Biopharmaceutical Third-party Logistics Market – Global Industry Size, Share, Trends, Opportunity, & Forecast 2018-2028 Segmented By Supply Chain (Cold Chain, Non-cold Chain), By Service Type (Transportation, Warehousing & Storage, Other), By Region, Competition
Global Biopharmaceutical Third-party Logistics Market has valued at USD 125.91 billion in 2022 and is anticipated to project robust growth in the forecast period with a CAGR of 6.08% through 2028. The Global Biopharmaceutical Third-Party Logistics Market encompasses the outsourcing of logistics and supply chain management services by biopharmaceutical companies to specialized third-party logistics providers. These services include transportation, warehousing, distribution, and other value-added services tailored to the unique requirements of the biopharmaceutical industry.
he Global Biopharmaceutical 3PL Market has been experiencing substantial growth in recent years. Factors driving this growth include the increasing complexity of the biopharmaceutical supply chain, the globalization of the biopharmaceutical industry, and the need for specialized handling of temperature-sensitive products like vaccines and biologics. The market size, as of the latest available data, is valued in billions of dollars, and it continues to expand at a steady rate.
Key Market Drivers
Pharmaceutical Industry's Continuous Evolution
The pharmaceutical industry is marked by constant evolution. Advancements in biotechnology, genomics, and precision medicine have led to a surge in biopharmaceutical product development. These novel therapies, including biologics, gene therapies, and vaccines, often come with intricate logistics requirements. For instance, many biopharmaceuticals are highly sensitive to temperature fluctuations and must be transported under strict temperature control. Moreover, the increasing focus on personalized medicine has led to the development of therapies tailored to individual patients, requiring efficient and precise distribution. These evolving needs are beyond the capacity of most in-house supply chains, leading biopharmaceutical companies to seek specialized 3PL providers who possess the expertise to handle such delicate cargo.
Globalization of Biopharmaceutical Supply Chains
The biopharmaceutical industry has rapidly globalized. Companies operate on a worldwide scale, with manufacturing facilities and distribution networks spanning the globe. The globalization of supply chains brings both opportunities and challenges. While it opens up new markets and collaboration possibilities, it also introduces complexities related to international shipping, customs regulations, and regional compliance standards. Biopharmaceutical 3PL providers are equipped to navigate these complexities effectively. They offer a global footprint with local knowledge, enabling seamless cross-border transportation while ensuring compliance with diverse regulatory requirements. This capability is invaluable in ensuring the timely and compliant delivery of biopharmaceutical products to markets worldwide.
Regulatory Compliance and Quality Assurance
Regulatory compliance is paramount in the biopharmaceutical industry to guarantee the safety, efficacy, and integrity of pharmaceutical products. Stringent regulations, such as Good Distribution Practices (GDP), Good Manufacturing Practices (GMP), and the validation of temperature-controlled supply chains, demand meticulous attention to detail. Biopharmaceutical 3PL providers excel in this aspect. They invest significantly in quality assurance processes, state-of-the-art facilities, and advanced temperature monitoring and control systems. Their specialized knowledge ensures that pharmaceutical products are transported, stored, and delivered in a manner that meets or exceeds regulatory requirements. This not only mitigates risks but also safeguards the reputation and trust of biopharmaceutical companies.
Cost Efficiency and Focus on Core Competencies
Biopharmaceutical companies are increasingly focused on their core competencies—research, development, and innovation. These core activities demand significant investments of time, resources, and expertise. Handling the logistics aspects internally can divert valuable resources away from these critical functions. Consequently, many biopharmaceutical companies opt to outsource their logistics operations to 3PL providers. This strategic decision offers several advantages, including cost efficiency and scalability. 3PL providers have economies of scale, optimized processes, and established networks that result in cost savings for their clients. By entrusting logistics to specialists, biopharmaceutical companies can streamline their operations, reduce operational costs, and ensure the timely delivery of products to markets worldwide.
The Global Biopharmaceutical Third-party Logistics Market's growth is underpinned by these four significant drivers. The dynamic nature of the pharmaceutical industry, global expansion, stringent regulatory requirements, and the pursuit of cost-effective solutions collectively fuel the demand for specialized 3PL services. This partnership between biopharmaceutical companies and 3PL providers is poised to play a pivotal role in shaping the industry's future, ensuring the efficient and compliant distribution of life-saving medicines and therapies to patients worldwide.
Key Market Challenges
Regulatory Complexity and Compliance Challenges
The biopharmaceutical industry operates under stringent regulatory frameworks, and compliance is paramount. However, these regulations are complex and subject to change, varying from one region to another. Biopharmaceutical products often require specialized storage and transportation conditions, such as temperature-controlled environments, which further complicate compliance efforts. Ensuring that all aspects of logistics, from transportation to storage and distribution, meet regulatory requirements can be a significant challenge for 3PL providers.
Moreover, the introduction of new regulations or changes in existing ones can lead to compliance gaps and necessitate costly adaptations. Non-compliance risks include product recalls, fines, and reputational damage, making it a critical concern for both biopharmaceutical companies and their 3PL partners.
Temperature and Security Risks
Biopharmaceutical products, particularly vaccines, biologics, and certain drugs, are often highly sensitive to temperature fluctuations. Maintaining the required temperature conditions throughout the supply chain is essential to ensure product efficacy and patient safety. Any deviation from the specified temperature range can result in the degradation or loss of valuable medications.
Additionally, the need for enhanced security is a growing concern. Biopharmaceutical products are high-value commodities that can attract theft or tampering attempts. Ensuring the security of these products during transportation and storage is a considerable challenge for 3PL providers. Implementing robust security measures, including tracking systems, tamper-evident packaging, and secure facilities, is essential but resource-intensive.
