Asia Pacific Industrial Dryers Market Report

Asia Pacific Industrial Dryers Market Size

The Asia Pacific Industrial dryers market was valued at USD 3.93 billion in 2024 and is anticipated to reach USD 4.20 billion in 2025 from USD 7.19 billion by 2033, growing at a CAGR of 6.95% during the forecast period from 2025 to 2033.

The industrial dryers are a wide range of drying technologies used across food processing, pharmaceuticals, chemicals, agriculture, and mineral extraction industries. These systems are essential for removing moisture from raw materials or end products to enhance shelf life, purity, and usability. According to the Food and Agriculture Organization (FAO), Asia accounts for over 40% of global agricultural production, making post-harvest drying an essential process for reducing spoilage and improving food security. In countries like Thailand and Vietnam, investments in drying infrastructure for rice, seafood, and fruits have surged to meet both domestic and export demands. The pharmaceutical industry’s expansion in India and China further drives the need for precision drying equipment.

MARKET DRIVERS

Growth in Agro-Processing Industries

One of the primary drivers of the Asia Pacific industrial dryers market is the rapid growth of agro-processing industries, particularly in countries with strong agricultural output such as India, Indonesia, and Vietnam. This has prompted governments and private investors to focus on modern drying technologies that can preserve perishable crops and improve supply chain efficiency. Industrial dryers such as fluidized bed and belt dryers are being adopted to meet export quality standards and reduce dependency on seasonal availability. Similarly, in Vietnam, the government-backed National Institute of Agricultural Engineering has supported the installation of solar-assisted drying systems for coffee and cashew nut processing. These initiatives align with broader efforts to enhance food security and value addition in the agricultural sector.

Expansion of the Chemical and Pharmaceutical Sectors

Another significant driver of the Asia Pacific industrial dryers market is the expanding chemical and pharmaceutical industries, which require precision drying equipment to maintain product consistency and regulatory compliance. Countries such as China, India, and South Korea have been investing heavily in local drug production and specialty chemical manufacturing to reduce import dependency and meet rising domestic and global demand.

According to the Chinese Pharmaceutical Association, domestic pharmaceutical output increased by 6.8% in 2023, driven by government incentives aimed at boosting generic drug manufacturing. Drying plays a crucial role in active pharmaceutical ingredient (API) formulation, tablet granulation, and lyophilization processes, where moisture control is paramount. In India, the Department of Pharmaceuticals reported that API production grew by 7.4% in 2023, reinforcing the need for advanced drying technologies such as fluidized bed dryers and vacuum dryers. Regulatory bodies like the Central Drugs Standard Control Organization (CDSCO) have enforced stricter Good Manufacturing Practice (GMP) norms, which are prompting manufacturers to upgrade their drying infrastructure. Additionally, the chemical industry in South Korea has seen a surge in polymer and resin production, necessitating efficient drying solutions.

MARKET RESTRAINTS

High Capital and Operational Costs

One of the most pressing constraints affecting the Asia Pacific industrial dryers market is the high initial capital required for acquiring advanced drying systems, along with elevated operational costs. Many small and medium-sized enterprises (SMEs) in the region lack access to sufficient financing and often operate under tight budgetary constraints, making it difficult to adopt modern, energy-efficient drying technologies. Additionally, energy prices in the region remain relatively high compared to global averages. The International Energy Agency (IEA) notes that industrial electricity prices in countries like Indonesia and the Philippines exceed USD 0.12 per kWh higher than the global average of USD 0.10 per kWh, which is further escalating the cost of operating industrial dryers. These financial barriers hinder the widespread integration of modern drying technologies in rural and semi-industrialized zones where infrastructure limitations already pose operational challenges.

