ID: MRFR/PNT/8517-HCR | October 2020 | Region: Global | 185 pages
Cold Storage Market is projected to be worth USD 302.18 billion by 2028, registering a CAGR of 14.10% during the forecast period (2021 - 2028)., The market was valued at USD 110.81 billion in 2021.
The projections state a steady increase in the global market share for cold storage in upcoming years. The demand for processed food, perishable food products, and healthcare equipment worldwide is rising with time. Developing nations with a large consumer market are pushing the expansion of the cold storage industry. Manufacturers, retailers, and distributors of several sectors are the end-users for the cold storage industry.
The emergence of the COVID-19 pandemic is a disaster to almost all global industries. The global market entirely depends on the stable ratio of market demand and supply of end-user products. There was an inevitable downfall of the cold storage market share during the pandemic. Since the pandemic happened, there were lockdowns in almost every nation of the world. There were travel restrictions in every country. Against such a backdrop it was very hard to retain the supply chains of the food market unaffected.
All supply channels were disrupted, the market consumption of food and subsidiaries declined during the lockdowns. Also, the global spending on infrastructure reduced a lot. The hit in the industry trends was severe in the COVID-19 situation. Although, like every other industry, the market is reviving fast after the lockdowns.
The cold storage market research suggests there is a growing competition between corporations basing on consumer density and demand. There have been several mergers and acquisitions to improve the retail chain and efficiency of the cold chain logistic. There are increasing growth faculties in countries like Mexico, Canada, the US, China, India, Japan, Brazil, etc.
The major key players of the market are –
Cold storage is designed to protect perishable products from external temperature variation. One of the key drivers for the global market growth is the ever-rising organized retail chains in developing countries. The vast population of such countries creates steady demand for such products in the market. Development in the retail industry and rapid urbanization are boosting the global market more than in earlier decades.
Increasing technological innovation is another enforcer of the market for cold storage. Worldwide government regulations regarding the safety measures of retaining temperature-sensitive food and medical products are promoting the usage of cold storage. The increase in the third-party logistic (3PL) industry is also pushing the growth of the market.
Massive advancements are coming along for cold storage and warehouses in the near future. Several countries are adopting automation technologies in their cold storage. The growing use of automated truck loading, energy management, cloud technologies, etc in the warehouses is creating new opportunities for the market. The national and international trading of temperature-sensitive products involves a lot of refrigerated storage at various points of the shipment. The global cold storage market trends suggest after the COVID-19 outbreak, the trading of vaccines, medicines, and other medical amenities has become much higher than before. Owing to that, the usage of cold storage has increased a lot since then.
There are certain barriers in the cold storage market that restricts growth. A primary restrain is the fragmentation of the cold chain in many developing nations. The cold storage capacity gets benefitted a lot when the entire cold chain is temperature regulated for perishable products. If any of the faculties in between procurement, storage, and transportation fails to support the necessary environment needed for the products, the whole system fails. Time and temperature abuse are serious barriers to the market growth. Also, the lack of skilled workers and inadequate cold chain management is striving restraint before the cold storage industry.
One of the most vital challenges before the cold storage market is the lack of proper infrastructure to maintain the cold chain. Several countries lack the necessary requirements to meet the industry standers of the market. The market share heavily relies on the performance of the developing countries due to the vast number of consumers. In most developing countries the cost of energy consumption for cold storage is much higher than the developed nations. There are stringent government policies in several countries to reduce global warming. However, the usage of renewable energy (e.g.- solar) resources is still new to the market.
The global cold storage market is projected to gain momentum in the upcoming years. The current data suggest that the market is growing at a CAGR of 12.8% for the forecast period of 2020-2027. The global market for cold storage is likely to reach USD 287 billion by the end of 2027. The current statistics suggest the market 2022 will observe a significant rise and is estimated to cross the USD 150 billion mark. Over the last couple of years, the growth of the market has been persistent and promising.
The cold storage market is built on the success of the cold chain system of distribution for the end-users. The manufacturer shifts the consignment via refrigerated cargo vehicles, which get stored in the cold storage of the warehouses. Then the shipment happens via refrigerated 3PL services. This whole chain has to sync with the parameters required for the product. So, the chain of operations is extremely valuable for the growth of market size.
The global market for cold storage can be classified into various groups. The segments have multiple subsegments that provide insights into the global market. The cold storage market is segmented on the basis of type, temperature type, application, and region.
By Temperature Type
There is a dominance of North America in the global market for cold storage. The US, Canada, and Mexico constitute the market of North America. Mexico, Canada, and the US market size is almost 36% of the global market share. The advanced connectivity between the cold chain and developed trucking infrastructure is fruitful for the market to grow. Mexico is estimated to gain tremendous growth in the cold storage market due to the solid network of warehouses and development in the logistics industry. There is a rising possibility for the Asia-Pacific countries to grow in the upcoming years because of huge consumer demand.
Cold storages are a utility-based facility that enables the safety of temperature-sensitive products. They protect mostly food and beverage products from extreme temperature differences in the outside environment. Several cold storage industry trends suggest that the rapid urbanization and changing lifestyle of consumers in different countries are leading the demand for cold storage in different sectors. Latest technological advancements in manufacturing and distribution procedures are important factors that determine the progress of the market.
This report provides insights on the global cold storage market research and various aspects of it. The definitive backdrop description and COVID-19 analysis will help to understand the present scenarios of the market. Also, the various market segments, drivers, challenges, and growth analysis gives a prominent outlook on the market presence of the cold storage industry. The report goes further with an analysis of future predictions and competitive landscapes of the growth parameters. This report is ideal for the Government and research organizations, research consultants, investors, etc.
|Market Size||2028: USD 302.18 billion|
|CAGR||14.10% CAGR (2021-2028)|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||By Type, By Temperature Type, By Application|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Lineage Logistics Holdings (US), Americold Logistics LLC (US), Nichirei Corporation (Japan), Kloosterboer (Netherlands), Tippmann Group (US), The United States Cold Storage (US), Henningsen Cold Storage Co. (US), VersaCold Logistics Services (Canada) , Congebac Inc. (Canada), NewCold (Netherlands), Snowman Logistics Pvt Ltd (India), Wabash National Corporation (US), Cloverleaf Cold Storage (US)|
|Key Market Opportunities||
|Key Market Drivers||Development in the retail industry and rapid urbanization|
Frequently Asked Questions (FAQ) :
The cold storage market is estimated to reach USD 302.18 billion by 2028.
Cold storage marketing is growing at a CAGR of 7.5% for the forecast period of 2021-2028.
According to the cold storage industry analysis, North American countries like the US, Mexico, and Canada hold the maximum market share of the global cold storage market.