Malaysia's Cold Chain Industry Guide


5 Industry Facts About Cold Chain Industry : A Upcoming Of Automation Trend

Cold Chain Industry Overview April 14, 2022


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What is the Cold Chain?

In layman's terms, a cold chain refers to the pathway of temperature-sensitive and perishable products from the point of origin to the final consumer to maintain quality and safety.

In the last decade, businesses have depended on a reliable system to transport perishable goods such as food and beverages, electronics and recently, with COVID-19, pharmaceutical-related goods like vaccines. The evolution of the cold chain is endless, with cutting-edge technology and automation to keep up with the world's demand.


Here are 5 facts about the Cold Chain initiative

1. Temperature Stability Is Everything

Temperature is considered one of, if not the most vital aspect when it comes to the cold chain. It determines the quality and how safe it is for consumption when transported from one end to another. For example, there are various refrigeration temperatures for different types of food that you consume daily. The ideal temperature for each food type determines the freshness and longevity of these goods. Temperature stability also affects how businesses operate. From storage, transportation and display of goods, businesses rely on a controlled temperature to care for their goods.


2. Cold Chain Facilities and Services Are A Necessity

Since the pandemic, there has been an increase in cold chain logistics for the pharmaceutical industry. More vaccines and vitamins are required and shipped globally to combat the COVID-19 virus, which has increased the demand for cold chain facilities and services. Similarly, the pandemic has also created new trends for food transportation and how it affects society's purchasing abilities. With an increased demand for pharmaceutical goods, food and beverages, usage of cold rooms have become more significant to maintain quality and a hygienic environment.


3. Automation Is A Trend for The Cold Chain Market

The business case for automating temperature-controlled warehouses, whether chilled or frozen, is stronger than ever, thanks to the rising demand for cold chain logistics. Automation leads to enhancing the productivity of current operations in most businesses today. It results in higher standards in dependability, sustainability, accuracy, safety and quality of goods. Automation is necessary to keep up with employee scarcity, faster delivery times and the rise of e-commerce. Aligning automation and integration of human workers will reduce any inaccuracies and increase efficiency.


4. Cold Chain is Expensive for Investment

The cost to install a cold room or set up a cold chain facility comes at a hefty price. Businesses should consider factors like types of goods, location, storage capacity and more. The design of cold storage warehouses has become more complex as technologies and techniques for increasing efficiency have evolved. Cold rooms have primary components that can be very expensive due to their usage and materials. From insulators, compressors to accessories, these are some examples to help maintain an appropriate cold room environment.


5. Cold Chain Industry in Malaysia is Booming

Because of the rise of e-commerce, industrial properties, particularly cold chain warehouses, have become one of the most sought-after industries. It is even more so now, amid the COVID-19 pandemic. Malaysians are becoming more conscious of their health and lifestyle, leading to increased demand for cold chain facilities in Malaysia. There has also been much development for cold chain warehouses around the different states, namely Pasir Gudang, Johor, Shah Alam and Port Klang, Selangor.


In Summary

The cold chain industry is here to stay and is evolving every day. There will always be a demand in the supply chain for food and beverages, pharmaceutical goods, semiconductors and other perishable goods. Businesses should take advantage of the benefits that cold rooms provide and not be left out in this game-changing industry.

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