Brazil Cold Chain Logistics Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 2.67 Billion |
| Market Size (2029) | USD 4.31 Billion |
| CAGR (2024 - 2029) | 10.02 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Brazil Cold Chain Logistics Market Analysis
The Brazil Cold Chain Logistics Market size is estimated at USD 2.67 billion in 2024, and is expected to reach USD 4.31 billion by 2029, growing at a CAGR of 10.02% during the forecast period (2024-2029).
- The COVID-19 pandemic significantly boosted the domestic e-retailing sector and the consumption of processed foods and beverages, pushing the demand for refrigerated storage spaces and logistics.
- Brazil is one of the world's fastest-growing economies and among the top 20 markets in the world for the cold storage industry. The country has a storage capacity of about 6 million cu. m, as per the Global Cold Chain Alliance (GCCA). Brazil is a major exporter of fruits, meat, sugar, and soya beans. It is developing its cold chain logistics and storage facilities to support the expected growth in the sectors.
- The Brazilian government allocated a budget of USD 10 billion to improve the country's infrastructure, aiding the efficiency of the logistics supply chain. The growth of the transport infrastructure and connectivity is expected to drive the growth of the market during the forecast period. With the increasing per capita income of the country, people are gradually improving their standards of living and updating their food habits with a shift to packaged, refrigerated, and readymade food items. The increasing per capita income is also fueling the overall retail grocery spending in the country. All these factors have led to an increase in the consumption of refrigerated and processed foods, which is expected to drive the cold chain logistics market over the forecast period.
Brazil Cold Chain Logistics Market Trends
This section covers the major market trends shaping the Brazil Cold Chain Logistics Market according to our research experts:
Increasing Meat Exports to Drive the Market
In 2021, the Brazilian meat sector faced serial difficulties. However, 2022 was more promising. The resumption of beef imports by China, beef and pork imports by Russia, and the continued high demand for these commodities globally encouraged the leading players in the sector. In November 2021, Russia announced zero import tariffs on beef and pork and import quotas for several countries, including Brazil. The expectation was that, in Q1 2022, the Russian government would carry out inspections to qualify new Brazilian plants for export.
In December 2021, China lifted the embargo on Brazilian beef. The restrictions began after cases of mad cow disease occurred in the states of Minas Gerais and Mato Grosso in September 2021. Brazilian beef exports registered consecutive drops in the following months since its largest buyer decided to suspend shipments. Following these lows, the meat sector has recovered and improved. This improvement is expected to continue, driving the Brazilian cold chain logistics market during the forecast period.
However, in Q2 2022, Brazil slaughtered a total of 6.96 million head of cattle, which was up by 6% (+362,000 head) compared to 2021. The Y-o-Y growth in slaughter has increased beef production by 6% (+105,000 ton) to 1.84 million ton. However, Brazil is the world's largest beef exporter, and the country exported more than 469,000 ton of fresh and frozen beef in Q1 2022, up by 37% (+126,000 ton) from Q1 2021. In 2022, according to the survey conducted by Banco do Nordeste, beef production in Brazil amounted to more than 9.9 billion kg, up by 4% compared to the previous year. Thus, the growing beef exports may drive the country's cold chain market.
Brazil’s Interest in Healthier Frozen Foods Driving the Market
Brazilian consumers have shown increasing interest in frozen food over the past years, and demand for healthier options also witnessed significant growth in the country. In addition, the frozen food manufacturing industry witnessed lucrative growth during the pandemic, and the consumption of healthier frozen foods increased. However, frozen food sales were majorly driven by consumers' behavior of seeking convenient products, helping them reduce store visits.
Brazil's frozen-food market comprises some of the country's major players in packaged food, including BRF and JBS. However, the sector is also being served by up-and-coming businesses. In addition, major companies in São Paulo, such as Liv Up, Beleaf, and Free Soul Food, directly sell frozen food to consumers through their online channels. Most of their product costs range between USD 1 and USD 5, which attracts customers.
Brazil exports its food and meat products to more than 22 countries. In Q1 2022, the food exports from Brazil to Arab Nations witnessed significant growth, as the total exports reached more than USD 3.8 billion, up by nearly 34% compared to the same period in 2021. Thus, the increasing exports and imports of frozen foods are expected to drive the cold chain market in the country. However, e-commerce sales of food and beverages are a major supporting factor for cold chain logistics. In 2022, food and beverages e-commerce sales reached more than USD 5 billion, at a growth rate of 8% compared to the previous year.
Brazil Cold Chain Logistics Industry Overview
The Brazilian cold chain logistics market is highly fragmented, with the presence of both international and local players. The local players have smaller fleets. The market is dominated by Localfrio, Brado Logistica, and Comfrio.
Brazil Cold Chain Logistics Market Leaders
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Localfrio S/A
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Brado Logistica S/A
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ComFrio
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Martini Meat S/A
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Friozem Armazens Frigorificos Ltda.
*Disclaimer: Major Players sorted in no particular order
Brazil Cold Chain Logistics Market News
December 2022: Friozem, a cold chain logistics provider, expanded pallets at the Friozem units in Belo Horizonte and Recife in Brazil. This expansion allows for greater storage and handling capacity and offers better inventory control.
