A correlation for the estimation of the dynamic liquid hold-up in a packed distillation column was developed. It is based on the hydrodynamics of fluid flow in a packed distillation column. The model showed a deviation of less than 3.5% when compared with experimental data. The dynamic liquid hold-up was found to decrease with increasing packed height, and a strong dependence of column performance on the dynamic liquid hold-up was observed. The liquid hold up was, in general, found to be high at high Reynolds number of the gas phase and low at high relative volatility of the system components.