Refrigerated (reefer) transportation requires acute attention to detail. Fresh produce and other perishable foods, pharmaceuticals, electronics, and flowers are sensitive to temperature changes. Dairy products, meats, seafood, frozen foods, and chemicals require specific controlled temperatures during transport.
To further complicate matters, there is a growing demand for chain of custody documentation, the high cost of refrigerated trailers, and a limited pool of drivers trained to meet specialized reefer transportation requirements.
But the biggest issue is technology and its implementation. To stay afloat, reefer transportation providers need to be among the technology trendsetters.
2024 Reefer Freight Market Overview
The cold chain market in North America is expected to reach $333.96 billion by 2030, and there are thousands of reefer carriers vying for their piece of the frozen pie. But the best of the best are providing shippers with technology-enabled cold chain solutions to ensure their freight arrives on time and in optimal condition every time.
3 Technology Trends Shaping the Reefer Market in 2024
Modern reefer operations often rely on a combination of artificial intelligence (AI), automation, and other advanced technologies to provide cold chain solutions.
“AI isn’t a single solution that’s going to solve all these problems; it’s a combination of solutions that work together to create the outcomes that you want for your business or your consumer,” Justin King, Transflo’s chief product officer, noted at the McLeod users conference in September.
As the number of possible solutions to supply chain problems grows, shippers need to examine their needs and what they can achieve with trending technologies currently shaping the reefer market.
1. Advanced Telematics and Real-Time Tracking
With advanced technology, any deviations in temperature can trigger automated alerts, enabling corrective actions to be taken quickly to protect the refrigerated goods being transported. Technology also plays a key role in route optimization so that perishable products reach their destination in prime condition.
Real-time monitoring systems are essential in reefer transportation. According to ABI Research, cold food chain track-and-trace revenues from hardware and software-as-a-service sales are expected to surpass $7 billion globally in 2032.
But real-time visibility is no longer enough, according to SupplyChainBrain, which said shippers “want to know more than what happened previously, or even what’s happening now. They want to be able to predict the future, as accurately and as rapidly as possible, as they strive to balance supply and demand while exceeding customer expectations.”
AI is reshaping the entire supply chain, including reefer operations. The American Journal of Transportation (AJOT) pointed out that “it is important to understand that AI isn’t an app but rather a massive leap in the assembly and use of data, and that data has to start somewhere. And in the reefer business, that primal node is telematics” — essentially the combination of information technology and telecommunications networks.
“Somewhere in all that data that is going to come from telematics devices is an opportunity for artificial intelligence (AI) to help people make smarter and faster decisions,” SeaCube Container Leasing CEO Bob Sappio told the AJOT.
Among the new devices is Orbcomm’s reefer container monitor, CT 3600, which features a long-lasting internal, rechargeable battery and wireless Bluetooth sensor support.
Christian Allred, Orbcomm’s senior vice president and general manager of maritime logistics, said in a news release that the company’s products are “delivering world-class reefer technology that helps provide the data businesses need to make smart fleet decisions.”
2. Electrification and Sustainable Refrigeration Units
Sappio said to reduce emissions, SeaCube is working on piloting electric gensets, portable refrigeration units that keep reefer containers cold, and is adapting containers to use “the next generation of refrigerant,” R513a.
Maersk Container Industry is now using HFO refrigerant R1234yf in its new Star Cool 1.1 reefer container, which the company says is a “significant innovation” in the quest to decarbonize the shipping industry.
Meanwhile, Trailer Dynamics and The Reefer Group are collaborating on an electrified reefer unit dubbed the eCool Trailer, which is “set to revolutionize the logistics industry by significantly reducing carbon emissions, operational costs, and dependence on fossil fuels,” according to the announcement. “The trailer will feature advanced electrification systems that provide power for both the refrigeration unit and the trailer’s propulsion, enabling fully electric, zero-emission operations.”
The Reefer Group CEO Damien Destremau said the two companies “are not only addressing the pressing need for more sustainable transportation options but also setting a new standard for what refrigerated trailers can achieve.”
About 15% of straight trucks and trailers are equipped with transport refrigeration units (TRUs), which have been powered by diesel fuel for the past century, according to TruckNews.com. Now, fleets are helping reduce emissions by retrofitting the TRUs with electric motors.
“Allied solutions are emerging to support eTRUs, including increased insulation or incorporating cold plates into the truck or trailer bodies, and solar or axle-mounted generators to deliver more power to the batteries,” TruckNews.com said.
3. Automation and Supply Chain Integration
“Automating decision-making processes to manage costs, enhance efficiency, build resilience, and navigate a volatile labor market” are all essential in modern cold chain logistics, according to SupplyChainBrain.
Integrating disparate digital systems facilitates collaborative decision-making and improves communication among shippers, carriers, and logistics providers.
All parties need visibility platforms to “provide views to inventory levels and alert shippers and logistics providers to schedule shipments and coordinate orders to satisfy demand,” SupplyChainBrain said. “These platforms interact with operating software to ensure that tasks are prioritized to achieve high levels of throughput and productivity.”
RJ Logistics Has You Covered Every Day, Every Year
At RJ Logistics, we are experts in reefer freight operations. We utilize our state-of-the-art technology to overcome complicated reefer freight challenges, and through our client-centric approaches, we provide customized solutions and tailored logistics strategies.
We are driven by our mission to deliver positive experiences for our customers, partners, and community through actions guided by our core values and principles.
In addition to temperature-controlled shipping, RJ Logistics specializes in cross-border freight and expedited services. Whatever the need, we have you covered.
Schedule a call with RJ Logistics today.
