The process industries—ranging from food and drink to chemicals, pharmaceuticals, paints, and coatings—play a critical role in our everyday lives. Yet, despite their enormous economic and societal contributions, they are often overlooked in discussions about manufacturing innovation. That’s beginning to change.
In a recent webinar hosted by leading experts in the field, attendees gained a window into the evolving landscape of process industries, the opportunities and challenges they face, and how digital transformation, sustainability, and bio-innovation are reshaping the future.
The Unseen Giant: Food and Drink as a Manufacturing Powerhouse
Andrew Martin of the Advanced Manufacturing Research Centre (AMRC) kicked off the discussion by highlighting the scale and importance of the food and drink sector. Contrary to public perception, this sector is larger than aerospace and automotive in the UK, both in economic output and employment.
Crucially, food and drink manufacturing intersects with issues of national security, public health, and sustainability. As Martin put it, this sector faces a "perfect storm"—increasing costs, regulatory pressure, labour shortages, and a consumer base that demands low prices but high sustainability standards.
Key Trends Transforming Process Manufacturing
Several pivotal trends emerged across the process industries:
- Sustainability First: The demand for sustainable practices has accelerated. From supply chains to shop floors, companies are under pressure to reduce emissions, cut waste, and use fewer resources like water and energy.
- Digitisation and Data: Companies are shifting from paper-based systems to digital tools that enable better traceability, predictive maintenance, and carbon footprint tracking. However, as Martin cautioned, AI’s impact is limited without quality data—which many firms still struggle to collect reliably.
- Automation and Robotics: Traditionally reliant on manual labour, sectors like food manufacturing are now turning to automation to improve hygiene, consistency, and efficiency.
- The Rise of E-commerce Logistics: As online grocery and direct-to-consumer sales rise, even small manufacturers must invest in real-time inventory systems, fulfilment technologies, and customer service infrastructure.
- Workforce Transformation: A shortage of digital and engineering skills remains a major hurdle. Upskilling is no longer optional; it’s a necessity to remain competitive.
Digital on a Shoestring: Lessons from a Small Business Innovator
Steve West, founder of The Pudding Compartment, brought these concepts to life with a candid look at his SME’s digital journey. With a background in automotive manufacturing, Steve applied those principles to his bakery business in North Wales.
Key takeaways from his story:
- Start Small: Affordable sensors (some under £100) helped automate tasks like temperature monitoring, replacing clipboard checks with real-time alerts and energy savings.
- Find Hidden Value: A carbon footprint audit revealed that butter—both expensive and high in emissions—was a major contributor. Switching to plant-based fats reduced costs, improved sustainability, and opened up vegan product lines.
- Plan Digitally: With no full ERP system in place, Steve’s team developed a custom digital planning and traceability system that integrates with production and finance—proving that tailored, low-cost digital tools can deliver big returns.
- Measure What Matters: From mixer usage to batch accuracy, data has become central to decision-making. What was once “gut feel” is now fact-driven planning.
- Automate Where It Counts: A new robotic line—affordable compared to legacy systems—now helps cut and pack baked goods, increasing output while reducing labour costs.
Steve’s advice to others? Take a leap of faith but do it in steps. Start with easy wins and build momentum.
Looking to the Future: Biomanufacturing and Circular Innovation
Jen Vanderhoeven of the Bio-based and Biodegradeable Industries Association (BBIA) and FREY Consulting closed the session with a glimpse into the biochemical future. Her message was bold: “Reimagine carbon—not as a problem, but as a solution.”
She outlined a vision where biorefineries use local agricultural and forestry waste to produce biodegradable plastics, personal care ingredients, and other essential materials—replacing fossil-based counterparts. Engineered microbes could soon transform everything from food waste to fatbergs into everyday goods.
A government-backed study that Jen co-led showed that by 2050, the UK could produce over 2 million tonnes of bio-based chemicals, delivering over 5 million tonnes of CO₂ savings and adding £1.6 billion in economic value.
However, she stressed that the transition depends on policy reform, infrastructure investment, and public-private collaboration. Just like Y2K, the shift must be prepared for well in advance—or risk crisis.
Final Thoughts: From Resilience to Reinvention
This webinar left no doubt: process industries are no longer lagging behind—they’re innovating, experimenting, and adapting to seismic changes in the manufacturing landscape. Whether its bakeries deploying Industrial IoT, chemical firms harnessing microbes, or food manufacturers tracking carbon by product, transformation is underway.
But success will depend on collaboration—between SMEs and research centres, government and industry, old skills and new technologies.
To quote the webinar’s closing sentiment: “The future isn’t written—it can be changed.”, so if you work in you work in process manufacturing today, where do you see the biggest opportunities for innovation?