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Malaysia Cold Chain Market Anticipated to Grow Owing to the Increase in Demand for Perishable Food, Development of Logistics Hubs to Improve the Logistics Infrastructure in the Country and Growth in the Integrated Logistics Sector: Ken Research
GURUGRAM, India, Aug. 4, 2022 /PRNewswire/ -- Malaysia Shipping Master Plan: The Government plans to transform logistics services by centralizing the planning and development of logistics hubs, accelerating digital adoption and encouraging mergers and acquisitions among industry players. A national regulatory framework for warehousing is being formulated. The Malaysia Shipping Master Plan will realize the aspirations of the Malaysian shipping sector to be a business service sector. This is planned to be achieved through the introduction of sustainable measures aimed at removing competitive disparities and improving capabilities of Malaysian ship-owners, maritime human resources, and maritime ancillary services to meet domestic and regional shipping needs.  Increase in Demand for Cold Chain Operations: Cold Chain usage in Malaysia has increased due to the importance of maintaining optimal temperatures, especially for the postharvest or post-production temperatures sensitive goods. It is also a derived demand from the Halal logistics sectors. To maintain the Halal assurance for Halal products, utilizing a controlled temperature is one of the characteristics of a Halal supply chain foundation. The temperature-controlled warehouse is a value-added service to the Halal logistics industry in Malaysia since temperature breakdowns during halal meat handling is a significant problem being faced by the industry. Growth of Integrated Logistics: TASCO has acquired two major cold storage companies Gold Cold & MILS and Hyper cold since 2016. These mergers are leading to the establishment of a bigger player thus eliminating the need of outsourcing (4PL). Moreover, given the trend, more number of small cold companies are expected to merge with bigger players contributing to the expansion of integrated logistics. Analysts at Ken Research in their latest publication "Malaysia Cold Chain Market Outlook To 2026 - Driven by Increase in Demand for Perishable Food Items and its Establishment as the Halal Industry Hub, Malaysia Cold Chain Market Experiencing Growth" believe that the Cold Chain market in Malaysia is expected to experience positive growth owing to the increase in e-commerce and government's initiatives to improve the logistics infrastructure in the country as part of Malaysia's 'National Transport Policy'. The market is expected to register a positive CAGR of 7.6% in terms of revenue during the forecasted period 2021P - 2026F. Key Segments Covered:- By Type of Market
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For More Information, refer to below links:- Malaysia Cold Chain Market Future Outlook Related Reports:- The industry is home to an extremely strong Freight Forwarding segment, driven by the UAE's position as a key facilitator for global re-exports. Moreover, given its high dependence on Imports for Consumer Products and Technology, the UAE has strong trade relations with far-Eastern countries, European countries and the US. Given its oil-producing capabilities, the country relies heavily on Sea Freight as a mode of cargo transport, with the service being almost a common feature amongst freight forwarding companies in the country. The UAE also has a strong warehousing market segment, driven by players that lease warehousing space for long durations of time. Warehousing operations near to the Jebel Ali Port and Dubai Airport are considered most favourable to reduce the transportation cost from port to mother-hub. The Courier, Express and Parcel market is driven by growth in Last-Mile deliveries and the E-Commerce segment in the country. The cold chain market in UAE is at growth stage. It has consolidated its position as a global transhipment hub due to its central location in the GCC region. The high dependence of the country on imports to meet its food requirements has necessitated the development of cold chain facilities. In the review period 2015-2020, the UAE cold chain market has increased at a positive CAGR of 5.0% largely due to heavy government and direct foreign investments in transportation and storage infrastructure, increase in retail and consumer spending especially in groceries, dairy, meat, international food and EXPO 2020. The cold chain market in Qatar is at the growth stage. It has established its position as an important import hub for the GCC countries (after UAE). Most of the goods are transported to the GCC countries after reaching Qatar. The high dependence of the country on imports to meet its food requirements has decreased over the past years and has necessitated the development of cold chain facilities to store domestically produced perishable products. In the review period 2016-2021P, the Qatar cold chain market has increased at a positive CAGR of 5.8% primarily due to substantial government investments in the freight industry and increase in retail and consumer spending especially in meat and seafood, dairy market, and the growing pharmaceuticals industry. Kuwait Warehousing Market is currently undersupplied with well-known players such as Agility, KGL Logistics and City Group establishing themselves as regional leaders. Warehousing firms initially gained a foothold by serving US military personnel in Kuwait, however it is diversifying away from public sector contracts and increasingly catering to businesses and households. Kuwait warehousing market has been continuously growing at a single digit CAGR (2016-2021) owing to surging logistics volume, rising imports, trend of logistics outsourcing and government efforts to enhance the logistics infrastructure. Kuwait government's plans to invest across strategic sectors under Kuwait Development Plan (KDP) 2015-2020 has positively impacted the market. Follow Us – Contact Us:- Logo: https://mma.prnewswire.com/media/661352/Ken_Research_Logo.jpg 
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