Page 20 - ITLN May - June 2022 issue

Interview
Rajat Gupta

Beat the heat would require a minimum investment

of INR 50 million. The average capacity
utilisation in the industry is just
with Tessol’s around 30%.”
While all these studies were being
conducted, a nascent end-to-end cold
chain solution provider named Tessol
360-degree was entering the fray. Over the years,
Tessol has metamorphosed into a
market leader. With founder-director
Rajat Gupta helming the now nine-year-
storage old Tessol, the cold chain firm offers
a range of customised cold storage
solutions, all released into the market
solutions after a meticulous and transparent
testing phase. ITLN spoke to Gupta on
business challenges, future plans and
testing times during the pandemic.

With the end-to-end cold chain solution provider, Tessol’s Edited Excerpts:
latest offering – IndiWrap – fast becoming the preferred cold Let’s start with the Tessol journey.
You've come a long way since the
chain solution for quick commerce deliveries, Manjula Nair company’s inception in 2013. How has
had a chat with the firm’s founder and director Rajat Gupta to Tessol’s journey evolved over the
learn more about Tessol’s journey over the years, lessons from years?
When we started Tessol in 2013, we
the pandemic and what lies in store for the company. realised that energy storage was an
underexploited area. We spoke to
n 2015, the National Centre for Cold 1/3rd of the total food produced. This different customers when we were
Chain Development (NCCD) compiled clearly indicates a significant gap in struck by how the cold chain was a
a report – All India Cold-chain the Indian cold chain industry. This relatively smaller market that held
IInfrastructure Capacity Assessment gap can be translated into a golden immense potential. It was a fast-
of Status & Gap – which held that the opportunity for the service providers growing segment where people were
existing infrastructure created in the as well as the farmers. The demand searching high and low for solutions.
country for cold storage (bulk) and cold in cold chain industry is also due to Coupled with the fact that there was a
storage (hub) was approximately 31.82 the pharmaceutical industry, with the lot of product loss on the field, resulting
million tonnes. However, for this, there vaccine market in India growing at a in high wastage, this led to criticality in
was a gap of -3.28 million tonnes. For rate of 25-30 per cent.” food security, health, etc.
cold storage (bulk) and cold storage The academician also listed out how At the time, the market was not as
(hub), there was an all India requirement the cold chain industry was riddled with evolved, and e-commerce in the grocery
of 34.16 million tonnes and around 1 logistical black holes: “Another major space was almost non-existent. There
million tonnes, respectively. challenge the Indian cold chain industry were very few brands in the market
The NCCF was not alone in its faces is the shortage of consistent in 2013-14. We started looking at
findings. A year later, a professor from power supply, the cold chain companies refrigerated trucks using the Phase
the Bengaluru-based International have to invest separately in the power Change Material (PCM) technology.
School of Management Excellence backup as well. Fuel costs in India For about four years, trucks were our
(ISME), Haritha S, cited the FAO in her constitute around 30% of operating primary focus. In those times, diesel
article – A Study expenses of cold storage prices hovered around the 60s. So, the
of the Cold Chain in India compared to value proposition was slightly limited
Industry in India: the 10% in the west. for cost-savings. Around 2017, grocery
Challenges & One of the most e-commerce entered the scene in a big
Opportunities – “The important reasons way. They couldn't deliver the products
Food & Agriculture for the cold chain without a solid cold chain technology.
Organisation of industry not booming We worked on solutions for their
the UN has stated is the high real estate warehouses to maintain temperatures
every year about costs, which have for 24 hours and the logistics around
1.3 billion tonnes risen by 280%. Apart it. For quick commerce, we created
of food is lost from the real estate an entirely new set of products. The
which amounts to costs, cold storage entire category has grown extensively.
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