Melbourne Airport tests new $500m hi-tech baggage system to support record growth

• November 17, 2025
• 

  

  

  

Melbourne Airport has begun testing a new $500 million international baggage system that will more than double current capacity and give airlines real-time visibility of bags from check-in to aircraft.

Built by German logistics specialist Beumer Group, the system is designed to process more than 4,000 bags per hour, compared with around 1,800 today. It is supported by more than 3.6 kilometres of new baggage lines the same length as the airport’s longest runway.

Bags will travel in individual totes and be electronically sorted into a new early bag store with capacity for 1,400 bags at any one time. From there, they will be automatically dispatched in flight order, a move aimed at reducing mishandled luggage and improving operational efficiency for airlines.

The upgrade comes as Melbourne Airport records its busiest October on record for international travel, with 1,032,448 international passengers processed during the month. With three new international airlines due to commence services next month, the pressure on existing systems is expected to intensify over the coming summer peak.

Melbourne Airport Chief of Aviation, Jim Parashos, said the new system would be critical in underpinning future growth.

“This system will more than double our baggage handling capacity when it comes online in March, giving us the infrastructure we need to support future international growth,” he said.

“Our international passenger numbers are at record levels and with three new airlines touching down next month it’s shaping up as a really testing summer for our old baggage infrastructure. Installing 3.6 kilometres of new baggage tracks while maintaining 24/7 operations has been challenging, it’s like doing open heart surgery while running a marathon. The new system will mean fewer lost bags, with airlines able to track every bag in real-time from check-in to the aircraft, giving peace of mind to passengers while supporting on time performance. Having an automated bag store will allow us to let passengers check-in much earlier for their flights and in the future will enable true anytime check-in, which is exciting for both airlines and travellers.”, added Jim