11-Aug-2021 | Facts and Factors
According to the report published by Facts and Factors, the global food cold chain market was valued at approximately USD 233.8Billion in 2020 and is expected to generate revenue of around USD 366.8 Billion by end of 2026, growing at a CAGR of around 7.8% between 2021 and 2026.
The food cold chain refers to the process of controlling the temperature of perishable items from point of origin to the ultimate consumer in order to ensure quality and safety. It guarantees that perishable goods are secure and of excellent quality when they reach the consumer. Textural deterioration, discoloration, bruising, and microbiological development can occur if products are not kept at the proper temperatures. Furthermore, a high-quality product leads to a pleased consumer, increased demand, and overall public health protection. Cold chain suppliers also make a significant contribution to the economy and employment.
The pandemic had a beneficial influence on the food cold chain sector, with the demand for food cold chain warehouses increasing. The growing popularity of packaged food and beverage items bodes well for the expansion of the cold chain in the food sector. Because of the limited commerce during the pandemic, the COVID-19 had an influence on every industry's supply chain. As a consequence, food producers are focusing not only on food items but also on their storage to extend their shelf life, which is projected to drive the cold chain market. The COVID-19 epidemic has prompted a change toward a more structured retail sector in order to avoid future viral outbreaks. Consumers have placed processed food goods with a lengthy shelf-life next to perishable foods, and limited cross-border commerce has resulted in certain nations' cold chain storage capacity being exceeded. These changes highlight the need for the food value chain to transition away from open-air marketplaces and toward a cold-chain paradigm that preserves perishable goods for extended periods of time. During the projection period, these factors are likely to drive up demand for cold chains.
The food cold chain industry is highly fragmented, with the majority of players based in Africa, Asia, and Latin America region. These areas' cold chain service providers lack the resources and technology needed to develop high-quality cold chain facilities. In these nations, a lack of appropriate food storage, processing, and cold chain logistics, as well as a lack of organization and execution of controls for standard compliance, remains a major problem. In a cold chain network, service providers confront several problems, from procurement to retail distribution. The transport infrastructure in the Asia Pacific and South America is inefficient and poorly linked. The lack of missing links in these networks continues to limit route options, while limited capacity and bad infrastructure increase transit costs and time. These markets' cold chain systems aren't integrated or interoperable enough to handle diverse perishable commodities, posing a significant barrier to market expansion.
Top Market Players
Major players operative in the global food cold chain market are Interstate Cold Storage, Inc., Americold Logistics LLP, Kloosterboer Group B.V., Lineage Logistics Holding, LLC, ColdEx Logistics, Nagel-Group SE & Co. KG, AGRO Merchants Group, Emergent Cold LLC, NewCold, VersaCold Logistics Services, Gruppo Marconi SRL, Penske Logistics, Inc., Hanson Logistics, Inc., Tata Motors, Burris Logistics, Henningsen Cold Storage Co., and the United States Cold Storage, Inc. (USCS) amongst others.
Food goods are frozen by companies to extend their shelf life and render them inactive. The freezing procedure reduces the biological and chemical processes that cause food to deteriorate. Frozen food retains more nutrients than cooled meals, making it more appealing. Consumer demand for frozen items is increasing as a result of the desire for convenience. Frozen meals have risen in popularity due to their year-round availability in supermarkets, hypermarkets, and convenience stores.
Technological advancements in the processing, packing, and storage of seafood are expected to boost this segment's growth. A surge in fish output is also predicted to help the category develop. However, due to ongoing packaging material advancements, processed food is expected to be the fastest-growing application category throughout the projection years. Foods have a longer shelf life because of advancements in packaging materials. Over the last several years, this has resulted in a growth in the trade of processed goods.
North Americaisprojectedto Dominate Global Food Cold Chain Market Growth
The food cold chain industry is expected to be dominated by the North American area. The rigorous government regulatory environment, availability of trained personnel, availability of infrastructure, and the rising demand for packaged food are the major drivers driving the industry, which includes the United States. Over the forecasted time, the country of Canada is expected to grow significantly. The existence of significant fishing zones, as well as lower power costs, are driving factors in the Canadian regional market. E-commerce is a growing trend in the cold chain industry in the United States, and it is utilized for supermarket sales, fresh food delivery, and packaged food delivery. The growing use of third-party service providers for cold storing and shipping is expected to boost e-commerce for perishable consumer packaged products.
Browse the full report “Food Cold Chain Market by Product Type (Cold Chain Transportation and Cold Chain Storage), By Temperature Type (Frozen and Chilled), By Application (Dairy Products, Processed Foods, Meat, and Marine Products, Fruits and Vegetables, and Others) By Region: Global Industry Perspective, Comprehensive Analysis, and Forecast, 2021 – 2026” at https://www.fnfresearch.com/food-cold-chain-market
The global food cold chain market is segmented as follows:
By Product Type:
- Cold Chain Transportation
- Cold Chain Storage
By Temperature Type:
- Dairy Products
- Processed Foods
- Meat and Marine Products
- Fruits and Vegetables
- North America
- The UK
- Rest of Europe
- Asia Pacific
- South Korea
- Southeast Asia
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- GCC Countries
- South Africa
- Rest of Middle East & Africa
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