Overview

According to research, the Global Pharma Industry today is roughly USD 1.1 trillion and projected to rise by 41% by 2020. Products that require refrigerated storage are worth USD 260 billion. It is estimated that by 2020, the pharma cold chain logistics will be worth USD 16.7 billion at a growth rate of 8% to 9% year on. The biggest drivers of cold-chain logistics over the next few years will be:

  • Continued development of biologically based products
  • Approval and market penetration of biosimilars
  • Expansion in both usage and production of these drugs and other cold-chain products in emerging markets

Statistics reveal that over USD 15 billion in product losses occur every year in the pharmaceutical industry due to temperature excursions alone. This figure does not include the costs associated with replacing those goods, the labor costs (direct / indirect) associated with the root cause analysis process, or other causes of product loss such as shock, humidity, etc. All accounted for, it is estimated that over USD 35 billion is lost each year.

In the pharmaceutical supply chain, every detail counts. Perishable products such as vaccines and insulin requires constant temperature monitoring in transportation to prevent temperature abuse which can jeopardize the safety and integrity of the products. 36% of vaccine shelf-life is lost due to poor cold chain management. Therefore, Good Cold Chain Management is an integration of several processes that are either enforced by legislation or adopted through guidelines.