Saudi Arabia Cold Chain Logistics Market

Saudi Arabia Cold Chain Logistics Market Overview:

The Saudi Arabia cold chain logistics market size reached USD XX Million in 2024. Looking forward, IMARC Group expects the market to reach USD XX Million by 2033, exhibiting a growth rate (CAGR) of XX% during 2025-2033. The market is experiencing significant growth driven by rising demand in food and pharmaceutical sectors, government investments, and rapid e-commerce growth. Moreover, advancements in infrastructure and technology are strengthening the country’s position as a regional logistics hub.

Saudi Arabia Cold Chain Logistics Market Trends:

Growth in E-commerce

The rapid expansion of e-commerce in Saudi Arabia has transformed how consumers purchase groceries, medicines, and perishable products. This shift is fueling demand for reliable and efficient cold chain logistics to maintain product quality and safety during transit. The rise of online platforms has played a direct role in driving Saudi Arabia cold chain logistics market growth, as temperature-sensitive goods require specialized handling and delivery infrastructure. A growing digital customer base is reshaping logistics priorities to meet faster, fresher delivery expectations. According to the data published by ITA, Saudi Arabia’s e-commerce is poised for growth, with users projected to reach 33.6 million by 2024, a 42% increase from 2019. Online sales rose nearly 60% across categories. Despite high smartphone penetration (97%) and internet speed ranking 10th globally, cash on delivery remains the preferred payment method. Companies are investing in last-mile solutions with real-time tracking, thermal packaging, and dedicated refrigerated fleets to meet evolving consumer expectations. Fast delivery, minimal spoilage, and regulatory compliance are now non-negotiable standards. In urban centers, the surge in express delivery services has further accelerated innovation in cold chain technology. This trend is reshaping operational strategies, creating more competition, and expanding the Saudi Arabia cold chain logistics market share for players that can adapt quickly and scale effectively.

Healthcare and Pharma Expansion

The healthcare and pharmaceutical sectors in Saudi Arabia are undergoing rapid expansion, with rising demand for vaccines, biologics, insulin, and other temperature-sensitive medications. These products require strict temperature control across the supply chain—from manufacturing and storage to transportation and delivery. This has prompted significant investments in cold chain infrastructure, including GDP-compliant warehouses, specialized reefer trucks, and advanced monitoring systems. The country's focus on localizing pharmaceutical production and improving healthcare access has further intensified the need for reliable cold logistics. Public and private sector partnerships are playing a role in improving distribution capabilities, especially for rural and remote areas. In line with these developments, the government has significantly ramped up funding and institutional support. According to the data published by ITA, Saudi Arabia allocated $50.4 billion to healthcare and social development in 2023, representing 16.96% of its budget. The government is prioritizing healthcare privatization, with support from the Ministry of Health (MoH), the National Unified Procurement Company (NUPCO), and the Saudi Food and Drug Authority (SFDA). Regulatory standards are also becoming more stringent, pushing logistics providers to enhance quality and compliance. The growth of biologics and clinical trials is expected to sustain long-term demand. These developments strongly influence the Saudi Arabia cold chain logistics market outlook, signaling continued growth and modernization.

Saudi Arabia Cold Chain Logistics Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the regional level for 2025-2033. Our report has categorized the market based on type and application.

Type Insights:

• Refrigerated Warehouses
• Refrigerated Transportation
  • Railways
  • Airways
  • Roadways
  • Waterways

The report has provided a detailed breakup and analysis of the market based on the type. This includes refrigerated warehouses and refrigerated transportation (railways, airways, roadways and waterways).

Application Insights:

• Fruits and Vegetables
• Bakery and Confectionery
• Dairy and Frozen Desserts
• Meat, Fish, and Seafood
• Drugs and Pharmaceuticals
• Others

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes fruits and vegetables; bakery and confectionery; dairy and frozen desserts; meat, fish, and seafood; drugs and pharmaceuticals; and others.

Regional Insights:

• Northern and Central Region
• Western Region
• Eastern Region
• Southern Region

The report has also provided a comprehensive analysis of all the major regional markets, which include Northern and Central Region, Western Region, Eastern Region and Southern Region.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Saudi Arabia Cold Chain Logistics Market News:

• In October 2024, MSC's logistics arm, MEDLOG, announced its partnership with Port Development Company (PDC) to establish a cold storage facility at King Abdullah Port. The 300 million Riyal investment will cover 60,000 square meters, enhancing operational capabilities for perishable goods and supporting Saudi Arabia's Vision 2030 through job creation and economic growth.
• In January 2023, Maersk launched a new cold storage facility at King Abdulaziz Port in Dammam, Saudi Arabia. Spanning 13,300 sq m, it will handle 168,000 pallets annually, supporting the food industry with advanced temperature control and sustainability features like solar power and an on-site water treatment plant.

Saudi Arabia Cold Chain Logistics Market Report Coverage:

Key Questions Answered in This Report:

• How has the Saudi Arabia cold chain logistics market performed so far and how will it perform in the coming years?
• What is the breakup of the Saudi Arabia cold chain logistics market on the basis of type?
• What is the breakup of the Saudi Arabia cold chain logistics market on the basis of application?
• What is the breakup of the Saudi Arabia cold chain logistics market on the basis of region?
• What are the various stages in the value chain of the Saudi Arabia cold chain logistics market? 
• What are the key driving factors and challenges in the Saudi Arabia cold chain logistics market?
• What is the structure of the Saudi Arabia cold chain logistics market and who are the key players?
• What is the degree of competition in the Saudi Arabia cold chain logistics market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Saudi Arabia cold chain logistics market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Saudi Arabia cold chain logistics market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Saudi Arabia cold chain logistics industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.