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Temperature-controlled logistics are generally keeping up with the high occupancy needs in most parts of Europe, and building projects continue to move forward. The market is however disrupted by some circumstances such as the impact of swine flu now effecting Germany and still causing issues in China that has reshaped the pork supply chain in Europe. The pork supply issues in China is benefiting countries that are considered safe for pork meat export to China, like Denmark, for example. Drought during the summer has caused less performing harvest in some fresh produce segments. Also, the food service overall has not recovered to its normal level yet hence affecting logistics, while producers are looking at ways to repurpose their product offer.
The number of red zones in Europe has been increasing and some border restrictions have been implemented again, however commercial transportation is allowed. Uncertainty around Brexit and the possible implementation of new customs (up to 40% on certain products) is leading some customers to build up stock on continental ground, as they may rethink their selling channels should export to UK not be favorable. Meanwhile, cold chain is facing some changes in other regions, like India, where consumer behavior is shifting towards frozen products as a consequence of the COVID pandemic hitting the country. Finally the interest in temperature-controlled logistics is raising and the market is starting seeing new entrants.
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