Limited Technical Expertise and After-Sales Support

Another critical limitation restraining the industrial dryers market in the Asia Pacific region is the scarcity of technical expertise and inadequate after-sales service networks. The operation and maintenance of advanced drying systems require skilled personnel, which remains a challenge in many parts of the region. This shortage extends to specialized roles in process engineering, which are vital for optimizing dryer performance and ensuring system longevity. Additionally, multinational dryer manufacturers often face logistical difficulties in providing timely support services across remote locations in Southeast Asia. In India and China, while there is better access to trained engineers, there remains a reliance on expatriate labor for complex technical tasks, increasing operational costs. Local workforce training programs remain underdeveloped, which is limiting the ability of indigenous firms to independently manage sophisticated drying equipment.

MARKET OPPORTUNITIES

Adoption of Renewable Energy for Sustainable Drying Solutions

The integration of renewable energy sources into industrial drying processes presents a compelling opportunity for the Asia Pacific market. According to the International Renewable Energy Agency (IRENA), several countries in the region receive an average of 4.5–6.5 kWh/m²/day of solar radiation, making solar-assisted drying systems highly viable. India’s Ministry of New and Renewable Energy has launched initiatives to promote clean energy projects, including solar-powered drying units in tea, spice, and dairy processing plants.

Market Urbanization trends in the Asia Pacific region are driving a surge in demand for packaged and processed foods, presenting a lucrative opportunity for the industrial dryers market. As per the United Nations Department of Economic and Social Affairs (UN DESA), the urban population in Asia is expected to reach over 3 billion by 2030, representing nearly 60% of the total population. This demographic shift is reshaping consumer preferences toward convenience foods, requiring advanced drying technologies to ensure longer shelf life and enhanced food safety.

In cities such as Bangalore, Jakarta, and Ho Chi Minh City, supermarkets and organized retail chains are expanding rapidly, increasing the need for standardized food processing. The Economic and Social Commission for Asia and the Pacific (ESCAP) reports that packaged food sales in the region grew at a compound annual rate of 7.5% between 2018 and 2023, outpacing overall GDP growth.

Dried fruits, instant noodles, powdered milk, and dehydrated spices are among the fastest-growing product categories, all of which rely heavily on industrial dryers during production. For example, in Vietnam, per capita dairy consumption has risen steadily, and manufacturers are investing in spray drying systems to produce powdered milk efficiently.

Similarly, in Indonesia, food import dependency has prompted local authorities to promote domestic food processing capabilities. The Ministry of Industry notes that investments in food dehydration facilities have increased by nearly 14% since 2021.

MARKET CHALLENGES

Inconsistent Power Supply and Infrastructure Deficits

An ongoing challenge in the Asia Pacific industrial dryers market is the inconsistent power supply and underdeveloped infrastructure, particularly in rural and semi-urban areas. Industrial dryers, especially those used in large-scale operations, require stable and continuous energy inputs to function efficiently. However, frequent power outages and grid instability hinder consistent production cycles and increase maintenance costs. According to the World Bank’s Enterprise Survey, nearly 30% of manufacturing firms in Southeast Asia experience at least one power outage per month, leading to significant disruptions. In countries like the Philippines and Myanmar, unreliable electricity distribution forces many industries to rely on costly diesel generators, which escalate operational expenses and carbon footprint. Even in more developed markets such as China and South Korea, distribution inefficiencies persist. As reported by the International Energy Agency (IEA), aging transmission infrastructure contributes to an average of 8% energy loss across the region, impacting industrial productivity.

Stringent Regulatory Compliance and Quality Standards

The enforcement of stringent regulatory requirements and evolving quality standards poses a significant challenge for manufacturers and users of industrial dryers in the Asia Pacific region. As global trade expands and food safety regulations become more rigorous, local producers must align their drying processes with international benchmarks, adding complexity and cost to operations.

In China, the National Medical Products Administration (NMPA) mandates strict adherence to hygiene and residue control measures, particularly in dairy and spice processing, where drying plays a critical role. Non-compliance can result in production halts or export restrictions, impacting profitability. According to a Deloitte white paper, compliance with these evolving standards has increased capital expenditure for small-scale processors by up to 18%, limiting their competitive edge. Furthermore, the lack of centralized regulatory bodies in some ASEAN nations leads to fragmented enforcement, complicating cross-border trade and standardization efforts.

