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Global Airport Baggage Handling System Market to Reach US$ 6.8 Billion by 2027, Induced by New Standards Introduced by IATA

Published on Sep 12, 2019

According to the latest report by IMARC Group, titled “Airport Baggage Handling System Market: Global Industry Trends, Share, Size, Growth, Opportunity and Forecast 2022-2027”, the global airport baggage handling system market size reached US$ 3.3 Billion in 2021. Baggage handling refers to the procedure of transporting passenger luggage from the check-in counter at departure, onto the cargo hold of a plane, and ultimately to a collection point at the arrival. A baggage handling system (BHS) is designed to check weights of the bags, screen suitcases for security, balance loads, count bags, automatically read bag information and carry the luggage through the conveyor belt system. BHS consists of various automated technologies to move the bags from one end to another, including automatic scanners to scan the labels; conveyors equipped with sorting machines and junctions to route bags to the gate; and unmanned carts, called destination-coded vehicles (DCVs), which can load and unload luggage without stopping.

Global Airport Baggage Handling System Market Trends:

In recent years, an increase in the number of passengers has led to the escalating demand for improved baggage handling processes and systems at airports. In 2019, the International Air Transport Association (IATA) introduced new baggage handling standards to help in minimizing the potential for luggage mishandling. It has implemented the global deployment of Radio Frequency Identification (RFID) tags for tracking baggage and introduced baggage messaging standards to track passengers’ baggage in real-time across crucial points in the journey. Besides this, numerous airports are currently being renovated and their baggage handling capacity is being increased to accommodate the overflow of passengers. For instance, in May 2019, the Netherlands-based logistics automation company, Vanderlande, was awarded the contract to upgrade the BHS at Brussels Airport. The improvements will enable the airport to handle the projected growth in footfall within the next 25 years. The company will replace the existing conventional BHS with its TUBTRAX technology, which offers a combination of new hold baggage screening (HBS) machines that comply with the current EU Standard 3 regulations. Attributing to the aforementioned factors, the market is expected to grow at CAGR of 11% during 2022-2027, reaching a value of US$ 6.8 Billion by 2027.

Market Summary:

  • The report has analyzed the market according to the identification technology, which consists of the barcode and RFID systems. Currently, the barcode system is the most popular technology used for the identification of baggage.
  • The market has been segmented on the basis of the airport class into Class A, Class B and Class C airports. Amongst these, Class A airports represent the largest segment.
  • On the basis of the service type, the market has been segregated into the assisted- and self-service bag check-ins. Presently, the assisted-service bag check-in is most preferred by travelers.
  • Based on the type, the market has been bifurcated into conveyor systems and destination coded vehicles. At present, conveyor systems exhibit a clear dominance in the market.
  • Based on the efficiency, the market has been segmented into the below 3000, 3000 to 6000, and above 6000 segments.
  • The market has been categorized based on the cost analysis, which mainly includes operational and installation cost analysis.
  • On the geographical front, the market has been divided into North America, Europe, Asia Pacific, Middle East and Africa, and Latin America. Amongst these, Asia Pacific represents the biggest market, accounting for the majority of the total market share.
  • The competitive landscape of the market has also been examined with some of the key players being Siemens AG, Vanderlande Industries, Daifuku Co., Ltd., Pteris Global Limited, Beumer Group, Fives Group, G&S Airport Conveyor, Grenzebach Maschinenbau GmbH, BCS Group, Logplan LLC, Glidepath Limited, Ansir Systems, Babcock International Group PLC, and SITA Group.


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