SIJORI Oil Storage Fee Rental Market Overview - 2032
The SIJORI oil storage fee rental market was valued at $1.3 billion in 2022, and is projected to reach $1.9 billion by 2032, growing at a CAGR of 3.9% from 2023 to 2032.
Report Key Highlighters
- The SIJORI oil storage fee rental market is consolidated in nature with few players such as PSA International, Royal Vopak, Singapore Petroleum Company Limited., HORIZON TERMINALS, Jurong Port Universal Terminal Pte. Ltd. , Feoso Group, VTTI. and Oiltanking GmbH,that hold significant share of the market.
- The study covers in-depth analysis of 1 countries and 2 state from different regions including Singapore, Johor and Riau. In addition, data of every country and state has been provided for better understanding of SIJORI oil storage fee rental market dynamics in every country and state.
- The SIJORI oil storage fee rental market includes company profiles of 10 key players who are actively engaged in producing various SIJORI oil storage fee rental.
Oil storage tanks are the tanks which are used to store oil without changing their physical and chemical properties. Carbon steel, stainless steel, industrial strength plastic, and reinforced concrete are some of the most common materials used to manufacture oil storage tanks. The materials utilized to construct oil tanks are steel, carbon steel, and fiberglass-reinforced plastic as material are robust, long-lasting, and resistant to corrosion by crude oil and petroleum-based products.
The growth of the SIJORI oil storage fee rental market is driven by consequent rise in demand for oil products, increase in refineries operations, import and export crude oil. The oil terminals in Singapore, Malaysia and Indonesia countries have put more emphasis on storage and distribution of oil products. These factors altogether are expected to propel the SIJORI oil storage fee rental market trends in coming future.
Oil storage tanks are widely used to store crude products. Transforming crude oil into finished products such as gasoline and petrochemicals is a complex and lengthy process. Throughout the production and manufacturing stages, oil storage tanks are used to hold and store oil and derivatives. There are multiple factors to consider while choosing storage tanks, including the unique physical and chemical properties of the product being stored. In addition, sites must factor in health and safety regulations, as well as environmental risks and other legal requirements. Oil storage tanks come in a myriad of shapes, sizes, styles, and materials. Moreover, oil storage tanks are available on rental basis in the market with different capacity as per usage. Oil storage tanks require to be painted with heat and transformer oil resistant paint from inside.
In addition, it with silica gel breather and the inlet and outlet valves are kept diagonal and designed to suit the requirement of transformer oil filtration. Moreover, the tank is designed to keep in mind the transportation to ensure low-cost transportation at site.
Rise in urbanization and infrastructural development across the globe led to increase in the demand for oil & gas which led to increase the demand for oil storage fee rental business and may act as the major driving factor for the market. In addition, oil storage tank is used to store oil and rapid expansion of refinery industry act as the major driving factor for the SIJORI oil storage fee rental market growth.
The Sijori oil storage fee rental market forecast is segmented on the basis of rental rates, capacity, tank location, fuel type and country. On the basis of rental rates, the market is categorized into daily, weekly, monthly. On the basis of capacity, it is divided into 300Gal. To 2,999-Gal., 3,000-Gal. To 5,999-Gal., 6,000-Gal. To 8,999-Gal., and Above 9,000-Gal. On the basis of tank location, it is classified into above ground indoor storage tanks, above ground outdoor storage tank and underground storage tanks. On the basis of fuel type, it is classified into crude oil, gasoline, aviation fuel, naphtha, diesel, kerosene, and liquefied petroleum gas. On the basis of country, it is analyzed across Singapore, Malaysia (JOHOR) and Indonesia (RIAU).
SIJORI oil storage fee rental market, by rental rates
In 2022, the monthly segment was the largest revenue generator, and is anticipated to grow at a CAGR of 4.1% during the forecast period. Monthly rental rates for oil storage tanks may vary depending on factors such as tank size, duration of rental, location, and additional services or features provided. Rates may be negotiable, particularly for longer rental periods or larger storage volumes. In addition, the rent of tanks on monthly is less in comparison to daily basis which may act as the major driving factor for the market. Moreover, usage of oil storage tanks on monthly basis is high in many industries such oil & gas and other import and export companies which may act as the major driving factor for the market.
