UAE Cold Chain Logistics Market Forecast and Research Report

UAE Cold Chain Logistics Market Overview:

The UAE cold chain logistics market size reached USD 1.4 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 2.9 Billion by 2033, exhibiting a growth rate (CAGR) of 8.2% during 2025-2033. The expansion of pharmaceutical and healthcare industry, high investments in the medical sector, and growth of the food and beverage (F&B) industry represent some of the key factors driving the growth of the market.

UAE Cold Chain Logistics Market Trends:

Expansion of Pharmaceutical and Healthcare Sectors

The growth in the pharmaceutical and health care industries is one of the key factors influencing the cold chain logistics market in the UAE. With 23 manufacturing centres and 2,500 locally produced medicines, the UAE pharmaceutical market is projected to be worth $4.7 billion by 2025. The UAE’s new Centennial 2071 plan, which aims to position it as the best country in the world by 2071, will also power the country’s healthcare ambitions. Medical supplies, vaccines, biologics, and most pharmaceutical products require temperature-controlled shipment, which has contributed to the need for having better cold chain solutions. The UAE's substantial investment in the medical sector as a regional healthcare hub necessitates the constant importation of medical products that must be maintained at specific temperatures during shipping and storage. Additionally, local regulatory requirements and the commitment to adhering to these standards in food distribution further drive the demand for efficient and reliable cold chain systems. This growth is underpinned by the government’s effort to improve the healthcare infrastructure and the consistent spending by market players in modern cold chain infrastructure.

Growth of Food and Beverage Industry

Another reason for the steady growth of cold chain logistics is the growth of the food and beverage industry within the UAE region. In the first nine months of 2021, ten markets accounted for around 66% of total food and beverage exports from the UAE, with Saudi Arabia topping this category with a share of 17%, followed by Oman (9%), Kuwait (8%) and China (5%). According to FCSC, the top 10 commodity groups accounted for about 76% of F&B imports from the UAE in 2021 (first to third quarters). Fruits and nuts accounted for the largest share at 13%, followed by meat (11%), dairy products (10%), oilseeds (7%), cereals (7%) and other edible foods (6%). Several factors drive the need for cold chain solutions in the UAE, including the growing population that has enhanced the demand for fresh, frozen, and processed food products, while advancements have led to a preference of convenience foods. The necessity to improve cold storage and transportation systems is particularly high in the UAE, a major re-export nation. Besides, increasing concerns about hygienic food production practices require proper cold chains to prevent food spoiling and bacterial infections. This demand is further complemented by the expansion of international food chains and the increase in the number of retail outlets, all of which rely on efficient cold chain systems.

UAE Cold Chain Logistics Market News:

• In January 2024, GreenDome Holdings, through its subsidiary Elite Co., a prominent logistics investment vehicle owned by regional industry leaders, acquired LogX, the UAE's leading temperature-controlled logistics company. This multi-million-dollar deal marks another significant milestone for GDH as it strengthens its position in the market and expands its service offerings.
• In December 2023, AVG Logistics acquired over 50 cold chain vehicles to strengthen fleet operations, taking the company's total cold chain fleet strength to 275. This enhanced AVG's ability to service. Recently, a long-term contract was signed with India's largest MNC FMCG Company, both on the dry and frozen goods side.

UAE 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 country 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 Confectionary
• Dairy and Frozen Desserts
• Meat, Fish, and Sea Food
• 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 confectionary, dairy and frozen desserts, meat, fish, and sea food, drugs and pharmaceuticals, and others.

Regional Insights: 

• Dubai 
• Abu Dhabi 
• Sharjah 
• Others 
   

The report has also provided a comprehensive analysis of all the major regional markets, which include Dubai, Abu Dhabi, Sharjah, and Others.

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.

UAE Cold Chain Logistics Market Report Coverage:

Key Questions Answered in This Report:

• How has the UAE cold chain logistics market performed so far and how will it perform in the coming years?
• What has been the impact of COVID-19 on the UAE cold chain logistics market?
• What is the breakup of the UAE cold chain logistics market on the basis of type?
• What is the breakup of the UAE cold chain logistics market on the basis of application?
• What are the various stages in the value chain of the UAE cold chain logistics market? 
• What are the key driving factors and challenges in the UAE cold chain logistics?
• What is the structure of the UAE cold chain logistics market and who are the key players?
• What is the degree of competition in the UAE 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 UAE cold chain logistics market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the UAE 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 UAE 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.