Cold Storage Construction Market

Cold Storage Construction Market Size-2023-2028

The cold storage construction market is predicted to grow from $7.72 billion in 2022 to $10.38 billion by 2028, with a CAGR of 16.3% between 2023-2028

The industry has greatly benefited from strict standards governing the production and supply of temperature-sensitive products. The industry is poised to experience unprecedented expansion during the foreseen period due to expansion in organized retail sectors in emerging economies. Cold storage is a technique employed mainly to preserve perishable products and to make them last longer. In cold storage equipment, a range of refrigerators and freezers is provided to maintain a temperature-controlled environment for product storage. The call for the construction of cold rooms is escalating on a large scale. The construction of cold storage is the building of the warehouse that involves all the necessary functional requirements, such as temperature, humidity, etc. to store food products. Depending on the needs, there are many types of cold storage like bulk cold rooms, multipurpose cold rooms, small cold rooms, frozen cold rooms, etc. Insulating materials are key factors in maintaining cold storage temperatures. The insulating materials are thermocol, polystyrene, cork, and PUF panels. The construction of cold rooms is employed to store food products such as dairy, fish, meat, etc. These apply to the delivery of different materials that must be stored under a refrigerator. The end-users of the cold storage are humans, animals, and birds.

Escalating automation of cold storage is predicted to further increase calls. Warehouse automation includes cloud technology, robots, conveyors, truckload automation, and energy management. Refrigerated storage has become an integral part of Supply Chain Management (SCM) when it comes to transporting and storing temperature-sensitive products. In addition, the growing trade in perishables is also predicted to help drive calls for cold storage solutions in the coming years.

Cold Storage Construction Market Drivers:

The main factor behind the dynamism of the worldwide cold storage construction industry includes the high call for perishable food products worldwide and advanced technological innovations in terms of refrigeration or cold storage and transport processes. The escalating urbanization translates into a greater call for innovative storage technologies that in turn attribute the worldwide expansion of the industry. The government is educating the public and food producers about food waste and motivating them to purchase cold storage building systems that should power the worldwide industry. The implementation of cold store construction in blood banks, morgues, and organ transplant storage is also helping to drive the expansion of the global cold store construction industry.

Restraints in the Cold Storage Construction Market

The size and cost of large cold storage equipment, as well as the cost of materials employed for storage processes, are hampering the expansion of the worldwide industry.

Opportunities in the Cold Storage Construction Market

The growing call for technologically advanced and profitable cold storage equipment is driving the expansion of the worldwide industry. It also opens expansion pathways for industry participants to innovate unique solutions or take advantage of alternative energy sources that can overcome these problems.

Challenges in the Cold Storage Construction Market

The lack of infrastructure necessary to support the cold chain is likely to pose a great challenge for companies to develop their activities in emerging businesses. Also, the lack of electrical connections for refrigerated trailers in transport hubs and ports will hamper the expansion of the industry in these regions. Factors hindering the expansion of the worldwide cold storage construction industry are rising infrastructure, energy, and maintenance costs, as well as government regulations on refrigerants.

COLD STORAGE CONSTRUCTION MARKET REPORT COVERAGE:

Cold Storage Construction Market Segmentation as per the research report until 2028.

Cold Storage Construction Market - By Type

• Production stores

• Bulk stores

• Ports

• Others

Among all storage types, the production warehouse segment is the fastest-growing segment of storage types in the industry due to the protection of food throughout the production process, including raw materials. These are usually found in the areas where the products are manufactured/purchased.

Cold Storage Construction Market - By Application

• Food and beverages

• Medical products

• Chemicals

• Others

The food and beverage segment accounted for the majority of the worldwide cold storage construction industry in 2019. Worldwide, the food and beverage segment is experiencing strong calls due to economic expansion and urbanization, as well as industrial channels sophisticated that have led to significant changes in usage patterns.

Cold Storage Construction Market - By Region

The Cold Storage Construction Report includes the segmentation of Regions with their respective Countries.

• North America 

• Europe 

• Asia Pacific 

• Latin America 

• Middle East & Africa 

Asia Pacific accounted for most of the worldwide industry in 2019 and is predicted to continue to dominate until 2025. India, China, Japan, and Indonesia have dominated the Asia and Pacific cold storage warehouse construction industry in 2019. Among all Asia-Pacific countries, this industry in India is predicted to grow to the highest CAGR between 2020 and 2025, due to growing awareness of food waste prevention, The expansion of the organized retail sector, the growing consumer call for perishables, and growing government support. and initiatives in the construction of cold rooms. Asia-Pacific is predicted to dominate the share of the worldwide cold storage construction industry during the foreseen period from 2020 to 2027. Among all Asia-Pacific (APAC) countries, this activity in India is predicted to grow. in the higher CAGR, due to the expansion of information on the restriction of food waste, the increase in the standardized retail division, the dizzying increase in customer calls for perishable products and the advancement of aid and state units in cold storage architecture.

North America had the largest share of the industry in 2019 and is predicted to continue expanding from 2020 to 2025. The proliferation of connected devices, coupled with the presence of a large consumer base, is the region's main driver of expansion. Mexico, in particular, is predicted to experience exponential expansion in North America due to the strengthening of the warehouse network and escalated investment in the development of logistics infrastructure. These would also serve as key factors to stimulate the call for the cold chain. In addition, economic expansion and changes in government regulations in Mexico intended to streamline the customs program are predicted to accelerate the call in the coming years.

Recent Developments:

• Maersk launches its cold store in Saint Petersburg, which began its construction in June 2019, is now fully operational.

• Construction company Halfacre launches a cold storage division. Halfacre Construction Firm, a commercial building firm, is introducing the latest cold storage division at its headquarters based in Lakewood Ranch.

Cold Storage Construction Market Key Players:

1. Lineage Logistics Holding LLC

2. AmeriCold Logistics

3. Nichirei Logistics Co. Ltd

4. Burris Logistics

5. Preferred Freezer Services.