The Indian chilly provide chain trade is quickly growing, particularly publish COVID, and has big development potential.

In 2021, the Indian chilly chain logistics market was valued at $16 million; it’s anticipated to achieve $36 million by 2027. It can also be estimated that by 2027, India shall be world’s fifth largest financial system and a key participant within the international market, making its logistics infrastructure, together with chilly chain, important.

However, the chilly provide chain sector in India is very fragmented at current and marred with extreme challenges, together with inefficient temperature management/monitoring and insufficient tech integration.

India is presently the world’s largest producer and shopper of dairy merchandise and ranks #2 within the manufacturing of vegatables and fruits. In line with this, we produce greater than 400 million metric tonnes of perishable meals. But as much as 40% of that is wasted resulting from an ineffective chilly provide chain. According to the Associated Chamber of Commerce, our post-harvest losses quantity to a whopping $14 billion! This has a direct affect on our financial system and farmers even because the starvation drawback prevails throughout the nation.  

Apart from perishable meals, the pharma trade is one other essential sector the place clean functioning relies on an environment friendly chilly provide chain community. From storage and transport to final mile, vaccines, life-saving medication, and uncooked supplies want a sturdy and well-managed chilly provide chain community.

Technology can come to the rescue by providing promising options for all these challenges. Here are a number of tech developments which might be set to drive the sector in 2023:

1.   IoT

IoT can probably remodel chilly chains ceaselessly. By integrating IoT options into chilly provide chains, logistics corporations can constantly keep on prime of each step within the storage and transportation processes, catalysing important cost-optimizing advantages. Fleet managers may analyse and even toggle temperature settings on the go, accommodate for native local weather modifications, and unexpected delays.

IoT options minimise human error and allow managers to take motion on potential points earlier than they flip into main catastrophes. Integrating these with a centralised platform can additional improve effectivity, assist lower losses, and convey transparency and management to the availability chain.

2.   AI, ML, and Big Data

Artificial Intelligence and Machine Learning are serving to present end-to-end visibility into each chilly chain operate by processing large volumes of reside knowledge. Data and predictive evaluation may also help handle challenges in stock administration, inventory management, high quality testing, and pricing whereas additionally minimising human error. For instance, AI and ML-based good sensors can hold observe of car upkeep information to foretell potential malfunctions on the proof of historic knowledge. This helps foresee temperature fluctuations and stop incidents of truck breakdown.

Other advantages of AI and data-driven predictive evaluation embrace route optimisation, stock administration, and prevention of occurrences of harmful incidents within the warehouse, which may beforehand solely be tracked and analysed after they’d occurred.

3.   Tech integration

Effective integration of AI, ML, IoT, and data-driven insights on a single platform may assist construct a seamless chilly provide chain community that enables full transparency and real-time monitoring. Integration additionally presents 360° visibility into chilly chain fleets, together with KPIs comparable to capability utilisation, driving pace, and idling instances. This data transparency ensures optimum allocation of consignments, maximises capability utilisation, and enhances cargo safety.

Data-driven predictive evaluation makes use of highly effective algorithms which assist cut back time and useful resource utilisation on performing repetitive however essential processes. Use instances for AI and ML are quite a few and the development will solely decide up tempo in 2023.

4.   Blockchain

Blockchain presents a clear and safe platform to handle and observe stock because it strikes by means of the availability chain, and is quick changing into a most well-liked tech possibility for chilly provide chain corporations. Smart, digitally programmed contracts routinely enact or doc related occasions when particular phrases are met, providing a manner for provide chain stakeholders to collaborate and share data (and cash) extra effectively.

Given the importance of constant temperature management and monitoring in chilly provide chain networks, blockchain can show to be a gamechanger. From constructing credibility and high quality assurance to successfully figuring out errors or inefficiencies in actual time, blockchain helps chilly provide chain corporations to boost effectivity, enhance buyer expertise, and drive higher ROI.

Historically, the chilly chain logistics trade has been technologically underserved. Tech adoption and automation would undoubtedly should be on the forefront if we’re to deal with the ache factors.

The key tech developments talked about above can speed up the expansion of the sector, however the want for big investments in growing tech-enabled amenities continues to stay a problem. The authorities’s plan to permit 100% FDI in logistics is a welcome step to safe such investments.

Going ahead, tech integration coupled with beneficial authorities insurance policies would pave the way in which for a sturdy, optimised, and unbroken chilly provide chain. In different phrases, for us to outlive and develop as an financial system, it is important to embrace tech-enabled options to construct an unbroken chilly provide chain community.

Swarup Bose is the Co-Founder and CEO of Celcius Logistics.

(Disclaimer: The views and opinions expressed on this article are these of the creator and don’t essentially mirror the views of YourStory.)