Cold storage for efficient supply chain

Frozen berries

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Cold storage for efficient supply chain
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Food and Beverage
Food and Beverage Retail
Business Model Description

B2B model: Provide cold storage for agricultural perishables (containers and bulk cargo) to serve both export businesses and distributors in the domestic market. The service may also additionally cover refrigerated freight, preservation, quality control, goods sorting, and packaging. Examples of enterprises active in the space:

ITL Corporation operates over 300,000 m2 of standard warehousing space in the North and South of Vietnam. It has its own fleet of 300 container prime movers and three main transport hubs in the South, North, and Centre (34). In 2020, the company secured USD 70 million in loans from IFC for investment in cold chain infrastructure (33).

Expected Impact

The construction of cold storage systems contributes to ensuring product quality, reducing post-harvest losses, and indirectly benefits the farmers involved

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
20% - 25% (in GPM)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
> USD 1 billion
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
USD 1 million - USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Responsible Consumption and Production (SDG 12) Zero Hunger (SDG 2)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Decent Work and Economic Growth (SDG 8)
Sector Sources
  • 1) Economist Impact. (2021). Global Food Security Index. Retrieved from https://impact:.economist.com/sustainability/project/food-security-index/Index 2) Tran, V. D. (2020, Nov 11). Nông nghiệp Việt Nam: Những vấn đề tồn tại. Retrieved from https://tiasang.com.vn/-quan-ly-khoa-hoc/Nong-nghiep-Viet-Nam-Nhung-van-de-ton-tai-26635 3) Vietnam Meteorological and Hydrological Administration. (2022, May 6). Công bố 'sách trắng' về biến đổi khí hậu tác động đến nông nghiệp. Retrieved from http://vmha.gov.vn/kttv-voi-san-xuat-va-doi-song-106/cong-bo-sach-trang-ve-bien-doi-khi-hau-tac-dong-den-nong-nghiep-12094.html 4) Nguyen, A. T. (2020, Oct 19). Phát triển nông nghiệp, nông thôn bền vững ở nước ta. Retrieved from https://www.tapchicongsan.org.vn/web/guest/kinh-te/-/2018/819844/phat-trien-nong-nghiep%2C-nong-thon-ben-vung-o-nuoc-ta.aspx 5) Vietnam Government Administration Office. (2020, Feb 5). Conclusion of the Prime Minister on the National Online Conference on Foods Safety. Retrieved from https://datafiles.chinhphu.vn/cpp/files/vbpq/2020/02/41.signed.pdf 6) Dan, M. (2018, Mar 8). Chất lượng việc làm của lao động nữ nông thôn còn thấp. Retrieved from https://thoibaotaichinhvietnam.vn/chat-luong-viec-lam-cua-lao-dong-nu-nong-thon-con-thap-72150.html 7) UNDP. (2021). Vietnam National Report on SDGs Implementation 2020. Retrieved from https://www.undp.org/sites/g/files/zskgke326/files/migration/vn/Bao-cao-QG-SDG_VN.pdf 8) General Statistic Office. (2020). Niên giám thống kê Việt Nam. Hà nội. 9) Vu, L. (2021, Dec 29). Tổng kết ngành nông nghiệp 2021: Lần đầu xuất khẩu lập kỷ lục 48,6 tỉ USD. Retrieved from https://laodong.vn/kinh-te/tong-ket-nganh-nong-nghiep-2021-lan-dau-xuat-khau-lap-ky-luc-486-ti-usd-989424.ldo 10) Ngoc, Q. (2022, Apr 5). Tập trung phát triển công nghiệp chế biến nông sản. Retrieved from https://hanoimoi.com.vn/tin-tuc/Nong-nghiep/1028667/tap-trung-phat-trien-cong-nghiep-che-bien-nong-san 11) TLe, H. (2021, May 27). Xuất khẩu nông sản gặp khó vì thiếu kho lạnh bảo quản. Retrieved from http://baokiemtoannhanuoc.vn/kinh-doanh/xuat-khau-nong-san-gap-kho-vi-thieu-kho-lanh-bao-quan-147952 12) Tri, A. (2020, Jun 11). 