Food Grade Tank Trucking Market Size
| Study Period | 2020 - 2029 |
| Market Size (2024) | USD 5.41 Billion |
| Market Size (2029) | USD 7.17 Billion |
| CAGR (2024 - 2029) | 5.88 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Americas |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Food Grade Tank Trucking Market Analysis
The Food Grade Tank Trucking Market size is estimated at USD 5.41 billion in 2024, and is expected to reach USD 7.17 billion by 2029, growing at a CAGR of 5.88% during the forecast period (2024-2029).
The global rise in liquid food consumption, spanning products like milk, juice, and edible oils, is a crucial driver for the food-grade tank trucking sector. During the fiscal year 2022-2023, the US Department of Agriculture noted global consumption figures of 78.6 million metric tons for palm oil and 60.78 million metric tons for soybean oil.
Efficient transportation is paramount given the consistent production of liquid food items—highlighted by an annual global cow milk output of approximately 550 million metric tons—and significant exports from major players like the European Union, the United States, and New Zealand.
Stringent food safety and quality standards, notably the Hazard Analysis and Critical Control Point (HACCP) guidelines, mandate using food-grade tank trucks. These trucks are equipped with features ensuring contamination prevention and product integrity, including precise temperature control, sanitation measures, and proper handling protocols.
The market for food-grade tank trucking is witnessing a transformation thanks to innovations in design and technology. Features like advanced temperature control, real-time tracking, and automated cleaning processes enhance efficiency, safety, and traceability. For instance, Kan-Haul, a US company, introduced tanks in August 2023 with heating elements designed explicitly for cold-weather transport, ensuring liquids do not freeze during transit.
Food Grade Tank Trucking Market Trends
Global Cow Milk Consumption and Production Propel Food Grade Tank Trucking Demand
As per the USDA Foreign Agricultural Service, in 2023, India consumed the most cow milk globally, with over 87 million metric tons, followed by the European Union at 23.7 million metric tons. Cow milk production has increased over the past five years, averaging around 549 million metric tons annually. The European Union led in cow milk production in 2023, with the United States in second place at just under 105 million metric tons. California and Wisconsin have the highest numbers of milk cows in the United States.
Major milk exporters in 2023 included Argentina (11.7 million tons), Australia (8.5 million tons), the European Union (145.2 million tons), New Zealand (21.2 million tons), and the United States (102.7 million tons).
The significant global consumption and production of cow milk, especially in regions like India and the European Union, drive the food grade tank trucking market. India's consumption of over 87 million metric tons and the EU's 23.7 million metric tons create a strong demand for efficient and hygienic transportation solutions to distribute these large quantities of milk. This demand necessitates specialized food-grade tank trucks to ensure safe and effective milk transport, supporting the market's growth.
Brazil's Agricultural Exports Fuel Expansion of Food-grade Tank Trucking Market
As of March 2024, Brazil became the global leader in exporting at least seven food commodities, including soybeans (56% of global exports), orange juice (76%), corn (31%), coffee (27%), sugar (44%), beef (24%), and chicken meat (33%), as per industry data.
With a population of over 200 million, Brazil produces enough food to meet the needs of approximately 900 million people, accounting for 11% of the global population. This immense production capacity creates a substantial demand for logistics services, including food-grade tank trucking, to ensure these goods' safe and efficient transportation. The growth of the food-grade tank trucking market is supported by the need for reliable transportation solutions to handle Brazil's vast agricultural exports.
Government initiatives to support the agricultural sector, such as investments in infrastructure and regulatory frameworks for food safety, further bolster this market. Compliance with stringent food safety regulations drives the demand for specialized and well-maintained tank trucks.
Additionally, the Sectoral Plan for Mitigation and Adaptation to Climate Change for the Consolidation of a Low-Carbon Economy in Agriculture (the ABC Plan) aims to enhance farmers' production capacity and income by increasing the efficiency of sustainable systems. This initiative promotes practices that require efficient and safe transportation solutions to maintain the quality and integrity of agricultural products from farm to market, further driving the demand for food-grade tank trucking services.