Supply Chain Disruptions and Resilience
The COVID-19 pandemic has vividly demonstrated the vulnerabilities of global supply chains. Disruptions caused by unforeseen events such as pandemics, natural disasters, geopolitical tensions, or even cyberattacks can have a profound impact on the biopharmaceutical supply chain. Delays or interruptions in the supply chain can result in shortages of critical medications and vaccines, endangering public health.
Building resilience into the supply chain to mitigate these risks is a significant challenge. 3PL providers must establish redundancy and contingency plans, diversify sourcing options, and maintain adequate stock levels to address disruptions effectively. However, these measures come at a cost and require ongoing monitoring and adjustment to adapt to evolving threats.
While the Global Biopharmaceutical Third-Party Logistics Market offers substantial growth opportunities, it also faces significant challenges that can hinder its progress. The intricacies of regulatory compliance, the need for precise temperature control, security concerns, and the imperative to build supply chain resilience are formidable obstacles that 3PL providers and biopharmaceutical companies must address collectively. Successfully navigating these challenges is essential to ensure the reliable and compliant distribution of life-saving biopharmaceutical products to patients worldwide.
Key Market Trends
Personalized Medicine and Biologics
One of the prominent trends in the biopharmaceutical industry is the rapid growth of personalized medicine and biologics. Personalized medicine tailors treatments to individual patients based on their genetic makeup, offering more effective and precise therapies. Biologics, which include monoclonal antibodies, vaccines, and cell therapies, have gained prominence due to their ability to treat complex diseases like cancer and autoimmune disorders. However, these therapies often require specialized handling and distribution, including stringent temperature control.
This trend presents a significant opportunity for 3PL providers specializing in healthcare logistics. They must adapt to handle the unique requirements of personalized medicine and biologics, ensuring the safe and compliant transport of these sensitive products. Investments in state-of-the-art temperature-controlled facilities, real-time monitoring systems, and compliance expertise are becoming essential for 3PL companies to cater to the evolving needs of biopharmaceutical manufacturers.
Digitalization and Supply Chain Visibility
The digital transformation of supply chains is another major trend in the biopharmaceutical 3PL market. Technologies such as Internet of Things (IoT), blockchain, and advanced analytics are being harnessed to enhance supply chain visibility and efficiency. Real-time monitoring of temperature-sensitive products during transit, coupled with blockchain's ability to provide an immutable record of product provenance, helps ensure the integrity of biopharmaceutical shipments.
3PL providers are increasingly integrating digital solutions into their services. This includes tracking and tracing systems that provide real-time data on the location and condition of pharmaceutical products. Such innovations not only enhance security and compliance but also allow for proactive management of potential issues, such as temperature excursions. As biopharmaceutical companies demand greater transparency and accountability in their supply chains, 3PL providers that embrace digitalization are poised for growth.
Sustainability and Green Logistics
Sustainability is a growing concern across industries, including biopharmaceuticals. Biopharmaceutical companies are under pressure to reduce their carbon footprint and adopt environmentally friendly practices. This includes minimizing waste, optimizing transportation routes, and using eco-friendly packaging materials.
Sustainability has become a key driver for both biopharmaceutical companies and 3PL providers. Green logistics practices, such as the use of electric or hybrid vehicles, energy-efficient warehouses, and sustainable packaging, are gaining traction. 3PL providers that can offer eco-friendly solutions and demonstrate their commitment to sustainability are likely to attract environmentally conscious biopharmaceutical clients. Additionally, adhering to sustainable practices not only aligns with corporate social responsibility goals but can also result in cost savings over the long term.
The Global Biopharmaceutical Third-Party Logistics Market is experiencing significant trends driven by advances in biopharmaceutical products, digitalization, and sustainability concerns. 3PL providers that can adapt to these trends by offering specialized services for personalized medicine and biologics, leveraging digital solutions for supply chain visibility, and embracing green logistics practices are well-positioned to thrive in this dynamic and evolving industry.
Segmental Insights
Form Supply Chain Insights
Based on the category of Supply chain, the non-cold chain segment emerged as the dominant player in the global market for Biopharmaceutical Third-party Logistics in 2022. Biopharmaceutical products, including vaccines, biologics, and certain drugs, often have stringent temperature and handling requirements. These products are sensitive to temperature fluctuations and can degrade or become ineffective if not stored and transported under controlled conditions. Maintaining the cold chain (temperature-controlled supply chain) is crucial to preserving the efficacy and safety of these products.
Temperature control is paramount in the biopharmaceutical industry. Many biologics and vaccines require storage and transportation within a narrow temperature range to maintain their potency. For example, some vaccines must be stored at ultra-low temperatures, such as -70°C (-94°F), to remain effective. Any deviation from these temperature requirements can result in product spoilage and, in some cases, public health risks. Biopharmaceutical products are distributed globally to reach patients and healthcare providers worldwide. This global distribution adds complexity to the logistics process. It involves international shipping, customs regulations, and adherence to various regional temperature control standards. Ensuring that biopharmaceuticals remain within the specified temperature range throughout their journey is a daunting task. Non-chain cold logistics providers specialize in temperature-controlled logistics but operate independently of traditional cold chain systems. Unlike the typical cold chain, which includes a continuous and unbroken series of temperature-controlled facilities, transportation, and storage, non-chain cold logistics providers offer specialized, on-demand solutions. These factors are expected to drive the growth of this segment.
