Indonesia Smart Cold Storage for Fisheries Market

Indonesia Smart Cold Storage for Fisheries Market is valued at USD 1.1 billion, driven by seafood demand, tech advancements, and e-commerce growth in key cities like Jakarta and Surabaya.

The Indonesia Smart Cold Storage for Fisheries Market is valued at USD 1.1 billion, based on a five-year historical analysis. This valuation aligns with the broader cold chain market, which reached around USD 3 billion for all segments, with fisheries representing a significant share due to Indonesia’s abundant fish reserves and high seafood consumption. Growth is primarily driven by rising demand for seafood, technological advancements in cold storage (such as automation and real-time monitoring), and the need for efficient supply chain management in the fisheries sector. The expansion of e-commerce platforms and online food delivery services has further accelerated the adoption of smart cold storage solutions, as temperature-controlled logistics ensure product quality and safety.

Key cities including Jakarta, Surabaya, and Makassar continue to dominate the market due to their strategic locations, robust infrastructure, and proximity to major fishing zones. These urban centers act as critical hubs for seafood processing and distribution, supporting efficient logistics and access to a large consumer base. The concentration of fish processing companies and modern cold storage facilities in these areas further strengthens their market leadership.

In 2023, the Indonesian government introduced regulations to enhance sustainability and efficiency in the fisheries sector. Notably, the “Minister of Marine Affairs and Fisheries Regulation No. 17/2023” issued by the Ministry of Marine Affairs and Fisheries sets operational standards for cold storage facilities, requiring the adoption of energy-efficient technologies, regular temperature monitoring, and waste minimization practices. These standards are designed to ensure seafood quality, support sector growth, and promote environmental sustainability by mandating compliance for all commercial cold storage operators in fisheries.

Indonesia Smart Cold Storage for Fisheries Market Segmentation

By Temperature Range:

The temperature range for cold storage solutions is critical in determining the preservation quality of seafood products. The subsegments include Frozen (-18°C to -25°C), Chilled (0°C to 15°C), and Deep-frozen (Below -25°C). Among these, the Frozen segment is currently leading the market, accounting for the largest share due to its widespread application in seafood preservation, long shelf life, and ability to maintain product quality. The increasing demand for frozen seafood products, driven by both domestic consumption and export opportunities, further reinforces its market leadership.

By Storage Type:

The storage type segment covers Refrigerated Containers, Walk-in Cold Rooms, Blast Freezers, Insulated Storage Units, Smart Temperature-Controlled Units, Modular Cold Storage Solutions, and Others.

Refrigerated Containers remain the most prominent subsegment, valued for their flexibility and efficiency in seafood transport. The rapid growth of e-commerce and food delivery has increased demand for mobile cold storage solutions, boosting the market position of refrigerated containers. Walk-in cold rooms and blast freezers are also widely adopted for large-scale processing and storage, supporting the sector’s operational needs.

Indonesia Smart Cold Storage for Fisheries Market Competitive Landscape

The Indonesia Smart Cold Storage for Fisheries Market is characterized by a dynamic mix of regional and international players. Leading participants such as PT. Kiat Ananda Cold Storage, PT. Mega Internasional Sejahtera, PT. Wahana Cold Storage, PT. Bonicom Servistama Compindo, PT. Bumi Menara Internusa, PT. Sumber Daya Manunggal, PT. Sari Segar Husada, PT. Indoguna Utama, Fresh Factory, TITAN Containers (Indonesia), PT. Enseval Putra Megatrading Tbk, PT. DS Solutions Internationals, PT. Sinar Mas Agro Resources and Technology Tbk (SMART Tbk), PT. Pelabuhan Indonesia (Pelindo), PT. Pangan Lestari contribute to innovation, geographic expansion, and service delivery in this space.

Indonesia Smart Cold Storage for Fisheries Market Industry Analysis

Growth Drivers

Increasing Demand for Seafood Preservation:

The seafood consumption in Indonesia reached approximately 3.6 million tons in future, with a projected increase to 4.1 million tons in future. This rising demand necessitates advanced preservation methods, driving the need for smart cold storage solutions. The World Bank estimates that effective cold storage can reduce post-harvest losses by up to 30%, translating to significant economic benefits for the fisheries sector, which contributes around 2.5% to the national GDP.

Government Initiatives for Sustainable Fisheries:

The Indonesian government has allocated IDR 1.3 trillion (approximately USD 85 million) for sustainable fisheries initiatives in future. These initiatives include promoting smart cold storage technologies to enhance fish quality and reduce waste. By implementing these technologies, the government aims to support the fisheries sector's growth, which employs over 2.1 million people and is vital for food security and economic stability in coastal communities.

Technological Advancements in Cold Storage:

The cold storage technology market in Indonesia is expected to grow significantly, with investments projected to reach IDR 600 billion (around USD 40 million) in future. Innovations such as IoT-enabled monitoring systems and energy-efficient refrigeration are becoming increasingly prevalent. These advancements not only improve operational efficiency but also align with global trends towards smart agriculture, enhancing the competitiveness of Indonesian seafood in international markets.

Market Challenges

High Initial Investment Costs:

The initial setup cost for smart cold storage facilities can range from IDR 1.2 billion to IDR 5.5 billion (USD 80,000 to USD 367,000), which poses a significant barrier for small-scale fishers and local businesses. This financial hurdle limits the adoption of advanced technologies, as many operators struggle to secure funding or loans, particularly in rural areas where access to financial services is limited.

Limited Infrastructure in Rural Areas:

Approximately 62% of Indonesia's fisheries are located in rural regions, where infrastructure for cold storage is often inadequate. The lack of reliable electricity and transportation networks hampers the implementation of smart cold storage solutions. According to the Ministry of Maritime Affairs and Fisheries, only 32% of rural fishers have access to proper cold storage facilities, leading to high post-harvest losses and reduced product quality.

Indonesia Smart Cold Storage for Fisheries Market Future Outlook

The future of the smart cold storage market in Indonesia appears promising, driven by increasing seafood demand and government support for sustainable practices. As technological advancements continue to evolve, the integration of IoT and energy-efficient systems will likely enhance operational efficiencies. Furthermore, the growing emphasis on food safety and quality assurance will push stakeholders to adopt modern cold storage solutions, ensuring that Indonesia remains competitive in the global seafood market while addressing environmental concerns.

Market Opportunities

Expansion of Aquaculture:

The aquaculture sector in Indonesia is projected to grow by 11% annually, creating a substantial demand for efficient cold storage solutions. This growth presents an opportunity for smart cold storage providers to collaborate with aquaculture farms, ensuring that harvested products maintain optimal quality and freshness, thereby enhancing marketability.

Partnerships with Local Fishermen:

Establishing partnerships with local fishermen can facilitate the adoption of smart cold storage technologies. By providing training and financial incentives, companies can help fishermen improve their storage practices, leading to reduced waste and increased profitability. This collaboration can also enhance community engagement and support sustainable fishing practices.