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Image processing in today’s world grabs massive attentions as it leads to possibilities of broaden application in many fields of high technology. The real challenge is how to improve existing sorting system applications which consists of two integrated stations of processing and handling with a new image processing feature. Existing color sorting techniques use a set of inductive, capacitive, and optical sensors to differentiate object color. This research presents a mechatronic color sorting system solution with the application of image processing. A 5-DOF robot arm is designed and developed with pick and place operation to act as the main part of the color sorting system. Image processing procedure senses the circular objects in an image captured in real time by a webcam fixed at the end-effector then extracts color and position information out of it. This information is passed as a sequence of sorting commands to the manipulator that has pick-and-place mechanism. Performance analysis proves that this color based object sorting system works accurately under ideal condition in term of adequate illumination, circular objects shape and color. The circular objects tested for sorting are red, green and blue. For non-ideal condition, such as unspecified color the accuracy reduces to 80%.