REPORT COVERAGE

SEGMENTAL ANALYSIS

By Type Insights

The rotary dryers segment was the largest and held 37.1% of the Asia Pacific industrial dryers market share in 2024. One key driver behind the prominence of rotary dryers is their adaptability to high-volume operations. Another critical factor is cost-effectiveness in operation and maintenance. Unlike more complex systems, rotary dryers offer relatively straightforward mechanical designs that reduce downtime and repair costs. Furthermore, in the cement industry, where raw materials must be dried before entering kilns, rotary dryers remain the preferred choice.

The fluidized bed dryers segment is projected to grow with a CAGR of 7.8% in the coming years. This rapid expansion reflects growing demand for precision drying in sectors such as pharmaceuticals, food processing, and specialty chemicals, where uniform heat distribution and product integrity are crucial. According to the Chinese Pharmaceutical Association, domestic pharmaceutical production in China increased by 6.9% in 2023, supported by government incentives aimed at reducing reliance on imports. Fluidized bed dryers are extensively used in API and tablet granulation processes due to their ability to provide controlled, gentle drying without compromising product quality. Additionally, the food processing industry's shift toward value-added products is fueling demand for fluidized bed technology. Moreover, advancements in modular and compact fluidized bed dryer designs have made them increasingly accessible to small and mid-sized processors. Companies like Glatt and Hosokawa Micron have expanded their presence in Thailand and Vietnam, offering tailored solutions that cater to local production needs.

By Application Insights

The Chemicals segment accounted in holding 35.2% of the Asia Pacific industrial dryers market share in 2024. A major driver behind the chemicals segment’s leading position is the strategic diversification of economies away from oil dependency in China and India. According to the China Petroleum and Chemical Industry Association, chemical output in the country grew by 6.2% in 2023, with significant investments in downstream processing. Drying plays a crucial role in ensuring product consistency and reducing moisture content, especially in coatings, agrochemicals, and synthetic resins.

The pharmaceuticals segment is expected to expand at a CAGR of 8.5% in the coming years. One of the key growth enablers is the expansion of domestic pharmaceutical production capacity, particularly in India and China. Drying plays a crucial role in the formulation of solid dosage forms, including tablets and capsules, where moisture control is essential for stability and efficacy. In addition, the World Health Organization (WHO) has been advocating for regional self-sufficiency in healthcare, encouraging greater investment in compliant production facilities equipped with modern drying equipment. Regulatory bodies such as the National Medical Products Administration (NMPA) and Central Drugs Standard Control Organization (CDSCO) are enforcing stricter Good Manufacturing Practice (GMP) standards, which are prompting pharmaceutical firms to upgrade their drying infrastructure. Furthermore, global pharmaceutical companies are establishing partnerships with local firms to enhance production capabilities. For instance, Novartis and Sanofi have entered joint ventures in India and China, respectively, to develop cost-effective drug formulations tailored to regional health needs.

By Product Insights

The direct dryers segment was the largest and held 43.2% of the Asia Pacific industrial dryers market share in 2024. Direct dryers typically utilize hot gases generated from combustion sources, making them highly suitable for industries requiring rapid evaporation of moisture. Additionally, the agro-industrial sector in Asia continues to rely heavily on direct dryers for processing commodities such as rice, cassava, and maize. As reported by the Food and Agriculture Organization (FAO), post-harvest losses in the region range between 2%and % –35%, which is prompting governments to invest in low-cost, high-throughput drying solutions.

The specialty dryers segment is likely to grow with an anticipated CAGR of 9.7% in the coming years. One of the primary growth drivers is the expansion of the pharmaceutical and biotechnology sectors, particularly in India and China. Specialty dryers play a crucial role in preserving heat-sensitive compounds during lyophilization and sterile processing. Another contributing factor is the growing demand for premium food products such as freeze-dried fruits, instant soups, and functional ingredients. The United Nations Economic and Social Commission for Asia and the Pacific (ESCAP) reports that processed food exports from the region grew by 7.9% annually between 2018 and 2023, with specialty dryers enabling longer shelf life and enhanced nutritional retention.

