Rising domestic consumption of meat, increasing seafood exports, rising retail spending, growth of dairy industry, and increasing pharmaceutical imports led to the growth of the Cold Chain Market in KSA.
KSA Cold Chain Market Overview: The Cold Chain Market in KSA is currently at the growth stage and is highly fragmented and is home to 100+ cold transportation & storage players. The market has been driven by rising domestic consumption of meat, increasing seafood exports, rising retail spending, growth of dairy industry, changing lifestyle and societal norms, increasing pharmaceutical imports, rising hygiene and safety concerns and infrastructure development. The KSA Cold Chain Market took a leap from a growth rate of 10.5% in 2018 to a growth rate of 11.5% in 2022P due to the growing consumption needs of the people. Due to the increase in demand for perishables, the cold chain market in KSA has significantly grown.
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Government Initiatives: As part of its Vision 2030 strategy, the KSA government wants to transform the country's ports into modern seaports and turn the country into a global logistics hub. The KSA government is investing heavily in the vast development of the nation's transportation networks in order to increase freight income over the long term. This is being driven by economic growth, rising population, and rapid urbanization. By 2024, an additional 10,000 km of rail line will be added, and multimodal hubs will be built to meet the demand for road-rail and sea-air connectivity.
Challenges Faced by KSA Cold Chain Market: The Cold Chain Industry in Saudi Arabia faces challenges due to the concentration of cold chain facilities in the cities such as Riyadh, Jeddah and Dammam. All the products are transported to different regions in the country from the cold storage warehouses located in these cities which act as distribution centers. This causes delays in the process as it increases the time for cold transport. Cooler and freezer doors that are damaged are one of the most common problems cold storage facilities face. Due to extreme weather conditions, moving cold chain commodities within KSA always bears a higher risk. Transportation in KSA is exposed to very high freight cost in comparison to other SEA countries which is even higher for Cold transportation.
Development in the Cold Storage Industry in KSA: Many cold chain operators are expected to expand their operations and establish many new cold storage warehouses to cater to the large and rising demand for refrigerated storage, providing a significant boost to KSA cold storage industry. The Cold Storage Industry in KSA is experiencing a new wave of technological development which is essential for end users of cold storage services and for the organic growth of cold storage companies.
Analysts at Ken Research in their latest publication “KSA Cold Chain Market Outlook to 2027F- Driven By Increase in Retail Spending, Government Initiatives and Infrastructural Development” by Ken Research observed that KSA Cold Chain Market is in the growing phase. Rising domestic consumption of meat, increasing seafood exports, rising retail spending and infrastructure development are some of the factors that will contribute to the KSA Cold Chain Market growth over the period of 2022P-2027F. It is expected that KSA Cold Chain Market will grow at a CAGR of 15.1% for the above forecasted period.
Key Segments Covered
KSA Cold Chain Market:
By Cold Storage and Cold Transport
By Ownership
Owned3PL Cold Chain FacilitiesBy End Users
Meat and SeafoodVaccination and PharmaceuticalsFrozen Foods and OthersDairy ProductsBakeryFruits and VegetablesKSA Cold Storage Market:
By Automation
Automated PalletsNon-Automated PalletsBy Temperature Range
AmbientFrozenChillersBy End User
Meat and SeafoodVaccines & PharmaceuticalsFrozen Foods and OthersBakeryDairy ProductsFruits and VegetablesBy Region
RiyadhJeddahDammamMeccaMedinaOthersVisit this Link: – Request for custom report
KSA Cold Transport Market:
By Type of Reefer Truck
Reefer Vans/Trucks20 foot reefers40 foot reefersBy Mode of Transportation
LandSeaAirBy Location
InternationalDomesticBy Vicinity
Inter-cityIntra-cityBy End Users
Meat & Sea FoodVaccines & PharmaceuticalsDairy ProductsBakeryFrozen Foods and OthersFruits & VegetablesKey Target Audience
Cold Storage CompaniesCold Chain CompaniesCold Transport CompaniesCaptive Cold Storage CompaniesCaptive Cold Chain CompaniesLogistics CompaniesNon-captive CompaniesCold Chain AssociationsLogistics AssociationsPrivate Equity FirmsVenture CapitalistsTime Period Captured in the Report:
Historical Period: 2017-2022PBase Year: 2022PForecast Period: 2022P– 2027FRequest free 30 minutes analyst call
Companies Covered:
Agility LogisticsWared LogisticsNAQEL ExpressAlmajdouie LogisticsMosanada LogisticsAgility LogisticsTakhzeen LogisticsEtmam LogisticsTamer LogisticsUnited Warehouse CompanyHimmah LogisticsGlobus LogisticsStorkom LogisticsFour WindsFlow ProgressiveSasat LogisticsAl Theyab Global LogisticsIFFCO LogisticsRTL RacktechKey Topics Covered in the Report
KSA Cold Chain Market OverviewEcosystem of KSA Cold Chain MarketKSA Cold Chain Industry EvolutionKSA Cold Chain Market SegmentationIndustry Analysis of KSA Cold Chain MarketValue Chain of Cold Chain Market in KSAEnd User Analysis of KSA Cold Chain MarketKSA Cold Transport Market OverviewKSA Cold Storage Market OverviewKey Growth Drivers in KSA Cold Chain MarketSWOT Analysis of KSA Cold Chain IndustryFuture Outlook of KSA Cold Chain IndustryFor More Insights On Market Intelligence, Refer To The Link Below: –
Related Report by Ken Research: –
Portugal Cold Chain Market Outlook to 2026F
Brazil Cold Chain Market Outlook to 2027
Vietnam Cold Chain Market Outlook to 2026F
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