The Global Cold Chain Market was valued at USD 240.6 billion in 2021 and is expected to reach USD 755.8 billion by the end of 2030, growing at a CAGR of 15.8% between 2022 and 2030. The rising penetration of connected devices and automation of refrigerated warehouses across the world is expected to spur industry progress over the forecast period.
Cold Chain Market: Overview
Some of the key factors that are contributing to the growth of the Global Cold Chain market are the increase in the demand for frozen foods, the growth of the Organized Retail sector, and improved concern about food wastage. The growing international trade is also contributing to the progress of the market. Food producers and distributors always rely on cold chains and their logistics to protect the cargo during its transportation and storage. The increase in the global population is another factor that is contributing to the growth of this market. The increase in the global population and food wastage because of spoilage mandate the need for foods to be preserved for longer periods of time to cater to the subsequent shortage of food. However, the increased need to cope with the changes in government policies and regulations and the increased energy costs are hindering the growth of the market.
Cold Chain Market Dynamics
Increasing consumer demand for perishable foods gives to the growth of the cold chain market.
Consumers are now more conscious of health and wellness, with the effect that food nutrients, especially protein, have on overall physical and mental growth and development. The demand for unpreserved foods for example dairy products, fruits, vegetables, and meat is growing with the rising urban population and changes in the eating habits of the common people. Consumers are shifting towards the purchase of perishable goods that have a long time until expiration due to the nature of perishability. Rising markets in the Asia Pacific and Latin America are witnessing high demand for perishable food products. This can be connected to urbanization, changing tastes and preferences, and the rising disposable income of consumers in these countries. Hence, the cold chain market is highly driven by the improved demand for perishable products and the need for quick delivery associated with e-commerce-based food and beverage delivery.
High installation cost
The main costs involved are the preparation of the site, construction of the building, engine room equipment, machinery, electrical installation, and other equipment, and services. These costs will be high that depends on location and warehouse capacity. The increase in energy costs is a major concern for the vendors in the market. Chilled and frozen storage systems account for more than 80 percent of the total energy consumed in a cold storage system. The high cost of energy increases the operational costs of the vendors. Thus, high energy cost is a major challenge that may impede the growth of the global cold chain market.
The presence of stringent government policies and regulations is another major restraint for the cold chain equipment market.
Global Cold Chain Market: Segmentation
The market is mainly segmented based on temperature type, type, application, and region.
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Temperature Type
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Type
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Application
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Region
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Frozen
Chilled
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Storage,
Monitoring Components Transportation
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Dairy & Frozen Dessert
Fish, Meat, and Seafood Products
Bakery & Confectionery Products
Fruits & Vegetables
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North America
Europe
Asia Pacific
Latin America
Middle East & Africa
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By temperature type, the market is segmented into frozen and chilled. the frozen segment dominated the cold chain market in 2021, which accounted for XX% share of the global market. The chilled segment is expected to grow with the height CAGR during the estimated Period.
On basis of type, the global cold chain market includes storage, monitoring components, and transportation. Among these products, the Storage Type dominated the global cold chain market in 2021. It accounted for over 55% share of the total revenue generated and this trend is predicted to continue this trend over the years to come. owing to the rising preference for packaged food goods around the world and the surge in demand for ready-to-eat and frozen foods across the globe. Rapid Changing lifestyles of consumers and dietary patterns are driving the demand for frozen foods. This is projected to increase the demand for storage solutions.
On the basis of application, the market is divided into Dairy & frozen desserts, Fish, meat, and seafood products, Bakery & confectionery products, Fruits & vegetables, and Others. By application, the fish, meat, and seafood sector held the largest revenue share of 26% in 2021 and will keep the primary position growing at a stable CAGR from 2022 to 2028. Technological advancements in the packaging, processing, and storage of seafood are predicted to stimulate the growth of this segment. Also, an increase in fish production is expected to improve segment growth. On the other hand, processed food is predictable to be the fastest-growing segment over the estimated years due to continued innovations in packaging materials. The Meat, Fish, and Seafood segment was followed by the Dairy and Frozen Desserts segment, which accounted for a market share of XX percent. The demand for dairy products, especially milk, has increased steadily over the past few years. In addition, the need for germ-free dairy products is resulting in an increase in the demand for cold chain logistics.
Regional Insights
North America is expected to dominate the cold chain market as the region has considerable growth opportunities for companies planning to invest for the long haul. North America held the largest revenue share of more than 37% in 2021. The high amount of revenue generated in the US because of its massive population with high disposable income is driving the Cold Chain market in North America.
North America followed by; Asia Pacific is expected to be the fastest-growing region. Also, the Demand for meat, dairy, and processed food is high in countries like China, South Korea, Japan, and India, and it is expected that this will boost the cold chain market in the area. China is the main contributor to the Asia Pacific regional market. The market growth in China is accredited to factors, such as technological advancements in the packaging, processing, and storage of seafood products.
The countries in Western Europe are witnessing a steady increase in the demand for frozen foods. Germany is one of the leading contributors to the revenue of the Cold Chain market in this region. Countries such as France, Greece, Italy, Spain, and the UK are also contributing to the growth of the Cold Chain market in Europe. In addition, increased consumption of frozen foods and seafood is contributing to the growth of the market.
Competitive Landscape
Americold Logistics, Nichirei Corporation, Agro Merchants Group, United States Cold Storage, Conestoga Cold Storage, NewCold, Confederation, Seafrigo, Cold Chain Technologies, Inc., Wabash National Corporation Preferred Freezer Services, LLC, Cryopack Industries, Inc. and Burris Logistics are the leading cold chain market vendors.
Cold Chain Market Scope and segmentation
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Attribute
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Details
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Market Size in 2021
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USD 240.6 billion
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Estimated Market Size in 2030
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USD 755.8 billion
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CAGR Growth Rate
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15.8% CAGR
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Historical Year
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2018 to 2021
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Forecast Years
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2022-2030
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Segments Covered
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Type, Temperature Type, Application, Region
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Major Regions Covered
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North America
Europe
Asia Pacific
Latin America
the Middle East & Africa
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Key Market Players
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Americold Logistics, Nordic Logistics, Agro Merchants Group, United States Cold Storage, Henningsen Cold Storage Company, Conestoga Cold Storage, Confederation, Creopack, Sofrigam, Cold Chain Technologies, Inc., Preferred Freezer Services, LLC, Cryopack Industries, Inc. and Burris Logistics
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Report Coverage
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Revenue forecast, company share, competitive landscape, growth factors and trends
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Free customization scope (equivalent to 5 analysts working days)
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If you need specific information, which is not currently within the scope of the report, we will provide it to you as a part of customization
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