Global Pharmaceutical Logistics Market 2024-2030

    In Stock

    PHARMACEUTICAL LOGISTICS MARKET

     

    INTRODUCTION

    One of the key challenges for the entire world is efficient vaccine supply chain, COVID-19 pandemic has brought pharmaceutical logistics into the limelight. The Global Pharmaceutical Logistics Market is expected to grow at a CAGR of XX%.

     

    The market growth is attributed to the increasing demand for the household healthcare products and raising importance of fast-track assistance.

     

    Additionally, there is a growing need for maintaining the cold chain integrity for pharmaceutical products and decreasing the distribution cost by creating a single source distribution channel is further boosting the demand of pharmaceutical logistics.

     

    Research suggests that logistics costs comprise of about 45-55% of the costs in the Indian Pharmaceutical supply chain from factory to shelf.  Logistics has long been considered as a basic supporting function within the life sciences sector.

     

    infographic: Pharmaceutical Logistics Market , Pharmaceutical Logistics Market size, Pharmaceutical Logistics Market trends, Pharmaceutical Logistics Market forecast, Pharmaceutical Logistics Market risks, Pharmaceutical Logistics Market report, Pharmaceutical Logistics Market share

    During the period of 2000-2016, the global pharmaceutical air trade has more than doubled. The demand for pharmaceutical logistics is growing in U.S. on account of the increasing sales of generic drugs, as well as reforms in the healthcare sector favouring generics. The market in the North America region is significantly fragmented owing to the presence of a large number of regional and international companies.

     

    PHARMACEUTICAL LOGISTICS MARKET OVERVIEW

     

    The need for healthcare cold chain logistics is primarily felt in three major segments: biopharmaceuticals, vaccines and clinical trials. Biopharmaceuticals are generally complex protein molecules and their efficacy requires temperature specific logistics.

     

    Any abrupt temperature change may lead to loss of chemical activity and make biopharmaceuticals harmful for human body. Moreover, increasing number of clinical trials employing temperature sensitive materials like blood sample, tissue sample and certain drugs, has stimulated the market growth.

     

    Also, demand for vaccines has increased, owing to the mass immunization programmes conducted by various government and non-government organizations. Like biopharmaceuticals, vaccines are also temperature sensitive and their potency may reduce on exposure to temperature variations.

     

    Driven by the increasing outsourcing trends in the pharmaceutical and biopharmaceutical industry, the cold chain logistics demand for drugs, vaccines and clinical trial materials is expected to increase significantly.

     

    On the basis of product, vaccines drive the demand for healthcare cold chain logistics market, followed by clinical trials and biopharmaceuticals.  

     

    infographic: Pharmaceutical Logistics Market , Pharmaceutical Logistics Market size, Pharmaceutical Logistics Market trends, Pharmaceutical Logistics Market forecast, Pharmaceutical Logistics Market risks, Pharmaceutical Logistics Market report, Pharmaceutical Logistics Market share

     

    On the basis of segment, transportation accounts for more than half of the global cold chain logistic services. Other major segments are packaging and instrumentation. On the basis of region, North America is the largest market, followed by Asia-Pacific, Europe and others.

     

    Asia-Pacific is the fastest growing region, owing to the developing economies of China, India, South Korea, which are emerging as major destinations for outsourcing clinical trials, drug manufacturing and pathology testing.

     

    PHARMACEUTICAL LOGISTICS MARKET MARKET DYNAMICS

     

    SI No Timeline Developments
    1 Q4-2021 The pharmaceutical logistics market witnessed a huge growth after the Covid-19 pandemic, the pharmaceutical equipment, medicines and products demand increased and also vaccine transportation are the major key factors that boosted the logistics and supply.
    2 Q4-2021 Leading provider of supply chain execution, Blume Global partnered with Kuehne+Nagel Group to develop supply chain technologies solutions.
    3 Q4-2021 FedEx entered the Indian market by investing $100 million Delhivery to assist its operations with a long term agreement. FedEx operates international logistics operations from India and Delhivery will assist FedEx by providing services in pickup, deliveries and return of products in India.
    4 Q3-2021 DHL Supply Chain to open a new state of the art warehouse for the improvement of logistics in life sciences and pharmaceutical companies at Lebanon with an investment of $88 Million.
    5 Q2-2021 Supply chain management and logistics solutions DB Schenker expanded its existing logistics facility at Indianapolis by adding 50,000 square foot cold room and 50,000 square feet of room temperature controlled facilities for the pharmaceutical industry to meet the growing demand.

