Market Size and Potential Growth
Cold chain: total country’s capacity is just 473 thousand tons and mostly at manufacturing sites. Cold chain (storage and cold transportation) appears to be the most promising business in Vietnam.
By structure, cold chain can be divided in to two systems: cold storage and cold transportation (including cold trucks, cold containers, cold air cargo).
Cold chain is classified as climate control logistics. And according to Forst & Sullivan’s report on logistics in ASEAN countries (2012), climate control logistics is one of the most required and potential segment for growth with logistics sectors in Vietnam. Growth rate of climate control logistics has increased 4 times from 2008 to 2012.
Logistics companies in Vietnam (both local and foreign) have not yet had sufficient capacity to provide full cold chain logistics services.
Local companies focus on forwarding and domestic transportation while foreign ones specialize in packing and international transportation. Participation of logistics companies in cold chain is scattered and thus, competition is low. In fact, these companies tend to connect with each other in providing some discrete stages of the chain.