Australia Cold Chain Logistics for Frozen FMCG: Trends & Investments

Introduction

Australia’s geographic scale creates a unique set of cold chain challenges and opportunities for frozen FMCG. As premium frozen desserts and dairy-based snacks become available in more and more areas outside of the metropolitan centers, logistics providers and manufacturers are making investments in bigger cold storage and more reliable refrigerated transport to ensure product integrity over the long distances. Distributors are also putting in place data-based visibility and automation systems to reduce waste and improve refill rates.

Facility investments and capacity growth

PFD Food Services made an announcement in late 2025 regarding their plans to open a flagship distribution facility in Western Australia. The facility is to be equipped with energy-efficient refrigerated storage rooms and advanced automation. The expansion of PFD Food Services is aimed at improving delivery windows for food service and frozen retail customers as well as increasing cold storage capacity in the vicinity of key transport nodes. So Bidfood has been upgrading regional hubs and fleet capacity to keep chef and restaurant demand for frozen ingredients and plated desserts going. These investments increase the ability of manufacturers to place longer dated frozen SKUs into both national and regional retail networks.

Unlock deeper insights into the Australia Cold Chain Logistics Market. Get the full market report and stay ahead of distribution and infrastructure trends.

Fleet capabilities and temperature control

Distributors have put in their investments into multi-temperature vehicles and IoT-enabled reefer units that deliver uninterrupted temperature recording. In this way, just-in-time deliveries become possible, and manufacturers can offer a larger variety of frozen products to the markets that used to need local production only. Route optimization software lessens the time between stops and a thaw cycle that is not necessary is avoided during a long run. These features, for instance, are extremely important for premium gelato style products and novelty bars that need strict temperature stability.

Energy efficiency and sustainability measures

Certain cold chain operators are installing energy-efficient compressors and upgrading insulation to lower their operating costs and to meet the sustainability demands of retailers. Some facilities are experimenting with the integration of renewable energy sources to power cold rooms during peak demand periods. These steps decrease the operating cost in the long run and assist companies in presenting better sustainability metrics to retail buyers.

Manufacturer partnerships and co packing influence

Mass producers like Froneri and Peters Ice Cream collaborate with distributors to make national launches more efficient and to oversee the inventory of various temperature regimes. Small artisan brands can access national distribution through co packing operations and third-party cold storage without the need to build their own logistics network.

Challenges and outlook

The increase in energy costs, labor, and the capital required for cold rooms are the major issues. Areas with thin demand are still finding it hard to attract investment, which in turn keeps distribution costs high for niche manufacturers. The long-term outlook is that there will be further consolidation of logistics providers and more extensive use of automation and renewable energy to improve the economics of nationwide frozen distribution.

Table of Contents

1. Introduction
2. Definition and scope
3. Facility investment case studies
4. Fleet and temperature technology
5. Energy and sustainability interventions
6. Third party logistics and co packing
7. Challenges and outlook

Related Resources

Cold Chain Logistics Market

B2B Food Service Contract Market