Cargo storage space is becoming increasingly important as Vietnamese goods join global value chains.
Before the Lunar New Year, many fruits and agricultural products exported to China were stuck at the border gates, with thousands of containers, and traders neglected to purchase them.
While many industries are suffering during the Covid-19 pandemic, cold storage supply chains are heating up the logistics industry.
There has been a sharp rise in demand for cold storage in the Asia-Pacific region which has pushed foreign investment into Vietnam, strengthening the value of the local supply chain.
Amid challenging times for exports of Vietnamese produce and an increase in e-commerce, the flaws of the inconsistent cold storage supply become more obvious.
A strong demand for fruits and vegetables is driving food hygiene and safety requirements in Vietnam, which in turn are spurring investments in new cold storage facilities, said Cushman & Wakefield, in a recent report.
The COVID-19 pandemic has worsened the shortage of cold storage space in HCM City and surrounding areas as goods pile up as a result of lack of demand.