A high-potential but untapped market in Indonesia is cold chain logistics. This is partially attributable to the industry’s higher setup and operating costs when compared to customary logistics operations.
The cold chain enabler and fulfillment startup Fresh Factory is one of the local names to watch in the sector. Through its joint fund with Kyobo Securities and NTUitive, the innovation and enterprise company of Nanyang Technological University, it has secured a fresh round of funding that is being led by SBI Ven Capital.
For online and brick-and-mortar retailers, Fresh Factory provides decentralized cold chain storage facilities, pick-and-pack services, and last-mile deliveries. Its network now spans 22 Indonesian cities and more than 40 fulfillment centers.
Fresh Factory secured $4,150,000 from SBI Ven Capital in a Pre-series A funding round. Other investors include East Ventures, Trihill Capital, and Tap Applied Agri Services.
The company claimed that in the previous 12 months, its annual gross merchandise value increased by 10 times, and its clientele doubled. It currently provides services to well-known businesses like Sirclo and Danone as well as emerging ones like Eden Farm and Kin Dairy Fresh Milk.
By the end of the year, Fresh Factory plans to expand to over 100 fulfillment centers spread across 50 Indonesian cities.