South Africa consists of more than 35 facilities, comprising over 50,084,636 cubic feet of refrigerated space. The Global Cold Chain Alliance operates across all of Africa to improve the cold chain and preserve the quality and integrity of products travelling from more populated cities to more remote locations. The country has experienced a sharp rise in the need for efficient cold chain logistics in recent years. This rise in interest is partly due to the continent's expanding economy as well as the growing necessity to safeguard the safety and quality of temperature-sensitive goods. The cold chain sector is expected to grow as a result of the continent's growing need for temperature-controlled goods, the influx of numerous new companies, and government initiatives and programmes. In order to manage the development of a multimodal transport system and meet the nations long-term transport needs, the South African government has initiated the National Transport Master Plan 2050. After COVID-19, people's concerns about their health led to a shift in consumption patterns and a rise in household processed food consumption, which aided in the market's expansion. Major cities like Gauteng, Cape Town, and Durban are becoming centres for the cold chain business since most industrial regions are close by. The pandemic exposed the continent's precarious reliance on imports for pharmaceuticals. But since then, well-known producers of pharmaceuticals, such as Moderna and BioNtech, have made investments in the construction of facilities in Africa. This rising tendency towards producing pharmaceutical goods within Africa corresponds likewise with the African Union and African Centres for Disease Control and Prevention’s ambition to generate 60% of the country's vaccine needs domestically by 2040. The abrupt increase in local manufacturing will force cold chains to become more global. The safest approach to satisfying these demands is to increase Tower Containers' availability and closeness, which is its business strategy. It continues to prioritise hub network investments.
According to the research report "South Africa Cold Chain Logistics Market Overview, 2029," published by Bonafide Research, the South Africa Cold Chain Logistics market is expected to reach a market size of more than USD 3 billion by 2029. South Africa is a major exporter of agricultural products, including fruits, vegetables, and meat. The cold chain logistics sector is crucial in ensuring the preservation and quality of these perishable goods during transportation, contributing significantly to the demand for efficient and reliable cold chain services. The pharmaceutical industry relies heavily on cold chain logistics to transport temperature-sensitive medications and vaccines. With a growing healthcare sector in South Africa and an increased emphasis on public health initiatives, the demand for cold chain logistics services for pharmaceutical distribution has risen substantially. South Africa is actively involved in international trade, both as an exporter and an importer of goods. The need to maintain the quality and safety of perishable products during long-distance transportation has fueled the demand for cold chain logistics services. The climate conditions in South Africa, which can range from hot and arid to temperate and coastal, necessitate the use of cold chain logistics to prevent spoilage of temperature-sensitive goods. The industry helps mitigate the impact of climate variations on the quality of transported products.
Based on the types, they are segmented into Refrigerated Warehouse and Refrigerated Transport. Among them, in South Africa, refrigerator transportation is significantly contributing to the market. Investments in cold chain infrastructure, including refrigerated trucks and storage facilities, contribute to the expansion of refrigerated transportation services in the country. Companies are recognising the need to modernise and enhance their fleets to meet the growing demand for temperature-controlled logistics. Furthermore, the pharmaceutical industry relies on refrigerated transportation to distribute temperature-sensitive medications and vaccines. With a focus on healthcare advancements and the need for reliable transportation of pharmaceutical products, refrigerated logistics have become integral to the healthcare supply chain. In terms of temperature types, they are segmented into frozen and chilled. In South Africa, frozen is the leading market. South Africa participates actively in international trade, exporting and importing frozen goods. The frozen temperature segment within cold chain logistics becomes crucial for the export of frozen products such as seafood, meat, and processed foods to various global markets. Furthermore, the diverse population in South Africa with varying food preferences contributes to the demand for a wide range of frozen food options. Frozen temperature logistics enable the efficient distribution of a diverse array of frozen products catering to different culinary preferences.
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