AVG Logistics bolstering its cold chain to tap the potential of India’s sunrise sector

In the most recent years, the consumptions patterns of consumers have changed drastically, leading to the growth of organized 3PLs, QSR, retail, e-commerce, and foodservice industries-putting the cold chain segment into prime focus. In 2020, the Indian cold chain market reached a value of INR 1425.49 billion. And, as per JLL estimates, the cold chain segment in India is poised to grow at over 20% CAGR by 2025.

Tapping into this growing market, AVG Logistics Limited, a multimodal logistics solutions provider in India, which caters to its customer’s transportation requirements via Road, Rail, Coastal & Air, now looks to scale up its cold chain capabilities.

Existing Cold Chain Capabilities

AVG Logistics, with a pan-India presence, delivers its reefer services to 26 cities across India and caters to some of the leading FMCG brands since 2010. AVG handles transportation and storage of both cold and ambient temperature-sensitive products ranging from -25 to +26 degrees range.

Capable of handling shipments with critical temperature needs, the logistics solution provider houses 515 trucks which include both ambient container trucks as well as temperature-sensitive trucks.

Within the reefer segment, AVG Logistics own 225+ vehicles for both the first and last mile.

Cautious about temperature sensitivity and maintaining the product quality as well as shelf life, AVG equips its entire fleet with state-of-the-art reefer systems. To ensure real-time monitoring and visibility in the supply chain AVG uses technologies like telematics and data analytics.

Its control tower helps monitor product temperature during transit in real-time and in turn deliver customer satisfaction. Speaking of cold storage, AVG works on a dry warehouse storage model currently serving 2500+ pallets.

Scaling Up

Focused on expanding its cold chain capabilities, AVG Last year hired domain expert Mr Bijay N Mishra as Business Head to handle cold chain division to ensure the addition of new businesses from all cold chain segments in the transportation and storage area to meet/ exceed the company’s revenue target as well as profitability.

In the recent past, the company has ventured into new segments in the Cold Chain domain namely: Fruits & Vegetable, Dairy & QSR (Quick Service Restaurant).

An emerging cold chain logistics company in reefer truck transportation and cold warehousing space, AVG has plans to scale up its current pallet capacity to 5000+, and come up with its cold storage facility spread across 15,000 sq. ft. by the next Financial Year (FY).

Now soon, the company is setting its foot into pharma, agri produces, processed food, Ice cream, and other segments to handle temperature-sensitive products transportation & storage Pan India.

AVG aims to add more reefer trucks to its cold chain fleet and come up with several cold storage facilities across the nation at strategic locations for the long storage of agri-produce as well as other temperature-sensitive products.

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