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Construction Business Review | Wednesday, November 23, 2022
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Cold storage can reduce construction costs to meet the rising demand for frozen foods.
FREMONT, CA: The cold storage supply chain landscape is evolving. The pandemic increased consumption rates, boosting e-commerce. The pandemic set off trends in environmentally sustainable and healthy foods. The demand for cold storage is increasing. Consumers are approaching onsite facilities such as supermarkets less and are directly shipping frozen food from cold storage. Constructing more cold storage can meet demands, but industrialists face high infrastructural costs in setting up the infrastructure.
Businesses should consider factors of constructing cold storage that will make operations cost-effective.
Locations and infrastructure: Industrialists are setting up units near manufacturing units to reduce transportation costs. Constructing close to interstates, site grades, and specific areas can accommodate other requirements like the ease of transportation and business-friendly government regulations. Constructors can convert and develop pre-existing buildings to reduce construction costs and generate better profit margins. Businesses are choosing a smaller but broader cold storage distribution in local areas. Micro-fulfillment centers are automated units that redevelop retail spaces to ensure product delivery quickly.