ShareThe Indian transport refrigeration market – 2015
The segment has been projected to grow to a value of INR 1850 Million (about USD 28.6 Million) by 2020, at a Compound annual growth rate (CAGR) of 16%.
Currently, the Indian transport refrigeration market is comprised of 2 large and 5 small players, spanning 1,720 units. The segment has seen a growth of 21% in terms of volume from 2011 to 2015. Cold chain companies and individual reef owners contributed more to the growth followed by third party logistics. The segment has been projected to grow to a value of INR 1850 Million (about USD 28.6 Million) by 2020, at a Compound annual growth rate (CAGR) of 16%.
There is an estimated 1,720 units sales for the Fiscal Year (FY) 2015 and which will grow to 3,500 units by FY 2020 new trucks.
The 3PL group is expected to be the major driver of this segment from 2015 onwards. Credit linked back ended grant-in-aid from the government at 50% of the cost of reefer vehicles could be another factor propelling the transport refrigeration market. Highly perishable commodities such as horticultural products require high standard cold transport systems. This has facilitated the entry of large organized retailers in the sector.
Inadequate cold chain and refrigerated transport in existing and emerging segments is also an issue to be dealt with. Additionally, low penetration of cold chains is leading to high demand for cold reefers (at least 60,000 refrigerated trucks required to meet the growing demand). The vaccine market is expected to grow by 25-30% and create a demand for refrigerated transport. Several refrigeration unit manufacturers are also on course for expansion.
Source: Feedbackconsulting
Contact: ots@feedbackconsulting.com
There is an estimated 1,720 units sales for the Fiscal Year (FY) 2015 and which will grow to 3,500 units by FY 2020 new trucks.
The 3PL group is expected to be the major driver of this segment from 2015 onwards. Credit linked back ended grant-in-aid from the government at 50% of the cost of reefer vehicles could be another factor propelling the transport refrigeration market. Highly perishable commodities such as horticultural products require high standard cold transport systems. This has facilitated the entry of large organized retailers in the sector.
Inadequate cold chain and refrigerated transport in existing and emerging segments is also an issue to be dealt with. Additionally, low penetration of cold chains is leading to high demand for cold reefers (at least 60,000 refrigerated trucks required to meet the growing demand). The vaccine market is expected to grow by 25-30% and create a demand for refrigerated transport. Several refrigeration unit manufacturers are also on course for expansion.
Source: Feedbackconsulting
Contact: ots@feedbackconsulting.com