Growth Restraints: High Initial Investment for Set-up

The primary market hurdle is the substantial initial investment required to develop a cold chain service due to extremely high temperatures & humidity levels. The importance of maintaining proper temperatures during storage & transportation cannot be overstated. Besides, maintenance, repair, and energy costs make it difficult for small businesses to enter and compete in the market with established players.

Industry Players Development

• In 2021, Abu Dhabi-based healthcare procurement company, partnered with Abu Dhabi Ports to establish the UAE’s largest cold storage facility for Covid vaccines.

In 2018, Al-Futtaim Logistics an integrated logistics and supply chain provider announced expansion by opening new colds storage facility in Dubai. The facility is located at Jebel Ali South Free Zone has space for more than pallets with temperatures ranging from +18 degrees Celsius to -22 degrees Celsius.