Grain Storage Silos Procurement Intelligence Report, 2023 - 2030 (Revenue Forecast, Supplier Ranking & Matrix, Emerging Technologies, Pricing Models, Cost Structure, Engagement & Operating Model, Competitive Landscape)

Grain Storage Silos Category Overview

The grain storage silos category is expected to grow at a CAGR of 4.5% from 2023 to 2030. The North American region accounts for the largest category share, while the APAC region is anticipated to be the fastest-growing region in the forecast period. Increasing demand for food security amid rising population to ensure a sufficient and stable supply of food grains throughout the supply chain and the need for reduction in post-harvest losses owing to various factors are raising the demand for the category. Factors such as increasing demand for grain storage, automation of grain transport, large holding capacity, temperature and quality control, and prolonged period storage facility of the grains are driving the growth of the category. Government initiatives and policies promoting agricultural development and the adoption of advanced technology in the sector are further driving category growth.

Portable grain storage silos are in high demand and equipped with advanced technology, featuring improved and updated business platforms. It uses real-time 3D visualizations, traceability, and financial and input analysis to produce a one-location, one-login remote farm management system that increases the farm's productivity and profitability. For instance, Ag Growth International, Inc. (AGI) has developed SureTrack 2.0 which integrates new management features with existing software and hardware solutions. Grain storage silos are equipped with advanced features like optimized temperature control, options for variable seismic ratings, and provision for customized solutions, all of these protect the material stored inside from getting damaged and extend the longevity of the product. The application of IoT and ML has introduced smart sensors to monitor and control humidity, air temperature, grain moisture, air pressure, Co2 levels, and insect infestation by making use of mobile applications, ultrasonic atomizers, and Wi-Fi modules.

The category is fragmented with major players accounting for less market share. Companies are focusing on making partnerships, alliances and launching innovative products and solutions to attain global leadership. Strong focus on making a wide distribution network, offering a range of products, and catering to niche markets with vast customization, major players can have an advantage over others making use of economies of scale and resources and using their brand reputation. In March 2022, Sioux Steel Co., based out of the U.S. bought SCAFCO Grain Systems Co. A series of structures, grain bins, handling tools, drying technologies, and accessories are available with SCAFCO, which has installations in more than 80 nations. Sioux Steel's capability to transport products to customers across the globe will therefore be significantly improved by owning SCAFCO's goods, equipment, and plants. Players are also working on increasing their capacity to store large quantities of materials. For instance, Riviana Foods Inc., a subsidiary of Ebro Foods, SA that is located in Madrid, Spain, has built two additional silos at its wild rice processing plant in Minnesota, the United States. This expansion doubled the facility's storage capacity.

Infrastructure, fumigation, and retro sealing are the primary cost components used to set up grain storage silos on the field. Above all, infrastructure stands to be the most capital-intensive setup holding more than 60% of the total cost and varies based on different capacities and sizes. Transportable sealed silos can range between USD 100 to 140/tonne alongside foundation requirements costs around USD 2500 for 70 tons transportable silo. Larger onsite silos are generally constructed at a cost of roughly USD 80 per tonne of grain stored. To seal sheet joints, bolts, rivets, lids, and apertures on older silos, retro-sealing experts utilize a variety of rubber, specialized rubberized cement, and silicon compounds. The cost of retro sealing can often be as much as 50% of the new sealed silo unit. A cylindrical silo vessel can cost around USD 50,000 for a small-bolted silo, whereas a larger-sized silo can go over USD 1,000,000.

The European region is considered to be the top region consisting of many strong grain storage silo manufacturers. Sourcing the best storage silos includes checking for the quality and durability of the product, customization, and niche product requirement, meeting regulatory compliance, licensing requirements, and at-par technological advancements to cater to future needs in order to protect the material stored inside. Checking for standards is a must to seal the storage silo, for instance, AS2628 is to be utilized for the Australian standard. Major countries including Canada, China, India, the U.S., Germany, and the U.K. exports a larger number of agricultural produces which requires them to maintain quality standards of food grains using storage silos.

Grain Storage Silos Procurement Intelligence Report Scope