Service Type Insights
The warehousing and storage segment is projected to experience rapid growth during the forecast period. Biopharmaceutical products, including vaccines, biologics, and other sensitive medications, often require strict temperature control and monitoring to maintain their efficacy and safety. Temperature-sensitive products may need to be stored in cold storage facilities, refrigerated warehouses, or even ultra-low-temperature freezers. These specialized storage conditions are essential to ensure that biopharmaceuticals remain within their specified temperature range.
The biopharmaceutical industry is highly regulated, with strict adherence to quality and safety standards such as Good Manufacturing Practices (GMP) and Good Distribution Practices (GDP). Warehousing and storage providers specializing in biopharmaceuticals are well-versed in these regulations and ensure that their facilities meet all necessary compliance requirements. This expertise is critical to avoiding regulatory issues and maintaining the integrity of pharmaceutical products. Effective inventory management is crucial in the biopharmaceutical sector to prevent stockouts, overstocking, or product expiry. Warehousing and storage providers offer advanced inventory management systems that enable real-time tracking of products, batch-level traceability, and precise stock rotation. This level of control ensures that biopharmaceutical companies can optimize their supply chain while minimizing waste. These factors collectively contribute to the growth of this segment.
Regional Insights
North America emerged as the dominant player in the global Biopharmaceutical Third-party Logistics market in 2022, holding the largest market share in terms of value. The commanding position can be attributed to North America's supremacy within the biologics and pharmaceutical drugs sector, as well as the uptick in biopharmaceutical imports and exports. Furthermore, owing to the region's robust healthcare expenditure, the adoption of cutting-edge technologies has reached remarkable levels. Consequently, North American pharmaceutical firms are increasingly entrusting third-party logistics (3PL) service providers to enhance their warehousing and transportation capabilities, a trend that is propelling regional growth.
The Asia-Pacific market is poised to be the fastest-growing market, offering lucrative growth opportunities for Biopharmaceutical Third-party Logistics players during the forecast period. Factors such as The rapid growth of the pharmaceutical sector can be attributed to several key factors. Firstly, there is an increasing demand for medications, particularly driven by the aging population. Simultaneously, the adoption of advanced healthcare services and favorable economic conditions in emerging markets like China and India have played a pivotal role in driving this growth trajectory. Also, a notable trend on the horizon is the impending expiration of numerous drug patents. This development is expected to lead to a significant shift in drug sales, transitioning from original brand manufacturers to generic counterparts. Consequently, this shift is poised to have a positive impact on pharmaceutical product sales as well as import and export activities within the industry. The rising incidence of various diseases is fueling the demand for biologics and pharmaceuticals. For example, the Asia Pacific region has witnessed a surge in demand for insulin, primarily due to the increasing number of patients diagnosed with type 2 diabetes. This underscores the growing need for essential medications in the pharmaceutical market.
Key Market Players
DHL International GmbH.
SF Express Co.
United Parcel Service of America, Inc.
AmerisourceBergen Corporation
DB Schenker
Kuehne and Nagel AG
Kerry Logistics Network Ltd.
Agility Co
Report Scope:
In this report, the Global Biopharmaceutical Third-party Logistics Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:
Company Profiles: Detailed analysis of the major companies present in the Global Biopharmaceutical Third-party Logistics Market.
Available Customizations:
Global Biopharmaceutical Third-party Logistics market report with the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:
Company Information
he Global Biopharmaceutical 3PL Market has been experiencing substantial growth in recent years. Factors driving this growth include the increasing complexity of the biopharmaceutical supply chain, the globalization of the biopharmaceutical industry, and the need for specialized handling of temperature-sensitive products like vaccines and biologics. The market size, as of the latest available data, is valued in billions of dollars, and it continues to expand at a steady rate.
Key Market Drivers
Pharmaceutical Industry's Continuous Evolution
The pharmaceutical industry is marked by constant evolution. Advancements in biotechnology, genomics, and precision medicine have led to a surge in biopharmaceutical product development. These novel therapies, including biologics, gene therapies, and vaccines, often come with intricate logistics requirements. For instance, many biopharmaceuticals are highly sensitive to temperature fluctuations and must be transported under strict temperature control. Moreover, the increasing focus on personalized medicine has led to the development of therapies tailored to individual patients, requiring efficient and precise distribution. These evolving needs are beyond the capacity of most in-house supply chains, leading biopharmaceutical companies to seek specialized 3PL providers who possess the expertise to handle such delicate cargo.
Globalization of Biopharmaceutical Supply Chains
The biopharmaceutical industry has rapidly globalized. Companies operate on a worldwide scale, with manufacturing facilities and distribution networks spanning the globe. The globalization of supply chains brings both opportunities and challenges. While it opens up new markets and collaboration possibilities, it also introduces complexities related to international shipping, customs regulations, and regional compliance standards. Biopharmaceutical 3PL providers are equipped to navigate these complexities effectively. They offer a global footprint with local knowledge, enabling seamless cross-border transportation while ensuring compliance with diverse regulatory requirements. This capability is invaluable in ensuring the timely and compliant delivery of biopharmaceutical products to markets worldwide.
Regulatory Compliance and Quality Assurance
Regulatory compliance is paramount in the biopharmaceutical industry to guarantee the safety, efficacy, and integrity of pharmaceutical products. Stringent regulations, such as Good Distribution Practices (GDP), Good Manufacturing Practices (GMP), and the validation of temperature-controlled supply chains, demand meticulous attention to detail. Biopharmaceutical 3PL providers excel in this aspect. They invest significantly in quality assurance processes, state-of-the-art facilities, and advanced temperature monitoring and control systems. Their specialized knowledge ensures that pharmaceutical products are transported, stored, and delivered in a manner that meets or exceeds regulatory requirements. This not only mitigates risks but also safeguards the reputation and trust of biopharmaceutical companies.
