3PL Cold Storage Industry-Capacity

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3PL Cold Storage Facilities: Distribution

The United States had 131 million cubic meters [2,776,414.2948 sq.ft using the cubic meters to square feet calculator] 3PL cold storage facilities as of 2017 based on 950 facilities that could store products for up to 4 weeks. By distribution, facilities that could hold over 5,000,000 cubic meters [314738.6499 sq.ft using the cubic meters to square feet calculator] and over were the largest with 254 facilities across the US in 2017.

Please, note that as per our investigation of publicly available information, no reports revealed the 3PL warehouse capacities in the United States in square feet or pallets; instead, data available in the public domain was presented in cubic meters. Therefore, we used the cubic meters to square feet calculator to estimate the required data presented in cubic meters in square feet.

Research Findings

OVERVIEW OF THE 3PL COLD STORAGE FACILITIES IN THE US

As per a report by Datex Corp, the US 3PL cold storage industry is growing due to increasing development and use of temperature sensitive biologic materials of the pharmaceutical industry, as well as the growing preferences by online shoppers for fresh foods and convenience. According to the report, the 55 million smart devices expected in consumer homes by 2020 would boost orders from online orders via the internet through the power of the Internet of Things (IoT) technology across Alexa, Amazon, and others. Since these shoppers' preference for fresh food, convenience, and faster delivery, it would significantly contribute to raising the demand for 3PL cold storage facilities in the US, according to Datex Corp's report.

Regarding how the pharmaceutical industry in the US would affect 3PL cold storage, Datex Corp's report observed that the global pharma industry, which has a current value of $1.2 trillion, would grow with a CAGR of 41% between 2015 and 2021. Also, out of the 57 new drugs approved by the United States' FDA in 2017, 28 of them are temperature-sensitive products that require refrigeration during storage, as well as transportation. Based on this information, Datex Corp's report noted the demand for 3PL cold storage facilities by the pharmaceutical industry would contribute to boosting the 3PL cold storage industry.

THE CAPACITY OF 3PL COLD STORAGE IN THE US AS OF 2018

In its 2018 study, the "International Association of Refrigerated Warehouses" reported that worldwide, the overall capacity of refrigerated warehouses was 616 million cubic meters [7,792,746.5122 sq.ft using the cubic meters to square feet calculator]. Based on this study, India had the largest global market, at 150 million cubic meters, while the US at 131 million cubic meters [2,776,414.2948 sq.ft using the cubic meters to square feet calculator] came second worldwide.

DISTRIBUTION OF 3PL COLD STORAGE IN THE US AS OF 2018

According to a 2018 report by Datex Corp, there were over 600 cold storage warehouse operators in the United States. Out of these operators, Datex Corp's report observed that the top ten companies owned 80% share of the market, and expect them to continue to dominate the market as they continually acquire and merge with smaller cold storage operators across the US.

However, as per the "International Association of Refrigerated Warehouses" study in 2018, the average cold storage capacity in the US as of 2018 was 131,000 cubic meters [25158.7487 sq.ft using the cubic meters to square feet calculator], while the cold storage capacity per US urban resident was 0.49 cubic meter [6.69 sq.ft using the cubic meters to square feet calculator].

DISTRIBUTION OF SIZES OF THE 3PL COLD STORAGE FACILITIES IN THE US AS OF 2018

Based on the "2018 GCCA Global Cold Storage Capacity Report," the United States had about 950 cold storage facilities that stored products for up to four weeks. By distribution, the 3PL cold storage facilities specific to sizes in the United States, as of 2017, were as follows:
  • 0-499,999 cubic meters [67,808.2962 sq.ft] = 161 of them with a 16.9% share of the total 3PL cold storage capacity.
  • 500,000-999,999 cubic meters [67808.3866-107639.0324 sq.ft] = 103 of them with a 10.8% share of the total 3PL cold storage capacity.
  • 1,000,000-2,499,999 cubic meters 199 [107639.1042-198272.8722 sq.ft] = 199 of them with a 20.9% share of the total 3PL cold storage capacity.
  • 2,500,000-4,999,999 cubic meters [198272.9251-314738.6079 sq.ft] = 233 of them with a 24.5% share of the total 3PL cold storage capacity.
  • 5,000,000 cubic meters and over [314738.6499 sq.ft and over] = 254 of them with a 26.7% share of the total 3PL cold storage capacity.

Sources
Sources

Quotes
  • "The total capacity of refrigerated warehouses worldwide was 616 million cubic meters in 2018, 2.67% greater than the capacity reported in 2016. India was the single largest country market, at 150 million cubic meters, followed by the United States at 131 million cubic meters, and China at 105 million cubic meters. "
  • "Refrigerated facilities in the United States averaged approximately 113,000 cubic meters each."
Quotes
  • "With more than 600 refrigerated warehouse operators across the United States, the cold storage warehouse industry is dominated by the top 10 companies which own 80% of the market. This trend is poised to continue as the largest enterprises merge or acquire smaller cold storage warehouse operations."