70% số vụ ngộ độc thực phẩm là do sử dụng suất ăn từ nơi khác vận chuyển đến. Retrieved from https://www.hcmcpv.org.vn/tin-tuc/70-so-vu-ngo-doc-thuc-pham-la-do-su-dung-suat-an-tu-noi-khac-van-chuyen-den-1491866258 13) Khanh, Y. (2021, Dec 6). Bất động sản kho lạnh: Nhu cầu tăng nhưng nguồn cung ít. Retrieved from https://thuonghieucongluan.com.vn/bat-dong-san-kho-lanh-nhu-cau-tang-nhung-nguon-cung-it-a157631.html#:~:text=Savills%20Vi%E1%BB%87t%20Nam%20nh%E1%BA%ADn%20%C4%91%E1%BB%8Bnh,c%E1%BA%A5p%20kho%20l%E1%BA%A1nh%20v%E1%BA%ABn%20%C3%ADt. 14) MARD. (2009, Sep 23). NGHỊ QUYẾT Về cơ chế, chính sách giảm tổn thất sau thu hoạch đối với nông sản, thủy sản. Retrieved from https://vbpl.vn/bonongnghiep/Pages/vbpq-toanvan.aspx?ItemID=85611 15) Government of Vietnam. (2008, Apr 17). Nghị định 57 Khuyến khích doanh nghiệp đầu tư vào nông nghiệp nông thôn. Retrieved from https://datafiles.chinhphu.vn/cpp/files/vbpq/2018/04/57.signed.pdf 16) Government of Vietnam. (2012, Jan 4). Phê duyệt Chiến lược quốc gia An toàn thực phẩm giai đoạn 2011 - 2020 và tầm nhìn 2030. Retrieved from https://vfa.gov.vn/van-ban/phe-duyet-chien-luoc-quoc-gia-an-toan-thuc-pham-giai-doan-2011-2020-va-tam-nhin-2030.html 17) Bao, H. (2021, Dec 3). Thúc đẩy liên kết trong sản xuất rau quả. Retrieved from https://nhandan.vn/chuyen-lam-an/thuc-day-lien-ket-trong-san-xuat-rau-qua-676654/ 18) Minh, H. (2021, Nov 26). Cold storage is more attractive during the pandemic. Retrieved from https://vietnamnews.vn/economy/1086016/cold-storage-is-more-attractive-during-the-pandemic.html 19) BritCham. (2021, Sep). Vietnam AgriTech Report. Retrieved from https://britchamvn.com/wp-content/uploads/2021/09/Agri-Tech-Sector-Report.pdf
IOA Sources
  • 20) Khuong, L. (2020, Nov 19). Đầu tư nghìn tỷ xây nhà máy chế biến rau quả, doanh nghiệp “sợ" nhất điều gì? Retrieved from https://danviet.vn/dau-tu-nghin-ty-xay-nha-may-che-bien-rau-qua-doanh-nghiep-so-nhat-dieu-gi-20201118181313753.htm 21) Minh, H. (2021, Nov 26). Cold storage is more attractive during the pandemic. Retrieved from https://vietnamnews.vn/economy/1086016/cold-storage-is-more-attractive-during-the-pandemic.html 22) Duy, A. (2022, Apr 11). More investment poured into cold storage facilities. Retrieved from https://vietnamnet.vn/en/more-investment-poured-into-cold-storage-facilities-757451.html 23) Trang, L. (2019, Jun 17). Vietnam cold chain logistics is set on the rise thanks to robust expansion of modern trade retail and food service chains. Retrieved from https://fiingroup.vn/NewsInsights/Detail/2791237?cat=OurNews 24) VietStock. (n.d.). Transimex Corporation. Retrieved from https://finance.vietstock.vn/TMS/tai-chinh.htm?tab=BCTT 25) Le, H. (2021, May 27). Xuất khẩu nông sản gặp khó vì thiếu kho lạnh bảo quản. Retrieved from http://baokiemtoannhanuoc.vn/kinh-doanh/xuat-khau-nong-san-gap-kho-vi-thieu-kho-lanh-bao-quan-147952 26) AgriBank. (2020, Jan 23). Agribank đầu tư phát triển nông nghiệp sạch, nông nghiệp công nghệ cao. Retrieved from https://www.agribank.com.vn/vn/ve-agribank/tin-tuc-su-kien/dong-hanh-cung-tam-nong/agribank-dau-tu-phat-trien-nong-nghiep-sach-nong-nghiep-cong-nghe-cao 27) USA Department of Commerce. (2021, Sep 27). VIETNAMESE COLD CHAIN FOOD MARKET. Retrieved from https://www.trade.gov/market-intelligence/vietnamese-cold-chain-food-market 28) Government of Vietnam. (2008, Apr 17). Nghị định 57 Khuyến khích doanh nghiệp đầu tư vào nông nghiệp nông thôn. Retrieved from https://datafiles.chinhphu.vn/cpp/files/vbpq/2018/04/57.signed.pdf 29) Government of Vietnam. (2009, Sep 23). Về cơ chế, chính sách giảm tổn thất sau thu hoạch đối với nông sản, thủy sản. Retrieved from https://vbpl.vn/bonongnghiep/Pages/vbpq-toanvan.aspx?ItemID=85611 30) Government of Vietnam. (2022, Jan 28). Phê duyệt chiến lược phát triển nông nghiệp và nông thôn bền vững 2021 - 2030 tầm nhìn 2050. Retrieved from https://vukehoach.mard.gov.vn/DataStore/2022331943_150-qd-ttg.%20Chien%20luoc%20phat%20trien%20nong%20nghiep.pdf 31) Government of Vietnam. (2012, Dec 2). Về chính sách hỗ trợ nhằm giảm tổn thất sau thu hoạch đối với nông sản, thủy sản. Retrieved from https://vanban.chinhphu.vn/default.aspx?pageid=27160&docid=152898 32) Government of Vietnam. (2008, Dec 11). Quy định chi tiết và hướng dẫn thi hành một số điều của Luật Thuế thu nhập doanh nghiệp. Retrieved from https://chinhphu.vn/default.aspx?pageid=27160&docid=81476 33) Ian, M. (2022, Mar 4). Gia tăng đầu tư bất động sản kho lạnh. Retrieved from https://vneconomy.vn/gia-tang-dau-tu-bat-dong-san-kho-lanh.htm 34) ITL Corporation. (n.d.). Retrieved from https://itlvn.com/about-us.html 35) Khanh, Y. (2021, Dec 6). Bất động sản kho lạnh: Nhu cầu tăng nhưng nguồn cung ít. Retrieved from https://thuonghieucongluan.com.vn/bat-dong-san-kho-lanh-nhu-cau-tang-nhung-nguon-cung-it-a157631.html