Singapore Chemical Logistics Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 9.92 Billion |
| Market Size (2029) | USD 15.32 Billion |
| CAGR (2024 - 2029) | 13.50 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Singapore Chemical Logistics Market Analysis
The Singapore Chemical Logistics Market size is estimated at USD 9.92 billion in 2024, and is expected to reach USD 15.32 billion by 2029, growing at a CAGR of greater than 13.5% during the forecast period (2024-2029).
- Singapore is one of the top energy and chemical centers in the world thanks to its potent combination of refining, olefins production, chemical manufacture, business, and innovation capabilities. Here are major activities for more than 100 international chemical companies. Singapore's main hub for petrochemical, specialty chemical, and refining operations is Jurong Island. Customers and suppliers are connected tightly by its highly integrated infrastructure, frequently literally over the fence through pipes. This integrated ecosystem, which includes utilities and logistical service providers, generates cost-saving production synergies for businesses. Investments totaling more than USD 37.27 billion have been made in Jurong Island. Singapore has positioned itself as a sustainable, highly productive base for chemical manufacture as the global industry evolves towards tailored blending and eco-friendly formulations.
- A new chemical warehouse and storage facility building is a very capital-intensive undertaking that necessitates adhering to a variety of criteria and acquiring approvals. Additionally, warehouses have very significant operational and maintenance costs. Due to the rising need for warehousing solutions, the sector is drawing a variety of investments. The efficient and effective operation of warehouses is a crucial duty, though. Some of the essential components needed for a practical and effective warehouse and storage facility are appropriate financial modeling, demand mapping, and infrastructural evaluations. The period needed to see a return on investment is lengthy since the cash involved in manufacturing and setting up a warehouse is irreversible. Consequently, the high expense of putting up and operating a warehouse and managing inventory loss is expected to limit the growth of the market during the forecast period.
- Even though Singapore is far from the European financial crisis, its chemical industry is directly affected by world events. It is dependent on the price of feedstocks because it is a close relative of the oil and gas sector, exposed to trade conflicts, and subject to changing consumer trends. Despite, and perhaps because of, the pandemic, almost all of the businesses GBR spoke to this year reported robust growth in the first quarter of 2022 and record-level growth in 2021. The future is uncertain, though, and depends on how well chemical companies can transfer costs to the next link in the value chain and ultimately to the customer.
- Performance chemicals are better positioned to pass on costs and generate healthy margins than bulk chemicals, which are directly impacted by rising feedstock and energy prices. The lack of available raw materials combined with ongoing logistical constraints has caused significant problems for companies in the specialty chemical industry, delaying orders and resulting in lengthy waiting lists for some items. The Singaporean sector is subject to the very good demographic fundamentals of Asia-Pacific in addition to the current market factors. The sector places a high priority on nutrition, with Singapore at the center of the fight against the difficulties of both food security and food sustainability.
Singapore Chemical Logistics Market Trends
Increase in chemical production driving the market
- As a result of lower production at the specialities and petrochemicals segments, Singapore's overall chemicals output in March decreased by 11.8% year over year, according to government figures released on Wednesday. The Economic Development Board (EDB) stated in a statement that "weak market demand and plant maintenance shutdowns" were to blame for the 20.3% year-over-year decrease in petrochemical production in March 2023. Due to lower production of mineral oil and food additives, the specialty segment's output for the month decreased by 6.5%, it stated. When compared to the same period in 2022, the total output of the chemicals cluster, which includes petroleum, declined 13.1% annually from January to March 2023. Singapore's overall industrial production declined in March 2023 at a less pronounced annual pace of 4.2% compared to a 9.7% contraction in February 2023.
- It is getting harder to distinguish Singapore's chemical industry from other sectors, such as food, renewables, and specialized bio-based materials ones. The biggest participants in the chemical and oil industries are also the biggest investors in new forms of energy, such as hydrogen, and chemical companies' research facilities are where the most cutting-edge innovations in carbon capture and sequestration and advanced molecular recycling are developed. While people, engineers, chemists, laborers, and managers travel across various industries more freely than ever, bio-polymers, bio-surfactants, and bio-fuels compete for the same raw materials as food components. They are commercialized on the same digital channels as food ingredients. The fate of the chemical industry is still inextricably linked to that of the oil and gas sector.