Cost Efficiency and Focus on Core Competencies
Biopharmaceutical companies are increasingly focused on their core competencies—research, development, and innovation. These core activities demand significant investments of time, resources, and expertise. Handling the logistics aspects internally can divert valuable resources away from these critical functions. Consequently, many biopharmaceutical companies opt to outsource their logistics operations to 3PL providers. This strategic decision offers several advantages, including cost efficiency and scalability. 3PL providers have economies of scale, optimized processes, and established networks that result in cost savings for their clients. By entrusting logistics to specialists, biopharmaceutical companies can streamline their operations, reduce operational costs, and ensure the timely delivery of products to markets worldwide.
The Global Biopharmaceutical Third-party Logistics Market's growth is underpinned by these four significant drivers. The dynamic nature of the pharmaceutical industry, global expansion, stringent regulatory requirements, and the pursuit of cost-effective solutions collectively fuel the demand for specialized 3PL services. This partnership between biopharmaceutical companies and 3PL providers is poised to play a pivotal role in shaping the industry's future, ensuring the efficient and compliant distribution of life-saving medicines and therapies to patients worldwide.
Key Market Challenges
Regulatory Complexity and Compliance Challenges
The biopharmaceutical industry operates under stringent regulatory frameworks, and compliance is paramount. However, these regulations are complex and subject to change, varying from one region to another. Biopharmaceutical products often require specialized storage and transportation conditions, such as temperature-controlled environments, which further complicate compliance efforts. Ensuring that all aspects of logistics, from transportation to storage and distribution, meet regulatory requirements can be a significant challenge for 3PL providers.
Moreover, the introduction of new regulations or changes in existing ones can lead to compliance gaps and necessitate costly adaptations. Non-compliance risks include product recalls, fines, and reputational damage, making it a critical concern for both biopharmaceutical companies and their 3PL partners.
Temperature and Security Risks
Biopharmaceutical products, particularly vaccines, biologics, and certain drugs, are often highly sensitive to temperature fluctuations. Maintaining the required temperature conditions throughout the supply chain is essential to ensure product efficacy and patient safety. Any deviation from the specified temperature range can result in the degradation or loss of valuable medications.
Additionally, the need for enhanced security is a growing concern. Biopharmaceutical products are high-value commodities that can attract theft or tampering attempts. Ensuring the security of these products during transportation and storage is a considerable challenge for 3PL providers. Implementing robust security measures, including tracking systems, tamper-evident packaging, and secure facilities, is essential but resource-intensive.
Supply Chain Disruptions and Resilience
The COVID-19 pandemic has vividly demonstrated the vulnerabilities of global supply chains. Disruptions caused by unforeseen events such as pandemics, natural disasters, geopolitical tensions, or even cyberattacks can have a profound impact on the biopharmaceutical supply chain. Delays or interruptions in the supply chain can result in shortages of critical medications and vaccines, endangering public health.
Building resilience into the supply chain to mitigate these risks is a significant challenge. 3PL providers must establish redundancy and contingency plans, diversify sourcing options, and maintain adequate stock levels to address disruptions effectively. However, these measures come at a cost and require ongoing monitoring and adjustment to adapt to evolving threats.
While the Global Biopharmaceutical Third-Party Logistics Market offers substantial growth opportunities, it also faces significant challenges that can hinder its progress. The intricacies of regulatory compliance, the need for precise temperature control, security concerns, and the imperative to build supply chain resilience are formidable obstacles that 3PL providers and biopharmaceutical companies must address collectively. Successfully navigating these challenges is essential to ensure the reliable and compliant distribution of life-saving biopharmaceutical products to patients worldwide.
Key Market Trends
Personalized Medicine and Biologics
One of the prominent trends in the biopharmaceutical industry is the rapid growth of personalized medicine and biologics. Personalized medicine tailors treatments to individual patients based on their genetic makeup, offering more effective and precise therapies. Biologics, which include monoclonal antibodies, vaccines, and cell therapies, have gained prominence due to their ability to treat complex diseases like cancer and autoimmune disorders. However, these therapies often require specialized handling and distribution, including stringent temperature control.
This trend presents a significant opportunity for 3PL providers specializing in healthcare logistics. They must adapt to handle the unique requirements of personalized medicine and biologics, ensuring the safe and compliant transport of these sensitive products. Investments in state-of-the-art temperature-controlled facilities, real-time monitoring systems, and compliance expertise are becoming essential for 3PL companies to cater to the evolving needs of biopharmaceutical manufacturers.
Digitalization and Supply Chain Visibility
The digital transformation of supply chains is another major trend in the biopharmaceutical 3PL market. Technologies such as Internet of Things (IoT), blockchain, and advanced analytics are being harnessed to enhance supply chain visibility and efficiency. Real-time monitoring of temperature-sensitive products during transit, coupled with blockchain's ability to provide an immutable record of product provenance, helps ensure the integrity of biopharmaceutical shipments.
3PL providers are increasingly integrating digital solutions into their services. This includes tracking and tracing systems that provide real-time data on the location and condition of pharmaceutical products. Such innovations not only enhance security and compliance but also allow for proactive management of potential issues, such as temperature excursions. As biopharmaceutical companies demand greater transparency and accountability in their supply chains, 3PL providers that embrace digitalization are poised for growth.
Sustainability and Green Logistics
Sustainability is a growing concern across industries, including biopharmaceuticals. Biopharmaceutical companies are under pressure to reduce their carbon footprint and adopt environmentally friendly practices. This includes minimizing waste, optimizing transportation routes, and using eco-friendly packaging materials.
