🧊 FedEx supports healthcare logistics in Asia-Pacific

Welcome back to CubeCold News where we cover the latest developments in the cold chain industry and temperature-controlled logistics.

In today’s edition:

• FedEx supports healthcare logistics in Asia-Pacific

• Emirates joins the ‘Move to -15°C Coalition’

• DFDS completes acquisition of Ekol

• New BFFF President calls for industry-wide debate on frozen food temperatures

• Mimica wins Lineage’s London Food Chain Innovation Challenge 2024

News

FedEx: supporting healthcare logistics in Asia-Pacific FedEx has expanded its Korea Life Science Center in Gimpo, South Korea.

• The facility, now triple its original size at 2,288 square metres, features five temperature-controlled areas ranging from -150°C to 25°C, monitored 24/7 for pharmaceutical cold chain compliance.

• The center, along with similar facilities in Singapore and Japan, supports the region's growing healthcare industry.

• The APAC pharmaceutical market is expected to reach US$290bn by 2028 and currently hosts half of global clinical trials.

• FedEx operates a global network of Life Science Centers across six locations and over 130 cold-chain facilities worldwide.

• The company recently won the 'Innovation in Clinical Supply Chain Logistics' award at the Korea Biopharma Excellence Awards 2024 for its contributions to Korean clinical supply chains. (link)

Emirates joins the ‘Move to -15°C Coalition’ Emirates has become the first airline to join the 'Move to -15°C Coalition', an initiative launched at COP28 to transform frozen food temperature standards for improved energy efficiency and environmental sustainability.

• Through its cargo division, Emirates SkyCargo, which handles 900-1,000 tonnes of fresh food daily, the airline will contribute its expertise in perishable goods transportation.

• Dennis Lister, Emirates SkyCargo's SVP of product and innovation, emphasized their leadership in perishable food transportation and commitment to evolving industry standards.

• Thomas Eskesen, coalition chairman, highlighted the importance of having a major airline join the initiative, noting that climate action in the frozen food supply chain requires cross-sector collaboration.

• The coalition, based on the Three Degrees of Change report findings, aims to revolutionize the frozen food supply chain through partnerships across various sectors including food production, transportation, storage, and retail. (link)

DFDS completes acquisition of Ekol DFDS has completed its acquisition of Ekol Logistics' international transport network, reversing its withdrawal announced on November 1, 2024.

• The deal, valued at DKK 1.8 billion (EUR 240 million), was revived with revised terms including adjusted debt structure and an extended terminal agreement with Yalova Port.

• Ekol Logistics, a Turkish transport company, operates across ten European countries with over half of its services being intermodal.

• Despite recent financial challenges, including an expected loss in 2024, DFDS plans to improve Ekol's EBIT margin to 5% by 2027 through a three-phase improvement plan.

• DFDS CEO Torben Carlsen emphasized the acquisition's importance in supporting Turkey's growth as a manufacturing hub, while Ekol's founder Ahmet Musul praised the strategic logic of selling to their longtime partner. (link)

New BFFF President calls for industry-wide debate on frozen food temperatures Karen McQuade, the newly elected president of the British Frozen Food Federation (BFFF), has called for an industry debate on raising the standard frozen food temperature from -18°C to -15°C.

• In her maiden speech at the Federation's annual lunch on November 19, she highlighted that this change could reduce global emissions by 17.7 million metric tonnes annually, equivalent to removing 3.8 million cars from the road.

• The BFFF, which joined the Move to -15°C coalition this year, has been researching temperature standards since 2009.

• Recent research by Nomad Foods found no significant changes in food quality or safety at -15°C during an 18-month study, though more research is needed for delicate food categories.

• McQuade, founder of UK Foodhall Ltd and successor to Ian Stone as BFFF president, also addressed challenges including changing consumer attitudes and limited home freezer space. (link)

Mimica wins Lineage’s London Food Chain Innovation Challenge 2024 Mimica has won Lineage's Food Chain Innovation Challenge London 2024, securing a $5,000 prize for their innovative food waste solution.

• Their product, Bump, is a dynamic food expiry label that changes texture to indicate when food actually spoils, helping reduce waste from overly cautious expiry dates.

• The competition, held at the Science Museum, featured a distinguished judging panel including representatives from Lineage, FareShare, WRAP, and Cambridge University.

• Mimica will now compete in a virtual global final on December 2nd, 2024, against winners from Amsterdam and San Francisco for a $50,000 prize and participation in Lineage's incubator program.

• The challenge addresses the global issue of food waste, which amounts to 1.05 billion tonnes annually. (link)

Other headlines

RealCold, in partnership with Russo Development and Onyx Equities, has commenced construction on a 380,000-square-foot cold storage facility in East Hanover, New Jersey.

Minus 1 is building a new Sydney depot set to open September 2025, featuring storage for 17,500 pallets across three temperature zones and 19 temperature-controlled docks for 24/7 operation.

Maersk Logistics Park supports Saudi Vision 2030 goal of becoming a dominant GCC logistics hub.

Michael Roeth, Executive Director of the North American Council for Freight Efficiency, argues that despite the challenges, the trucking industry must and will succeed in reducing emissions through cleaner transportation solutions.

AI and ML-enabled platforms help supply chain companies convert data into actionable insights to optimize decision-making, improve efficiency, and enhance customer satisfaction.

Goldman Sachs has lowered its price target for Lineage (NASDAQ:LINE) from $104 to $89, while maintaining a "buy" rating.

Americold Realty Trust (NYSE:COLD) stock hit a 52-week low amid market challenges, but the company reported growth in Q3 2024, and continues expansion plans.

That’s it for today!

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