• Sub-Saharan Africa lacks storage; less than 30% of output covered
• Post-harvest losses hit 40% of perishables, 20% of other foods
• Warehouse growth rising, but too slow to secure supply chains

In sub-Saharan Africa, a lack of adequate storage infrastructure is a major bottleneck for supply chains. Already hampered by insufficient roads, railways, and ports, these systems often operate on a just-in-time model with no buffer stocks to absorb potential shocks.

According to the World Bank's report, “Transport Connectivity for Food Security in Africa: Strengthening Supply Chains,” available storage capacity in the region covers less than 30% of annual production. This limitation exacerbates post-harvest losses, with nearly 40% of perishable goods and 20% of other food products lost from supply chains each year. This situation contributes to food insecurity, even though the continent produces a significant portion of its own food needs.

Growth of the Warehouse Market Is Not Enough

While Africa's warehousing market is experiencing notable growth, it is still not enough to meet the demand. In 2024, traditional, automated, cold storage, and self-storage generated $83.1 billion in revenue across Africa and the Middle East. Projections forecast this figure to rise to $131.7 billion by 2030, representing an 8% compound annual growth rate for the 2025-2030 period.

While standard warehouses have been the most profitable to date, a shift in focus is expected. The fastest growth is projected for cold storage warehouses, which are essential for storing fresh, frozen, and temperature-sensitive goods. This trend is confirmed by the "Africa Industrial Market Dashboard - H1 2025" report from the consulting firm Knight Frank.

The document reveals that the African industrial and logistics real estate market has accelerated its growth, with the occupancy rate for modern warehouses reaching 83% in the first half of 2025, up from 75% a year earlier. This growth is being driven by the rise of the agribusiness sector, a push for food self-sufficiency, and the rapid expansion of e-commerce.

Despite this progress, growth remains too slow to effectively secure supply chains in the face of rapid population growth and increasing food demand.

Henoc Dossa