With stringent safety regulations, increased global trade, and growing environmental concerns, this sector is witnessing steady expansion. India, in particular, is experiencing a transformation, with increasing demand for high-quality tank container services
Global market overview
The global tank cleaning services market was valued at approximately $1.27 billion in 2023 and is projected to reach $1.61 billion by 2030, reflecting a compound annual growth rate (CAGR) of 3.43 per cent. This growth is driven by rising safety requirements, stringent environmental regulations and the need for operational efficiency in storage and transportation. The industrial tank cleaning market is also poised for expansion, growing from $527.4 million in 2024 to an estimated $738.6 million by 2032, at a CAGR of 4.3 per cent.
The ISO tank container market, integral to bulk liquid transport, is expected to surge from $0.74 billion in 2022 to $1.70 billion by 2032, growing at a robust CAGR of 8.7 per cent. This growth is attributed to the increased adoption of ISO tank containers for their safety, efficiency and cost-effectiveness.
Indian market dynamics
India’s tank container market is witnessing substantial growth, valued at approximately $498 million in 2020 and projected to grow at a CAGR of 3.12 per cent from 2021 to 2027. This expansion is fuelled by the rapid development of the chemical and petrochemical sectors, requiring safe and efficient transportation solutions. Furthermore, the India ISO tank container market is expected to grow from $27.12 billion in 2023 to approximately $96.16 billion by 2032, showcasing an impressive CAGR of 15.10 per cent. This boom is largely attributed to regulatory reforms, infrastructure development and an increasing shift from traditional bulk liquid transport methods to ISO tank containers, which offer superior safety and compliance
Industry drivers and challenges
The tank container and road tanker cleaning, testing and repair industry are being propelled by several key growth factors while simultaneously facing significant challenges that hinder its full potential.
Key growth factors
One of the primary drivers of growth in this sector is regulatory compliance. Stringent safety and environmental laws worldwide are compelling businesses to adopt high-standard cleaning and testing procedures to prevent contamination and enhance operational efficiency. Companies that align with these regulations are seeing increased demand for their services, ensuring safer and more reliable transportation of hazardous and non-hazardous materials. The expansion of the chemical and petrochemical industries is another crucial growth factor. With India’s chemical industry projected to grow from $300 billion in 2025 to $1 trillion by 2040, the demand for safe transportation and maintenance of tank containers is set to rise exponentially. As the industry scales, so does the need for professional and compliant services that ensure the integrity of transported goods. Technological advancements are also reshaping the industry. Companies are increasingly investing in automated cleaning technologies to enhance efficiency, minimize water consumption and reduce environmental impact. The integration of such advanced solutions is improving service standards and operational effectiveness across the sector. Sustainability initiatives are further driving market transformation. With a growing emphasis on carbon neutrality, energy-efficient processes and ecofriendly cleaning solutions, businesses are prioritizing environmentally sustainable practices. The adoption of solar power, biodegradable detergents and zero liquid discharge techniques is becoming more prevalent, ensuring that industry players align with global sustainability goals.
Challenges faced by the sector
Despite its steady growth, the sector faces several challenges that impede its progress. One of the most significant hurdles is the high cost of compliance and service delivery. Many customers are reluctant to pay premium prices for superior cleaning and maintenance services, instead opting for lower cost alternatives that often do not meet international standards. This price sensitivity limits the widespread adoption of advanced cleaning and testing solutions. Infrastructure constraints also pose a major challenge. While Europe boasts over 600 high-standard tank cleaning facilities, India has only about 20-25. This stark contrast underscores the urgent need for investment in developing a more extensive and advanced infrastructure to meet the growing demand for professional tank container cleaning and maintenance services.
Additionally, a lack of industry awareness hampers market expansion. Many transporters and businesses remain unaware of the long-term benefits of ISO tank containers over traditional bulk liquid transport methods such as flexi bags and drums. While ISO tank containers offer superior safety, compliance and cost efficiency in the long run, the industry’s resistance to change and lack of education on these advantages slow the rate of adoption. Addressing these challenges requires a concerted effort from industry stakeholders, regulatory bodies and market leaders. By fostering greater awareness, investing in infrastructure and encouraging compliance with international standards, the sector can continue to grow while ensuring safety, efficiency, and sustainability in global and Indian logistics.
Regulatory and market shifts
Recent government regulations are reshaping the industry. A key development is the Indian customs authority banning the import of petrochemicals in flexi bags for products with flash points up to 95-96°C. This move has led to a surge in demand for ISO tank containers, as they provide a safer and more compliant alternative. Moreover, organizations like the Petroleum & Explosives Safety Organization (PESO) are tightening regulations on the movement and storage of hazardous chemicals, further boosting the need for professional tank container cleaning and testing services.
Expanding infrastructure
Leading players like Zodiac Tank Container Terminals (ZTCT), a part of the Samsara Group, have set up state-of-the-art facilities near Nhava Sheva, offering automated cleaning, testing and repair services with German technology. Companies are now evaluating opportunities for expansion, particularly in South and North Gujarat, to cater to the increasing demand.
