The global cold chain equipment market is projected to witness a CAGR of 10.47% during the forecast period to reach a total market size of US$192.892 billion by 2026, increasing from US$96.073 billion in 2019.
Vaccines, drugs, and certain types of chemicals are to be stored and transported at a particular temperature to maintain their properties. Cold chain equipment serves that purpose. These pieces of equipment include cold rooms, freezers, refrigerators, and cold boxes.
The WHO has issued stringent guidelines for the safe storage and transportation of vaccines and drugs to ensure the reliability of medical services, which is being adopted by the national governments. These safety guidelines are one of the chief drivers of the market. Secondly, the growth of the processed food industry coupled with the focus on reducing wastage of food is fueling the growth of the market over the forecast period. The food losses that occur during processing and post-harvesting; especially in developing countries are a pertaining opportunity in the market. The need for an efficient cold storage system will help reduce wastage and ensure a wide reach of food to the growing population.
By end-user, pharmaceutical is expected to hold a major share in the market due to the mandated safety standards of storing and transporting vaccines. Geographically, the North American region has the largest share owing to the presence of an extensive number of cold storage facilities and equipment providers.
Cold chain equipment plays an important role in food safety, food hygiene, health, and the environment. As there has been a growing dependence on the processed food sector due to the changing lifestyle, urbanization, increasing purchasing power, population explosion the demand for this equipment has shifted upward. Additionally, the seafood and meat trade across borders has even furthered the demand for such temperature-controlled storage units. The hypermarkets and supermarkets selling fresh and frozen foods and the recent trend of online purchasing of meat and seafood have increased considerably, which is likely to fuel the growth of the cold chain equipment market.
The purpose of the vaccine cold chain is to maintain product quality from the time of manufacture until the point of administration by ensuring that vaccines are stored and transported within the WHO-recommended temperature range. As vaccines are fairly sensitive to temperature, and heat, it is an utmost necessity to store and transfer these vaccines at a regulated temperature. The developing and underdeveloped countries are yet to employ these types of equipment on a large scale, which creates an opportunity for the market to expand. The growing pharma sector that has been developing novel drugs and vaccines is a key end-user and one of the chief reasons for the growth of the market.
The impact of Covid-19 on the market has been rather expansionary as vaccination of Covid requires a cold chain logistic asset to administer safe vaccines to the global population. Universal vaccination is facing key challenges in the form of insufficient cold chain capacity, outdated pieces of equipment, and inadequate maintenance and monitoring of devices, lack of financing, and substantial business model. These challenges have bought in innovations and product development along with an increase in demand for the existing products. The national governments and international organizations have extended financial support to the manufacturers to increase their production capacity and innovative approach. Thus, the overall market witnessed a surge in demand as vaccination drives began worldwide.
The market leaders for the Global Cold Chain Equipment Market are Americold, Lineage Logistics Holdings, LLC, Preferred Freezer Services, Swire Cold Storage Ltd., A B Oxford Cold Storage Co. Pty Ltd, Burris Logistics, Coldex, JBT Corporation, Claus Sørensen A / S. The key players in the market implement growth strategies such as product launches, mergers, and acquisitions, etc. to gain a competitive advantage over their competitors. For Instance,
|Market size value in 2019||US$96.073 billion|
|Market size value in 2026||US$192.892 billion|
|Growth Rate||CAGR of 10.47% from 2019 to 2026|
|Forecast Unit (Value)||USD Billion|
|Segments covered||Type, End-User, And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||Americold, Lineage Logistics Holdings, LLC, Preferred Freezer Services, Swire Cold Storage Ltd., A B Oxford Cold Storage Co. Pty Ltd, Burris Logistics, Coldex, JBT Corporation, Claus Sørensen A / S|
|Customization scope||Free report customization with purchase|
Frequently Asked Questions (FAQs)
Q1. What will be the cold chain equipment market size by 2026?
A1. The global cold chain equipment market is projected to reach a market size of US$192.892 billion by 2026.
Q2. What is the size of the global cold chain equipment market?
A2. Cold Chain Equipment Market was valued at US$96.073 billion in 2019.
Q3. What are the growth prospects for the cold chain equipment market?
A3. The cold chain equipment market is projected to witness a CAGR of 10.47% over the forecast period.
Q4. Which region holds the largest market share in the cold chain equipment market?
A4. Geographically, the North American region has the largest share in the cold chain equipment market owing to the presence of an extensive number of cold storage facilities and equipment providers.
Q5. What factors are anticipated to drive the cold chain equipment market growth?
A5. The growth of the processed food industry coupled with the focus on reducing wastage of food is fueling the cold chain equipment market growth over the forecast period.