Global Healthcare Cold Chain Logistics Market Overview
The healthcare cold chain logistics market size was valued at USD 13.9 billion in 2022 and is projected to grow from USD 14.99 Billion in 2023 to USD 23.65 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 7.89% during the forecast period (2023 - 2030). Rapidly increasing distribution networks of biopharma companies to improve sales, increased adoption of automated retrieval and storage systems in emerging countries, and a shift from small molecule drugs to biosimilars, primarily vaccines and biologic drugs, are the key market drivers boosting the market growth of the healthcare cold chain logistics.
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Healthcare Cold Chain Logistics Market Trends
- Rising transportation of temperature-sensitive pharmaceuticals via cold chain logistics to drive market growth
The healthcare and pharmaceutical industries are expanding rapidly and developing novel drugs with increased efficacy. It is essential to store and refrigerate these medications properly. This requirement has ushered in a new era of healthcare cold chain logistics. Moreover, pharmaceutical exports are rapidly increasing due to government bodies in several countries focusing on providing advanced healthcare facilities to their citizens. The need for a well-equipped healthcare setup is expected to open new avenues in the market CAGR of healthcare cold chain logistics in the coming years.
Various temperature levels must be maintained to ensure the integrity of pharmaceutical products throughout the transport chain. The healthcare cold chain logistics industry has developed temperature guidelines to accommodate most products. Logistics for cold storage packaging have evolved. The transportation of temperature-sensitive goods has increased due to market player acquisitions and technological developments in the cold chain logistics sector. This has helped the healthcare cold chain logistics market revenue rise. For example, the Radio Frequency Identification (RFID) system is a promising technological advancement with several advantages for temperature monitoring of pharmaceuticals and other healthcare products.
Healthcare Cold Chain Logistics Market Segment Insights
Healthcare Cold Chain Logistics Product Insights
The Market segmentation of Healthcare Cold Chain Logistics, based on product, includes vaccines, biopharmaceuticals, clinical trial materials, and others. The vaccines segment held the majority share in 2022, contributing around ~32-35% to the Market revenue of Healthcare Cold Chain Logistics. Vaccines are a vital class of pharmaceuticals with high global demand. Vaccines typically necessitate temperature control, which is obtained through cold chains. Furthermore, pharmaceutical industries are primarily concerned with product responsiveness and quality. Increased production of complex proteins, hormone treatments, vaccines, and other biologically based medicines commonly require a cold chain infrastructure.
Figure 2: Healthcare Cold Chain Logistics Market, by Product, 2022 & 2030 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
Further, the biopharmaceutical segment is expected to grow fastest between 2023 and 2030. The biopharmaceutical healthcare cold chain logistics market is expanding due to increasing demand for temperature-controlled logistics services and biopharmaceutical companies expanding distribution networks to increase sales and transport biologics in various geographical areas. The rising popularity of targeted therapies and increased investment in the global healthcare sector creates opportunities for biopharmaceutical products.
Healthcare Cold Chain Logistics Services Insights
The Healthcare Cold Chain Logistics Market segmentation, based on services, includes transportation, storage, packaging, labeling, and others. The transportation segment dominated the market in 2022 and is projected to be the faster-growing segment during the forecast period, 2022-2030, due to the increased utilization of safe, temperature-controlled transportation of temperature-sensitive products and services. In healthcare cold chain logistics, transportation services play a crucial role. The need for specialized temperature-controlled systems throughout transport on ships, trucks, and airplanes has resulted in very high demand for cold-chain transportation services.
Healthcare Cold Chain Logistics Mode of Delivery Insights
The Healthcare Cold Chain Logistics Market data has been bifurcated by mode of delivery into last-mile delivery and hubs-to-distributor. The hubs-to-distributor segment dominated the market in 2022 and is projected to be the faster-growing segment during the forecast period 2022-2030. This is due to the administration of co-pay assistance programs, which remove financial barriers between patients and the vaccines invented by manufacturers and recommended by providers in the healthcare sector.
