Global cold chain logistics market poised to more than double by 2034

The global food and beverage cold chain logistics market is set for rapid expansion, climbing from US$82.33 billion in 2024 to a projected US$219.44 billion by 2034, according to new research by Towards FnB, a sister firm of Precedence Research.

The report forecasts the sector will rise from US$90.81 billion in 2025 at a compound annual growth rate of 10.3 per cent over the following nine years. Growth is being driven by higher demand for fresh and frozen foods, the boom in e-commerce platforms and the rising need for storage capacity as food-service outlets expand.

Vidyesh Swar, principal consultant at Towards FnB, said the industry is in the midst of a structural transformation. “These developments are improving operational efficiency while reducing wastage and ensuring compliance with stringent food safety standards,” Swar said, referring to advancements such as real-time monitoring systems, predictive maintenance and sustainability-focused refrigeration solutions.

North America led the market in 2024, aided by advanced technologies and growing consumer preference for frozen foods and snacks. The U.S. and Canada are the largest contributors to regional growth, benefiting from expanding online food delivery platforms and improvements in refrigeration and storage.

Asia Pacific is expected to be the fastest-growing region in the years ahead, bolstered by rising disposable incomes, urbanization, and technological upgrades such as real-time monitoring and sensor-based package tracking. Countries including India, China, Japan, and South Korea are driving the surge.

By application, fruits, vegetables and beverages led the market in 2024, while the meat and seafood segment is projected to see strong gains. Warehousing dominated by type, with transportation anticipated to grow rapidly. Retail was the largest end-use segment last year, though e-commerce is expected to accelerate.

Emerging trends include refrigeration technologies with lower environmental impact, improved cooling performance, and reduced energy costs. The report notes increased automation through IoT-enabled systems for real-time management and monitoring.

The industry is also advancing sustainability initiatives, shifting toward low-GWP refrigerants, solar-powered warehouses and energy-efficient reefer units to help meet net-zero targets.

Artificial intelligence is playing a growing role by enabling real-time monitoring of temperature and humidity, predicting equipment failures or route disruptions and optimizing inventory to reduce waste. AI-driven tools, including computer vision for automated quality inspection, are enhancing product safety while increasing visibility and traceability throughout the supply chain.