Cold Storage Is the Silent Hero of Bangladesh’s Food Chain
Without cold storage, farmers lose. Traders panic. Prices swing wildly. Most importantly, tons of food rot before it reaches your plate. In Bangladesh, where agriculture feeds over 160 million people, cold storage is no longer optional — it’s a national need and a business goldmine.
Why Cold Storage Is Booming in Bangladesh
Bangladesh produces more potatoes than we can eat during the season. Same goes for mangoes, onions, tomatoes, chillies, fish, and even meat. The only problem? We can’t keep them fresh.
Key drivers of cold storage demand:
- Over 1 crore tons of potatoes are produced annually
- 30% of vegetables go to waste without storage
- Rising demand for safe fish/meat storage for exports
- Govt incentives and low-interest loans for agro-logistics
- Food inflation control relies heavily on year-round availability
In short, cold storage ensures that what we grow doesn’t go to waste — and you can profit from that need.
Top Opportunities for Cold Storage Businesses
You don’t have to store everything. Choose your market based on your location:
| Type | Best Regions | Off-Season Sale Value |
|---|---|---|
| Potato Cold Storage | Rangpur, Bogura, Dinajpur, Jashore | 3–4x increase in April–July |
| Vegetable & Fruit Cold Rooms | Dhaka outskirts, Cumilla, Sylhet, Rajshahi | Stable rates, low spoilage |
| Fish & Meat Freezer Storage | Khulna, Barisal, Chattogram | Ideal for exporters |
| Onion & Garlic Storage | Pabna, Faridpur, Rajbari | Prevents import crisis |
| Multi-Commodity Storage | Anywhere with a wholesale market | Seasonal pricing advantage |
Business Models You Can Choose
- Rental Model: Farmers, traders, and exporters rent storage space by ton/month
- Own-Procure-Sell: You store and sell produce at peak prices
- Cold Chain Partner: Serve as link for online grocery, exporters, food chains
- Contract Storage: Work with agribusinesses or NGOs for guaranteed space use
Cold Storage Plant Setup: Investment & Cost Breakdown
For a standard 2,000-ton potato & vegetable cold storage, here’s what it looks like:
| Cost Head | Amount (BDT) |
|---|---|
| Civil Construction (Building & Floor) | 1.8–2.2 crore |
| Refrigeration System (Ammonia/Freon) | 1.2–1.5 crore |
| Insulated Panels & Doors | 60–80 lakh |
| Electrical Systems, Generator, Lighting | 35–50 lakh |
| Pallets, Trolleys, Racks | 10–15 lakh |
| Water System, Drainage, Fire Safety | 10–12 lakh |
| Consultancy, Design & Engineering | 5–10 lakh |
| Working Capital (3 months) | 20–30 lakh |
| Total Investment | 4.5 – 6.0 crore (for 2,000-ton capacity) |
Larger 5,000-ton facilities can cost 8–10 crore BDT, but earn much more.
Cold Storage Machinery – What You Need
At Project Profile Bangladesh (PPB), we supply all machinery and technical support from trusted brands in India, China, and Europe.
Essential Components:
- Pre-cooling unit
- Compressor & evaporator (Ammonia or Freon-based)
- Cold room panels (PUF insulation)
- Temperature control & monitoring system
- Power backup (diesel generator or solar hybrid)
- Trolleys, racks, loading dock setup
Monthly Revenue & Profit Projection (Rental Model)
| Capacity | 2,000 tons |
|---|---|
| Average Rent | BDT 150–200/ton/month |
| Off-Season Storage Period | 5–6 months |
| Total Income | BDT 1.5–2.2 crore/year |
| Operational Cost | BDT 60–70 lakh/year |
| Net Annual Profit | BDT 90 lakh–1.4 crore |
| Break-even | 3–4 years |
Profit rises if you operate in peak zones or run a multi-commodity facility.
Licensing, Compliance, and Support
PPB helps you navigate the legal maze with ease. You’ll need:
- BSTI clearance for storage safety
- Fire Service approval
- Electricity clearance (DESCO, BPDB, or REB)
- Environmental clearance from DoE
- Import permission for any machinery
We handle paperwork, draw up engineering plans, and even help with DPPs for government projects.
Loan Options and Government Incentives
Popular Financing Avenues:
- Bangladesh Bank’s Agri & Cold Chain refinance scheme
- Islamic Banks’ Ijara (leasing) model for equipment
- Entrepreneurship funds under SME Foundation
- Export facilitation funds for meat/fish cold storage
- Joint NGO-Bank partnerships for rural areas
We prepare your full loan-ready project profile including:
- Technical details
- Financial projections
- Market validation
- SWOT analysis
- Payback & ROI timeline
Case Study: Safal Agro Cold Storage (Rangpur)
- Capacity: 3,000 tons
- Clients: 350+ potato and onion traders
- Investment: BDT 4.7 crore
- Revenue (Year 2): BDT 2.3 crore
- Net Profit: BDT 1.2 crore
- Break-even: In under 3 years
They’ve now added solar backup to cut power bills by 25%.
Bonus Opportunity: Solar-Powered Cold Storage
Power cost eats into profits. That’s why many investors are now exploring solar hybrid systems that:
- Reduce electricity bills by 30–60%
- Ensure uninterrupted cooling during outages
- Attract green finance & carbon credit buyers
PPB offers complete solar-integrated cold storage plans.
Final Words: Preserve to Prosper
Every kilo saved is a profit earned. A cold storage facility doesn’t just store produce — it stores profit, control, and power over supply chains. As Bangladesh leans into agro-industrialization, cold storage is the key infrastructure behind food security and price stability.
At Project Profile Bangladesh (PPB), we’ll help you design, build, finance, and operate your storage unit — from soil testing to startup.