Taiwan Market Study On Opportunities For Cold Chain
Taiwan’s high post-harvest loss and its ever-expanding ambitions to develop export growth will require a drastic improvement in its existing cold chain systems. With its state-of-the-art technology and expertise, the Dutch cold chain industry could be the right partner for Taiwanese agriculture, and just what the doctor ordered! The Netherlands Office in Taipei (NLOT) commissioned a market scan report to identify the opportunities for using Dutch innovation and technology in Taiwan.
Taiwan produces a great deal of fruit, vegetables, and flowers. However, much is lost after harvest in the value chain. However, in recent years, the channel of selling agricultural products has slowly changed from traditional wholesale markets and distributors to e-commerce and large supermarkets. Additionally, Taiwan has the ambition to export fresh products to other Southeast Asian countries and even Europe. Higher demand for high-quality local and export goods requires keeping these products fresh for a more extended period, meaning that the gap between the developing market and the cold chain keeps getting bigger.
Aim of the market study
Seeing the opportunity in the cold chain field, Netherlands Office Taipei (NLOT) decided to conduct a market study on the current status of the Taiwanese cold chain, outlining what is needed to (further) improve/upgrade this sector and identifying challenges that Taiwanese farmers face. The aim is to present the relevant Dutch companies and knowledge institutes, active in the cold chain, with opportunities for applying Dutch innovation and technology in Taiwan while making recommendations on how Dutch institutes/companies can contribute to the solutions.
Conclusions and recommendations
This report consists of primary in-depth interviews with stakeholders in the cold chain in Taiwan and with Dutch companies interested in business participation. The information in the document is based on the collected data from stakeholders and other reliable sources.
The main conclusion of this study is that Taiwan’s current system of agricultural production and wholesale marketing will need to invest substantially in the provision of additional cold chain facilities to meet the quality demands of Taiwan’s highly competitive and rapidly evolving retail sector, which is itself investing in “last mile” facilities. This process will, over time, create substantial opportunities for Dutch cold chain technology and equipment to play an important role. Taiwan’s ambitions to develop export growth will also require investment in cold chain systems.
Opportunities for Dutch interest
Although it will be slow-moving, there will be an ongoing process of cold chain upgrading that will offer a strategic opportunity for Dutch interests to apply their cold chain knowledge, expertise, and regional experience. Dutch companies are already active with direct arm’s-length sales of equipment and services but will need to raise awareness of their capabilities and experience in Taiwan. Dutch cold chain is not entirely unknown in Taiwan, but Taiwan companies wonder if they have a detailed understanding of the market and a commitment to long-term engagement. NLOT has been involved in facilitating this process during events such as webinars and Business Week activities. The Netherlands Office in Taipei will continue to promote the cooperation between the parties and seek new partnerships through exhibitions, virtual and physical trade missions, and other promotions.
Download and more information
Here is the download link for final report Market Study on Opportunies for Cold Chain in Taiwan
For further questions, don’t hesitate to get in touch with TAI-LNV@nlot.org.tw.