Tanks flow thanks to new platform
Managing the supply and services of containers for liquid goods. The number of regular containers available is now sufficient to meet demand again, but the market for transport tanks for liquid goods is far from saturated. The ‘Tank4swap’ platform, from Canada, wants to open up the market for ‘Isotanks’ and ‘Flexitanks’ worldwide.
The logistics market for tanks for liquids is a rather specialised niche that requires intimate knowledge of the risks, amongst other things. The ITJ spoke to Touraj Mahmoudi, who learnt the trade in Germany and perfected it in the Middle East. Now based in Canada he has developed an online platform – www.tank4swap.com – for the transport, leasing, purchase and sale of ‘Isotanks’ and ‘Flexitanks’, and for all related services, including survey, load / discharge, warehousing, supervision as well as insurance.
How old is this market, Mr Mahmoudi?
The market for flexitanks started in the USA in the 1990s, with single-layer tanks first, and later multi-layer units. For isotanks the story starts in the late 1960s.
How many iso / flexitanks are there in circulation today?
At the end of 2022 there were 801,800 isotanks in use; with volumes between 16,000 and 30,000 l. 24,000 l is standard. In September 2021 there were 9 million flexitanks in action. The major flexitank manufacturers come from China, India, Indonesia and Malaysia; isotank makers from China, South Africa and Europe.
What’s the market’s overall potential?
The number of flexitanks is growing by around 10 – 15% a year, and the number of isotanks circulating grows by approximately 7 – 8% every year. The total market value of flexitanks alone stood at around USD 1.1 billion in 2022. Estimates have it that it will grow to USD 3.3 billion and 27 million units by 2028.
What is this momentum based on?
Using a tank beats drums or even teu with a volume of about 17,000 l, for example. Flexitanks are also recyclable, and isotanks can also be reused by customers.
Do the two types of tanks actually compete with each other?
No – isotanks are designed especially for hazardous goods; flexitanks aren’t.
What makes an online platform for these liquid tanks useful?
Efficiency, for one thing. For isotanks, between 10 – 15% of the overall fleet is actually repositioned empty, due to a lack of cargo where they are located. For flexitanks, operators have to hold buffer stocks in various locations. And manufacturers, freight forwarders, operators as well as shippers, including those active in the chemical industry, amongst others, aren’t sufficiently networked internationally.
Which players will find suitable opportunities on ‘Tank4swap’?
The users and manufacturers of tanks, lessors and service providers (transport as well as maintenance services providers, for example), as well as hazardous goods specialists, of course. The platform can be used without a subscription fee for the first six months. Thereafter we levy the subscription charge.
Which regions do users come from?
North America and Europe, and from the Far and Middle East and Africa.
Do you know of any similar platforms?
No, I haven’t come across one yet.
Will ‘Tank4swap’ also be equipped with artificial intelligence in future?
Yes, for the intelligent matching of supply and demand. AI can automatically divide ten isotanks on offer between three suppliers with lower demand who operate in the same region, for example. The potential is great –as is the market.
Christian Doepgen conducted this interview.