Warewashing Equipment Market Size

Warewashing Equipment Market Size

Warewashing Equipment Market size was valued at over USD 3 billion in 2020 and is expected to grow at a CAGR of 4.5% between 2021 and 2027. The market data displays a strong growth potential for warewashing equipment due to growing awareness among end-users associated with the cleanliness of the wares.

Warewashing systems or machines, such as dishwashers, glasswashers, boosters, sinks, and others, are used in kitchens for cleaning wares and dishes. The equipment reduces the manual work and enhances the overall cleaning process using different solutions, such as detergents, sanitizers, and rinse aids, to eliminate dirt and germs on the dishes.
 

The increasing number of full-service restaurants and hotels across the globe is contributing to the rising demand for warewashing equipment. According to the National Restaurant Association (NRA), in 2019, the restaurant industry sales reached approximately USD 863 billion in the U.S., providing an impetus to the warewashing equipment growth. Warewashing equipment is primarily used in restaurants & food joints to clean utensils and other kitchen equipment. The use of professionally-designed and efficient cleaning equipment mitigates the growth of bacteria, germs and ensures that utensils are safe and sterile to be reused, driving the market growth.
 

The growing trend of adopting sustainable business practices by hotels and restaurants across different regions worldwide is fueling the market expansion. Independent operators and large restaurant chains are focusing on reducing their energy and water consumption significantly. The use of efficient kitchen equipment is increasingly becoming a part of restaurant policies and standard operating procedures. The government policies and regulations are also playing a vital role in impelling the warewashing equipment.
 

One of the major factors hampering the industry growth in the growing economies including India, South Korea, and Indonesia is the presence of inexpensive labor. The small and medium size hotels hire labor at low cost to clean the dishes and other utensils due to high initial investments in warewashing equipment. To overcome the cost issue, industry players are investing in R&D to reduce the overall cost of equipment, which is expected to spur the market during the forecast timeline.
 

The warewashing equipment market across the globe witnessed a slowdown in 2020, owing to the impact of the pandemic on the food equipment and electronics industry. The sluggish growth in the market can be credited to the heavily impacted manufacturing capabilities of equipment and appliance manufacturing companies, component providers, and disruptions in supply chain during the first two quarters of 2020. The decreasing purchasing power of end-users of warewashing equipment is also one of the major factors responsible for the market slowdown.