Is There A Demand For Cold Storage In Chennai?

cold storage for vegetables

A cold storage house is a place where we store frozen or fresh vegetables and fruits. Other things, which are stored in the cold storage, include milk products, processed foods, sugar, dry fruits, seasonings, pharmaceuticals, frozen meals as well as other temperature-controlled products. Now, companies have started choosing to outsource their cold storage problems. So, companies are finding cold storage places for everything, which has increased the profitability of cold storage in Chennai. But is there a demand for cold storage in Chennai?

In this article, we are going to discuss the demand for cold storage in Chennai. Keep reading.

The Cold Storage Sector is Flourishing at a Higher Rate in Chennai.

Rice, Ragi, Jowar, Millet, and Pulses are the main crops cultivated in Chennai. Cotton, sugarcane, tea, coffee, coconut, and other commodities are among the others that are produced extensively in Tamil Nadu. In Chennai, the most common vegetables planted are tapioca, tomatoes, onion, eggplant, and okra.

The DMK government, which has been in power for a year, may find that its most recent agricultural policies serve as a dynamic model for expansion. The state of Tamil Nadu gave the industry prominence by releasing its first agriculture budget.

After producers were severely affected by back-to-back natural catastrophes, food grain output increased to 118 lakh tonnes in the most recent fiscal year, which would be 9% higher than the prior year and the most in the past six years.

The high production was caused by the Mettur water release taking place on June 12 as scheduled, thanks to a decent monsoon. In addition, the state gave aid totaling Rs 155 crore in the form of inputs to ensure that 3.4 lakh farmers who had suffered serious losses as a result of the northeast monsoon resumed farming.

The Effect of the Factory Workers' Movement to Villages on the Demand for Cold Storage in Chennai

The industrial workers and migrants made a living out of the few options available such as agriculture. They had to work and make money. This led to an overall increase in farm output and production. The rainy season has been favorable, and sales of farm machinery and other farm implements have also been strong. As a result, cold storage facilities will expand, lowering the amount of farm produce wasted to below 15% of total output and improving the value of production for all parties involved in the entire value chain.

Due to the increase in farm productivity during the lockout of COVID-19, cold storage facilities will shortly be more in demand! Due to the increase in agricultural production, existing plants will fill up and more will soon be built.

Additionally, this will result in a stabilization of the prices of agricultural products, such as onions, whose prices have undergone significant volatility.

This blog is also worth reading for you:-  Is cold storage a profitable business?

Cold Storage In Cameroon

The Government of India is Also Encouraging the Establishment of Cold Storage Facilities.

To further evaluate the demand for cold storage facilities in Chennai, let us see whether the government of India has been encouraging it or not. With the government placing a strong emphasis on food storage, the cold storage industry is expanding significantly. Perishable items make up 30% of the meals consumed in developing nations. High market pricing is caused by the product’s perishable nature, which has increased demand for cold storage. With the help of tax breaks, financial aid, and a document known as the Negotiable Warehousing Receipt, the state has created a number of programs to promote cooling and warehousing in India (NWR)

In Chennai and throughout India, All Storage facilities handle a wide variety of needs for cold room warehouses. All in all, the demand for cold storage in Chennai has been increasing to a greater extent.

Yogesh Dahiya

Yogesh Dahiya

The Managing Director of Natural Storage Solutions Pvt Ltd is known for his expertise in setting up cold storage, chilling plants and food processing units.

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Have you come to my website for cold storage business information? If yes then you can watch video related to cold storage business by clicking here. 

YouTube Channel Video List