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Changing consumer tastes and retail models are driving demand for cold storage solutions, according to US cold-chain company Americold.

Changing consumer tastes, product SKU proliferation and the fast rise of online grocery are collectively driving demand for temperature-controlled logistics solutions.

Over the past five years, the warehousing and cold storage industry consistently achieved two per cent compound annual growth rate (CAGR), according to IBISWorld Australia, and US temperature-controlled warehousing and logistics company Americold says the demand isn’t likely to slow down any time soon.

Moreover, Americold says it expects to see increased pressure upstream on existing storage space and specialised, temperature-controlled industrial assets.

In Australia, increasing land, construction, and energy costs, plus ongoing facility maintenance costs associated with temperature-controlled facility builds and operation are contributing to slow development of new facilities, with very little capacity coming onto the market to offset decommissioned older facilities, the company says.

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