Cover story

Smart Cold Chain: Warehouse floor to blockchain ledger

In the race to keep temperature-sensitive goods fresh and flawless, cold chain logistics has become the silent hero behind the scenes. Emerging transportation models, methods, and technologies are on the horizon to preserve the quality of temperature-sensitive commodities. Smart transport containers vibrate quietly with embedded IoT devices, constantly tracking temperature and humidity. Deep inside control rooms, AI and machine learning, scan vast data streams, predicting anomalies before they happen and rerouting deliveries to avoid spoilage. The story dives into the strategies and developments reshaping the movement of perishable goods globally.

Demand for temperature-sensitive goods and volumes is increasing. In essence, cold chain logistics management is more than logistics—it is a synergy of innovation, precision, and foresight. IoT devices in transport containers and storage facilities enable real-time temperature and humidity monitoring for detailed environmental access. AI and predictive analytics with machine learning help identify disruptions in the cold chain journey.  To handle the evolving needs, smart logistics systems are an option to reduce energy consumption and carbon emissions in cold storage and transportation. The different segments work in sync to achieve a sustainable cold chain. The solutions, such as plugging refrigerated vehicles into electric outlets rather than relying on fuel, reduce pollution and fossil fuel dependency. However, the real impact comes from owning cold chain assets and operating at scale. It amounts to leveraging technology to drive systemic change.

According to Dr Khushboo Gupta, Principal Research Associate at the Alliance for an Energy-Efficient Economy, integrating energy efficiency into existing and upcoming infrastructure contributes to emission reduction and cost savings. However, the extent of these benefits depends on the specific type of cold chain facility involved, including its size and the type of produce being stored, as these factors vary widely.

Mr. Shaukat Ali Farooqi, Founding Director and Chief Executive Officer of Alfakool Supply Chain, emphasised the importance of design in determining emission levels and potential efficiencies. Echoing Mr. Farooqi’s point, Dr. Gupta delves into how these facilities are designed and whether they comply with relevant standards and regulations. Further, having a trained and capable workforce to manage these facilities is crucial to achieving a sustainable cold chain system. It plays a key role in making the facility energy-efficient in design and operation.

Energy efficiency and emission control

A key factor influencing energy use is the frequency of door openings in cold storage facilities. To optimise energy efficiency, measuring energy consumption on a per-unit or per-pallet basis is crucial, says Mr. Farooqi. In frozen storage environments, the selling price per pallet typically ranges from ₹1,000 to ₹2,000, depending on the location. Ideally, energy costs should be kept within ₹250–₹275 per pallet. Once we validate that current consumption aligns with this range, we can explore opportunities for further reduction. Warm air enters and cold air escapes each time a door opens, forcing refrigeration systems to work firmly and consume more energy. Monitoring and controlling door usage—using automatic doors, air curtains, or smart access controls—can help lessen this in warehouses. With single-customer chambers, airflow is regulated more efficiently due to fewer openings and closings, reducing energy consumption.

Moreover, a palletised system must be standardised in warehousing across the pan-India cold storage network. Mr. Jeevan Upreti, Senior Manager at Snowman Logistics, said that such a system allows companies to monitor and manage energy consumption, manpower, and value-added services at a pallet level. By assigning entire chambers to individual customers, better inventory control and optimised energy usage can be ensured. This also enables them to educate customers about the benefits of temperature compliance. In a frozen chamber, to maintain 18°C to -20°C, a strict intake cut-off can be set at -16°C. This ensures that incoming cargo does not compromise chamber temperature or energy efficiency. Further, digital tools can monitor and optimise every aspect of the cold chain and warehouses.

Digital technology in the supply chain

The digital platform can track the exact unloading times for each vehicle at specific cold storage across cities. It can identify facilities with the longest or shortest unloading durations and monitor fuel consumption, transit time, and hours spent with AC systems running during halts. Mr. Swarup Bose, Founder and CEO of Celcius, emphasised the role of digital technology in transforming the cold supply chain to ensure food security, safety, and energy efficiency. He revealed that some cold storage takes 24 to 72 hours to unload. This results in considerable fuel wastage. However, properly managed facilities average only six to seven hours due to efficient tracking and operations.

Beyond IoT, advanced data analytics and machine learning extract insights and continuously improve efficiency. Looking ahead, he foresees expanding cold storage infrastructure in partnership with others. This will help focus on energy conservation, solar power integration, and sustainable practices from the outset. There is still a long journey ahead. He reiterates innovating and building a tech-driven cold supply chain that is efficient, sustainable, and impactful.

AI and blockchain

Today, cold supply chain technology extends far beyond AI and advanced refrigeration systems. It is transforming operations like inventory management. Most warehouses now use handheld devices for picking and inventory tracking, with trained staff operating them; manual processes are largely obsolete. AI is now fully integrated into inventory systems, not just as software support but as a decision-making tool. Mr. Bose highlights that a blockchain-based system enables end-to-end traceability from farm or factory to global consumers. This will bring unprecedented transparency and trust to exports from India.

Mr Noman Ali, Founder and Chief Executive Officer of Supply Chain Talks, opines that advanced analytics, AI, and digital tools are the transformative forces. The starting point is data collection. Many organisations hesitate to invest in this needed foundation. Capturing essential data, such as loading times, equipment run-time, temperature variations, and routing efficiency, is the need of the hour. Otherwise, it becomes nearly impossible to measure, analyse or optimise operations. Hence, data is the backbone of energy efficiency, visibility, and decision-making across the supply chain. Globally, it is recognised that implementing data analysis in warehouse operations is essential to meet the emerging demand for frozen and temperature-sensitive goods.

