Indonesia Cold Chain Logistics Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Indonesia Cold Chain Logistics Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

The Indonesia Cold Chain Logistics Market is expected to register a CAGR of 10% during the forecast period.

Key Highlights

• Demand for cold storage facilities could be estimated from the consumption of meat, fruits, vegetables, frozen potatoes, fish, shrimp, etc. The main export items in the Indonesian cold chain logistics market are perishable products like frozen food, seafood, and meat. Pharma is another industry that has been instrumental in growing cold chain logistics in Indonesia. As online orders for cool delivery rise and seafood production improves, the number of cold storage installations for the fishing sector is expected to increase quickly in 2023. However, industry players must plan for rising installation costs.
• Greater Jakarta is home to more than 40 cold chain businesses, with North Jakarta, West Jakarta, and Bekasi serving as the primary cold storage hubs. In the nation, there are two different kinds of storage facilities: commercial and industrial. Commercial ones typically have a capacity of less than 500 tonnes and are planned and developed to be rented out or used as the primary facility for business operations like supply chain management and logistics. The industrial storage facilities serve as a component of a production facility and have a capacity of more than 500 tonnes. The absence of electrical power at remote locations is a problem for Indonesia's cold chain business.
• The demand for cold chain logistics has increased in Indonesia as a result of the country's expanding e-commerce sector and growing adoption of digital technology. The country's rising number of refrigerated warehouses will fuel market expansion.
• Additionally, the forecasted growth of the cold chain logistics market in Indonesia is driven by the fast expansion of the processed food industry due to rising food and beverage and meat product consumption.
• A lack of standardization and high operational expenses for cold chain logistics hampers the development of the market in the nation. As a result of the country's burgeoning e-commerce industry, rising levels of digitalization, and ongoing improvements to the nation's delivery infrastructure, there is an increase in the need for cold chain logistics in Indonesia.
• One of the major trends in the Indonesia cold chain logistics industry is the increase in the number of refrigerated warehouses brought on by the country's rising perishables demand.
• The growth of the processed food industry in Indonesia is another factor driving the cold chain logistics market's expansion. The processed food sector is growing quickly as a result of rising demand for frozen fast food items as well as rising consumption of meat and other food and beverage items. Cold storage facilities in Indonesia are leveraging technological advancements to switch to renewable energy sources.

Indonesia Cold Chain Logistics Market Trends

Growing Demand from E-Commerce Sector

The total internet user penetration rate in Indonesia in January 2023 was 77%, showing the gradually increasing internet penetration in the country. This value is estimated to increase in the following years to reach 89.3% by 2025, leading to growth in the e-commerce market. As the biggest archipelago in the world, Indonesia is also one of the world's largest producers and suppliers of fisheries products. Indonesians consume more than 40 kilograms of fish per capita per year, making it one of the most fish-dependent nations in the world. In the e-commerce segment, essential items like groceries and frozen seafood dominate, indicating that these are the main growth drivers for the cold chain industry in the country. Because of the COVID-19 impact, the e-commerce market in the frozen food segment grew with an increase in home cooking.

Automation is a new technical development revolutionizing the Indonesian cold storage industry by improving efficiency and lowering waste. Automation improves accuracy and speeds up services by streamlining the staging and picking procedures. Real-time temperature monitoring makes it possible to lessen waste brought on by contamination and spoilage. Since robotic stacker cranes can access far higher shelves than forklift operators, automation results in lower building footprints, lowering the cost of land and rentals and reducing theft and tampering. It improves worker ergonomics, increasing safety and productivity.

Indonesia has a rising demand for meat, prepared meals, and seafood and fish. The greatest market is frozen meat, favored due to its superior nutritional value. Despite significant fish imports from nearby nations, the frozen fish and seafood market is predicted to develop slowly throughout the projection period. However, it is anticipated that the preference of local Indonesians for high-quality, nutrient-dense processed food would fuel demand for frozen processed food, which retains nutritional content even after being frozen.

Frozen Food and Shrimp Industry Driving the Growth in Market

Indonesia frozen food market is expected to be valued at USD 579.7 million by 2024 driven primarily by increased working hours of Indonesian people that has driven the demand for easy convenience processed food. Local Indonesians' increased purchasing power is anticipated to be primarily driven by growing urbanisation and rising disposable income. In the processed food category, frozen food is anticipated to satisfy Indonesian consumers' desire for fast, easy food without sacrificing health advantages. While frozen food products shorten the cooking process, they nevertheless retain the majority of the nutrients found in fresh veggies or non-vegetable goods. The demand in the local Indonesian market is anticipated to be driven by hypermarkets and supermarkets with well-equipped storage and freezing facilities. In Indonesia, there is a rising demand for meat, prepared meals, and seafood and fish. The greatest market is for frozen meat, which is favoured due to its superior nutritional value. Despite significant fish imports from nearby nations, the frozen fish and seafood market is predicted to develop slowly throughout the projection period. However, it is anticipated that the preference of local Indonesians for high-quality, nutrient-dense processed food would fuel demand for frozen processed food, which retains nutritional content even after being frozen.

Cold chain industries that depend on cattle, fisheries, and processed foods have a sizable potential market in Indonesia. The cold chain industry supports not only the fishing and food processing sectors, but also the pharmaceutical and retail networks. In the past several years, the fishery industry began to grow in Jakarta especially for the shrimp market. A number of cold storage facilities such as that of PT. AGB Tuna located at Muara Angke, have been busy handling the storage of fish/shrimps for exports and the local market. Seafood contributed 45% to frozen food consumption, followed by chicken with a share of 22% and meat with a share of 8%. The government set an ambitious goal of being the world's largest shrimp producer and raising the nation's shrimp export earnings by 250% by 2024.

Indonesia Cold Chain Logistics Industry Overview

The Indonesian logistics market is fragmented and has the presence of both, local and international players in the cold storage and warehousing industry. The Key players operating in Indonesia's cold chain markets are Kiat Ananda Group, Enseval Putra Megatrading Tbk, PT, MGM Bosco Logistics Bekasi, GAC Samudera Logistics and Pluit Cold Storage PT. The Greater Jakarta area has around 40 cold storage companies. Some 28 of them have a total capacity of more than 75,000 tons. Demand for cold storage service has increased in the past several years following the expansion of retail business in the Greater Jakarta area. Most retail chains have outlets located in various areas they need standard stock at each outlet for which they will need cold storage to keep their stock in good quality.

The Key players operating in Indonesia's cold chain markets are Kiat Ananda Group, Enseval Putra Megatrading Tbk, PT, MGM Bosco Logistics Bekasi, GAC Samudera Logistics and Pluit Cold Storage PT.

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