Logistics demand attention as outsourcing picks up

Updated on 27 December 2012

Mr Fred Bauman, vice president, Industry Strategy, JDA Software, supply chain management and software company, shared in an interview with BioSpectrum that because of lower production of new drugs and drop in demand, the R&D expenses are rising. By 2013, the industry will experience patent drop off. To cut down the cost, pharmaceutical companies are looking at outsourcing the supply chain strategies.

Supply chain solutions for biologic products need specific infrastructure and careful handling during shipping. Swiss company Envirotainer provides active temperature control for air transportation of temperature-sensitive healthcare products. The company provides containers for air cargo on a rent-it-when-you-need-it basis through its global network and related services that ensure correct temperature throughout the transportation, from loading to delivery.

In an interview, Mr Gustaf Ljunggren, CEO and group president, Envirotainer, mentioned that more than half of the total flight time of drugs is spent on the ground. "That's where the most common risks occur, due to wide variations in ambient temperature. Envirotainer's solutions are designed to handle these uncertainties. Active sensors monitor the temperature in order to maintain the required conditions inside the container. And data monitoring and documentation ensure to follow up the exact status of shipment."

India manufactures majority of the world's total vaccines. Also, domestic biotech companies are aggressively looking to tap the biosimilars space with the help of a strong logistics set-up that is based on collaborations and partnerships. DHL, along with the Organization of Pharmaceutical Producers of India, drew the attention of industry in 2012 about the need of strong connection between biotech companies and their need for logistical support.

Mr Christoph Remund, CEO, DHL global forwarding, India, spoke to BioSpectrum about a white paper, 'Transforming Life Sciences Logistics in India', that talks about the competitive landscape of the life sciences industry and analyzes how logistics can be a crucial enabler of the growing life sciences sector in India. The study highlights 12 assets and enablers that need to be implemented in order to achieve world-class life sciences logistics in India. It includes setting up a dedicated pharmaceutical zones at airports, goods and services tax implementation, faster co-ordination amongst all ground handling agencies, multi-user warehouses and shared reefer vans and ocean freight containers, maintaining the supply chain integrity by using latest technology, such as RFID, GPS and anti-counterfeit equipment.

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