AHMEDABAD, GUJARAT | 13th APRIL 2026 — Gujarat is emerging as one of India’s most active cold‑chain markets as the state accelerates its shift from traditional commodity‑led agriculture to a more resilient, infrastructure‑backed post‑harvest economy. India today has 8,815 cold storages with 40.21 million MT capacity, and Gujarat is among the leading cold‑chain states with 1,023 cold storage units and ~4.04 million MT capacity—creating a strong base for the next expansion cycle.
Leading pockets and emerging pockets
Gujarat’s cold‑chain growth is now playing out in two ways: North Gujarat leads through large, established dairy value chains that require reliable cold chains and processing continuity, while Saurashtra is emerging on the back of a stronger processing-and-export push that is driving demand for modern cold storage, grading, sorting, and logistics infrastructure.
The market is also shifting from potato‑centric, single‑commodity storage to multi‑commodity facilities that improve utilisation and viability year‑round. Utilisation is improving to ~70–75% nationally, and in certain high‑activity belts it can rise to ~90% during peak seasons—reflecting a maturing sector with more consistent, all‑season demand from dairy, frozen foods, seafood, and processed products.
Economic value of cold chains: national impact, farmer impact, and industry impact
Cold storage and scientific warehousing are increasingly being seen as “income-protection infrastructure.” At a national level, they help keep more produce within the economic cycle by reducing spoilage, smoothing seasonal supply flows, supporting price stability, and strengthening the downstream processing ecosystem. At a farmer level, cold chains create flexibility—reducing the pressure to sell immediately after harvest, protecting quality, improving the ability to realise better prices, and enabling stronger linkage to organised retail and processing channels. For the industry, modern multi‑commodity facilities support higher utilisation and year‑round viability, reduce seasonality, improve inventory-led working‑capital cycles, and enable processors and exporters to meet quality and consistency needs—strengthening competitiveness across domestic and export-linked value chains. For export-linked chains, cold storage and better inventory finance also reduce settlement and price-risk pressures, improving competitiveness.
Policy support fuels investment appetite
Government programmes are expanding the viability of integrated cold-chain and post‑harvest investments. Under PMKSY, as of June 2025, 1,601 projects have been approved, with 1,133 operational/completed, creating 255.66 lakh MT per year of processing and preservation capacity nationally. Gujarat has also received ₹186.43 crore in grants released under PMKSY’s Cold Chain scheme, reflecting active participation in integrated cold chain development.
In parallel, the Agriculture Infrastructure Fund (AIF) has sanctioned ₹66,310 crore for 1.13 lakh projects as of June 2025, supporting post‑harvest assets such as warehouses, cold storages, sorting/grading and processing facilities—strengthening the ecosystem for scalable infrastructure creation. The state government’s horticulture‑focused storage support is also strengthening momentum in newer segments such as fruits, vegetables, spices and floriculture.
Kotak Mahindra Bank’s role as demand accelerates
With cold‑chain investments rising across Gujarat, Kotak Mahindra Bank is positioning itself as a one‑stop solution for the post‑harvest economy—combining structured credit, working-capital solutions, and scheme‑linked advisory support to help agri‑enterprises convert policy incentives into real on‑ground infrastructure. The Bank is working with agri‑entrepreneurs, processors and traders to structure bankable projects and finance post‑harvest assets such as cold rooms, warehouses and processing‑adjacent facilities, including warehouse‑linked structures and seasonal working‑capital solutions, supported by faster digital journeys and streamlined credit processes.
“Cold storage is not just infrastructure—it’s resilience. It protects quality, reduces waste, and gives farmers and agri‑enterprises the flexibility to sell at the right time. With Gujarat’s strong market linkages and policy support, the state is well placed to scale the next wave of multi‑commodity, efficiency‑led cold chains,” said Pinakin Simaria, Business Head – Agri Business Group, Kotak Mahindra Bank.
Looking ahead
With North Gujarat’s mature cold‑chain ecosystems setting the benchmark, new processing clusters advancing in Saurashtra, and horticulture-focused storage gaining policy support, Gujarat’s cold‑chain landscape is poised for deeper expansion. Kotak Mahindra Bank aims to continue enabling this build‑out across districts and value chains—supporting Gujarat’s transition from market strength to a more infrastructure‑led, resilience‑driven agri economy.
