The global cold chain market is estimated to account for $203.14 billion in 2018 and is projected to reach $293.27 billion by 2023, at a CAGR of 7.6%, according to a report released by MarketsandMarkets, New York.
The report, Cold Chain Market by Type (Refrigerated Storage and Transport), Temperature Type (Chilled and Frozen), Application (Dairy & Frozen Desserts; Meat, Fish, and Seafood, Fruits & Vegetables, Bakery & Confectionery), and Region - Global Forecast to 2023, indicates the global cold chain market is expanding with considerable growth potential over the next five years. The growth of this market can be attributed to the growth of international trade of perishable foods, technological advancements in refrigerated storage and transport, government support for the infrastructural development of the cold chain industry and increase in consumer demand for perishable foods. Also, expansion of food retail chains by multinationals will enhance international trade and impact the growth of the cold chain market.
Asia Pacific to be the largest market for refrigerated storage
The two main types of cold chain infrastructure are refrigerated transport and refrigerated storage. The refrigerated storage market is estimated to be dominated by the Asia Pacific region. Refrigerated storage capacities are growing in the Asia Pacific due to the increased need for reducing wastage of perishable foods. In North America and Europe, the refrigerated transport industry is booming, mainly due to the advancement of technology in refrigerated trucks, vans, trailers and maritime reefer containers.
Dairy and frozen desserts segment estimated to be the largest in 2017
Dairy and frozen desserts are estimated to account for the largest market share in the frozen cold chain market in 2018, due to their need for constant temperature control, dust and exposure to sunlight. Dairy and frozen desserts are witnessing high demand due to economic growth and rapid urbanization, along with sophisticated marketing channels, which have led to significant changes in dietary patterns. Government guidelines in China state that milk is a major source of calcium and protein, and recommend regular milk consumption, which has led to milk and dairy products being incorporated into the daily diet of consumers.
Frozen products ranked as most widely consumed type of products
The frozen products segment accounted for the largest share in the cold chain market, in terms of value in 2017.