Solar cold rooms in Nigeria cut market spoilage loss by 11.2 percentage points, a trial finds, not the 40% to 2% often repeated

A controlled trial across 7 Nigerian markets found produce placed in a solar cold room lost 11.2 percentage points less of its sales value to spoilage than produce sold in the open, and sold for 15 to 20% more. The widely repeated claim that a shared cold room cuts loss from 40% down to 2% appears in none of the 5 sources checked for this article.

11.2 percentage points2less sales value lost to spoilage for produce placed in a solar cold room than for produce sold in the open air, in a trial across 7 Nigerian markets
15 to 20%2more that traders earned per sale for produce kept in a solar cold room, in the same trial
11,1005farmers, retailers and wholesalers using one of the 58 solar cold rooms ColdHubs operated across Nigeria in 2024

What a widely quoted number gets wrong

A solar cold room is a unit about the size of a shipping container that runs on rooftop solar panels and keeps produce cold so it does not spoil before it is sold. A company called ColdHubs builds and runs many of these in Nigerian markets, and a claim keeps circulating that a shared solar cold room cuts vegetable spoilage from 40% down to 2%. Neither number could be verified in the 5 sources read for this article. The number that did survive comes from an actual trial with a comparison group, not a marketing claim, and it is smaller.

The trial behind the real number

The International Food Policy Research Institute installed 7 solar cold rooms in 7 horticulture markets in northeast Nigeria between December 2020 and January 2021, then compared what happened there with 7 similar markets that got no cold room. Each cold room holds up to 3 tons of produce at 4 degrees centigrade, runs on 5.6 kilowatts of solar panels, and cost about 40,000 dollars to build. A trader could rent space for 1 crate of 20 kilograms for 100 Nigerian naira a day, about 28 US cents. Researchers tracked 1,050 market agents across both sets of markets before and after the cold rooms went in.

Before any cold room existed, market agents in these markets lost 9.4% of their gross revenue to spoilage on average, and produce stayed fresh for 4.5 days in the open air. Produce that traders actually placed inside a cold room lost 11.2 percentage points less of its sales value to spoilage than produce sold in the open, and it stayed fresh 7 to 11 days longer.

How a solar cold room changed outcomes for traders in a controlled trial in Nigeria
0510152011.2Less lostto spoilage,stored produce4.7Less lostto spoilage,all produce sold15More pricemargin earnedper salepercentage points

The trial compared 7 Nigerian markets that got a solar cold room with 7 markets that did not, over the 2020 to 2021 season.

Source 2.

Show the numbers
Less lost to spoilage, stored produce11.2
Less lost to spoilage, all produce sold4.7
More price margin earned per sale15

Traders who used a cold room also earned 15 to 20% more for what they sold, and their price margin, the gap between what they paid and what they charged, rose 15 percentage points. Sales volumes and revenue rose by as much as 69%. A cold room owner cleared about 1,653 dollars a month in extra gross profit, and about 8,000 dollars in net profit a year after running costs, so paying back the 40,000 dollar build cost took about 10 years even at a 7% interest rate. Traders who did not use a cold room in the same markets saw no measurable harm from its presence.

The bigger loss numbers describe a different stage

The 40% figure the industry repeats is close to a real number, just not the one a cold room measures. Nigeria loses about 40% of all the food it produces nationally, and separate figures put tomato losses at 45 to 60% of the harvest, onion losses at 50%, and chilli losses at 20 to 30%. All 3 figures describe loss between the farm and the first sale, before produce reaches a market stall, so a cold room there cannot fix a loss that already happened on the farm or the road.

Share of Nigeria crop harvest lost before it ever reaches a marketAt leastUp to
Tomato45 to 60%Onion50%Chilli20 to 30%0204060%

These figures measure loss from the farm to the first sale, before produce reaches a market stall, a different measurement from the trial figures in the other chart.

Source 3.

Show the numbers
Tomato45 to 60%
Onion50%
Chilli20 to 30%

How far the idea has reached

By 2024, ColdHubs was running 58 solar cold rooms and 7 separate ice points across 28 Nigerian states, serving 11,100 farmers, retailers and wholesalers, up from 54 cold rooms in 22 states in 2022, growth the company reports about itself. A separate solar cold storage company, SokoFresh in Kenya, works in a market where a joint report by the International Renewable Energy Agency and the Food and Agriculture Organization of the United Nations records post harvest loss that can reach 40%.

Sources

  1. Renewable energy for agri food systems, towards the Sustainable Development Goals and the Paris Agreement. International Renewable Energy Agency and the Food and Agriculture Organization of the United Nations. Published 2021. Accessed 2026-09-02.
  2. Solar Powered Cold Storages and Sustainable Food System Transformation, Evidence from Horticulture Markets Interventions in Northeast Nigeria. Hiroyuki Takeshima, Futoshi Yamauchi, Dauda Bawa, Salaudeen O. Kamaldeen, Hyacinth O. Edeh and Manuel Hernandez, International Food Policy Research Institute, Discussion Paper 02047. Published 2021-10. Accessed 2026-09-02.
  3. Food Loss in Nigeria, Value Chain Analysis of Tomato, Onion, Chilli value chains. SureChain, for the Centre for the Promotion of Imports from Developing Countries and the Netherlands Ministry of Foreign Affairs. Published 2021-01. Accessed 2026-09-02.
  4. Making the Case, Nigeria, Case Studies on Inclusive Economic Development. Marly Augustine, April Geng, Sarah Klein, Grace Liu and Yunxuan Zhang, Mastercard Center for Inclusive Growth and the Munk School of Global Affairs and Public Policy, University of Toronto. Published 2022-10. Accessed 2026-09-02.
  5. ColdHubs Impact Reports 2024. ColdHubs Limited. Published 2025. Accessed 2026-09-02.

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