Global Bio-pharmaceutical Logistics
Market Forecast and Trends
Global market size of Biopharmaceutical
Logistics Market is anticipated to reach USD 122.2 Billion with a decent CAGR
of 6.7% within the forecast period from 2015 to 2025. In 2015, the global
biopharmaceutical logistics market was valued around USD 72.3 Billion. This
presents an incremental value of Biopharmaceutical Logistic market provide a
decent opportunity for growth amidst the players in the market, both regional
Growing upsurge in the production of biologics, hormone
medications, vaccine and complex proteins that require cold chain shipment has
additionally propelled the growth of biopharmaceutical logistic market. As
follows, conveyance and transportation of pharmaceutical products that require
a specific temperature witnessed a considerable growth of biopharmaceutical
Bio-pharmaceutical Logistics Market: Overview
Logistics is a key segment in the
biopharmaceutical supply chain. In an organization, logistics management with
the procurement, planning, and implementation of process activities in the
forward and turn around transportation of goods from one spot on to the next.
Biopharmaceutical Logistics is the logistics of biopharmaceutical, surgical and
medical supplies, and other products needed to support health specialist, nurses,
and dental care providers.
The rising number of biosimilar
endorsements around the globe, developing trend of outsourcing logistics and
development in pharmaceutical distribution network owing to its sales numbers
are some of the factors that are inciting the growth of the biopharmaceutical
logistics market. Nations around the world are tightening their guidelines and
regulations to ensure secure and dependable transportation of pharmaceutical
shipments. This has constrained key players to investigate novel technologies
to pace up with international standards and guidelines. Such as, the European
Union (EU) is focusing on strengthening good distribution practices (GDP)
guidelines. Given the scenario, companies in the region revamping their
technological and regulatory expertise. In line with these developments,
investments in biopharmaceutical have extensively expanded, in this way giving
the biopharmaceutical logistic market critical driving force in the forecasted
sales coupled with rapidly growing biopharmaceutical industry
Biopharmaceuticals industry generates
high revenue globally, making up about 20 percent of the pharma market. The
efficacy and safety of biopharmaceutical products, combined with their ability
to address previously untreatable conditions, allows pharma companies to
command high sales for innovative drugs in the global market. Strong demand of
global export imports of these drug is the main driven factor for
Biopharmaceutical Logistic industry in the entire globe in the current and
High investments in the biopharmaceutical
innovations and advancements
companies invest billions of dollars on research and development (R&D) of
new vaccines and medicines to improve patients’ daily lives. Despite the
growing scientific and regulatory challenges of the past decade, over 342 new
medicines have been introduced since 2002. A large proportion of the global
health gains seen over the past century can be attributed to innovative
biopharmaceutical product logistic market globally.
High cost of transportation
of factors and economic developments lies behind the rising transportation
costs. The demand-supply imbalance of freight transport services and oil
prices, is a repercussion of trade growth that has outpaced the availability of
transport services to such an extent that it has led to serious issues of
congestion and capacity constraint in the global biopharmaceutical logistics
market. Companies have made significant improvements to manufacturing, service
and maintenance operations through innovative techniques: eliminating waste,
variability and inflexibility in their systems and reducing costs by up to 50%
in the process. The operations of companies can save approximately 20-50% in
warehousing and up to 40% in transportation.
Biopharmaceutical Logistics Market: Logistic Type analysis
on type, the global biopharmaceutical logistics market can be bifurcated into
cold chain logistics and non-cold chain logistics. With an estimated share of
nearly 80%, the non-cold chain logistics segment emerged dominant in the market
in 2015. On account of the increasing use of biologics, the demand Cold chain
logistics is expected to witness the significant growth over the forecast
period. This is attributed to the rising demand for biologics over the past one
decade that require temperature-controlled distribution. Moreover, growing
demand for cellular therapies, vaccines and blood products are further driving
the growth of biopharmaceutical logistics market.
Biopharmaceutical Logistics Market: Mode of Transportation
terms of biopharmaceutical logistics transportation mode, the market has been
segmented into sea shipping, air shipping, road shipping, and rail shipping.
