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
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 period.
Biopharmaceutical Logistics Market forecast and Trends
market size of Biopharmaceutical Logistics Market is anticipated to reach US$
122.2 Bn 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 US$72.3 Bn. This presents an incremental value of Biopharmaceutical
Logistic market provide a decent opportunity for growth amidst the players in
the market, both regional and global.
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 logistics market.
sales coupled with rapidly growing biopharmaceutical industry
industry currently generates global revenues of $162 billion, 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 import of these drug is the main driven factor for Biopharmaceutical
Logistic industry in the entire globe in the current and forecasted duration.
High investments in the biopharmaceutical
innovations and advancements
2011 alone, pharmaceutical companies invested over USD $134 billion 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
Based 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
In 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 Biopharmaceutical Logistics
Market: Regional insights
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
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 objective of
- To analyze and
forecast the global Biopharmaceutical Logistics market size of the
market, in terms of value.
- To examine the
careful market segmentation and forecast the market size, in terms value, based
on the region by segmenting the Global Biopharmaceutical Logistics market into
five regions, namely, North America, Europe, Asia Pacific, Middle East, South
America and their leading countries.
- To outline, categorized
and forecast the global Biopharmaceutical Logistics market based on the product
type, application and end user.
- To examine
competitive developments like technological advancement, services, and regulative
framework within the global Biopharmaceutical Logistics Market.
- To highlight the
impact analysis of the factors, affecting the market dynamics such as drivers,
restraints, opportunities, and challenges.
- To strategically profile the key players and
comprehensively analyze their market shares along with detailing the
competitive landscape for market leaders.
Scope of the
Mode of Transportation
Asia Pacific (APAC)
Middle East & Africa
Deutsche Post DHL
Kuehne + Nagel
DB Schenker FedEx
Questions answer by the report
How will the market drivers, restraints and opportunities affect
the market dynamics?
What will be the market size in terms of value and volume and
market statistics with a detailed classification?
Which segment dominates the market or region and one will be the
fastest growing and why?
A comprehensive survey of the competitive landscape and the market
Analysis of strategy adopted by the key player and their impact on
Scope for the Client
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