The cold storage demand is increasing in India. With the increased use of temperature tracking, sensors, and state-of-the-art machine software, there is improvement in the cold chain sector. It has aroused the question in the minds of investors and business owners, ‘What is the current status of cold storage in India.’
How vital is cold storage in India?
India produces milk in large quantities. It also produces vegetables and fruits, besides substantial production of poultry products, meat, and seafood. However, there is heavy food loss and agricultural product wastage due to fledging cold chain infrastructure. The loss estimate is 1/3 of the produced food in total. There is a necessity to avoid these problems. People should know how preserving foods in cold storage can avoid wastage. Contact NSSPL to know how to overcome such losses.
What is the current cold storage capacity in India?
There is 8186 cold storage featuring 374.25 lakh MT capacities in the country. It helps store horticulture perishable produce such as vegetables and fruits. The cold chain capacity grows aggressively in India.
The cold chain industry is in the developmental stage in India and is a promising cold chain field. In 2021, the market of cold chain logistics was at $16 million value, and by 2027 the anticipation is to reach $36 million.
Who needs cold storage in India?
Cold storage in India is not the need of farmers alone to store their dairy products, vegetables, and fruits. There is the pharma industry that requires an efficient network of cold supply chains. The transport and storage of life-saving drugs, vaccines, and other raw materials require a well-managed network of the cold supply chain.
What is the current status of cold storage in India is a serious question. India lacks an efficient supply chain causing wastage of produce. The government is working on curbing these losses. It has increased its focus and is developing cold storage infrastructure. The expectation in the coming three years is the segment of cold storage will be highly organized. There will be institutional funds coming in and more third-party logistics providers showing interest. Contacting NSSPL will show you the path to acquiring the right components for cold chain infrastructure.
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What are the components required for a cold chain infrastructure?
High operating costs– In India, fuel costs account for cold storage operating expenses to 45% and lead to higher costs. The businesses in the cold storage pay around Rs.100 +/ cubic feet as operating costs per month. It is high as the fuel costs are more.
Mobile infrastructure – The need for freezer containers, freezer trucks, reefer trucks or vans, merchandising carts, carriers, etc, is essential. It means the transportation cost will increase and there is a heavy investment to get the right fleet and equipment.
Equipment breakdown – Electricity fluctuations or power outages cause the powered cooling systems to break down. Poor cooling circulations and coolant failures impact the management of cold chains. It leads to increased costs owing to maintenance needs. It leads to wastage due to prolonged periods of heat exposure to perishable goods, causing a loss in profitability and product quality.
Human errors – The management of cold chain logistics needs trained professionals aware of protocols and processes. They should have experience in operating transportation and cold storage pieces of equipment.
Tech adoption – India does not have integrated technologies. This lack of tech adoption breaks the cold chains creating losses for food manufacturers and operators.
Unorganized industry – The cold chain facilities around 92% in India are in the private sector hands. This industry is non-existent virtually and fragmented in many states. Some people do not know the use of what is cold storage in India. In India, only Gujarat, UP, Punjab, and West Bengal, have approximately 60% of the existence of cold storage.
The facilities of cold storage are an emerging asset class. The government is working to ensure the improvement of the products by increasing their shelf-life. Yet, people with doubts as to ‘what is the current status of cold storage in India’may contact NSSPL.
For information on cold storage capacity utilization, cost, etc, contact NSSPL, they are the right source of knowledge, offering real-time status.