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16


Issue 5 2021 - FBJNA


///PERISHABLES


Piping runs through the ammonia refrigeration equipment room at the ColdPoint Logistics facility in Edgerton, Kansas (KC SmartPort photo.)


By John Jeter


While storing and transporting millions of super-chilled vaccines has grabbed most of the headlines, the global cold chain that last year moved more than 135 million


tonnes of meats, seafood and veggies went a bit bananas. As in, the fruit. “The trade was flat in 2020,”


Drewry’s Philip Gray told a global audience of some 500


refrigeration-logistics We


Make Cargo Move.


No Congestion. High Velocity.


stakeholders during a May 11 webinar, where the UK-based maritime consultancy presented its “Reefer Forecaster” report. Still, Gray, who is Drewry’s


Reefer Shipping Analyst, expects the sector’s compounded annual growth to expand 1 percentage point until 2025. “Actually, by then,” he added,


“it is expected that more than 90% of volume will be carried by container lines or dedicated container reefer service.”


Trade will ripen


As one of his PowerPoint slides showed, “Trade proved more resilient to COVID-19-induced recession. But recovery in 2021 will be limited to 2.7% growth due to banana disease.” What


happened? TR4, a


fungal disease, peeled 19% off production in the Philippines, the world’s second-largest exporter of America’s No. 1 fruit, according to “Business Mirror” in February and the U.S. Department of Agriculture last December. But trade will ripen, with the


www.portofh.org


refrigeration sector expanding faster than overall perishables, at a 4.8% pace year over year until 2025—“pretty much in line with expectations of the general cargo market,” he says. Don’t tell that to the folks in


Wilmington, NC. Refrigerated container


volume at North


Carolina Ports is up 13% over fiscal year 2019 and a mouthwatering 267% for the five years proceeding FY 2020, according to Hans Bean, Chief Commercial Officer there. “Domestic fresh product


consumption has really taken off and is predicted to continue,” he says. “Consumers are pursuing healthier diets with more fresh food items.” Rising


disposable income


across the Sun Belt is going toward higher-quality comestibles, he says. And he points to a February 2020 article in “The Packer,” which cites a USDA report forecasting a 53% increase in fresh-produce consumption by 2029. Better food shipped faster


apparently feeds on itself, he says, with “Increased fresh quality standards and seasonal cross- hemisphere partnerships—so availability is also improving.”


Schlueter, who is Hapag-Lloyd’s Senior Director of Niche Products, says she sees a continuing rise in eat-this/don’t-eat-that consumption. “Demand for temperature-


sensitive goods, with the increase in consumption during the pandemic, has soared, especially protein destined for China,” she says. As US Meat Export Federation


reports, beef exports in March increased 8% from March 2020, with the value exceeding the $800 million mark for the first time—up to nearly $802 million. Pork exports during the same period posted records, too, up 4% over 2020 at roughly $794 million, the report says. “At present,” Schlueter says, “we


believe this trend will continue, as domestic production is unlikely to meet demand in the near future.”


A NewCold warehouse keeps things chill in the cold chain. (NewCold Advanced Storage Logistics photo)


At Cool Port Oakland, Maritime


Director Bryan Brandes says that while reefer exports dropped 8.5% in 2021’s first quarter compared with the same period the year before, proteins are up more than 3.5%.


Sarah Schlueter mentions proteins, too. Not only that, but


Gray, meanwhile, presents a


slide that, interestingly, shows meat and vegetables virtually neck and neck: Total reefer trade in proteins came close to 50 million tonnes last year, while the seaborne portion of that hovered around


30 million; veggies 17 >>


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