Refrigerated storage helps in eliminating sprouting, rotting and insect damage. In general, there are three groups of products, foods that are alive (e.g. fruits and vegetables), foods that are no longer alive and have been processed in some form (e.g. meat and fish products), and commodities that benefit from storage at controlled temperature (e.g. beer, tobacco). Cold storage helps stabilize market prices and evenly distribute goods both on demand basis and time basis.
There are two main types of refrigeration system used in cold storage warehouses, a Vapour absorption system (VAS) and Vapour compression system (VCS). VAS, although comparatively costlier, is quite economical in operation and adequately compensates the higher initial investment.