Cold chain industry projects 8-10% capacity growth in 2023
THE Cold Chain Association of the Philippines (CCAP) is expecting the industry to expand by 8-10% in terms of capacity, or about 50,000 pallet positions, this year.
CCAP President Anthony S. Dizon said the expansion will be mainly be organic as the economy recovers, the population grows, and e-commerce adoption accelerates.
He added that the industry’s growth trajectory dates back to 2015, and is set to continue with new builds lined up.
“In terms of capacity (growth), it was 10% in 2022,” Mr. Dizon told reporters in a press briefing.
According to the Philippine Cold Chain Industry Roadmap, food spending is “a main driver of cold storage” as food-related items account for 45% of consumer spending.
As onion prices soar, some farmers’ groups called for the expansion of cold storage facilities to minimize their post-harvest losses.
CCAP has said that its storage capacity was inadequate if the government intends to build up a reserve to mitigate the onion crisis, noting that it costs about P150 million to build cold storage for every 2,300 MT of onions.
Mr. Dizon said government intervention is needed to address the “disparity between demand and capacity,” and proposed loan support for the industry. — Sheldeen Joy Talavera