By Rental Rates
Monthly segment is the most lucrative segment
SIJORI oil storage fee rental market, by Capacity
In 2022, the Above 9000 GAL segment was the largest revenue generator, and is anticipated to grow at a CAGR of 4.3% during the forecast period. Rapid expansion of oil depot, industrial and commercial fuel storage, refineries, and petrochemical plants across the globe led to increase the demand for oil storage tank with capacity above 9,000 gallons which may act as the major driving factor for the market. In addition, rise in power plants in Singapore, Malaysia and Indonesia led to increase the demand for oil storage tank with capacity 6000 GAL to 8999 Gal which may create lucrative opportunities for the market. Moreover, rising demand for superstructures led to an increase in the construction activities which in turn to increase the demand for such storage tanks and may create positive trends for the market.
By Capacity
Above 9000 GAL segment witnessed the highest market share
SIJORI oil storage fee rental market, by tank location
In 2021, the above ground outdoor storage tanks segment was the largest revenue generator, and is anticipated to grow at a CAGR of 4.2% during the forecast period. Outdoor storage tanks are typically constructed from materials that may withstand outdoor conditions, such as carbon steel, stainless steel, or fiberglass-reinforced plastic (FRP). The material choice depends on the stored properties, compatibility, and exposure of the liquid to environmental factors such as temperature, UV radiation, and moisture. The high durability of this tank may act as the major driving factor for the market. In addition, outdoor tanks are exposed to the elements, it is important to consider weather protection measures. This may include weatherproof coatings, insulation, or shelters to mitigate the effects of extreme temperatures, sunlight, rain, snow, or hail. However, all weather feature of this tank may act as the major growth factor for the market.
By Tank Location
Above Ground Outdoor Storage Tanks segment witnessed the highest market share
SIJORI oil storage fee rental market, by fuel type
In 2021, the crude oil segment was the largest revenue generator, and is anticipated to grow at a CAGR of 4.2% during the forecast period. Crude oil demand is closely tied to global economic growth. There is an increased need for energy to fuel industries, transportation, and infrastructure development as economies expand. Rise demand for crude oil in energy and transportation may act as the major driving factor for the market. In addition, crude oil is a vital raw material in various industrial processes. It is used in the production of plastics, chemicals, fertilizers, lubricants, and other petroleum-based products. The demand for crude oil acts as the major growth factor for the market as industrial activities expand. Moreover, petrochemical industry is a significant consumer of crude oil. Petrochemicals derived from crude oil are used in the manufacturing of plastics, synthetic fibers, rubber, detergents, and other consumer and industrial products. The demand for crude oil used as a feedstock rises and may create lucrative opportunities for the market with increase in demand for these products.
By Fuel Type
Crude oil segment is the most lucrative segment
SIJORI oil storage fee rental market, by Country
The SIJORI oil storage fee rental market size is projected to grow at the highest CAGR during the forecast period. Singapore is key to global energy trade as country has petroleum refining, storage, and distribution infrastructure. The Jurong Island in Singapore has over 100 international petroleum, petrochemical, and chemical companies. Singapore is a leading manufacturer and operator of advanced floating production, storage, and offloading (FPSOs) conversions. Thus, this is projected to fuel the growth of the SIJORI oil storage fee rental market share in Singapore. Oil companies and transportation companies are researching on analyzing pathways to strengthen oil storage infrastructure to create more SIJORI oil storage fee rental market opportunities in coming years.
By Country
Singapore would exhibit highest CAGR of 4.1% during 2023-2032.
The Sijori oil storage fee rental market analysis covers in-depth information about the major industry participants. The key players operating and profiled in the report include PSA International, Royal Vopak, Singapore Petroleum Company Limited., HORIZON TERMINALS, Jurong Port Universal Terminal Pte. Ltd. , Feoso Group, VTTI., Oiltanking GmbH, Sinopec Kantons Holdings Limited, PT Pertamina(Persero) and Dialog Group Berhad. The SIJORI oil storage fee rental market report provides in-depth competitive analysis as well as profiles of these major players.
Recent Strategies Undertaken By Key Players
- In January 2023, Dialog Group Berhad company decided on an additional investment of $154.34 million for the development of services facilities in Pengerang. This development helps the company to increase revenue in the near future.
- In April 2023, PSA International company has decided to sign an agreement to buy a 75% stake in a privately held ALISAN logistics company. The company is engaged in the logistics of goods in various industries. This development helps the company to increase its SIJORI presence and revenue in the near future.
