashtag, whereby their uploaded design will be automatically entered in the competition. The goal of the challenge is to generate 3D printable ideas for automotive parts intended for the VW ID Buzz that will create added value for the customer through function, aesthetics, comfort, and/or customizability, necessitating a customer-centric approach. Thereafter 3 designs will be shortlisted by the executive director of Volkswagen Design among which the winning design will be printed. Further, the third driving factor is that of the sustainable production process, in other words with an additive manufacturing facility located close to the manufacturing line the cost of transportation is significantly reduced as well as due to the creation of lightweight parts.
Titanium and Articles Thereof, N.E.S.; Titanium Waste and Scrap (Excluding Ash and Residues Containing Titanium), Global Imports
Source: International Trade Centre
In thousands of US$
Metal AM segment is expected to be occupy a significant market share since its increasingly finding itself in a myriad of applications. Metal AM offers high-performance parts that are made out of a variety of materials aluminum, bronze, cobalt alloys, copper, gold, nickel alloys, palladium, platinum, silver, steel, titanium alloys, and tungsten, intended for high-value industries like healthcare aerospace, automotive, among others, empowering them to facilitate the fabrication of parts with complex geometries leading to a reduced material weight. Selective laser melting (SLM) and direct metal laser sintering (DMLS) are metal AM processes that have been used traditionally. As the industry further progresses and is subjected to a higher degree of R&D, metal 3D printing with powder bed fusion is increasingly becoming the mainstay of the additive manufacturing market. In view of the above, the segment of metal as AM material is anticipated to witness a meteoric growth during the next few years, which is evident from a select few developments in 2018, that have been elucidated below.
February – Collaboration
The world's largest aerospace company Boeing [NYSE: BA], and a leading technology and engineering group, Oerlikon [SWX: OERL] reportedly signed a 5-year collaboration agreement to facilitate the development of standard materials and processes for metal AM. Other objectives are:
April – Acquisition
Premium AEROTEC the German pioneer in metal 3D printing implementation for aviation and the first aviation supplier that was able to introduce 3D printed titanium components into the structure of aircraft had reportedly acquired APWORKS, the 3D print specialist, thereby reportedly making the latter’s eleven production units that utilize a wide variety of materials, among others, accessible to clients.
October – Completion of AM Metal Powder Production Facility Construction
A Canadian company that is known for designing, developing and manufacturing systems pertaining to plasma waste-to-energy as well as plasma torch called PyroGenesis Canada Inc. (TSX-V: PYR), had reportedly announced the completion of its state of the art AM metal powder production facility that will be reportedly dedicated to plasma atomized Ti6Al-4V powders production, primarily intended for aerospace and biomedical industries.
Another aspect that has the potential to influence this market of the semiconductor industry is the high initial investment which restricts it to a few big entities. Nevertheless, the proverbial every cloud has a silver lining is also applicable to this market as it had been evidenced by Desktop Metal™ a Massachusetts based unicorn that was founded in 2015,which had reportedly raised $65 million in funding led by Ford Motor Company (NYSE: F) and with participation from independently managed sovereign wealth fund called Future Fund aiming to make AM accessible to all engineers, designers, and manufacturers outside highly specialized industries, among others. The other aspect is that of labor of which there is a dearth and hence it’s an expensive component of the AM process because AM equipment won’t function just by a push of a button, it requires trained technicians to operate them, this makes it somewhat difficult for AM equipment to be accommodated into the existing manufacturing workflow. Nevertheless, just like mainframes had transitioned into desktop PCs decades ago the AM systems too are gradually transitioning from monolithic to a distributed setup, thereby driving the AM market to a new zenith.