China’s refrigerated warehouse sector is expected to grow by an average of 24 per cent in each of the next five years, according to a Jones Lang LaSalle report. A change in eating habits and greater awareness of food safety standards are boosting domestic demand for cold storage logistics, said the real estate services provider.

According to one estimate, only 15 per cent of products in China that should be temperature-controlled are currently handled properly. This is because of inadequate regulations that involve supervision by multiple authorities and an underdeveloped infrastructure. Too few quality refrigerated vehicles, railcars and containers and a small amount of refrigerated warehouse space have hindered development of the industry, according to Shanghai Daily.

However, investment is starting to appear in the industry. For example, Preferred Freezer Services, a US-based cold storage specialist, began construction in July on a refrigerated warehouse in Shanghai’s Lingang Logistics Park.