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WHAT IS COLD CHAIN?

It involves the transportation of temperature sensitive products along a


supply chain through thermal and refrigerated packaging methods and the
logistical planning to protect the integrity of these shipments
COLD CHAIN MANAGEMENT
Cold Chain: India
• In India 30% around fruits and vegetables grown in India
get wasted because of lack of cold storage facilities and
energy infrastructure
• Is a highly fragmented industry and the unorganized
sector accounts for an estimated 80-85% share of the
total capacity.
• Wholesalers and organized retailers are the key user
segments of cold chain services with a share of 70-75%
and 10-15% respectively. Also, erratic power supplies,
unavailability of skilled manpower, inefficient handling of
perishables & availability of technology & financing
options impact the industry adversely.
Cold Chain Exports on the Rise
With the recent expansion of the Panama Canal to accept larger vessels with much greater container loads, new
technologies, and trade liberalization efforts, opportunities for U.S. agriculture exports have risen significantly, increasing
the need for investments to support trade in temperature sensitive products

• The Port of Wilmington North Carolina, for example, opened a new $15 million facility that includes over 100,000 sq.
ft. of storage, and facilities for flash freezing is now reaching out to smaller farms and agriculture developers to turn
them into exporters. North Carolina agriculture exports have increased rapidly to more than $4 billion annually.
• Port Tampa Bay has recently completed the first of a three-phase expansion of refrigerated cargo handling facilities. The
next phases will include express rail connections to the Midwest and will be followed up with a food campus that will
have additional warehousing, packaging and distribution operations. Primary export markets of opportunity from the
expansion include Mexico and Asia (for citrus exports).
• The Port of Los Angeles is looking to capitalize on increased cold chain traffic as well. The port currently has 5,337
reefer plugins spread across eight container terminals and is planning to add 6,000 additional spaces for reefers. As
part of their modernization efforts, the port is also adding rail infrastructure to provide more on-dock rail solutions
since weight restrictions usually require exports from the Midwest to travel to the port by rail rather than road.
• ocean carrier Maersk Line has purchased nearly 50,000 refrigerated containers in the last three years. The shipping
line’s total capacity of 270,000 reefers has allowed it to capture about 20 percent of the global market. The newest
containers provide temperature management to -76⁰F, control the atmosphere for longer shelf life of the product, are
outfitted with global tracking capability, and can provide cold treatment for chilled produce based on various country
entry requirements.
Emerging Trends in Indian Cold Chain Challenges
• Shift from Unorganized to organized sector • Lack of Road Infrastructure
• Focus on end to end chain and not just storage • Continuity of the cold Supply chain
• Modernization of existing stores • Uneven Distribution of Cold chains
• Better and More sophisticated machinery and • High capital Investment
equipment • Rs. 80-90/sq.ft.($ 1.6-2.0) against Rs. 30/sq.ft.($0.6) In west
• Setting up of multipurpose cold storages rather • Power Supply
than conventional single commodity storage • 17-18% power deficit
• Modern pack houses • 30% of total expenses against 10% in west

• Ripening facilities • Management of different temperatures


• Farm-gate or source point Cold storage • Awareness of Mindsets
• Energy Efficient technology and new storage • Error Irreversibility
technology • Highly temperature sensitivity cargo

• Integrated cargo complexes are being planned at


major airports in India which will be equipped to
handle all kinds of goods, including perishables.

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