Furthermore, the adoption of green drying technologies is accelerating in response to sustainability mandates. As per a report by the United Nations Industrial Development Organization (UNIDO), transitioning to energy-efficient specialty dryers can reduce carbon emissions by up to 35% in selected food and pharma applications by aligning with regional climate goals.

COUNTRY ANALYSIS

industrial dryers market held 31.2% of the Asia Pacific industrial dryers market share in 2024. One of the key contributors to China’s market strength is the rapid expansion of its chemical and petrochemical industries. Industrial dryers are integral to polymer, resin, and fertilizer manufacturing processes, where moisture removal is essential for product consistency and quality. Additionally, the pharmaceutical sector is witnessing significant investment, supported by the National Medical Products Administration (NMPA), which recorded a 6.8% increase in domestic drug production in 2023. Drying technologies such as fluidized bed and vacuum dryers are increasingly adopted in API manufacturing and tablet formulation to meet international quality standards. Moreover, the agro-processing industry remains a major user of industrial dryers, particularly in dairy, tea, and fruit dehydration.

The industrials market is lucratively growing with prominent growth opportunities in the coming years. The Indian pharmaceutical industry is growing rapidly, supported by the Central Drugs Standard Control Organization (CDSCO), which reported a 7.3% increase in domestic drug production in 2023. Fluidized bed and freeze dryers are increasingly deployed to enhance product stability and shelf life. Moreover, the agro-processing industry is expanding rapidly, particularly in Gujarat and Maharashtra, where organized food parks and export-oriented production units are emerging. The Ministry of Food Processing Industries notes that processed food exports grew by 9.1% in 2023, necessitating advanced drying solutions for snacks, dairy powders, and dehydrated ingredients.

Japan is estimated to showcase huge opportunities for the Asia Pacific industrial dryers market to grow in the coming years. One of the major contributors to Japan’s market standing is the expansion of its pharmaceutical and biotechnology sectors, particularly in Osaka and Tokyo. Additionally, the chemical industry is undergoing modernization, supported by government incentives to boost domestic production of high-performance materials. The Japan Chemical Industry Association (JCIA) reports that chemical output increased by 4.6% in 2023, with particular emphasis on electronics-grade resins and nanomaterials that require precision drying.

South industrial dryers market is anticipated to grow at a steady pace. One of the main drivers of South Korea’s market growth is the expansion of the chemical and semiconductor materials industry, especially in Gyeonggi and Ulsan provinces. According to the Korea Chemical Industry Association (KCIA), the country’s chemical output grew by 5.8% in 2023, with increasing demand for ultra-pure drying systems in electronic materials production.

Moreover, the government is promoting sustainable drying technologies, particularly in food processing and bioengineering.

Australia industrial dryers market growth is driven by the country’s industrial dryers market is driven by its strong presence in mineral processing, food manufacturing, and pharmaceuticals. Additionally, the food processing industry is evolving with increasing exports of dried dairy, seafood, and horticultural products. Moreover, the pharmaceutical and biotech sector is expanding, supported by government funding and regulatory reforms.

Top Players in the Market

One of the leading players in the Asia Pacific industrial dryers market is GEA Group, which is a Germany-based engineering company specializing in process technology across food, pharmaceuticals, and chemicals. GEA has a strong global presence and offers a wide range of drying solutions, including spray, fluidized bed, and vacuum dryers. In the Asia Pacific region, GEA is recognized for its customized systems tailored to local industries such as dairy processing, mineral extraction, and pharmaceutical manufacturing. Its emphasis on energy efficiency, automation, and sustainability makes it a preferred partner for large-scale industrial clients seeking reliable drying technologies.

Another major player is Bühler AG, a Swiss multinational known for its innovative solutions in food processing and advanced materials. Bühler plays a crucial role in supplying industrial dryers tailored to agricultural commodities, particularly in Asia, where grain and legume drying are essential for reducing post-harvest losses. The company’s integration of digital monitoring and precision drying techniques enhances performance and product quality. In China and India, Bühler supports the petrochemical and cement industries with robust rotary and flash drying systems, which reinforces its strategic position in the regional market.

