New Report Reveals Next-Gen Tech Driving Major Growth in Australian Food Processing

Global management consulting firm IMARC Group has released a new report that attributes next-generation technology as a key driver behind the predicted growth of Australia’s food processing market, which is forecast to reach AUD 286.5 billion by 2033. This represents a compound annual growth rate of 5.40%, which is a significant leap for one of the nation’s largest sectors.

Rising demand and innovation driving change

Supporting this growth is increasing consumer demand for convenience and healthier products, significant technological advancements, innovations in packaging, rising export opportunities, and a stronger industry focus on sustainability and food safety. As Australian food processors aim to compete globally, investment in advanced technologies has become essential.

Smarter tools for smarter operations

With these advancements, food processing firms are actively investing in solutions that enhance efficiency, product quality, and cost-effectiveness. Innovations such as automation, AI-driven data analytics, and smart processing technologies are not only improving production speed and product consistency but also raising the bar for food safety and compliance.

Industry experts back AI investment

Simon Jupe, Managing Director, APAC of inventory management software platform Fishbowl, says that with the rise of AI-powered forecasting and automation, the timing is ripe for businesses to transition from outdated systems to tools that can unlock greater growth potential.

“We’re seeing that very quickly, those food processing businesses who are exploring and adopting smarter inventory technology now are setting themselves up to lead in efficiency, agility, and long-term growth,” Simon said.

“While we’re all used to technologies evolving, AI is more of a leap forward. With our clients we’re already seeing significant financial and operational gains, not to mention improvements in business culture when everything runs more smoothly.”

Real benefits: cost savings and less waste

The IMARC report highlights examples of how technology can help businesses lower labour costs, cut stocktake variances, and even connect surplus food with consumers, helping to reduce the millions of tonnes of food waste generated in Australia each year.

“Good research will help business owners rise to the new challenge,” continued Simon. “The best AI tech has been building for a number of years and those who can already demonstrate great ROI can be distinguished from those at the early phases that may not be as cost effective.”

A case study: Coyo’s transformation

Simon notes that Fishbowl has seen firsthand how modern inventory systems deliver these benefits in the real world. Sunshine Coast-based COYO, known for its organic, dairy-free coconut yoghurt and ice cream, faced major growing pains as demand for its products soared nationwide. Managing perishable stock with spreadsheets alone was costing them thousands in wasted stock, delivery delays, and lost time.

“COYO’s story shows just how quickly manual systems can become a bottleneck for food processors,” said Simon. “They were losing time, stock, and money until they adopted Fishbowl to automate inventory and gain full traceability across their entire supply chain.

“By adopting Fishbowl, COYO transformed from battling manual errors to having complete traceability and streamlined workflows, freeing up their team to focus on innovation and national growth.

“Once businesses get past the initial change management hurdle and staff become comfortable with the new system, that’s when real transformation happens, through smoother running operations, lower costs, and improved profitability.”

Future-proofing the food sector

Simon believes the lesson for the sector is clear: “For any food or beverage business looking to grow, now is the time to act. Modern inventory tools like Fishbowl give you the precision, efficiency, and real-time insights that basic accounting software simply can’t deliver. If you want to future-proof your operations and stay ahead of competitors, this is the technology you can’t afford to ignore.”

Free resource for food processors:

To support business owners through this process, Fishbowl has developed a resource to help identify when it’s time for change and how to transition smoothly. Download “The Five Biggest Inventory Management Fails and How to Fix Them” to learn more.