The global perishable products market is expected to grow $6.43 billion between 2021-2026 and also post a 7.22 compound annual growth rate (CAGR) for the period, according to leading market-research firm Technavio’s latest market research report, “Perishable Goods Transportation Market by End-user and Geography – Forecast and Analysis 2022-2026.” Market growth during the period is expected at $6.43 billion.
“That tracks with the steady growth Prime Fresh Handling (PFH) is posting for increased customer demand for our expert logistics, shipping and of perishable goods,” says the company’s West Coast General Manager Cristina Moscoso in Los Angeles. “We’ve witnessed solid growth in our customers’ demand for fresh fish and seafood, for example, thanks to consumer desires for healthier food that’s high in Omega-3 fatty acids, proteins, and essential vitamins. Shipments of fresh blueberries, raspberries, and other fruits too are helping drive our business growth.”
Increased Discretionary Income
In addition, the Technavio research showed that trade liberalization plus the rising demand for processed foods – breakfast cereals, dairy products, meat, poultry, and vegetables – also are significantly driving the perishable products transportation market. So is the rise in use of eco-friendly transportation vehicles. This all comes at the same time as many global consumers have increased discretionary income and have adjusted spending habits to try out new culinary choices.
“They can’t wait to sip, sample, and savor new foods and flavors,” says Moscoso. “That’s proving a positive trend for our wholesale and retail grocery industry clients.”
That said, she also notes that clients are also facing continued supply chain issues with reefer (refrigerated) containers; they’re not so much in short supply anymore, but location-wise, they may be positioned in the “wrong” part of the world. Sporadic port congestion also puts some containers out of reach. Then there’s increasingly escalating shipping costs to deal with, including reefer rates, although this may temper in 2023. Customers must also navigate an ever-changing maze of strict transport standards for food commodities, pharmaceuticals, and drugs. And warehouse space in some locales may be limited.
Experience & Expertise
“We at Prime Fresh Handling possess both the experience and expertise to effectively deal with these issues on a daily basis,” says Moscoso, noting that Prime Fresh Handling offers cold warehousing in several key air-cargo hubs across their system, such as Los Angeles, New York, Miami, and Amsterdam. “So, day or night, we’re ‘on the job’ to help ensure our clients’ fresh perishable products arrive on time and in good condition.” Upon arrival at their final destination, many of these perishables are destined for manufacturing plants, packaging facilities, or local pharmacies.
“In addition, many of our clients also swiftly speed their deliveries of fruits, vegetables, seafood, meats, and other perishable products to market,” she adds, “so when consumers head for their local grocery store or convenience mart, they’ll have an amazing selection of fresh produce and meats from which to choose.”
Robust Market Potential
As for growth in perishable products shipping, the international market potential is robust. A new report on ResearchAndMarkets.com explains that the global refrigerated transport market is estimated to rise from $113.4 billion this year to $160.7 billion by 2027. The strongest growth is in the frozen foods segment with Asia-Pacific the fastest growth region. Much of that is dominated by China and India.
“That said, North America remains a key growth market as well,” says Moscoso. “Some agricultural shippers – weary of the past few years’ international transport issues – are putting more emphasis on the U.S. domestic market. Overall, we’re quite encouraged by how things have evolved in perishable logistics, shipping, and handling operations this year,” she says.
So, before moving any further into the new year, Moscoso says this: “Please allow me wish all of you, as well as your families, friends, and business partners a happy, healthy new year ahead. We look forward to serving your business needs in 2023. Opportunity awaits, so let’s work together to create a bright future for all.”
Whether it’s a box, a pallet, or a companywide logistics operation, Prime Fresh Handling is skilled in achieving safe, on-time delivery of time- and temperature-sensitive products between any point of origin and destination around the world.
In fact, PFH is also known as a global leader in perishables transportation of fresh produce, fish, cut flowers, and plants – plus vaccines and other pharmaceuticals, as well. With dedicated state-of-the-art facilities in Europe, South America, and across North America, PFH leverages industry-leading technologies such as vacuum cooling, sorting, re-packing, barcoding, labeling, and temperature and quality monitoring to guarantee consistent, safe, and fresh delivery.
Contact Prime Fresh Handling