site.btaBulgaria Sees Unexpected Growth in Robot Supply, Development

The Professional Association of Robotics, Automation and Innovation (PARAi) expects a nearly 10% (9.8%) increase in installed industrial robots in Bulgaria in 2024. In 2023, a total of 85 robots were integrated by the association's members in the country.

“This growth, according to our observations, in 2024 so far is mainly due to four sectors - chemical industry, metals, electronic commerce - distribution centres and warehouses, and the production of machinery and electronics,” said in an interview with BTA PARAi Vice President Yonko Chuklev. He was contacted in connection with the upcoming Robotics Strategy Forum (RSF2024) to be held in Sofia at the end of September.

Chuklev reminded that national statistics report growth in the chemical industry of 27.5% in May and 33.8% in June, in metals - 19.1% in May and 25.4% in June, respectively, in e-commerce and in particular distribution centres and warehouses that serve e-commerce, as well as in the production of machinery and electronics - a sector that, according to the observations of the Association, remains key for customers of automation companies.

Projects in these sectors

In the chemicals sector, automated packaging lines and also robotic palletizing have made inroads, Chuklev said. An example of automated packaging lines is Solvay Soda, the Parvi May plant in Sitovo. In the metals sector, a prime example is Standard Profil, where 20 robots are already working and the investment is BGN 3 million. Smaller examples are Metalni Konstruktsii - Pleven EAD, where the company is implementing two large robots for assembly and welding.

In the machinery and equipment sector, the company Centillion produces electronic modules and systems for industries such as medicine, avionics and others. In 2024, the company implemented an automatic SMT line with advanced robotic systems and visual inspection technology that ensure precision and accuracy in component placement, Chuklev said.

Boiler manufacturer Tesy robotizes its welding, cutting and handling processes for various components and tools. Currently, about 30 industrial robots are working in the production of Tesy.

In e-commerce, there are again a lot of projects, Chuklev pointed out and gave the example of eBag's new highly automated warehouse, in which nearly BGN 5 million have been invested.  Another example is the Ozone.bg warehouse, where the level of automation is also very high.

Revised estimates for 2023

“Our projections for the growth of installed industrial robots in 2023 turned out to be a bit conservative, and the growth is 10% rather than the projected 5%,” the association's Vice President said. He pointed out that the projected growth was based on investments by Bulgarian companies such as Tesy Ltd (new boiler plant), Milara (new plant in Plovdiv), as well as expansions by companies such as Schneider Electric and their smart factory in Plovdiv.

“As we expected, we did have a slowdown in several segments because of foreign markets,” Chuklev said. He reminded that there was a serious slowdown in the production of automotive components - according to NSI data, in the production of vehicles (excluding cars) the reduction is 29.9% for 2023, and in leather, footwear and textiles it is 26.9%.

The movement in these industries has affected their investments, respectively the number of installed robots, Chuklev said. At the same time, he pointed out that 2023 saw very high "replacement demand" from other industries, such as Metals and E-commerce with automation projects in many warehouses and courier companies, as well as in electronics and machinery.

The trend in 2023 and 2024 is that many Bulgarian small and medium-sized enterprises are investing in industrial robots and this has created "replacement demand", the PARAi Vice President summed up.

The increased supply of Bulgarian robots

Another trend that the Association hopes will strengthen is related to the increased availability of automation solutions due to the increased supply of Bulgarian robots. So far, most of the robots and machines on the Bulgarian market are imported, but more and more Bulgarian companies are offering or developing their own robots, Chuklev said.

Examples

The Bulgarian company Kiberys has developed a 6-axis robot SCARA for welding. Another Bulgarian company, Smart Farm Robotix, is developing an autonomous weeding robot. “This company was a participant in our robotics incubator and was supported by the European Innovation Council's accelerator programme with an investment of EUR 2.36 million,” Chuklev noted.

The Bulgarian company Simobotics is creating the first Bulgarian autonomous mobile robot called Mito.

According to Chuklev, to further encourage Bulgarian companies to offer or develop their own robots, it is necessary for companies to take much more active advantage of opportunities such as those offered by Horizon Europe research and innovation programmes, the accelerator programme of the European Innovation Council and other private investments. There are also many other small steps - hackathons for robot solutions in Bulgarian cities, creation of pilot sites for testing robotic solutions, etc., but at this stage such projects are more the fruit of private initiative than of State policy, Chuklev said.

The industry awaits strategic investments

The Vice President of PARAi pointed out that the tendency of the last few years of lacking large strategic investments in Bulgaria still persists. The human resources situation also remains largely unchanged, the expert said.

The only more significant development is the participation of the Bulgarian institute INSAIT in a project to develop a robot with artificial intelligence with Toyota. This is a long-term project and probably no quick results can be expected, but Bulgarian participation is very important, Chuklev believes.

Robotics Strategy Forum

At the end of September, the Association is organizing another edition of the Robotics Strategy Forum, which this year will be entitled "New horizons of technology". The forum will take place in Sofia Tech Park, John Atanasoff Building, on 26 September, at 10:00. Chuklev said that Bulgarian companies in the field of robotics, automation, smart manufacturing and industrial technologies will be represented at the forum. The event will also be attended by managers, engineers, entrepreneurs, public figures, students and many young enthusiasts in the field of technology. Among the topics that will be discussed are Nearshoring - an opportunity for growth in CEE, new factories and investments in Bulgaria in 2024, Bulgarian electronics reaching global markets, the development of quantum technologies in Bulgaria, Chuklev said. The forum also includes presentations of five projects in the third season of the robotics incubator, with teams of students presenting industrial and business solutions, vying for a BGN 5,000 prize and subsequent implementation of their ideas.