Sustainability has become a key driver for both biopharmaceutical companies and 3PL providers. Green logistics practices, such as the use of electric or hybrid vehicles, energy-efficient warehouses, and sustainable packaging, are gaining traction. 3PL providers that can offer eco-friendly solutions and demonstrate their commitment to sustainability are likely to attract environmentally conscious biopharmaceutical clients. Additionally, adhering to sustainable practices not only aligns with corporate social responsibility goals but can also result in cost savings over the long term.
The Global Biopharmaceutical Third-Party Logistics Market is experiencing significant trends driven by advances in biopharmaceutical products, digitalization, and sustainability concerns. 3PL providers that can adapt to these trends by offering specialized services for personalized medicine and biologics, leveraging digital solutions for supply chain visibility, and embracing green logistics practices are well-positioned to thrive in this dynamic and evolving industry.
Segmental Insights
Form Supply Chain Insights
Based on the category of Supply chain, the non-cold chain segment emerged as the dominant player in the global market for Biopharmaceutical Third-party Logistics in 2022. Biopharmaceutical products, including vaccines, biologics, and certain drugs, often have stringent temperature and handling requirements. These products are sensitive to temperature fluctuations and can degrade or become ineffective if not stored and transported under controlled conditions. Maintaining the cold chain (temperature-controlled supply chain) is crucial to preserving the efficacy and safety of these products.
Temperature control is paramount in the biopharmaceutical industry. Many biologics and vaccines require storage and transportation within a narrow temperature range to maintain their potency. For example, some vaccines must be stored at ultra-low temperatures, such as -70°C (-94°F), to remain effective. Any deviation from these temperature requirements can result in product spoilage and, in some cases, public health risks. Biopharmaceutical products are distributed globally to reach patients and healthcare providers worldwide. This global distribution adds complexity to the logistics process. It involves international shipping, customs regulations, and adherence to various regional temperature control standards. Ensuring that biopharmaceuticals remain within the specified temperature range throughout their journey is a daunting task. Non-chain cold logistics providers specialize in temperature-controlled logistics but operate independently of traditional cold chain systems. Unlike the typical cold chain, which includes a continuous and unbroken series of temperature-controlled facilities, transportation, and storage, non-chain cold logistics providers offer specialized, on-demand solutions. These factors are expected to drive the growth of this segment.
Service Type Insights
The warehousing and storage segment is projected to experience rapid growth during the forecast period. Biopharmaceutical products, including vaccines, biologics, and other sensitive medications, often require strict temperature control and monitoring to maintain their efficacy and safety. Temperature-sensitive products may need to be stored in cold storage facilities, refrigerated warehouses, or even ultra-low-temperature freezers. These specialized storage conditions are essential to ensure that biopharmaceuticals remain within their specified temperature range.
The biopharmaceutical industry is highly regulated, with strict adherence to quality and safety standards such as Good Manufacturing Practices (GMP) and Good Distribution Practices (GDP). Warehousing and storage providers specializing in biopharmaceuticals are well-versed in these regulations and ensure that their facilities meet all necessary compliance requirements. This expertise is critical to avoiding regulatory issues and maintaining the integrity of pharmaceutical products. Effective inventory management is crucial in the biopharmaceutical sector to prevent stockouts, overstocking, or product expiry. Warehousing and storage providers offer advanced inventory management systems that enable real-time tracking of products, batch-level traceability, and precise stock rotation. This level of control ensures that biopharmaceutical companies can optimize their supply chain while minimizing waste. These factors collectively contribute to the growth of this segment.
Regional Insights
North America emerged as the dominant player in the global Biopharmaceutical Third-party Logistics market in 2022, holding the largest market share in terms of value. The commanding position can be attributed to North America's supremacy within the biologics and pharmaceutical drugs sector, as well as the uptick in biopharmaceutical imports and exports. Furthermore, owing to the region's robust healthcare expenditure, the adoption of cutting-edge technologies has reached remarkable levels. Consequently, North American pharmaceutical firms are increasingly entrusting third-party logistics (3PL) service providers to enhance their warehousing and transportation capabilities, a trend that is propelling regional growth.
The Asia-Pacific market is poised to be the fastest-growing market, offering lucrative growth opportunities for Biopharmaceutical Third-party Logistics players during the forecast period. Factors such as The rapid growth of the pharmaceutical sector can be attributed to several key factors. Firstly, there is an increasing demand for medications, particularly driven by the aging population. Simultaneously, the adoption of advanced healthcare services and favorable economic conditions in emerging markets like China and India have played a pivotal role in driving this growth trajectory. Also, a notable trend on the horizon is the impending expiration of numerous drug patents. This development is expected to lead to a significant shift in drug sales, transitioning from original brand manufacturers to generic counterparts. Consequently, this shift is poised to have a positive impact on pharmaceutical product sales as well as import and export activities within the industry. The rising incidence of various diseases is fueling the demand for biologics and pharmaceuticals. For example, the Asia Pacific region has witnessed a surge in demand for insulin, primarily due to the increasing number of patients diagnosed with type 2 diabetes. This underscores the growing need for essential medications in the pharmaceutical market.
Key Market Players
DHL International GmbH.
SF Express Co.
United Parcel Service of America, Inc.
AmerisourceBergen Corporation
DB Schenker
Kuehne and Nagel AG
Kerry Logistics Network Ltd.
