Cold Chain Market Size, Trends and Growth Analysis by 2027

The global Cold Chain market was valued at approximately US$ 207,510.8 million in 2019 and is anticipated to grow to around US$ 398,723.4 million by 2027, reflecting a compound annual growth rate (CAGR) of 10.8% throughout the forecast period.

Currently, the modernization of retail has led to an increase in the purchase of perishable food items from supermarkets and grocery stores. This surge in demand for perishable goods necessitates a sophisticated approach to supply chain management. In retail environments, the attrition rate for perishable items can reach as high as 15%, resulting in significant financial losses amounting to billions of dollars. Consequently, as the demand for fresh products rises, the cold chain market is expected to expand to mitigate food spoilage. Advances in modern identification and sensory technologies, including temperature and humidity sensors as well as RFID technology, allow for continuous monitoring of environmental conditions and tracking of product consumption. These innovations empower company managers to create a more responsive food supply chain, thereby enhancing the management of perishable goods. To counteract the decay of perishable items, food retailers often implement promotional strategies aimed at boosting the efficiency of their supply chains.

 
The Cold Chain market is categorized based on various factors including offerings, temperature, industry verticals, and geographical regions. In terms of offerings, the market is divided into Storage, Transportation, Monitoring Components, and Others. The monitoring components are further classified into hardware and software. Regarding temperature, the market is segmented into frozen and chilled categories. By industry vertical, the Cold Chain market encompasses Pharmaceutical, Healthcare, Food & Beverages, Chemical, and Others. Geographically, the market is divided into North America, Europe, Asia Pacific, the Middle East and Africa, and South America.

Key players in the cold chain market include Cold Chain Technologies, Inc.; CSafe Global; DoKaSch TEMPERATURE SOLUTIONS GmbH; Envirotainer AB; Pelican BioThermal LLC; SKYCELL AG; Softbox Systems Ltd; Sonoco ThermoSafe; va-Q-tec AG; and World Courier, among others.

Impact of COVID-19 Pandemic on Cold Chain Market
The COVID-19 pandemic originated in Wuhan, China, in December 2019 and has since rapidly spread worldwide. By September 2020, countries such as the US, India, Russia, Spain, Germany, China, France, Iran, and the UK were among the most severely affected in terms of confirmed cases and fatalities. The strict lockdown measures implemented globally have led to a significant decline in orders within the food and beverages sector across various regions. In North America, particularly in the US, there was an unprecedented surge in confirmed COVID-19 cases, resulting in extensive lockdowns. Retailers and brands faced numerous short-term challenges in sustaining supply chain operations involving cold chain logistics across North America. Consequently, countries like the US and Canada restricted shrimp imports from Asian nations, particularly China. However, as lockdown restrictions eased and efforts to restore pharmaceutical supply chain operations intensified, the adverse effects of COVID-19 on market growth began to diminish. Additionally, the strong presence of domestic suppliers has ensured a steady supply of cold chain services in North America.

The size of the global cold chain market has been determined through a combination of primary and secondary research methods. The research process commenced with comprehensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data relevant to the market. This approach also aims to provide an overview and forecast of the cold chain market across all segments. Furthermore, it offers insights and projections based on the various segments across five major regions: North America, Europe, Asia Pacific, the Middle East and Africa, and South America. To validate the data and gain deeper analytical insights, multiple primary interviews were conducted with industry participants and experts. These participants typically include industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the cold chain sector.