PUBLISHER: The Business Research Company | PRODUCT CODE: 1392816
PUBLISHER: The Business Research Company | PRODUCT CODE: 1392816
“Pallet Racking Global Market Report 2024 ” from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on pallet racking market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for pallet racking? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? “The pallet racking market global report ” from The Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
Pallet racking refers to a storage system, either single or multi-level, designed for the high stacking of single items or palletized cargo. It consists of vertical upright frames and horizontal load beams, specifically configured for the storage of the loads being handled. Pallet racking is commonly used for the bulk storage of items in distribution facilities.
The main types of systems in the pallet racking market include conventional racking, mobile racking, shuttle racking, and hybrid/customized racking. A mobile racking system involves racks built on a mobile base, guided by rails on the floor. Frame load capacities can vary, including categories such as up to 5 tons, 5 to 10 tons, and above 15 tons. Various types of racking systems exist, such as cantilever racking, selective racking, push-back racking, drive-in racking, pallet flow racking, and carton flow racking. Pallet racking finds applications in diverse industries, including healthcare, food and beverage, electronics, packaging, building and construction, chemicals, and other end-user sectors.
The pallet racking market research report is one of a series of new reports from The Business Research Company that provides pallet racking market statistics, including global pallet racking industry size, regional shares, competitors with a pallet racking market share, detailed pallet racking market segments, market trends and opportunities, and any further data you may need to thrive in the pallet racking industry. This pallet racking market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future state of the industry.
The pallet racking market size has grown strongly in recent years. It will grow from $11. 41 billion in 2023 to $12. 4 billion in 2024 at a compound annual growth rate (CAGR) of 8. 6%. The growth observed in the historic period can be attributed to the expansion of the global supply chain and logistics industry, a growing demand for efficient warehouse storage solutions, the widespread adoption of pallet racking systems in manufacturing and distribution centers, an increase in e-commerce activities, and advances in material handling and storage technology.
The pallet racking market size is expected to see strong growth in the next few years. It will grow to $18. 1 billion in 2028 at a compound annual growth rate (CAGR) of 9. 9%. The anticipated growth in the forecast period can be attributed to a surge in demand for automated and robotic pallet racking systems, the growth of the food and beverage industry, increased adoption of sustainable and eco-friendly racking materials and designs, the expansion of the retail sector with a focus on efficient inventory management, and the increasing globalization of supply chains. Key trends expected in the forecast period include the integration of IoT technologies for real-time monitoring and inventory management, the development of flexible and modular pallet racking systems for easy customization, the use of artificial intelligence for predictive maintenance and optimization, the integration of vertical farming and urban agriculture, and collaborations between pallet racking manufacturers and logistics providers to create innovative solutions.
The anticipated surge in demand for warehouse space is poised to drive the growth of the pallet racking market. Industrial racking systems, designed to support goods in warehouses, have become essential with the increasing prevalence of online shopping, necessitating a vast global logistics and distribution network. According to CBRE, a US-based real estate firm, e-commerce is expected to constitute a quarter of all retail sales by 2025, leading to the need for an additional 330 million square feet of warehouse space to accommodate the growing volume of goods. Consequently, the increased demand for warehouse space is a key driver propelling the growth of the pallet racking market.
The growing demand within the food and beverage industry is set to be a significant factor fueling the expansion of the pallet racking market. The food and beverage sector, encompassing the production, processing, distribution, and sale of food and beverages, has witnessed a surge in demand for warehousing space. This upswing is attributed to factors such as the rise of e-commerce and the globalization of supply chains. As indicated by ROI Revolution Inc., a US-based company providing services to direct-to-consumer (DTC) e-commerce businesses, food delivery apps are projected to generate $30 billion in revenue in 2022, up from $28 billion in 2021. Hence, the escalating demand in the food and beverage industry is expected to drive the growth of the pallet racking market.
A prominent trend gaining traction in the pallet racking market is the emergence of automated clad-rack warehouses. Major companies operating in this sector are keen on introducing innovative products to gain a competitive advantage. An illustrative example is the collaboration between SSI SCHAEFER and Tee Yih Jia Food Manufacturing Pte Ltd., resulting in Singapore's largest automated rack-clad high bay warehouse storage facility. This facility, equipped with an automated storage and retrieval system (ASRS), facilitates the automated placement and retrieval of high-volume cargoes from storage locations.
Innovation is a key focus for major companies in the pallet racking market, with the introduction of products such as automated guided vehicles (AGVs) to enhance competitiveness. Mitsubishi Logisnext Americas Group, a US-based machinery manufacturing company, launched the Jungheinrich EKX 516ka and 516a Automated High-Rack Stacker in March 2023, targeting the North American market. These fully automated systems enable efficient and productive storage and retrieval of full pallets.
In April 2021, Industrial Workspace Specialists (IWS Group) Ltd., a UK-based industrial workspace company, acquired The Rack Group in an undisclosed deal. This strategic move aims to fortify The Rack Group's resources, infrastructure, and capabilities, enhancing its ability to provide customers with top-tier service, customer care, and innovation. The acquisition also positions The Rack Group to offer a broader range of service and product solutions to its customers. The Rack Group specializes in providing pallet racking safety, inspection, repair, and maintenance services.
Major companies operating in the in the pallet racking market report are Mecalux SA, Estral Innovation and Applied Logistics, Jungheinrich AG, Montel Inc., Hannibal Industries Inc., Elite Storage Solutions Inc., SSI Schaefer, Interroll Holding Limited, ATOX Sistemas de Almacenaje SA, Stora Enso Oyj, Speedrack Products Group Ltd., Steel Storage Europe, Technical Supplies & Services Co. LLC, RackingDIRECT Limited, Shelf Space Limited, Finch Paper LLC, Stow International NV, AK Material Handling Systems, Advance Storage Products, Spacerack, Ohio Rack Inc., Elite Storage Solutions, FEMCO Steel Technology, Engineered Products, Meyer Material Handling Products Inc., Steel King Industries Inc., Nucor Warehouse Solutions, Vistamation Inc., Quality Material Handling Inc.
Asia-Pacific was the largest region in the pallet racking market in 2023. Asia-Pacific is expected to be the fastest growing region in the forecast period. The regions covered in the pallet racking market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa
The countries covered in the pallet racking market report are: Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.
The pallet racking market includes revenues earned by entities by supporting high stacking of single items or palletized loads. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified)).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.