Agility Co
Report Scope:
In this report, the Global Biopharmaceutical Third-party Logistics Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:
- Biopharmaceutical Third-party Logistics Market, By Supply Chain:
- Cold Chain
- Non-cold Chain
- Biopharmaceutical Third-party Logistics Market, By Service Type:
- Transportation
- Warehousing & Storage
- Other
- Biopharmaceutical Third-party Logistics Market, By Region:
- North America
- United States
- Canada
- Mexico
- Europe
- France
- United Kingdom
- Italy
- Germany
- Spain
- Asia-Pacific
- China
- India
- Japan
- Australia
- South Korea
- South America
- Brazil
- Argentina
- Colombia
- Middle East & Africa
- South Africa
- Saudi Arabia
- UAE
- Kuwait
- Turkey
- Egypt
Company Profiles: Detailed analysis of the major companies present in the Global Biopharmaceutical Third-party Logistics Market.
Available Customizations:
Global Biopharmaceutical Third-party Logistics market report with the given market data, Tech Sci Research offers customizations according to a company's specific needs. The following customization options are available for the report:
Company Information
- Detailed analysis and profiling of additional market players (up to five).
1. PRODUCT OVERVIEW
1.1. Market Definition
1.2. Scope of the Market
1.2.1. Markets Covered
1.2.2. Years Considered for Study
1.2.3. Key Market Segmentations
2. RESEARCH METHODOLOGY
2.1. Objective of the Study
2.2. Baseline Methodology
2.3. Key Industry Partners
2.4. Major Association and Secondary Sources
2.5. Forecasting Methodology
2.6. Data Triangulation & Validation
2.7. Assumptions and Limitations
3. EXECUTIVE SUMMARY
3.1. Overview of the Market
3.2. Overview of Key Market Segmentations
3.3. Overview of Key Market Players
3.4. Overview of Key Regions/Countries
3.5. Overview of Market Drivers, Challenges, Trends
4. VOICE OF CUSTOMER
5. GLOBAL BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
5.1. Market Size & Forecast
5.1.1. By Value
5.2. Market Share & Forecast
5.2.1. By Supply Chain (Cold Chain, Non-cold Chain)
5.2.2. By Service Type (Transportation, Warehousing & Storage, Other)
5.2.3. By Region
5.2.4. By Company (2022)
5.3. Market Map
6. NORTH AMERICA BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
6.1. Market Size & Forecast
6.1.1. By Value
6.2. Market Share & Forecast
6.2.1. By Supply Chain
6.2.2. By Service Type
6.2.3. By Country
6.3. North America: Country Analysis
6.3.1. United States Biopharmaceutical Third-party Logistics Market Outlook
6.3.1.1. Market Size & Forecast
6.3.1.1.1. By Value
6.3.1.2. Market Share & Forecast
6.3.1.2.1. By Supply Chain
6.3.1.2.2. By Service Type
6.3.2. Canada Biopharmaceutical Third-party Logistics Market Outlook
6.3.2.1. Market Size & Forecast
6.3.2.1.1. By Value
6.3.2.2. Market Share & Forecast
6.3.2.2.1. By Supply Chain
6.3.2.2.2. By Service Type
6.3.3. Mexico Biopharmaceutical Third-party Logistics Market Outlook
6.3.3.1. Market Size & Forecast
6.3.3.1.1. By Value
6.3.3.2. Market Share & Forecast
6.3.3.2.1. By Supply Chain
6.3.3.2.2. By Service Type
7. EUROPE BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
7.1. Market Size & Forecast
7.1.1. By Value
7.2. Market Share & Forecast
7.2.1. By Supply Chain
7.2.2. By Service Type
7.3. Europe: Country Analysis
7.3.1. Germany Biopharmaceutical Third-party Logistics Market Outlook
7.3.1.1. Market Size & Forecast
7.3.1.1.1. By Value
7.3.1.2. Market Share & Forecast
7.3.1.2.1. By Supply Chain
7.3.1.2.2. By Service Type
7.3.2. United Kingdom Biopharmaceutical Third-party Logistics Market Outlook
7.3.2.1. Market Size & Forecast
7.3.2.1.1. By Value
7.3.2.2. Market Share & Forecast
7.3.2.2.1. By Supply Chain
7.3.2.2.2. By Service Type
7.3.3. Italy Biopharmaceutical Third-party Logistics Market Outlook
7.3.3.1. Market Size & Forecast
7.3.3.1.1. By Value
7.3.3.2. Market Share & Forecasty
7.3.3.2.1. By Supply Chain
7.3.3.2.2. By Service Type
7.3.4. France Biopharmaceutical Third-party Logistics Market Outlook
7.3.4.1. Market Size & Forecast
7.3.4.1.1. By Value
7.3.4.2. Market Share & Forecast
7.3.4.2.1. By Supply Chain
7.3.4.2.2. By Service Type
7.3.5. Spain Biopharmaceutical Third-party Logistics Market Outlook
7.3.5.1. Market Size & Forecast
7.3.5.1.1. By Value
7.3.5.2. Market Share & Forecast
7.3.5.2.1. By Supply Chain
7.3.5.2.2. By Service Type
8. ASIA-PACIFIC BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
8.1. Market Size & Forecast
8.1.1. By Value
8.2. Market Share & Forecast
8.2.1. By Supply Chain