- The energy crisis brought on by the reduction in natural gas came as a rude reminder that we are still far from being ready to wean ourselves off carbon sources in a society that is virtuously promising to phase out fossil fuels. The fact that inflation is still present shows how closely the price (and, below it, the availability) of petrol affects the world economy. The picture for advanced countries is becoming more and more clouded by persistent and expanding inflationary pressures as well as aggressive tightening by central banks in response. Consumer and major customer industries, including the automobile and construction sectors, may have substantially declining demand for chemicals as a result of a persistent recession and continuous high inflation.
Investment in logistics services and infrastructure driving the market
- Due to growing device penetration, the average order value per transaction in the Singaporean e-commerce market will rise in the upcoming years. The transparency and security of the supply chain are predicted to improve with technological advancements, increasing cost-effectiveness. Additionally, in the upcoming years, commercial opportunities will be generated by the development of logistical infrastructures such as intermodal connectivity, logistics parks, and ports. The increase in the import and export of raw materials for food and mass-produced goods is the main reason fueling the expansion of the 3PL market in Singapore. The International Chamber of Shipping estimates that roughly 11 billion tonnes of cargo are transported annually on ships. Trade worldwide has significantly increased as a result of globalization. Machinery and transport equipment and petroleum are Singapore's major imports, while refined petroleum products are its largest exports. China, the United States, Indonesia, Malaysia, and Japan are the most important trading partners.
- It is challenging for manufacturers to keep track of supply operations due to market fluctuations. This is why 3PL is growing in significance. Additionally, the growth of international markets may help the sector even more. The market for 3PL usage will experience considerable growth throughout the projected period as firms increasingly view 3PL as a cost-effective option for importing and exporting goods. Due to ongoing labor shortages and supply chain issues, 3PLs have adopted automation and robotic technology to streamline operations across the whole lifecycle. Simultaneously, data-driven ordering, warehousing, and transportation technologies are being leveraged to enhance visibility and communication for consumers, brands, and logistics service providers. Thus, the 3PL market in Singapore is anticipated to show considerable growth due to the rising adoption of technology in logistics.
Singapore Chemical Logistics Industry Overview
The Singaporean chemical logistics market is highly fragmented, with a lot of local, regional, and global players. Some of the major players include ALPS Global Logistics, Koyo Kaiun Co., Ltd., Iino Singapore Pte Ltd, Fairfield Chemical Carriers, MCL Logistics Asia Pte Ltd, and many more. The sector has been observing many innovative and digital trends in recent years, like adopting big data analytics and IoT technologies to further fuel the growth of the chemical logistics industry.
Singapore Chemical Logistics Market Leaders
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ALPS Global Logistics
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Koyo Kaiun Co., Ltd.
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Iino Singapore Pte Ltd
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Fairfield Chemical Carriers
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MCL Logistics Asia Pte Ltd
*Disclaimer: Major Players sorted in no particular order
Singapore Chemical Logistics Market News
March 2023: Brenntag, the world's largest distributor of chemicals and additives, announced today the acquisition of Aik Moh Group. With a focus on Southeast Asia, the business provides a comprehensive range of industrial chemicals with excellence in last-mile delivery, mixing, and blending, as well as value-added services such as repacking, warehousing, and logistical support. Brenntag Essentials expands its business into major focus areas in Asia-Pacific, including Singapore, Malaysia, Indonesia, and the Philippines, with this acquisition.
March 2023: Evonik, a German specialty chemicals maker, is one of only a few businesses with specific intentions to use green hydrogen to make chemicals, but several others are considering it as an energy source. Evonik has announced plans to establish a pilot electrolyzer at its production plant in Herne, Germany, in collaboration with compatriot enterprise and globally prominent E&E expert Siemens Energy, to test the technology in industrial practice.