- In January 2021, PT. Oiltanking Karimun and Matrix SIJORI Holdings LLC company has established a partnership to develop an auction program for storage capacity at PTOTK's facility on Karimun Island in Indonesia. This development is expected to help the company to increase its revenue in the near future.
- In November 2021, VTTI decided to acquire IPTF (ILandamp;FS Prime Terminals FZC). The IPTF storage terminal is situated in the heart of Fujairah. The acquisition means that VTTI will own 90% of the terminal, while the other 10% will remain with the Fujairah Government. This development helps the company to increase its SIJORI presence and revenue in the near future.
- In October 2020, Royal Vopak Company and Chandra Asri Company signed the LOI for a partnership in the industrial terminal in Indonesia. This development helped the company to provide exciting storage opportunities in supply networks, helped grow existing petrochemical value chains, and lay the foundations for an expanded industrial cluster in Cilegon, Banten Province, Indonesia.
Impact Of Covid-19 On The Sijori Oil Storage Fee Rental Industry
The COVID-19 pandemic had a significant impact on the oil storage business due to the unprecedented disruptions in global oil markets. Here are some key impacts of the pandemic on the oil storage industry:
Demand Shock: The pandemic led to a sharp decline in global oil demand as travel restrictions, lockdown measures, and economic slowdowns reduced transportation and industrial activities. The reduced demand resulted in a surplus of oil in the market, overwhelming storage capacity and leading to a surge in demand for storage tanks.
Key benefits for stakeholders
- Porter’s five forces analysis helps analyze the potential of buyers & suppliers and the competitive scenario of the industry for strategy building.
- It outlines the current SIJORI oil storage fee rental market trends and future estimations from 2022 to 2032 to understand the prevailing opportunities and potential investment pockets.
- The major countries in the region have been mapped according to their individual revenue contribution to the regional market.
- The key drivers, restraints, and opportunities and their detailed impact analysis are explained in the study.
- The profiles of key players and their key strategic developments are enlisted in the report.
SIJORI Oil Storage Fee Rental Market Report Highlights
| Aspects | Details |
 By Rental Rates |
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 By Capacity |
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 By Tank Location |
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 By Fuel Type |
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 By Country |
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 By Key players in the SIJORI oil storage fee rental market are: |
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Analyst Review
The Sijori oil storage fee rental market has registered a dynamic growth over the past few years, owing to drastic growth in oil & gas industry. In addition, huge investment plans of government of every nation with respect to oil and energy infrastructure development led to boost the Sijori oil storage fee rental market across the globe.
Moreover, Oil storage tanks serve as a means to store large quantities of oil or petroleum products in bulk. These tanks are used by oil producers, refineries, and distributors to store surplus oil during periods of oversupply or low demand. It allows them to balance the supply and demand dynamics, ensuring a steady flow of oil to meet market needs. In addition, oil storage tanks enable efficient transportation logistics by storing oil close to consumption centers or transportation infrastructure, such as pipelines, railways, or ports.
This helps in the smooth and timely delivery of oil to end-users, including power plants, manufacturing facilities, and fuel stations. Furthermore, oil storage tanks play a crucial role in managing seasonal variations in oil demand. For example, during the winter season, the demand for heating oil increases, while gasoline demand rises during the summer months. Storage tanks allow companies to stockpile oil during low-demand periods and release it during peak seasons to meet consumer needs.
The monthly segment was the largest revenue generator in 2022, and is anticipated to grow at a CAGR of 4.1% during the forecast period.
The Singapore is the largest regional market in the global SIJORI oil storage fee rental market, contributing more than one third of the global market in 2021.
The SIJORI oil storage fee rental market was valued at $1.3 billion in 2022, and is projected to reach $1.9 billion by 2032, growing at a CAGR of 3.9% from 2023 to 2032.
The rising demand for crude oil and other finished oil products in developing countries, and rise in import and export activities.
The leading players operating in the global SIJORI oil storage fee rental market include, PSA International, Royal Vopak, Singapore Petroleum Company Limited., HORIZON TERMINALS, Jurong Port Universal Terminal Pte. Ltd. , Feoso Group, VTTI., Oiltanking GmbH, Sinopec Kantons Holdings Limited, PT Pertamina(Persero) and Dialog Group Berhad.
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