Glatt GmbH, a German leader in fluid bed and spouted bed drying technologies, is another key participant shaping the Asia Pacific industrial dryers landscape. With expertise in pharmaceutical, food, and chemical applications, Glatt delivers high-precision drying systems that ensure product consistency and compliance with international standards. The company’s expansion into emerging markets includes partnerships and localized support services aimed at improving accessibility for Asia-Pacific-based manufacturers. Glatt's commitment to innovation and sustainable processing aligns well with evolving industry demands, which is strengthening its foothold in the region.

Top Strategies Used by Key Market Participants

Key players in the Asia Pacific industrial dryers market employ several strategies to strengthen their competitive edge. One major approach is strategic partnerships and collaborations with local distributors and engineering firms, which help global manufacturers better understand regional needs and streamline after-sales service. These alliances facilitate technology transfer and improve customer support networks across remote locations.

Another critical strategy is product customization and localization, where companies design drying solutions tailored to the specific requirements of Asia Pacific industries. This includes adapting equipment for local raw materials, climatic conditions, and regulatory standards, thereby enhancing adoption among small and medium enterprises.

Expanding digital integration and after-sales service capabilities allow players to differentiate themselves in a fragmented market. Companies ensure long-term customer engagement and operational reliability, reinforcing their market positions by offering predictive maintenance tools, remote diagnostics, and training programs.

COMPETITION OVERVIEW

The competition in the Asia Pacific industrial dryers market is characterized by a mix of global leaders and regional players striving to meet diverse industrial needs. Multinational corporations dominate due to their technological expertise, extensive product portfolios, and established distribution networks. However, increasing demand from emerging economies has led to the rise of local manufacturers who offer cost-effective and simplified drying solutions tailored to small and medium-sized enterprises. These domestic players are gradually gaining traction by addressing gaps in affordability and after-sales support, especially in rural and semi-industrialized regions.

Market participants are focusing on differentiation through innovation, service excellence, and environmental sustainability. As industries across the region evolve, there is a growing emphasis on energy-efficient and digitally integrated drying systems. Companies are also investing in capacity-building initiatives, technical training, and localized service centers to enhance customer retention. Despite the dominance of global firms, the market remains dynamic, with opportunities for both international and regional players willing to adapt to the unique challenges and opportunities present across the Asia Pacific.

Top Major Actions Taken By Companies In The Market

• In March 2024, GEA Group launched a dedicated regional service hub in Singapore to provide enhanced technical support and maintenance solutions for its industrial dryer customers across Southeast Asia and Oceania, which is aiming to improve response times and strengthen after-sales service delivery.
• In June 2024, Bühler AG partnered with an Indian agro-processing firm to deploy an integrated drying and storage system for rice production by supporting efforts to reduce post-harvest losses and improve export quality in South Asia.
• In October 2023, Glatt GmbH signed a collaboration agreement with a Chinese pharmaceutical manufacturer to supply a state-of-the-art fluidized bed drying system by ensuring compliance with international drug production standards and boosting domestic API manufacturing capabilities.
• In February 2024, Thermopac Industries, an Indian industrial dryer manufacturer, expanded its production facility in Pune to meet rising demand from the food and chemical sectors, which emphasizes localized production and faster delivery cycles.
• In August 2023, ANDRITZ GROUP entered into a joint venture with an Australian mining company to install high-capacity rotary dryers, enhancing mineral dewatering and processing efficiency in iron ore and coal operations across the Asia Pacific region.

MARKET SEGMENTATION

This research report on the Asia Pacific industrial dryers market is segmented and sub-segmented into the following categories.

By Type

• Spray
• Fluidized Bed
• Rotary dryers

By Product

• Direct
• Indirect
• Specialty dryers

By Application

• Pharmaceutical
• Fertilizer
• Food
• Cement
• Chemicals

By Country

• India
• China
• Japan
• South Korea
• Australia
• New Zealand
• Thailand
• Malaysia
• Vietnam
• Philippines
• Indonesia
• Singapore
• Rest of APAC