Healthcare Cold Chain Logistics Temperature Range Insights
The global healthcare cold chain logistics industry has been segmented based on temperature range into ambient, refrigerated, frozen, and cryogenic. Refrigerated held the most prominent segment share in 2022. A refrigerator is primarily used to keep medications cold. Low temperatures allow the mixture to remain efficient for a more extended period. The main goal of refrigeration is to reduce the contamination rate such that it takes longer for bacteria to contaminate and spoil the medications.
Healthcare Cold Chain Logistics End User Insights
Based on end users, the global healthcare cold chain logistics industry has been segmented into hospitals & clinics, pharmaceuticals, biopharmaceuticals, biotechnology companies, and others. Pharmaceuticals held the highest segment revenue share in 2022, owing to the increasing implementation of cold chain logistics by multinational pharmaceutical companies, which have a global distribution network and require cold chain solutions to preserve this network and meet the demand for products needed in various countries. According to the FDA, global spending on pharmaceutical research and development was valued at USD 184 billion in 2018 and is expected to rise to USD 238 billion by 2021. As a result, high-quality cold chain logistics are required to deliver quality medicines to hospitals. Furthermore, increasing pharmaceutical company investments in drug discovery has improved market growth affordability for healthcare cold chain logistics services.
Healthcare Cold Chain Logistics Regional Insights
By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American Healthcare Cold Chain Logistics market accounted for USD 6.36 billion in 2022 and is expected to exhibit a significant CAGR growth during the study period. This high revenue share is primarily due to the region's dominance in pharmaceutical and biologic medications and an increase in biopharmaceutical exports and imports. The region's high healthcare cost contributes to the relatively high adoption of new technologies. As a result, healthcare companies with North American operations increasingly rely on healthcare cold chain logistics service providers to optimize warehousing and transportation, fueling regional growth. Another factor contributing to this regional segment's dominance is the presence of prominent regional firms.
Further, the major countries studied in the market report are the U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 3: HEALTHCARE COLD CHAIN LOGISTICS MARKET SHARE BY REGION 2022 (%)
Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review
European healthcare cold chain logistics market accounts for the second-largest market share. Numerous US-based businesses are extending their services in the region in response to the rising demand for European pharmaceutical shipping. For instance, Delta Cargo applied for the CEIV Pharma certification mark for its headquarters and the largest hub in Atlanta, Georgia. It became the first US-based international passenger carrier to receive it in August 2019. This enables Delta Cargo to link shipments from Atlanta to the European cities of Amsterdam, Brussels, Milan, Paris, and Rome that are CEIV Pharma-certified. Further, the German market of healthcare cold chain logistics held the largest market share, and the UK market of healthcare cold chain logistics was the fastest-growing market in the European region.
The Asia-Pacific Healthcare Cold Chain Logistics Market is expected to grow at the fastest CAGR between 2022 and 2030, owing to rising demand for cold storage facilities, increased adoption of technologically advanced facilities, and increased merger and acquisition activity by industry players. In February 2021, for example, Asian global logistics Apex International Company was acquired by Kuehne+Nagel, one of the leading logistics firms specializing in integrated market of healthcare cold chain logistics services. The primary goal of this acquisition is to help the company provide a compelling offering to customers, particularly in e-commerce fulfillment, advanced tech, and e-mobility. Moreover, the China market of healthcare cold chain logistics held the largest market share, and the Indian market of healthcare cold chain logistics was the fastest-growing market in the Asia-Pacific region.
Healthcare Cold Chain Logistics Key Market Players & Competitive Insights
Major market players in the healthcare cold chain logistics industry are concentrating on offering technologically cutting-edge logistics solutions to improve their competitiveness in the international market. Competitors in the healthcare cold chain logistics industry are incorporating next-generation logistics solution technologies such as automated processes, artificial intelligence (AI) & machine learning (ML), blockchain, transport management systems, and others into their services to increase supply chain productivity, reduce costs, and avoid errors.
The market for healthcare cold chain logistics is highly fragmented due to increasing competition, product launches, joint ventures, and other strategic market developments and decisions to improve operational effectiveness. The healthcare cold chain logistics market’s major players compete based on product cost, quality, timely availability, and dependability. It is decisive for the players to provide cost-efficient products to survive and succeed in an increasingly competitive and growing healthcare cold chain logistics industry environment.
