New economic issues, technology and regional demands in the cold chain have brought about major changes for shippers of perishables. Although many of these changes mean shippers have to adjust to a new way of doing business, these changes have also opened up the possibilities for significant new business opportunities.
The outlook for cold storage capacity, reefer shipping and its growing worldwide need.
Despite the economic downturn over the past few years, there is plenty of cheerful news when it comes to cold storage capacity worldwide. According to the International Association of Refrigerated Warehouses (IARW), the total capacity of temperature-controlled warehouses increased by 20% from 2012 to 2014. This increase in capacity provides new opportunities for distributors and manufacturers who are dependent upon the availability of adequate cold storage for their products to reach market successfully.
This increase in cold storage capacity has arrived just in time, as the demand for food worldwide continues to rise with no end in sight. The Food and Agriculture Organization of the United Nations (FAO) recently projected that by 2050 the global population will require an increase in food production of approximately 70% just to maintain current nutritional levels. Many of the estimated 2.3 billion new mouths to feed are located in developing countries which already have food security issues. To face the new demands, it is critical to increase the ability to ship, store and distribute perishables more effectively.
The higher demand for more, and fresher, food and other perishables have created a change in how cargo is shipped. Newer and better reefer containers continue to be developed which not only significantly decrease the rate of spoilage, but reduces the costs of refrigeration. As the future of fuel prices remains unknown, shippers are now preparing for the inevitable rise in energy costs.
Companies looking toward scaling up their distribution and sales network to take advantage of the growing worldwide need, the existing increase in cold storage capacity, and the improving reefer container technology, need to be wary when entering new markets.
All the new cold storage doesn’t matter if your perishables are unable to make to to retailers without spoilage. A critical link in the cold chain is the distribution of your shipment from in-country cold storage to its final destination.
Designing and implementing an effective distribution network is complicated. While difficulties exist in distribution in all areas, developing nations often feel the biggest effects. Under-developed ports, poor infrastructure and limited ground transportation can all negatively affect your cargo.
Solving the problem with logistics.
To mitigate the problems associated with distribution, it is essential to work with a dependable logistics partner who has the experience necessary to handle your cargo correctly and get it to where it needs to go quickly.
General Supply & Chandelling Group (GSCG) a “One-Stop Supply Centre” is a locally-owned company dedicated to serving shipping in Tanzania and the surrounding countries since 2009. Headquartered in Der Es Salaam, Tanzania, GSCG has the experience, supplies and services to fulfil all of your offshore and onshore needs.
Whether you require logistical support for cold storage rentals or distribution assistance, resupply, repairs or port services, GSCG can deliver. General Supply & Chandelling Group promises to provide their customers with the best value for their money.