Cold Storage Business Planning: Cooling Profits with Precision

In agribusiness, timing is money. Cold storage gives farmers and traders the power to store, not panic. Without cold storage, potatoes rot, onions vanish, and profits melt.

Why Cold Storage Is Essential in Bangladesh

Post-harvest losses in Bangladesh can reach 30–40%—mostly due to poor storage. Farmers are forced to sell at low prices during peak harvests. Traders can’t preserve stock. Cold storage ends this trap.

Besides that, cold storages allow:

  • Price control and market stability
  • Year-round supply of seasonal crops
  • Support for exports (vegetables, seafood)
  • Rental income from third-party storage

Cold Storage Types You Can Build

TypeUse CaseCommon Products
Potato Cold StorageSeasonal cropPotatoes, onions
Multi-Commodity StorageFlexible useFruits, fish, meat
Controlled AtmospherePremium storage (export-grade)Mangoes, apples, spices

Most investors in Bangladesh start with potato-focused units, then scale to mixed storage.


Updated Budget: 5000 Metric Ton (MT) Potato Cold Storage

(All budget figures calculated for a more robust, inflation-proof, and higher-quality build)

ItemEstimated Cost (BDT)
Land Purchase & Development1,80,00,000
Civil Construction & Insulation3,60,00,000
Cold Storage Machinery (Compressors, Chillers)4,20,00,000
Electrical Systems + Transformer75,00,000
Generator & Backup45,00,000
Office Setup & Staff Quarters36,00,000
Licensing, Transport & Setup24,00,000
Working Capital (6 Months)1,80,00,000
Total Project Cost13,20,00,000

Monthly Operating Cost (avg): 7.5–8 lakh BDT
Expected Annual Income: 2.4–3 crore BDT
Break-even Point: 4–5 years
Loan Eligibility: Up to 70%, under agro-processing schemes


Revenue Streams from Cold Storage

  • Storage Rent (Main income): Potato or produce owners pay by MT per month
  • Cold Chain Logistics: Add trucks or delivery contracts
  • Own Crop Trading: Buy at low, sell later
  • Export Support (for multi-purpose units)

A well-run 5000MT unit can earn 20–30 lakh in net profit every season (excluding operating months).


Critical Planning Factors

  • Location: Must be close to major farming zones (like Munshiganj, Rangpur)
  • Power Supply: Needs strong electricity with 24/7 backup
  • Humidity Control: Essential for long shelf life
  • Security & Tracking: Monitor stored lots, reduce disputes
  • Seasonal Demand Planning: Understand regional harvest cycles

Without these, cold storages turn into cold losses.


Why Choose RAYHANS?

We don’t just design cold boxes—we engineer agribusiness ecosystems. Our cold storage services include:

  • Detailed feasibility & cost-revenue forecasting
  • Capacity planning based on local crop yields
  • Selection of trusted machinery suppliers
  • Layout design with insulation blueprints
  • Project profiles accepted by banks & agro-financiers
  • Help with cold chain logistics and government permissions

Final Note

Cold storage doesn’t just preserve crops—it preserves value. It gives control over time, price, and profit. With a solid plan and a robust budget, it’s one of the most secure agro-industrial investments in Bangladesh.

At RAYHANS, we help you build storage that lasts—and earns—for decades.