Refrigerated Train Market: Introduction
- Increasing demand for air transport and to simplify and ease the traffic congestion of passenger on the airport, is expected to boost the refrigerated train market over the forecast period.
- A refrigerated train is designed to transfer or ship perishable food products, which include meat, dairy, and vegetables. This train has approximately 18 to 20 freight cars, with a capacity of above 40 tons each, which are used for forwarding the food products. The refrigerated train has a car housing for workers, cooling equipment, and for a diesel or electric power plant. This train is thermally insulated and hence maintains temperature between -10°C degrees and +14°C, when the outside temperature of the train is about +40°C to -40°C.
Refrigerated Train Market: Key Trends
- Increasing demand for frozen food products across the developed countries is driving the refrigerated train market. The logistics and transportation services act as a backbone of most of the countries and businesses across the globe as they fulfill the daily requirements in a country and also manage the transportation, distribution, and warehousing of a business. Moreover, refrigerated trucks have a great impact on the developed country’s eating habits and economy, as they are extensively dependent on the packed and perishable food. Developed countries are more urbanized and have a high demand for fresh food, especially meat and dairy products, which is shipped from long distances. Furthermore, rising food, beverage, and e-commerce businesses in such regions has enhanced the demand for fresh food items, which drive the logistics and transport industry and contributes to the market expansion. Additionally, the recent COVID-19 pandemic has enhanced the work-from-home culture, which has shifted the consumption patterns of the consumers toward frozen food, as they are less contaminated. Such shift in consumption pattern is also driving the refrigerated train market.
- Growing service sectors, such as hypermarkets, fast food chains, and quick-service restaurants, is expected to boost the refrigerated train market. Rise in fast food consumption and on-the-go food habits due to busy schedules of the consumers further increase the demand for food products and frozen food items with longer shelf life. The freezing technique enables transport of perishable food items from one location to other, which increases the demand for refrigerated trains across the globe, in order to improve product shelf life.
Opportunities in Refrigerated Train Market
- Increasing adoption of new strategies for developing new transport modes in order to reduce the transportation cost and improve the performance and quality of the supply chain is anticipated to boost the refrigerated train market during the forecast period. Intermodal transport technique for food and beverages is widely adopted by most of the service providers, which can reduce their transport cost and time by seamlessly dividing their freight in between trains, trucks, and cargo ships. Intermodal shipments can be applicable for both domestic and international shipments, which has rail shipment as its primary mode of transport. Moreover, refrigerated trains are also utilized for intermodal transport due to increasing fuel cost.
- As per the Association of American Railroads (AAR), major transportation companies have invested huge amounts for the development of rail infrastructure and its associated technology. For instance, the Asian Infrastructure Investment Bank (AIIB) approved around 300 million EURO to the Government of Turkey for their Ispartakule-Cerkezkoy railway project, which aims at growing passenger and freight capacity, improving rail transport safety, and increasing speed between the European Union and Turkey.
- Increasing technological advancements in refrigerated transportation has enhanced food safety and further reduced energy consumption and food wastage. Moreover, transport companies are also investing on developing certain technologies, which can minimize environmental impact produced by refrigeration.
Refrigerated Train Market in Europe to Expand Significantly
- Popularity of refrigerated train is increasing in Europe due to the increasing demand for frozen and perishable food products, high presence of fast food chains and quick-service restaurants, and large consumer base for ready-to-eat food products. Moreover, Europe also has technologically developed refrigerated transport systems and stringent implementation of high quality standards for food products, which enables transport of frozen food items from local providers to bigger pan-European service providers, driving the refrigerated train demand in the region. Asia-Pacific is expected to hold the highest share of the global market during the forecast period due to increasing demand for processed and frozen food items. Frozen food products are convenient and have intact nutrition value, therefore, highly preferred by the consumers, which further contribute to the expansion of the refrigerated train market.
Key Players Operating in Refrigerated Train Market
The refrigerated train market is moderately consolidated. Few key players operating in the global refrigerated train market are:
- Lineage Logistics
- The Greenbrier Companies
- BNSF Railway Company
- Utility Trailer Manufacturing Company
- Schmitz Cargobull
- RZD Logistics
- Cryo-Trans
- Danfoss Group
- VTG AKTIENGESELLSCHAFT
- Far Eastern Shipping Company (FESCo)
Global Refrigerated Train Market: Research Scope
Global Refrigerated Train Market, by Temperature Type
- Single Temperature Train
- Multi-temperature Train
Global Refrigerated Train Market, by Technology
- Cryogenic Systems
- Vapor Compression Systems
Global Refrigerated Train Market, by Application
- Chilled food
- Dairy Products
- Bakery & Confectionery Products
- Fresh Fruits & Vegetables
- Beverages
- Frozen food
- Frozen Dairy Products
- Processed Meat
- Fish & Sea Food
Global Refrigerated Train Market, by Region
- North America
- Europe
- Germany
- France
- U.K.
- Italy
- Spain
- Nordic Region
- Rest of Europe
- Asia Pacific
- China
- Japan
- India
- ASEAN
- Rest of Asia Pacific
- Latin America
- Brazil
- Mexico
- Rest of Latin America
- Middle East & Africa
- GCC Countries
- South Africa
- Rest of Middle East & Africa