8.2.2. By Service Type
8.3. Asia-Pacific: Country Analysis
8.3.1. China Biopharmaceutical Third-party Logistics Market Outlook
8.3.1.1. Market Size & Forecast
8.3.1.1.1. By Value
8.3.1.2. Market Share & Forecast
8.3.1.2.1. By Supply Chain
8.3.1.2.2. By Service Type
8.3.2. India Biopharmaceutical Third-party Logistics Market Outlook
8.3.2.1. Market Size & Forecast
8.3.2.1.1. By Value
8.3.2.2. Market Share & Forecast
8.3.2.2.1. By Supply Chain
8.3.2.2.2. By Service Type
8.3.3. Japan Biopharmaceutical Third-party Logistics Market Outlook
8.3.3.1. Market Size & Forecast
8.3.3.1.1. By Value
8.3.3.2. Market Share & Forecast
8.3.3.2.1. By Supply Chain
8.3.3.2.2. By Service Type
8.3.4. South Korea Biopharmaceutical Third-party Logistics Market Outlook
8.3.4.1. Market Size & Forecast
8.3.4.1.1. By Value
8.3.4.2. Market Share & Forecast
8.3.4.2.1. By Supply Chain
8.3.4.2.2. By Service Type
8.3.5. Australia Biopharmaceutical Third-party Logistics Market Outlook
8.3.5.1. Market Size & Forecast
8.3.5.1.1. By Value
8.3.5.2. Market Share & Forecast
8.3.5.2.1. By Supply Chain
8.3.5.2.2. By Service Type
9. SOUTH AMERICA BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
9.1. Market Size & Forecast
9.1.1. By Value
9.2. Market Share & Forecast
9.2.1. By Supply Chain
9.2.2. By Service Type
9.3. South America: Country Analysis
9.3.1. Brazil Biopharmaceutical Third-party Logistics Market Outlook
9.3.1.1. Market Size & Forecast
9.3.1.1.1. By Value
9.3.1.2. Market Share & Forecast
9.3.1.2.1. By Supply Chain
9.3.1.2.2. By Service Type
9.3.2. Argentina Biopharmaceutical Third-party Logistics Market Outlook
9.3.2.1. Market Size & Forecast
9.3.2.1.1. By Value
9.3.2.2. Market Share & Forecast
9.3.2.2.1. By Supply Chain
9.3.2.2.2. By Service Type
9.3.3. Colombia Biopharmaceutical Third-party Logistics Market Outlook
9.3.3.1. Market Size & Forecast
9.3.3.1.1. By Value
9.3.3.2. Market Share & Forecast
9.3.3.2.1. By Supply Chain
9.3.3.2.2. By Service Type
10. MIDDLE EAST AND AFRICA BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
10.1. Market Size & Forecast
10.1.1. By Value
10.2. Market Share & Forecast
10.2.1. By Supply Chain
10.2.2. By Service Type
10.3. MEA: Country Analysis
10.3.1. South Africa Biopharmaceutical Third-party Logistics Market Outlook
10.3.1.1. Market Size & Forecast
10.3.1.1.1. By Value
10.3.1.2. Market Share & Forecast
10.3.1.2.1. By Supply Chain
10.3.1.2.2. By Service Type
10.3.2. Saudi Arabia Biopharmaceutical Third-party Logistics Market Outlook
10.3.2.1. Market Size & Forecast
10.3.2.1.1. By Value
10.3.2.2. Market Share & Forecast
10.3.2.2.1. By Supply Chain
10.3.2.2.2. By Service Type
10.3.3. UAE Biopharmaceutical Third-party Logistics Market Outlook
10.3.3.1. Market Size & Forecast
10.3.3.1.1. By Value
10.3.3.2. Market Share & Forecast
10.3.3.2.1. By Supply Chain
10.3.3.2.2. By Service Type
11. MARKET DYNAMICS
11.1. Drivers & Challenges
12. MARKET TRENDS & DEVELOPMENTS
12.1. Recent Developments
12.2. Product Launches
12.3. Mergers & Acquisitions
13. GLOBAL BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET: SWOT ANALYSIS
14. COMPETITIVE LANDSCAPE
14.1. DHL International GmbH.
14.2. SF Express Co.
14.3. United Parcel Service of America, Inc.
14.4. AmerisourceBergen Corporation
14.5. DB Schenker
14.6. Kuehne and Nagel AG
14.7. Kerry Logistics Network Ltd.
14.8. Agility Co.
15. STRATEGIC RECOMMENDATIONS
16. ABOUT US & DISCLAIMER
1.1. Market Definition
1.2. Scope of the Market
1.2.1. Markets Covered
1.2.2. Years Considered for Study
1.2.3. Key Market Segmentations
2. RESEARCH METHODOLOGY
2.1. Objective of the Study
2.2. Baseline Methodology
2.3. Key Industry Partners
2.4. Major Association and Secondary Sources
2.5. Forecasting Methodology
2.6. Data Triangulation & Validation
2.7. Assumptions and Limitations
3. EXECUTIVE SUMMARY
3.1. Overview of the Market
3.2. Overview of Key Market Segmentations
3.3. Overview of Key Market Players
3.4. Overview of Key Regions/Countries
3.5. Overview of Market Drivers, Challenges, Trends
4. VOICE OF CUSTOMER
5. GLOBAL BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
5.1. Market Size & Forecast
5.1.1. By Value
5.2. Market Share & Forecast
5.2.1. By Supply Chain (Cold Chain, Non-cold Chain)
5.2.2. By Service Type (Transportation, Warehousing & Storage, Other)
5.2.3. By Region
5.2.4. By Company (2022)
5.3. Market Map
6. NORTH AMERICA BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
6.1. Market Size & Forecast
6.1.1. By Value
6.2. Market Share & Forecast