Singapore Chemical LogisticsMarket Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
- 2.1 Analysis Method
- 2.2 Research Phases
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS DYNAMICS
- 4.1 Current Market Scenario
- 4.2 Market Overview
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4.3 Market Dynamics
- 4.3.1 Drivers
- 4.3.1.1 Increase demand of Petrochemical is driving the market
- 4.3.1.2 Increase in Investments is driving the market
- 4.3.2 Restraints
- 4.3.2.1 High Cost of Operations
- 4.3.3 Opportunities
- 4.3.3.1 Technological Innovations
- 4.4 Value Chain / Supply Chain Analysis
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4.5 Porter's Five Forces Analysis
- 4.5.1 Bargaining Power of Suppliers
- 4.5.2 Bargaining Power of Buyers/Consumers
- 4.5.3 Threat of New Entrants
- 4.5.4 Threat of Substitute Products
- 4.5.5 Intensity of Competitive Rivalry
- 4.6 Technological Innovations in the industry
- 4.7 Government Initiatives to Attract Investment in the Industry
- 4.8 Insights into the 3PL Market (Market Size and Forecast)
- 4.9 Impact of COVID - 19 on the Industry
5. MARKET SEGMENTATION
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5.1 By Service
- 5.1.1 Transportation
- 5.1.2 Warehousing, Distribution, and Inventory Management
- 5.1.3 Other Services
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5.2 By Mode of Transportation
- 5.2.1 Roadways
- 5.2.2 Railways
- 5.2.3 Airways
- 5.2.4 Waterways
- 5.2.5 Other Modes of Transportation
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5.3 By End-User
- 5.3.1 Pharmaceutical
- 5.3.2 Cosmetic
- 5.3.3 Oil and Gas
- 5.3.4 Specialty Chemicals
- 5.3.5 Other End-Users
6. COMPETITIVE LANDSCAPE
- 6.1 Market Concentration Overview
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6.2 Company Profiles
- 6.2.1 ALPS Global Logistics
- 6.2.2 Koyo Kaiun Co., Ltd.
- 6.2.3 Iino Singapore Pte Ltd
- 6.2.4 Fairfield Chemical Carriers
- 6.2.5 MCL Logistics Asia Pte Ltd
- 6.2.6 Tatsumi Marine (Singapore) Pte Ltd
- 6.2.7 MSR Green Corporation (S) Pte Ltd
- 6.2.8 Aurora Tankers Management Pte. Ltd.
- 6.2.9 Win-Bells Logistics & Services Pte. Ltd.
- 6.2.10 DHL
- 6.2.11 K" Line Pte Ltd"
- 6.2.12 Bertschi Singapore Pte Ltd.
- 6.2.13 Kaplan Logistics*
- *List Not Exhaustive
7. FUTURE OF THE MARKET
8. APPENDIX
** Subject To AvailablitySingapore Chemical Logistics Industry Segmentation
The process of organizing and controlling the movement of chemicals and related materials from suppliers to manufacturers and consumers is known as chemical logistics. This procedure guarantees that the appropriate chemicals are delivered to the appropriate locations at the appropriate times. Transportation, storage, inventory management, and security can all be part of chemical logistics. A complete background analysis of the Singaporean chemical logistics market, including the assessment of the economy and contribution of sectors in the economy, a market overview, market size estimation for key segments, emerging trends in the market segments, market dynamics and geographical trends, and COVID-19 impact, is covered in the report.
Singapore's chemical logistics market is segmented by service (transportation, warehousing, and other services), by mode of transportation (roadways, railways, airways, waterways, and other modes of transportation), and by end-user (pharmaceutical industry, cosmetic industry, oil and gas industry, specialty chemicals industry, and other end-users).
The report offers market size and forecast values (USD) for all the above segments.
| By Service | Transportation |
| Warehousing, Distribution, and Inventory Management | |
| Other Services | |
| By Mode of Transportation | Roadways |
| Railways | |
| Airways | |
| Waterways | |
| Other Modes of Transportation | |
| By End-User | Pharmaceutical |
| Cosmetic | |
| Oil and Gas | |
| Specialty Chemicals | |
| Other End-Users |
Singapore Chemical LogisticsMarket Research FAQs
How big is the Singapore Chemical Logistics Market?
The Singapore Chemical Logistics Market size is expected to reach USD 9.92 billion in 2024 and grow at a CAGR of greater than 13.5% to reach USD 15.32 billion by 2029.
What is the current Singapore Chemical Logistics Market size?
In 2024, the Singapore Chemical Logistics Market size is expected to reach USD 9.92 billion.
Who are the key players in Singapore Chemical Logistics Market?
ALPS Global Logistics, Koyo Kaiun Co., Ltd., Iino Singapore Pte Ltd, Fairfield Chemical Carriers and MCL Logistics Asia Pte Ltd are the major companies operating in the Singapore Chemical Logistics Market.
What years does this Singapore Chemical Logistics Market cover, and what was the market size in 2023?
In 2023, the Singapore Chemical Logistics Market size was estimated at USD 8.74 billion. The report covers the Singapore Chemical Logistics Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Singapore Chemical Logistics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Singapore Chemical LogisticsIndustry Report
Statistics for the 2024 Singapore Chemical Logistics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Singapore Chemical Logistics analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
