Air vs Sea: Is there a modal shift in cold chain logistics?

 

  • There are numerous reports of cargo switching to ocean freight from air cargo, including certain pharmaceutical products, flowers and fruit.
  • Overall the global cold chain market remains highly competitive and fragmented.
  • Innovations in big data and the Internet of Things could transform asset utilisation and the protection of sensitive cargo across the supply chains.

05 June 2017, Bath, UK: Ti is pleased to announce that its latest report, Cold Chain Logistics 2017, is now available to download.

Cold Chain Logistics 2017 offers insight into the complex, but potentially lucrative, nature of temperature-controlled supply chains.

The market continues to grow as new cold chains are created as a result of the buying power of rising middle classes in China and other developing countries, and by new demands for healthier and higher quality products. At the same time, however, restrictions on pharmaceutical production and growing consumer awareness of food safety is pushing the tightening of government regulations on temperature-controlled supply chains.

As a result, reefer container technology has seen improvements in recent years. Not only can reefers control temperature more accurately, but they also monitor humidity, light and shocks. The visibility this provides has helped improve the quality of the reefers by encouraging further innovation. This allows newer reefers to keep perishable goods for longer, meaning a shorter travel time is a less important factor.

Shipping lines with a stake in cold chain logistics are undoubtedly benefiting from breakthrough capabilities in reefer container technology. There are numerous anecdotal reports of cargo switching to ocean freight from air cargo, including certain pharmaceutical products, flowers and fruit.

Ti’s Quantitative Analyst, Andrew Ralls, however explained, “Air freight carriers will need to innovate in the same way ocean freight carriers have done, though strong global trade of agricultural products such as trees & flowers, vegetables and fruits, is set to continue and this will aid volumes for both modes of transport.

Cold Chain Logistics 2017 is a 50 page report that provides analysis of the market and commentary around the future prospects of the industry as a whole, as well as from a logistics market, vertical sector and geographical perspective.

To find out more about Cold Chain Logistics 2017, or Ti’s expertise in logistics technology, visit the Ti website, or contact Ti’s Sales Consultant, Charlie Holden.

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