Report: Increased trading of perishables attributed to growth of refrigerated transport market
The integration of multi-temperature systems is further expected to create growth opportunities for refrigerated transport service providers and frozen and chilled food product manufacturers.
The growth of the refrigerated transport market is attributed to the increased trading of perishable commodities at a global level, according to a report released by MarketsandMarkets, New York. Apart from this, technological advancements in refrigerated systems, such as the production of technologies to reduce environmental impact, are further expected to enable ease of operations for refrigerated transport service providers. The integration of multi-temperature systems is further expected to create growth opportunities for refrigerated transport service providers and frozen and chilled food product manufacturers. However, the market is marred by challenges such as difficulty in handling products during transportation, lack of infrastructure in emerging countries and rising fuel costs.
The rising demand for chilled and frozen products, especially in the emerging Asia Pacific region, is expected to fuel the growth of the refrigerated transport market. Furthermore, local government expenditure for infrastructure development in countries such as China and India is further expected to boost the development of refrigerated transport services in this region. In other words, growth of the refrigerated transport is directly proportional to its growth in terms of population. Growth is estimated to be higher in developing countries such as India and China, where the number of refrigerated vehicles is lower than that in developed countries, based on requirement. Rising income levels in these countries also results in the growth of the organized retail sector, which requires refrigerated transport to source temperature-sensitive raw materials.