7 Key Roles of Cold Storage Companies in Indonesia & Their Challenges

1 week ago

The existence of cold storage companies is not only beneficial for individuals but also at the national level. It’s no surprise that the government pays great attention to the development of cold storage facilities in Indonesia, especially to support the distribution of vital products.

This article will explain the various roles of cold storage companies in Indonesia that you may not be aware of. You will also gain insight into the challenges faced by businesses in this industry. So, make sure to read until the end.

The Roles of Cold Storage Companies in Indonesia

The presence of cold storage companies in Indonesia plays several important roles, including the following:

1. Preserving Product Quality and Freshness

Cold storage facilities are equipped with temperature control systems. Generally, cold storage temperatures are kept low and stable, ranging from +2℃–5℃ for chillers and -18℃–25℃ for frozen temperature.

This temperature control helps maintain product quality in terms of texture, taste, aroma, freshness, and safety. This is especially crucial in Indonesia’s tropical climate, which can easily cause products to spoil if not stored properly.

2. Extending Product Shelf Life

Long-term storage often poses challenges, but cold storage facilities with advanced refrigeration systems help maintain products even for extended periods. As a result, products do not expire too quickly and can be distributed at the right time.

3. Reducing the Risk of Loss

Fresh products such as meat, seafood, vegetables, and fruits can easily spoil if not sold immediately, often forcing producers to discard them—leading to significant losses.

Cold storage facilities minimize this risk by keeping products at the proper temperature, allowing them to remain safe even if not sold right away. Producers can hold their stock and wait for peak demand before releasing products to the market.

4. Supporting the National Food Supply Chain

In Indonesia, the food supply chain is long, involving farmers, fishermen, livestock breeders, collectors, distributors, retailers, and finally, consumers. Cold storage helps preserve freshness throughout this extended chain.

As a key part of cold chain logistics, cold storage ensures products remain fresh even after harvest or catch in large quantities, making national food stocks more secure despite fluctuating demand.

For instance, seafood caught in Sulawesi can be stored in cold storage facilities before being shipped to other islands. This process reduces food loss and food waste, ultimately strengthening national food security. No wonder the government continues to encourage cold storage development across the country, particularly in industrial and fisheries zones.

5. Boosting Fresh Product Exports

International markets set strict standards for fresh products, such as ISO (International Organization for Standardization), HACCP (Hazard Analysis and Critical Control Point), and FDA (Food and Drug Administration).

Products like tropical fruits, vegetables, and fish are only accepted if they remain fresh, safe, and meet these standards. Cold storage plays a critical role in ensuring these requirements are met, helping Indonesian products compete globally and contribute to national export revenues.

6. Supporting the Pharmaceutical Supply Chain

Cold storage is not limited to food products—it also supports other industries, including pharmaceuticals and healthcare. In fact, products in this sector are highly temperature-sensitive and directly impact human health and safety.

A clear example was during the COVID-19 pandemic, when the government relied on a nationwide cold storage network to distribute vaccines across Indonesia. Because vaccines are extremely temperature-sensitive, proper cold storage was vital to preserve their active ingredients and effectiveness.

7. Strengthening Local Industries

In addition to supporting exports, cold storage companies also contribute to local economic growth by creating direct and indirect job opportunities.

Cold storage also benefits local businesses that lack their own refrigeration facilities. Instead of making costly investments, they can rent cold storage space based on their needs, making it an accessible solution for small and medium enterprises.

Recommended Cold Storage Company in Indonesia

From the points above, it is clear that cold storage companies play a crucial role in Indonesia, with wide applications ranging from the food industry to healthcare.

If your business involves temperature-sensitive products, it is essential to choose a reliable cold storage service provider—such as MGM Bosco Logistics, one of the largest cold storage companies in Indonesia.

MGM Bosco Logistics leverages the latest technology in refrigeration and warehouse management operations. With over 20 years of experience, MGM Bosco is among the leading providers of integrated cold chain logistics services in Indonesia.

Its services include warehousing, distribution, third-party logistics (3PL) solutions, and management systems. MGM Bosco also offers value-added services such as sorting, repacking, blasting, plugging, and knitting.

All MGM Bosco trucks are equipped with thermo-loggers, GPS tracking, and 24/7 monitoring systems for reliable operations.

In addition, MGM Bosco applies eco-friendly technologies, such as Newton compressors (CO₂ refrigerants) and solar panels. Three warehouses are already powered by solar energy, generating 1.2 million kWh of clean energy annually and reducing carbon emissions by 1.1 tons.

For complete information about MGM Bosco’s services, don’t hesitate to contact us today. MGM Bosco Logistics is ready to support your business logistics needs with safe, reliable, and standardized procedures.