Air shipping is set to dominate the biopharmaceutical logistics market, in
terms of revenue share. The extension of the air transportation segment is
attributed to air ship cargo being the fastest way of shipping pharmaceutical
products with product deterioration, which is particularly highly desired for
transporting temperature-sensitive critical biologic drugs and vaccines.
Despite, air shipping has a limitation of volume which can be transferred, and
subsequently road shipping and sea shipping will outpace air shipping in volume
enhancement during the forecast period.
Global Bio-pharmaceutical Logistics
Market: Regional Insights
Based on region, the
market is segmented into North America, Europe, Asia-Pacific, Latin America,
and Middle East & Africa. Amidst
the geographies, North America is anticipated to dominate the enhancement of
biopharmaceutical logistics market over the forecast period followed by Europe.
This is attributed to the couple of factors such as large number of import and
export of pharmaceuticals and North America is the first ones to introduce
advanced technologies for the advancement of warehousing and transportation in
the supply chain.
Asia Pacific is expected to witness the
lucrative growth over the forecast period. This is attributed to the growing
demand for medicines in the midst of aging population and growing number of
diseases in the region is contributing to the rising demand for pharmaceuticals
and biologics are further contributing into the growth of the market.
Enhancement planned by the Government in introducing more cold storage
facilities in India, is likely to boost biopharmaceutical logistic market
growth in this region.
The major industry players in
the global biopharmaceutical logistics market include prominent names like
Deutsche Post DHL, Kuehne + Nagel, DB Schenker, FedEx, AmerisourceBergen, UPS
(Marken), XPO Logistics, Panalpina, VersaCold, Agility, DSV, Nippon Express,
GEODIS, Sinotrans, Kerry Logistics, SF Express and other prominent players.
Recent DevelopmentScope of the Report
Ø March 2020 - DHL and ESL have extended their successful
partnership pertaining to ESL One. As part of this cooperation, DHL will continue
to be involved in one of the most engaging esports series in the world as
sponsor and logistics partner in 2020.
Ø February 2020 - DB Schenker has expanded its
product portfolio with its new La Conciergerie service and is now the first
logistics provider to offer a personalized white-glove treatment for the
world’s leading luxury fashion brands. With the launch of La Conciergerie,
clients can now rely on DB Schenker to set up a unique customer experience
through discrete and customized on-demand deliveries of sensitive and urgent
fashion goods to their VIP clientele.
Historical data – 2015-2018
Base Year – 2018
2019 – 2025
Revenue in USD Billion
U.S, Canada, Germany, UK,
France, Italy, Spain, Brazil, Mexico, Argentina, Japan, South Korea, China,
India, UAE, South Africa, Saudi Arabia
By logistic type, Product Type, Mode of transportation, retail
format, and Region.
Deutsche Post DHL, Kuehne + Nagel, DB Schenker,
FedEx, AmerisourceBergen, UPS (Marken), XPO Logistics, Panalpina, VersaCold,
Agility, DSV, Nippon Express, GEODIS, Sinotrans, Kerry Logistics, SF Express
and other prominent players.
By Logistic Type
By Product Type
By Mode of Transportation
By Retail Format
Middle East & Africa
The objective of the Study:
Ø To analyze and forecast the global Bio-pharmaceutical
Logistics Market size of themarket in terms of value.
Ø To examine the careful market segmentation and
forecast the market size, in terms of value, based on the region by segmenting.
Ø The Global Bio-pharmaceutical Logistics Market
segmented into five regions, namely, North America, Europe, Asia Pacific, Latin
America, Middle East & Africa and their leading countries.
Ø To outline, categorized, and forecast the global Bio-pharmaceutical
Logistics Market based on logistic type, Product Type, Mode of transportation,
and retail format.
Ø To examine competitive developments like
technological advancement, services, and regulative framework within the global
Bio-pharmaceutical Logistics Market.
Ø To highlight the impact analysis of the factors
affecting the market dynamics such as drivers, restraints, opportunities, and
Ø To strategically profile the key players and
comprehensively analyze their market shares along with detailing the
competitive landscape for market leaders.