The global flexitank market size is projected to reach USD 1,201.6 million by the end of 2027. The increasing investment in the development of sustainable products associated with the manufacturing of flexitank will aid the growth of the market in the coming years. The increasing number of regulatory approvals for transport and distribution networks will bode well for the market. According to a report published by Fortune Business Insights, the market was worth USD 439.3 million in 2019 and will exhibit a CAGR of 13.7% during the forecast period, 2019-2026.
The recent coronavirus outbreak has created a sense of panic across the world. Due to the rapid spread of the disease, governments across the world are taking maximum efforts to curb the spread and minimize the adverse effects. As a result, several businesses have been forced to shut down. Due to social distancing practices, there is hesitancy among business vendors as well as working professionals across the world. The Covid-19 pandemic has had a huge adverse effect across several industries.
Flexitank is a lightweight disposable bladder that is normally made out of plastic. The product is normally used for shipping of non-hazardous liquid materials that is transported through shipping containers. The advancements in the materials used in manufacture of flexitank will lead to a wider product adoption. The increasing applications of the product are attributable to the favorable properties of the material used in manufacturing. The stringent guidelines associated with the use of this product, set by organizations such as the Containers Owners Association (COA) will ensure safety of the product, subsequently leading to a wider product adoption across the world. The growing investment in R&D of the material associated with flexitank will contribute to the growth of the market in the coming years. Additionally, the presence of several large scale companies will emerge in favor of market growth.
Increasing Regulatory Approvals will Help Companies Generate Huge Revenues
The report encompasses several factors that have contributed to the growth of the market in recent years. Among all factors, the increasing number of regulatory approvals has made the highest impact on market growth. In November 2019, SIA Flexitanks got approval from the Canadian CN Rail network and Norfolk Southern Rail network for shipping of flexitanks. SIA already has shipping approvals from CSX and BNSF rail networks and this approval will help the company expand its transportation over other regions. These approvals will open new territories and markets for the company and subsequently generate massive revenues in the coming years. SIA’s approval from CN and NSR networks will not just benefit the company but will also have a direct impact on the growth of the overall market in the coming years. The report highlights a few of the other industry developments, similar to this and discusses their impact on market growth.
Asia Pacific to Emerge Dominant; Increasing Food and Chemical Manufacturing Hubs Will Aid Growth
The report analyses the ongoing market trends across five major regions, including North America, Latin America, Europe, Asia Pacific, and the Middle East and Africa. Among all regions, the market in Asia Pacific is projected to emerge dominant in the coming years. The increasing number of food as well as chemical manufacturing units in several countries across this region will have a direct impact on the growth of the regional market. Additionally, the increasing efforts put in import as well as export activities will create several opportunities for market growth. As of 2019, the market in Asia Pacific was worth USD 245.42 million and this value is projected to increase further in the coming years. The market in North America will also witness considerable growth driven by the increasing transport activities for liquid chemicals through rail-based containers.
June 2018: BeFlexi announced that it has expanded its shipping operations in Australia and Ecuador. The company already has a well-established network in Asia Pacific and Latin America.