Food Grade Tank Trucking Industry Overview
The food grade tank trucking market competes as critical players strive to cater to the exacting safety and hygiene standards demanded by liquid food transportation. Notable contenders in this arena encompass Hegelmann Group, C.H. Robinson, DHL, Odyssey Logistics, SHAL (Sea Hawk Lines), and Kenan Advantage Group.
Success in this market hinges on factors like fleet and network size, tech integration, regulatory adherence, service variety, and a reputation for reliability. Companies boasting larger, more diverse fleets and expansive networks are better equipped to meet diverse customer demands and ensure punctual deliveries. Embracing cutting-edge technologies for real-time tracking, route optimization, and safety monitoring is pivotal for upholding efficiency and compliance.
Strict compliance with food safety regulations and top-tier hygiene standards is non-negotiable. Providing logistics solutions—from bulk transportation to temperature control and supply chain management—helps attract a wider clientele. Moreover, firms with a solid track record for safety, reliability, and customer care are primed to retain and draw in new business.
Food Grade Tank Trucking Market Leaders
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Hegelmann Group
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C.H. Robinson
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Odyssey Logistics
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Sea Hawk Lines (SHAL) Logistics
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DHL
*Disclaimer: Major Players sorted in no particular order
Food Grade Tank Trucking Market News
- June 2024: TFI International has acquired Entreposage Marco, a Quebec, Canada-based food-grade tank hauler. Specializing in the transportation of edible products such as oils, liquid yeast, sweeteners, and fruit juices, Entreposage Marco operates a fleet of 15 power units, as reported by the Federal Motor Carrier Safety Administration. This acquisition is significant and aims to increase the market reach of TFI International.
- April 2023: Trimac Transportation acquired American Industrial Partners (AIP) Logistics, a Central Ohio-based company specializing in bulk terminal services, transportation, and warehousing for industries such as plastics, liquid chemicals, food-grade storage, and metal production. AIP's fleet includes 13 tractors, 119 trailers, and various yard vehicles. Located on a 52-acre property in Wapakoneta, Ohio, the facility offers cold, dry, and food-grade warehousing, bulk transloading, and storage, with direct access to CSX Transportation’s rail line and capacity for up to 70 railcars. This acquisition strengthens Trimac's five-year strategy to enhance its position in bulk transportation, wash, and maintenance services.
Food Grade Tank Trucking Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2. RESEARCH METHODOLOGY
- 2.1 Analysis Methodology
- 2.2 Research Phases
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Current Market Scenario
- 4.2 Technological Trends
- 4.3 Insights on Supply Chain/Value Chain Analysis
- 4.4 Insights into Governement Regualtions in the Industry
- 4.5 Insights into Technological Advancements in the Industry
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Increasing Demand for Food Safety and Quality
- 5.1.2 Expansion of the Food and Beverage Industry
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5.2 Market Restraints
- 5.2.1 High Operational Costs
- 5.2.2 Regulatory Compliance Challenges
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5.3 Market Opportunities
- 5.3.1 Integration of Digital Technologies
- 5.3.2 Sustainability Initiatives
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5.4 Industry Attractiveness - Porter's Five Forces Analysis
- 5.4.1 Threat of New Entrants
- 5.4.2 Bargaining Power of Buyers/Consumers
- 5.4.3 Bargaining Power of Suppliers
- 5.4.4 Threat of Substitute Products
- 5.4.5 Intensity of Competitive Rivalry
6. MARKET SEGMENTATION
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6.1 By Food Item
- 6.1.1 Oil
- 6.1.2 Dairy
- 6.1.3 Juice and Beverage
- 6.1.4 Other Food Items
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6.2 By Geography
- 6.2.1 North America
- 6.2.1.1 United States
- 6.2.1.2 Canada
- 6.2.1.3 Mexico
- 6.2.2 Europe
- 6.2.2.1 France
- 6.2.2.2 Italy
- 6.2.2.3 Spain
- 6.2.2.4 Netherlands
- 6.2.2.5 Rest of Europe
- 6.2.3 Asia-Pacific
- 6.2.3.1 China
- 6.2.3.2 Japan
- 6.2.3.3 India
- 6.2.3.4 Russia
- 6.2.3.5 Rest of Asia-Pacific
- 6.2.4 Middle East and Africa
- 6.2.4.1 GCC
- 6.2.4.2 South Africa
- 6.2.4.3 Rest of Middle East and Africa
- 6.2.5 South America
- 6.2.5.1 Brazil
- 6.2.5.2 Argentina
- 6.2.5.3 Rest of South America
7. COMPETITIVE LANDSCAPE
- 7.1 Market Concentration Overview
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7.2 Company Profiles
- 7.2.1 Hegelmann Group
- 7.2.2 C.H. Robinson
- 7.2.3 DHL
- 7.2.4 Odyssey Logistics
- 7.2.5 SHAL (Sea Hawk Lines)
- 7.2.6 Kenan Advantage Group Inc.
