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Refrigerated Transport Market to Surpass US$ 25.3 Billion by 2026 | Lamberet, Daikin Industries, Schmitz Cargobull Aktiengesellschaft, Hyundai Motor, Great Dane Trailers, Mitsubishi Heavy Industries, Singamas Container Holdings
The refrigerated transport market was valued at US$ 14.9 billion in 2017, and is projected to reach US$ 17,252.8 million by 2026, exhibiting a CAGR of 6.4% . Preservation and protection of food, drugs, and medical supplies have made refrigerated transport an essential part of the supply chain. Food items such as seafood, frozen food, fruits, meat, fish, and dairy products require specific temperature and conditions to prevent decay and maintain the high quality expected by consumers.These items thus require refrigerated transportation. Products such as meat and dairy have a low shelf life and need effective cold storage and transportation across the distribution chain. Advancements in technology and high focus on innovation has enhanced the efficiency of refrigerated transportation for safety of food, reduced food wastage and energy consumption, and minimal environmental impacts.
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Nestlé, Tyson Foods, Inc., the Kraft Heinz Company, General Mills Inc., Smithfield Foods., Kellogg Corporation., ConAgra Foods Inc, Inc., Kerry Group, Del Monte Pacific Ltd (DMPL), United Technologies Corporation, Daikin Industries, Ingersoll Rand Inc., and ARYZTA AG are some of the major players in the refrigerated transport market.
Rising demand for frozen food throughout the globe is a major factor driving growth of the market for refrigerated transport. Increasing technological advancements and globalization have boosted the demand for cold chain transportation and distribution techniques for perishable commodities requiring controlled temperatures. This in turn, has surged demand for refrigerated transport, to ensure sustained quality of delivered commodities. However, lack of efficient transport infrastructure to deal with various environmental changes and lack of low skilled resources in emerging economies pose as major restraints for growth of the global refrigerated transport market.
Among technology, the vapor compression systems segment is growing at a rapid pace, owing to the wide usage of these systems globally. Vehicle alternator unit is a type of vapor compression system, which is used in small refrigerated delivery vans. The refrigerated transport used via road, consists of LCV ranging up to 7 tons, MHCV ranging up to 16 tons, and HCV above 16 tons.
Asia Pacific is expected to be the fastest growing market over the forecast period. Growing confectionary and bakery industry has surged demand for refrigerated transport in the region. Rapid economic growth in emerging economies of the region, characterized by growing number of women in the workforce has in turn resulted in increasing demand for convenience food and also chilled and frozen products. Furthermore, increasing spending power and growing inclination of the populace towards exotic food has resulted in growing imports in these economies. This in turn fuels growth of the refrigerated transport market. In 2016, China imported 544,943 metric tons and Japan imported 387,712 metric tons of pork from the U.S.
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North America and Europe hold the dominant market share for refrigerated transport and this trend is expected to be maintained throughout the forecast period. Increasing demand for convenience foods in the region, along with stringent government regulation imposed on food quality are factors driving growth of the refrigerated transport market in these regions. Moreover, increasing food wastage has further augmented the demand for refrigerated transport in the region.
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