Warehousing and logistics

Mr. Jeevan Upreti highlighted a strategic and structured approach to energy-efficient cold chain management, emphasising warehousing and logistics. On the logistics front, he identified widespread inefficiencies in loading practices. Many consignors mix product batches during loading without considering traceability or expiration tracking.  This leads to challenges during offloading and potential violations of FIFO (First In, First Out) or FEFO (First Expiry, First Out) protocols. Hence, customers need to be educated about proper segregation and documentation to improve traceability and reduce delays.

Time-bound loading is another key focus. For example, if a truck scheduled to be loaded in 40 minutes takes 160 minutes instead, it results in prolonged door openings, causing temperature fluctuations and product exposure. This increases energy consumption to stabilise internal conditions, increasing fuel usage and emissions. Suppose the cargo arrives at the warehouse with improper temperature maintenance and lacks a plug-in refrigeration system. In that case, it often requires idling of the truck engine to maintain cooling, wasting energy and escalating costs.

Data handling to maintain temperature integrity across the supply chain increases operational efficiency. These initiatives improve service quality and contribute to long-term sustainability goals within the cold chain ecosystem.

Data collection

As we strive for Smarter, more sustainable logistics systems, one fundamental truth remains: without data, progress is impossible. Technology plays a role in the context of energy conservation and emission reduction. Mr Noman Ali, Founder and Chief Executive Officer of Supply Chain Talks, said analytics, AI, and digital tools are often highlighted as transformative forces. The Real starting point is data collection. Unfortunately, many organisations hesitate to invest in this crucial foundation. It becomes nearly impossible to measure, analyse, or optimise operations without capturing essential data such as loading times, equipment run-time, temperature variations, and routing efficiency.

Data is the backbone of energy efficiency, visibility, and decision-making across the supply chain. In Saudi Arabia, for example, technology is ingrained into the national Vision 2030 strategy, with digital transformation being one of its pillars. In the pharmaceutical sector especially, traceability has reached remarkable levels. It is no longer just about batch numbers—every box is individually tagged, often with a QR code, and tracked across its entire journey. This degree of transparency and data richness ensures full visibility, control, and accountability from origin to destination.

As cold chain logistics continues to evolve, building the digital infrastructure for complete data collection must be preferred. Only then can organisations unlock the full potential of emerging technologies, improve sustainability, and meet the rising global standards of traceability and efficiency.

Far away Insights

The first step toward building an unbroken cold supply chain is awareness. Unless all stakeholders—operators, users, and government bodies know about the technologies and best practices available, we will continue to face avoidable inefficiencies.

One of the biggest hurdles in cold chain logistics today is not excessive regulation but the absence of strong compliance mechanisms, says Dr. Khushboo. Clearly defined standards and parameters are not issued by authorities like the National Highways Authority of India (NHAI), and cold chain logistics remains largely unregulated. For cold storage infrastructure, the only guidelines that exist are minimal ones issued by the Ministry of Agriculture through the National Centre for Cold-chain Development (NCCD), which are primarily subsidy-oriented. Few cold chain operators in India are adopting remote diagnostics capabilities like GPS.

As Mr. Bose rightly pointed out, the technologies exist—AI-driven predictive tools, IoT-enabled monitoring systems, Smart reefer containers. But are these tools being deployed where needed most—by small operators, drivers, and cold store managers on the ground? One reason why food wastage in India still hovers around 30%—a figure we have been lamenting for the past three decades. To overcome this, we must recognise that cold chain logistics intersects with agriculture, energy, and consumer affairs. No single ministry can build a framework in isolation. We need collaborative governance, with the Ministries of Power, Agriculture, and Consumer Affairs working alongside state authorities and industry stakeholders. Together, they can develop a national strategy that reflects the real-world operational needs of India’s cold chain ecosystem.

Integrate Indian Railways into the supply chain network, developing tech for booking, monitoring, and collaboration with government agencies. These initiatives mark a significant shift towards a smarter, more connected, and scalable cold supply chain ecosystem.

Smart logistics and automation are not just possible—they are imperative. The initial investment may seem high, but the long-term gains in efficiency, reduced spoilage, and customer trust make it more than worthwhile. Without unified support for infrastructure, training, and digitisation, however, we will continue operating in silos, and the promise of a modern cold chain will remain just that—a promise.

Now is the time to transform that promise into progress.

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Dr. Khushboo Gupta, the Principal Research Associate at the Alliance for an Energy Efficient Economy 

Integrating energy efficiency into existing and upcoming infrastructure can reduce emissions and save costs.

Mr Swarup Bose, Founder and Chief Executive Officer of Celcius

Beyond IoT, advanced data analytics and machine learning extract insights and continuously improve efficiency

Mr Noman Ali, Founder and Chief Executive Officer of Supply Chain Talks

Data is the backbone of energy efficiency, visibility, and decision-making across the supply chain.

Mr. Shaukat Ali Farooqi, Founding Director and Chief Executive Officer of Alfakool Supply Chain

A trained and capable workforce to manage these facilities is crucial to achieving a sustainable cold chain system.

Mr. Jeevan Upreti is the Senior Manager at Snowman Logistics

Assigning single-customer chambers, airflow is regulated more efficiently due to fewer openings and closings, which reduces energy consumption.

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