DoKaSch offers advanced climate control options for the international air transportation of temperature-sensitive cargo. They protect the effectiveness of essential pharmaceuticals, for instance, throughout long-distance transportation chains. Their Icecooler, Unicooler, and Opticooler products are renowned for their exceptional dependability. Their containers ensure that vital medications are delivered to patients worldwide in perfect condition. Dokasch (Germany) introduced a brand-new high-tech cooler for vaccine transportation in November 2020. This product safeguards pharmacological vaccines and drugs against high temperatures.
Also, Sonoco ThermoSafe, a Sonoco division, is a global leader in temperature assurance packaging for the safe and efficient transportation of pharmaceuticals, vaccines, biologics, and other temperature-sensitive products. Sonoco ThermoSafe (US) obtained FAA approval for the Pegasus ULD with high-volume temperature control for pharmacological use in September 2020.
Key Companies in the healthcare cold chain logistics market include
- Cardinal Health
- Amerisource Bergen
- Sonoco Thermosafe
- Phoenix Group
- B Medical Systems
Healthcare Cold Chain Logistics Industry Developments
January 2021: Varcode has collaborated with PL Development. The partnerships are expected to improve supply cold chain logistics efficiency, particularly in the healthcare sector.
December 2020: FedEx Corp. purchased ShopRunner. The acquisition will improve e-commerce capabilities by providing the cost-effective healthcare cold chain logistics required to provide biopharmaceutical products on time.
March 2020: CEVA Logistics has introduced a new healthcare sub-brand called CEVA FORPATIENTS. The cold chain logistics under this brand will only be used for medical needs, including the delivery of medications and the transfer of organs.
Healthcare Cold Chain Logistics Market Segmentation
Healthcare Cold Chain Logistics Product Outlook
- Clinical Trial Materials
Healthcare Cold Chain Logistics Services Outlook
Healthcare Cold Chain Logistics Mode of Delivery Outlook
- Last-Mile Delivery
Healthcare Cold Chain Logistics Temperature Range Outlook
Healthcare Cold Chain Logistics End User Outlook
- Hospitals & Clinics
- Biotechnology Companies
Healthcare Cold Chain Logistics Regional Outlook
- Rest of Europe
- South Korea
- Rest of Asia-Pacific
Rest of the World
|Market Size 2022
||USD 13.9 billion
|Market Size 2023
||USD 14.99 billion
|Market Size 2030
||USD 23.65 billion
|Compound Annual Growth Rate (CAGR)
|Market Forecast Period
||2018 - 2021
|Market Forecast Units
||Value (USD Billion)
||Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
||Product, Services, Mode of Delivery, Temperature Range, End User, and Region
||Europe, North America, Asia Pacific, and the Rest of the World
||The U.S, Germany, Canada, U.K., Italy, France, Spain, Japan, China, Australia, India, South Korea, and Brazil
|Key Companies Profiled
||Cardinal Health, Amerisource Bergen, Envirotainer, Thermoking, FedEx, Sonoco Thermosafe, Phoenix Group, B Medical Systems, Agility, Dokasch
|Key Market Opportunities
||A growing number of healthcare clinical trials across the globe Emerging technological advancements in healthcare cold chain logistics
|Key Market Dynamics
||Increased transportation of temperature-sensitive pharmaceutical products via cold-chain logistics Rising demands for biopharmaceutical products
Frequently Asked Questions (FAQ) :
The Healthcare Cold Chain Logistics Market size was valued at USD 13.9 Billion in 2022.
The global market is projected to grow at a CAGR of 7.89% during the forecast period, 2023-2030.
North America had the largest share of the global market.
The key players in the market are Cardinal Health, Amerisource Bergen, Envirotainer, Thermoking, FedEx, Sonoco Thermosafe, Phoenix Group, B Medical Systems, Agility, and Dokasch.
The vaccines category dominated the market in 2022.
Transportation had the largest revenue share of the global market.
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