Launch of National Centre for Cold Chain Development, subsidy scheme for setting up a cold storage, increase in horticulture produce were the key factors driving growth in India Cold Chain Market.
The cold chain industry in India remains underserved and presents huge potential in terms of expansion. Market revenue has shown positive growth during 2012-2017 driven by growing demand from food processing industry, QSR chains and supermarket chains. The modern retail industry increased at a growth rate of 17.5% from 2015 to 2016 aided by easier access to credit and payment options, increasing internet penetration and speed, 24-hour accessibility and convenient and secured transactions. The food and beverage retail has accounted for 70.0% of the retail market revenue in FY’2015.
The cold storage market further augmented with the set up of mega food parks by the government of India which has led to the growth of processed food sector. Some major Mega Food Parks include Patanjali Food and Herbal Park, Haridwar, Srini Food Park, Chittoor, North East Mega Food Park, Nalbari, International Mega Food Park, Fazilka, Integrated Food Park,Tumku and Jharkhand Mega Food Park. Government of India encouraged investments in cold storages for more efficient distribution of farm produce and recommended several steps to strengthen the agriculture supply chain by developing robust cold chain infrastructure. Ministry of Food Processing Industries has been constantly involved in setting up new cold chain infrastructure which has both cold storage and processing facilities. The Ministry announced sanction of 30 Cold Chain Projects in 2015. Further, the logistics sector has been one of the biggest beneficiaries with the implementation of GST. The transit time has been cut down by about 30%. The long haul tractor trailers have observed increase in demand as compared to the rigid trucks with the implementation of hub and spoke model.
Such developments have propelled the market revenue and facilitated the shift from traditional cold storages to more integrated multipurpose cold storages.
According to the report by Ken Research titled “India Cold Chain Market Outlook to 2022 – by Cold Storage & Cold Transport, 3PL, End User Industry (Agro food, Fruits & Vegetables, Fruit pulp & Concentrates, Dairy Products, Ice Cream, Meat, Sea Food, Confectionery, Poultry, Ready to Cook, Pharmaceutical, Industrial Products)” India cold chain industry is expected to grow at a CAGR of 7.5% in terms of revenue in the next 5 years till 2022.
Key Topics Covered in the Report:
Cold Chain Projects India
Subsidy Scheme for India Cold Chain
India Cold Chain Challenges
India Cold Chain
India Cold Chain Market
Number of Reefer Trucks India
Investment Cold Storage Facility India
Potato Storage India
Cold Chain Logistics Infrastructure India
Value Chain Cold Chain India
Number of Cold Storages India
Major Companies in Cold Chain Industry
Cold Chain Logistics India
Cold Storage Capacity India
Size of Cold Storages India
For more information on the research report, refer to below link:
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Ankur Gupta, Head Marketing & Communications