Press release
India Cold Chain Market to Grow at CAGR of 13.66% during 2021-2027 | Renub.com

India Cold Chain Market Size, Share, Forecast 2021-2027, Industry Trends, Growth, Impact of COVID-19, Opportunity Company Analysis
Cold chain logistics are defined as a temperature-controlled supply chain cold storage and distribution in which biopharmaceutical products, perishable food (fruits, vegetables, meat, seafood, dairy products), processed food, chemicals and flowers & plants are preserved fresh, and their shelf life is prolonged to a more significant period. Besides, India has a firm concept that the cold chain has become a necessity not just for the agricultural produce but also for other products, as mentioned above.
How COVID-19 Benefited Indian Cold Chain Industry
The pandemic has positively favoured the cold chain industry, boosting the market for cold chain market. The widening demand of packaged food & beverage products is an encouraging take for cold chain in India to boom. Moreover, as the COVID-19 impacted every industry's supply chain restricted trade during the pandemic, this resulted food manufacturers to emphasize on food products and their storage techniques to increase their shelf-life, which further propelled the market for the cold chain.
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Further, the explosion of COVID-19 also has created a shift toward an organized retail market to prevent further virus outbreaks. In the COVID-19 scenario, consumers stockpiled processed food stocks with a long shelf life to perishable foods, and limited trade movements between states. Hence, the Indian infrastructure underscored the value of the food value chain to move from open-air markets to a cold-chain model to preserve perishable items for a longer duration massively.
The Realms of Indian Cold Chain Industry
The Indian Cold Chain Market revolves around the realms of Organized and Unorganized sectors. More recently, the organized industry's growth involves the application of cold chains across third-party logistics (3PLs), Quick service restaurants (QSR), retail, e-commerce. Recently, foodservice industries supported by changing consumption patterns have also brought the cold chain segments into focus. Thus, with the growth in organized food delivery, e-commerce remains a crucial driver for the cold chain sector in India.
Fruits and Vegetables hold the Dominant Place in India Cold Chain Logistics
For ages, India has been producing a million tonnes of fruits and vegetables annually. Wherein, out of total produce significant percent used to get wasted in the past years. However, with the evolution of the cold chain, the nation has been seeing significant progressing status. Remarkably, as per our analysis of market share, fruits and vegetables hold a most dominant place in cold chain logistics. This further has translated into a golden opportunity for the service providers existing in the logistics market. Additionally, the pharmaceutical industry is also prospering, which requires temperature-controlled supply logistics. The sudden outbreak of the COVID-19 led to growth of the pharmaceutical industry, wherein the vaccine market has added to the demand of the cold chain industry.
Government Incentives and Projects for the Cold Chain Industry
The Government of India has noticed the cold chain's value-added and further aims to support the cold chain industry by starting several initiatives. Under its different ministries and agencies, the Government of India has provided financial assistance and grants for setting up Cold Chain. Numerous tax exemptions and subsidies have been implemented to ensure that this industry has a growth rate with other countries.
For instance, these exemptions and benefits constitute the National Horticulture Mission (NHM), National Horticulture Board (NHB), Agricultural and Processed Food Products Export Development Authority (APEDA), Mission for Integrated Development of Horticulture (MIDH) and Ministry of Food Processing Industry (MoFPI). Along with the absolute and impeccable collaboration of the Department of Agriculture and Cooperation (DAC), which runs adjacent to grow and boost the cold storage industry in India.
Company Insights
The Indian Cold Chain Industry is a fragmented market, consisting of many local players to cater to the growing expectations and demand. Remarkable the significant players in the market include Snowman Logistics Pvt Ltd, GatiKausar India Pvt Ltd (Gati Ltd), Container Corporation of India Limited, Mahindra Logistics Limited and Future Supply Chain Solutions Ltd.
India Cold Chain Market Size was US$ 24.62 Billion in 2021
With the evolution of the changing macro-economic factors in India, the cold chain industry has a considerable scope to grow. In addition, before the GST, companies preferred to establish warehouses in tax-friendly zones. Moreover, the implementation of GST has reduced transportation delays like e-way bills, multiple check posts. Hence, GST also acts as a boon by eliminating redundant and time-consuming check posts.
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Additionally, tech innovations like smart sensors and data loggers connected to GPS can track real-time temperature, pressure, and humidity readings, supporting the market's advancement. Further, due to the exponential extension in the E-commerce and food tech industry, there is a huge demand for cold chains. The strong collaboration between e-tailers and the food tech supply chain industry has strengthened research and development in the cold chain industry.
Market Summary:
By Type – We have covered India Cold Chain Market through two aspects Organized and Unorganized
By Products – In the report India Cold Chain Market we have studied Biopharmaceutical Products, Perishable Food (Fruits, Vegetables, Meat, Seafood, Dairy Products), Processed Food, Chemicals, Flowers & Plants and Others.
Company –In our report market's main players studied include Snowman Logistics Pvt Ltd, GatiKausar India Pvt Ltd (Gati Ltd), Container Corporation of India Limited, Mahindra Logistics Limited and Future Supply Chain Solutions Ltd).
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Renub Research is a Market Research and Consulting Company. We have more than 10 years of experience especially in international Business-to-Business Researches, Surveys and Consulting. We provide a wide range of business research solutions that helps companies in making better business decisions. We partner with clients in all sectors and regions to identify their highest-value opportunities, address their most critical challenges, and transform their businesses. Our wide clientele comprises major players in Healthcare, Travel and Tourism, Food & Beverages, Power & Energy, Information Technology, Telecom & Internet, Chemical, Logistics & Automotive, Consumer Goods & Retail, Building, and Construction, & Agriculture. Our core team is comprised of experienced people holding graduate, postgraduate, and Ph.D. degrees in Finance, Marketing, Human Resource, Bio-Technology, Medicine, Information Technology, Environmental Science, and many more.
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