The cold storage sector has emerged as a rapidly growing segment of the industrial real estate market, attracting significant investment from both domestic and foreign investors. This has led to an expansion of capacity by 48%.

The data service and credit rating company predicts that by 2028, the nationwide cold storage capacity will exceed 1.7 million pallets, with 13 new projects planned between 2024 and 2028. In the logistics industry, the standard pallet size is typically 1000x1000 mm or 1000x1200 mm. According to ISO standards, standard pallet sizes for the food and beverage industry are 1016 x 1219 mm and 1016 x 1016 mm, respectively.

As of 2023, the top 5 cold storage providers in the market include Lineage 2Logistics, Transimex, Hùng Vương, AJ Total, and Hanaro TNS, collectively accounting for 46.5% of the market share.

The cold storage segment, which reached a scale of $211.2 million in 2023, is driven by demand for seafood exports, meat imports, domestic distribution, fruits/vegetables, dairy, and pharmaceuticals.

However, the past year saw a downturn in the cold chain sector in Vietnam due to reduced demand from key customer segments. Particularly noteworthy is the decline in seafood exports and the reduction in meat consumption from the food service sector.

Vietnam's seafood exports in 2023 decreased by 18.4% to around $9.2 billion. Alongside this, Vietnam's meat imports recorded a slight decrease of 3.9% to $1.43 billion, primarily due to reduced meat consumption from the foodservice industry.

Nevertheless, the cold storage real estate and cold chain sector as a whole still hold long-term potential. There are signs of recovery in seafood exports from the end of last year. Meanwhile, Vietnam imported 716,000 tons of meat and meat products, valued at $1.43 billion last year, according to the Import and Export Department (Ministry of Industry and Trade). OECD-FAO forecasts that by 2030, Vietnam's beef consumption per capita will be the highest in Southeast Asia.

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