     

    PHARMACEUTICAL LOGISTICS MARKET SEGMENTATION

     

    Pharmaceutical Logistics Market Mode Of Transport

    1. Air cargo
    2. Ocean cargo
    3. Road transport
    4. End to End transport services

     

    Pharmaceutical Logistics Market Application

    1. Bulk drug handlers
    2. Vaccine
    3. Chemicals & Other raw materials
    4. Biological material and organs
    5. Hazardous cargo

     

     

    PHARMACEUTICAL LOGISTICS TRENDS IN THE MARKET

     

    SI No Timeline Company Developments
    1 Q4-2021 DHL Global leader in the logistics industry DHL supplied one billion vaccines around the world.
    2 Q4-2021 Kerry Logistics & Logistikus Kerry Logistics partnered with Philippine logistics firm Logistikus launched their joint venture “Kerry Logistikus Philippines”. This marks the entry of KLN into the Philippine logistics, market which is driven by e-commerce demand, domestic manufacturing and exports.
    3 Q3-2021 United Parcel Services Stericycle partnered with United Parcel Services to deal with its medical waste in a reverse logistics process.
    4 Q2-2021 Kuehne+Nagel QuickSTAT, owned by Kuehne+Nagel, opened its new pharma facility at Singapore for the processing and storage of pharma goods, which increased its market position in the Asia Pacific regions.
    5 Q2-2021 DB Schenker SkyCell will supply hybrid pharma temperature controlled containers under the lease of agreement with DB Schenker for the COVID vaccines transportation. 
    6 Q1-2021 DHL Global Forwarding DHL Global Forwarding received a contract to supply the first batch of Pfizer’s vaccine delivery to Japan through its air and ocean freight division.

     

     

    infographic: Pharmaceutical Logistics Market , Pharmaceutical Logistics Market size, Pharmaceutical Logistics Market trends, Pharmaceutical Logistics Market forecast, Pharmaceutical Logistics Market risks, Pharmaceutical Logistics Market report, Pharmaceutical Logistics Market share

     

    Near Shoring

    Much of the supply chain of pharmaceuticals are routed through China for the APIs (Active Pharmaceutical Ingredients), the US government has requested the FDA (Food and Drug Authority) to determine the key APIs that are needed for the manufacturing of advanced drugs that are routed through China.

     

    US government plans to design alternate strategy for these APIs, one of the important strategies of the US government is to start manufacturing these APIs in the US soil or under the CUSMA agreement let Canada or Mexico manufacture these ingredients, Global pharma transport through air shipments would critically be affected, with Canada and Mexico in the picture the US road transport players get a great opportunity for growth.

     

    COVID-19 Vaccine Is The Biggest Driver

    Till the end of 2022 or mid-2023, the biggest revenue generator for the pharmaceuticals logistics market, with vaccine in short supply this might even end till the end of 2024, India, China and the US being the largest vaccine makers most of the global air cargo industry involved would be routed through these nations, domestically the coronavirus vaccine would be the biggest contributor to the market, but the growth rates vary dramatically between nations due to the infrastructure capabilities.

     

    Africa would have the slowest cold chain growth and Europe being the fastest growth market for the cold chain players.

     

    Increase In Non-Cold Chain Products

     

    Non cold chain products exhibit higher sales over cold chain products in general all over the world. The non-cold chain spending is expected to grow at a CAGR of 2%. A nominal increase in the cold-chain products is also expected due to the ongoing transition to bio-based products, rigorous preconditions of life science shipments coupled with the growing globalization of the pharmaceutical trade.

     

    Cold-chain products require colder temperatures throughout the storage, handling, and transportation processes to maintain product integrity. Biopharma products are manufactured or extracted from various biological sources such as vaccines, blood and its components, as well as gene therapies.

     

    Penetration Of Digital Supply Chain

    The market is highly competitive with many companies striving to offer cloud-based supply chain solutions and a secured supply chain function. These kinds of technological implementation help manufacturers in verifying the authenticity of the drugs, thus avoiding the production of counterfeit drugs and medical devices. 

     

     

    NEW PRODUCT LAUNCH IN PHARMACEUTICAL LOGISTICS MARKET

     

    SkyCell has unveiled its next-generation 1500X container for the delivery of high-value pharmaceuticals. The 1500X is designed for pharmaceutical product shipments that must be stored between the temperatures of +2°C and +8°C or +15°C and +25°C, and has a tested independent runtime of 270 hours at 20°C.

     

    The 1500X is fully equipped with the company’s proprietary SECURE SaaS platform for in-transit monitoring, according to the producer of temperature-controlled hybrid containers. The 1500X is 120kg lighter than its predecessor and has a payload capacity of up to 1,000kg, thanks to a die-cast frame that uses the same method used to make aeroplane parts.