July 2022: Friozem, a cold chain logistics provider, started utilizing drones for an inventory counting project. The use of drones in logistics offers great advantages such as increased productivity, more safety for employees, and greater inventory control with accurate and agile counting, excluding the need for recounting and cost reduction on the balance sheet. The pilot project was successfully implemented in the Jandira unit in São Paulo. It will soon be expanded to the units in Curitiba, Paraná, and Salvador, Bahia.
Brazil Cold Chain Logistics Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2. RESEARCH METHODOLOGY
- 2.1 Analysis Methodology
- 2.2 Research Phases
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS AND INSIGHTS
- 4.1 Current Market Scenario
- 4.2 Technological Trends and Automation
- 4.3 Government Regulations and Initiatives
- 4.4 Industry Value Chain/Supply Chain Analysis
- 4.5 Spotlight on Ambient/Temperature-controlled Storage
- 4.6 Impact of Emission Standards and Regulations on the Cold Chain Logistics Industry
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4.7 Market Dynamics
- 4.7.1 Drivers
- 4.7.2 Restraints
- 4.7.3 Opportunities
- 4.8 Industry Attractiveness - Porter's Five Forces Analysis
- 4.9 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
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5.1 By Service
- 5.1.1 Storage
- 5.1.2 Transportation
- 5.1.3 Value-added Services (Blast Freezing, Labeling, Inventory Management, Etc.)
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5.2 By Temperature Type
- 5.2.1 Chilled
- 5.2.2 Frozen
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5.3 By Application
- 5.3.1 Horticulture (Fresh Fruits and Vegetables)
- 5.3.2 Meats, Fish, and Poultry
- 5.3.3 Processed Food Products
- 5.3.4 Pharmaceuticals, Life Sciences, and Chemicals
- 5.3.5 Other Applications
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5.4 By Key Cities
- 5.4.1 Sao Paulo
- 5.4.2 Rio de Janeiro
- 5.4.3 Salvador
6. COMPETITIVE LANDSCAPE
- 6.1 Market Concentration Overview
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6.2 Company Profiles
- 6.2.1 Localfrio SA
- 6.2.2 Brado Logistica SA
- 6.2.3 Comfrio
- 6.2.4 Martini Meat SA
- 6.2.5 Friozem Armazens Frigorificos Ltda
- 6.2.6 Superfrio Armazens Gerais Ltda
- 6.2.7 Arfrio Armazens Gerais Frigorificos
- 6.2.8 Brasfrigo SA
- 6.2.9 CAP Logistica Frigorificada Ltda
- 6.2.10 Maersk
- 6.2.11 Nippon Express
- 6.2.12 Logfrio SA*
- *List Not Exhaustive
7. FUTURE OF THE MARKET
8. APPENDIX
Brazil Cold Chain Logistics Industry Segmentation
The cold chain logistics market involves the transportation of temperature-sensitive products along a supply chain through thermal and refrigerated packaging methods and the logistical planning to protect the integrity of these shipments. Transportation modes used are refrigerated trucks, refrigerated railcars, refrigerated cargo, and air cargo. The report provides key insights into Brazil's cold chain logistics market, including technological developments, trends, and government regulations in the sector. It also focuses on market dynamics, the competitive landscape. and profiles of active key players.
Brazil's cold chain logistics market is segmented by service (storage, transportation, and value-added services), temperature type (chilled and frozen), application (horticulture, meat, fish, poultry, processed food products, pharmaceuticals, life sciences, and chemicals, and other applications), and key cities (Sao Paulo, Rio de Janeiro, and Salvador). The report also covers the impact of COVID-19 on the market. The report offers market size and forecasts in value (USD billion) for all the above segments.
| By Service | Storage |
| Transportation | |
| Value-added Services (Blast Freezing, Labeling, Inventory Management, Etc.) | |
| By Temperature Type | Chilled |
| Frozen | |
| By Application | Horticulture (Fresh Fruits and Vegetables) |
| Meats, Fish, and Poultry | |
| Processed Food Products | |
| Pharmaceuticals, Life Sciences, and Chemicals | |
| Other Applications | |
| By Key Cities | Sao Paulo |
| Rio de Janeiro | |
| Salvador |
Brazil Cold Chain Logistics Market Research FAQs
How big is the Brazil Cold Chain Logistics Market?
The Brazil Cold Chain Logistics Market size is expected to reach USD 2.67 billion in 2024 and grow at a CAGR of 10.02% to reach USD 4.31 billion by 2029.
What is the current Brazil Cold Chain Logistics Market size?
In 2024, the Brazil Cold Chain Logistics Market size is expected to reach USD 2.67 billion.
Who are the key players in Brazil Cold Chain Logistics Market?
Localfrio S/A, Brado Logistica S/A, ComFrio, Martini Meat S/A and Friozem Armazens Frigorificos Ltda. are the major companies operating in the Brazil Cold Chain Logistics Market.
What years does this Brazil Cold Chain Logistics Market cover, and what was the market size in 2023?
In 2023, the Brazil Cold Chain Logistics Market size was estimated at USD 2.43 billion. The report covers the Brazil Cold Chain Logistics Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Brazil Cold Chain Logistics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Brazil Cold Chain Logistics Industry Report
Statistics for the 2023 Brazil Cold Chain Logistics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Brazil Cold Chain Logistics analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