- 7.2.7 Bulk Connection
- 7.2.8 Trimac Transportation Services
- 7.2.9 Heniff Transportation Systems LLC
- 7.2.10 Quality Carriers*
- *List Not Exhaustive
- 7.3 Other Companies
8. MARKET OPPORTUNITIES AND FUTURE TRENDS
9. APPENDIX
** Subject To AvailablityFood Grade Tank Trucking Industry Segmentation
The food grade tank trucking market specializes in transporting liquid food products. These products are carried in tank trucks that adhere to strict hygiene and safety regulations. This sector is pivotal in the food and beverage supply chain, guaranteeing the safe and quality transportation of items like dairy, juice, and edible oils. A complete background analysis of the market, including the assessment of the economy and contribution of sectors in the economy, market overview, market size estimation for key segments, emerging trends in the market segments, market dynamics, and geographical trends, is covered in the report.
The food grade tank trucking market report is segmented by food item (oil, dairy, juice and beverage, and other food items) and geography (North America, Europe, Asia-Pacific, Middle East and Africa, and South America). The report offers market size and forecasts for all the above segments in value (USD).
| By Food Item | Oil | |
| Dairy | ||
| Juice and Beverage | ||
| Other Food Items | ||
| By Geography | North America | United States |
| Canada | ||
| Mexico | ||
| By Geography | Europe | France |
| Italy | ||
| Spain | ||
| Netherlands | ||
| Rest of Europe | ||
| By Geography | Asia-Pacific | China |
| Japan | ||
| India | ||
| Russia | ||
| Rest of Asia-Pacific | ||
| By Geography | Middle East and Africa | GCC |
| South Africa | ||
| Rest of Middle East and Africa | ||
| By Geography | South America | Brazil |
| Argentina | ||
| Rest of South America |
Food Grade Tank Trucking Market Research FAQs
How big is the Food Grade Tank Trucking Market?
The Food Grade Tank Trucking Market size is expected to reach USD 5.41 billion in 2024 and grow at a CAGR of 5.88% to reach USD 7.17 billion by 2029.
What is the current Food Grade Tank Trucking Market size?
In 2024, the Food Grade Tank Trucking Market size is expected to reach USD 5.41 billion.
Who are the key players in Food Grade Tank Trucking Market?
Hegelmann Group, C.H. Robinson, Odyssey Logistics, Sea Hawk Lines (SHAL) Logistics and DHL are the major companies operating in the Food Grade Tank Trucking Market.
Which is the fastest growing region in Food Grade Tank Trucking Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Food Grade Tank Trucking Market?
In 2024, the Americas accounts for the largest market share in Food Grade Tank Trucking Market.
What years does this Food Grade Tank Trucking Market cover, and what was the market size in 2023?
In 2023, the Food Grade Tank Trucking Market size was estimated at USD 5.09 billion. The report covers the Food Grade Tank Trucking Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Food Grade Tank Trucking Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Food Grade Tank Trucking Industry Report
Statistics for the 2024 Food Grade Tank Trucking market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Food Grade Tank Trucking analysis includes a market forecast outlook for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