     

    Companies can transport more in each individual container thanks to the new internal height of 1.3 m, which adds 7.8% more internal volume and lowers costs and CO2 emissions.Even in the event of unforeseen situations such as aircraft delays, re-routing, or delays at customs, the 270-hour runtime assures that the shipment of temperature-sensitive cargo is unaffected.

     

    The 1500X keeps SkyCell’s innovative double-door technology, which prevents humidity changes and adds security while in transit. The company provides real-time shipment visibility, bridging supply chain visibility gaps and enabling remedial actions to be taken based on key data collected during transportation.

     

    Four 1500X containers can be put onto a single conventional PMC pallet, and the 1500X can be loaded into a normal truck with up to 18 containers using only a pallet jack.

     

    The feet of the 1500X have been modified to further protect against shock and vibration. The die-cast aluminium feet absorb impact and decrease vibrations from aircraft and vehicles, which are a primary cause of in-transit product spoiling, coupled with excursions outside the acceptable temperature range.

     

    The 1500X development goals were based on client feedback and assist them in lowering their CO2 footprint. Using graphene as part of  proprietary heat distribution improves the 1500X’s recharge capability when in a chilly room at customs clearing or in a reefer truck, extending the shelf life of pharmaceutical products and showcasing our ability to genuinely push the boundaries of smart design.

     

    The 1500X provides enhanced performance, protection, and efficiency. It will contribute to achieving the goal of zero losses in the global pharmaceutical supply chain.

     

    PHARMACEUTICAL LOGISTICS MARKET RECENT TRENDS

     

    Cold Chain Management: With the delivery of vaccines and biologics that are temperature-sensitive, there is a greater emphasis on preserving the integrity of the cold chain. To guarantee correct temperature control throughout the supply chain, cutting-edge temperature monitoring systems, real-time tracking, and data analytics are being used.

     

    Blockchain technology is becoming more popular in pharmaceutical logistics to improve transparency and traceability. It makes it possible to maintain safe, immutable records, assuring the legitimacy of pharmaceutical products and making supply chain transaction verification easier.

     

    Data analytics and predictive analytics: Predictive analytics and data analytics tools are being used increasingly frequently in pharmaceutical logistics. By enhancing inventory control, demand forecasting, and route planning, these technologies contribute to cost savings, increased productivity, and better decision-making.

     

    Drones and autonomous vehicles are being investigated for last-mile delivery in the pharmaceutical logistics industry.They provide the potential for speedier and more effective pharmaceutical administration, particularly in hard-to-reach or isolated locations.Additionally, these technologies are used to make emergency deliveries in disaster zones or places with poor infrastructure.

     

    Robotics and automation: The procedures involved in order fulfillment and warehousing make use of robotics and automation.Picking, packing, and sorting pharmaceutical products with the help of robots can increase productivity, accuracy, and efficiency.Automated methods also assist in lowering the possibility of mistakes and contamination when handling pharmaceuticals.

     

    IoT with real-time tracking: Pharmaceutical shipments are tracked and watched in real-time using the Internet of Things. The constant monitoring of temperature, humidity, location, and other crucial characteristics is made possible by IoT devices like sensors and RFID tags.

     

    This guarantees prompt action in the event of deviations and aids in maintaining product conformity and quality. Green logistics: Pharmaceutical logistics are becoming more and more concerned with sustainability. Employing electric vehicles, streamlining transportation routes to save emissions, and putting in place recycling and waste management programs are just a few of the environmentally friendly business practices that are becoming more and more popular. Green efforts improve brand reputation in addition to helping to preserve the environment.

     

    Collaboration Between Stakeholders: In the logistics industry for pharmaceuticals, collaboration between stakeholders is on the rise. This comprises collaborations between logistics service providers, healthcare organizations, and producers of pharmaceuticals in order to increase the efficiency of the supply chain overall. Collaboration can result in cost savings, improved visibility, and better coordination of patient needs management.

     

    Artificial intelligence (AI) and machine learning (ML): Various elements of pharmaceutical logistics, including as demand forecasting, supply chain optimization, and risk management, are being addressed by AI and ML technologies. These tools can analyze enormous volumes of data, spot trends, and offer useful information for enhancing workflows and boosting productivity.

     

    PHARMACEUTICAL LOGISTICS MARKET TECHNICAL ADVANCEMENT

     

    Internet of Things (IoT): IoT technologies are being utilized in the supply chain to link diverse equipment and sensors. IoT devices can track temperature, humidity, location, and other environmental parameters in real-time for pharmaceutical logistics. This makes it possible for early intervention, guarantees adherence to storage regulations, and aids in preserving product quality all along the supply chain.

     

    Robotics and automation: Warehouse operations, picking, packing, and sorting are all being changed by robotics and automation. Automated systems increase production by increasing speed, accuracy, and efficiency while lowering the likelihood of errors. The use of autonomous mobile robots for material handling and delivery is also made possible by robotics, which makes processes quicker and more effective.

     

    Blockchain Technology: Blockchain technology offers a transparent, secure way for tracking and validating supply chain transactions.It improves pharmaceutical product traceability, authenticity, and transparency while lowering the risk of counterfeiting and increasing supply chain visibility.Blockchain can also make administrative procedures more efficient and make regulatory compliance simpler. 

     

    Improved decision-making in logistics is made possible by the use of data analytics tools and prediction models. Logistics providers can optimize supply chain operations, inventory levels, and routes by analyzing historical data and current information. In order to run operations more effectively, predictive analytics can forecast demand, foresee supply chain problems, and pinpoint areas for improvement.

     

    Augmented reality (AR) and virtual reality (VR) technologies are being used in logistics operations for remote maintenance, training, and assistance. To increase worker productivity, cut down on mistakes, and boost overall operational effectiveness, they can offer virtual simulations, interactive tutorials, and real-time information overlays. 

     

    Drones and Autonomous Vehicles: The use of drones and autonomous vehicles, such as self-driving trucks and delivery vans, has the potential to speed up and improve logistical transportation. They can improve safety, cut down on fuel use, and optimize routes. In order to enable quicker and more flexible distribution of medicinal supplies, drones are also being investigated for last-mile deliveries in isolated or crowded places.

     

    While still in its infancy, 3D printing has the potential to upend some parts of the logistics of the pharmaceutical industry. It makes it possible to produce customized medical equipment, prosthetic limbs, and even drugs on demand. Localized manufacture might be made possible, especially for uncommon or specialty medicinal items, which would lessen the need for elaborate supply chains.

     

     

    PHARMACEUTICAL LOGISTICS MARKET COMPETITIVE LANDSCAPE

     

    SI No Timeline Company Developments
    1 Q4-2021 United Parcel Services United Parcel Services(UPS) announced its third quarter profit of $2.3 billion. Revenue increased positively over quarter due to increase in online shipping. UPS is testing same day delivery to compete with its rivals.
    2 Q4-2021 Kuehne+Nagel Switzerland based global leading logistics company Kuehne+Nagel Group announced its total turnover of CHF 20.4 billion in the year 2020.
    3 Q4-2021 Delhivery Spoton Logistics specialised in automotive, pharmaceutical and engineering logistics services acquired by Delhivery for a deal of $200 million, will expand its market presence and filed for a $500 million IPO in the Indian stock market.
    4 Q4-2021 7bridges AI powered logistics platform provider 7bridges raised $17 million to increase its operations.

     

    PHARMACEUTICAL LOGISTICS MARKET COMPANY PROFILES

    Sl no Topic
    1 Market Segmentation
    2 Scope of the report
    3 Abbreviations
    4 Research Methodology
    5 Executive Summary
    6 Introduction
    7 Insights from Industry stakeholders
    8 Cost breakdown of Product by sub-components and average profit margin
    9 Disruptive innovation in the Industry
    10 Technology trends in the Industry
    11 Consumer trends in the industry
    12 Recent Production Milestones
    13 Component Manufacturing in US, EU and China
    14 COVID-19 impact on overall market
    15 COVID-19 impact on Production of components
    16 COVID-19 impact on Point of sale
    17 Market Segmentation, Dynamics and Forecast by Geography, 2024-2030
    18 Market Segmentation, Dynamics and Forecast by Product Type, 2024-2030
    19 Market Segmentation, Dynamics and Forecast by Application, 2024-2030
    20 Market Segmentation, Dynamics and Forecast by End use, 2024-2030
    21 Product installation rate by OEM, 2023
    22 Incline/Decline in Average B-2-B selling price in past 5 years
    23 Competition from substitute products
    24 Gross margin and average profitability of suppliers
    25 New product development in past 12 months
    26 M&A in past 12 months
    27 Growth strategy of leading players
    28 Market share of vendors, 2023
    29 Company Profiles
    30 Unmet needs and opportunity for new suppliers
    31 Conclusion
    32 Appendix
     
    1
      1
      Your Cart
      US Warehousing Market
      US Warehousing Market 2023-2030
      1 X $3,500 = $3,500