6.2.1. By Supply Chain
6.2.2. By Service Type
6.2.3. By Country
6.3. North America: Country Analysis
6.3.1. United States Biopharmaceutical Third-party Logistics Market Outlook
6.3.1.1. Market Size & Forecast
6.3.1.1.1. By Value
6.3.1.2. Market Share & Forecast
6.3.1.2.1. By Supply Chain
6.3.1.2.2. By Service Type
6.3.2. Canada Biopharmaceutical Third-party Logistics Market Outlook
6.3.2.1. Market Size & Forecast
6.3.2.1.1. By Value
6.3.2.2. Market Share & Forecast
6.3.2.2.1. By Supply Chain
6.3.2.2.2. By Service Type
6.3.3. Mexico Biopharmaceutical Third-party Logistics Market Outlook
6.3.3.1. Market Size & Forecast
6.3.3.1.1. By Value
6.3.3.2. Market Share & Forecast
6.3.3.2.1. By Supply Chain
6.3.3.2.2. By Service Type
7. EUROPE BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
7.1. Market Size & Forecast
7.1.1. By Value
7.2. Market Share & Forecast
7.2.1. By Supply Chain
7.2.2. By Service Type
7.3. Europe: Country Analysis
7.3.1. Germany Biopharmaceutical Third-party Logistics Market Outlook
7.3.1.1. Market Size & Forecast
7.3.1.1.1. By Value
7.3.1.2. Market Share & Forecast
7.3.1.2.1. By Supply Chain
7.3.1.2.2. By Service Type
7.3.2. United Kingdom Biopharmaceutical Third-party Logistics Market Outlook
7.3.2.1. Market Size & Forecast
7.3.2.1.1. By Value
7.3.2.2. Market Share & Forecast
7.3.2.2.1. By Supply Chain
7.3.2.2.2. By Service Type
7.3.3. Italy Biopharmaceutical Third-party Logistics Market Outlook
7.3.3.1. Market Size & Forecast
7.3.3.1.1. By Value
7.3.3.2. Market Share & Forecasty
7.3.3.2.1. By Supply Chain
7.3.3.2.2. By Service Type
7.3.4. France Biopharmaceutical Third-party Logistics Market Outlook
7.3.4.1. Market Size & Forecast
7.3.4.1.1. By Value
7.3.4.2. Market Share & Forecast
7.3.4.2.1. By Supply Chain
7.3.4.2.2. By Service Type
7.3.5. Spain Biopharmaceutical Third-party Logistics Market Outlook
7.3.5.1. Market Size & Forecast
7.3.5.1.1. By Value
7.3.5.2. Market Share & Forecast
7.3.5.2.1. By Supply Chain
7.3.5.2.2. By Service Type
8. ASIA-PACIFIC BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
8.1. Market Size & Forecast
8.1.1. By Value
8.2. Market Share & Forecast
8.2.1. By Supply Chain
8.2.2. By Service Type
8.3. Asia-Pacific: Country Analysis
8.3.1. China Biopharmaceutical Third-party Logistics Market Outlook
8.3.1.1. Market Size & Forecast
8.3.1.1.1. By Value
8.3.1.2. Market Share & Forecast
8.3.1.2.1. By Supply Chain
8.3.1.2.2. By Service Type
8.3.2. India Biopharmaceutical Third-party Logistics Market Outlook
8.3.2.1. Market Size & Forecast
8.3.2.1.1. By Value
8.3.2.2. Market Share & Forecast
8.3.2.2.1. By Supply Chain
8.3.2.2.2. By Service Type
8.3.3. Japan Biopharmaceutical Third-party Logistics Market Outlook
8.3.3.1. Market Size & Forecast
8.3.3.1.1. By Value
8.3.3.2. Market Share & Forecast
8.3.3.2.1. By Supply Chain
8.3.3.2.2. By Service Type
8.3.4. South Korea Biopharmaceutical Third-party Logistics Market Outlook
8.3.4.1. Market Size & Forecast
8.3.4.1.1. By Value
8.3.4.2. Market Share & Forecast
8.3.4.2.1. By Supply Chain
8.3.4.2.2. By Service Type
8.3.5. Australia Biopharmaceutical Third-party Logistics Market Outlook
8.3.5.1. Market Size & Forecast
8.3.5.1.1. By Value
8.3.5.2. Market Share & Forecast
8.3.5.2.1. By Supply Chain
8.3.5.2.2. By Service Type
9. SOUTH AMERICA BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
9.1. Market Size & Forecast
9.1.1. By Value
9.2. Market Share & Forecast
9.2.1. By Supply Chain
9.2.2. By Service Type
9.3. South America: Country Analysis
9.3.1. Brazil Biopharmaceutical Third-party Logistics Market Outlook
9.3.1.1. Market Size & Forecast
9.3.1.1.1. By Value
9.3.1.2. Market Share & Forecast
9.3.1.2.1. By Supply Chain
9.3.1.2.2. By Service Type
9.3.2. Argentina Biopharmaceutical Third-party Logistics Market Outlook
9.3.2.1. Market Size & Forecast
9.3.2.1.1. By Value
9.3.2.2. Market Share & Forecast
9.3.2.2.1. By Supply Chain
9.3.2.2.2. By Service Type
9.3.3. Colombia Biopharmaceutical Third-party Logistics Market Outlook
9.3.3.1. Market Size & Forecast
9.3.3.1.1. By Value
9.3.3.2. Market Share & Forecast
9.3.3.2.1. By Supply Chain
9.3.3.2.2. By Service Type
10. MIDDLE EAST AND AFRICA BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET OUTLOOK
10.1. Market Size & Forecast
10.1.1. By Value
10.2. Market Share & Forecast
10.2.1. By Supply Chain
10.2.2. By Service Type
10.3. MEA: Country Analysis
10.3.1. South Africa Biopharmaceutical Third-party Logistics Market Outlook
10.3.1.1. Market Size & Forecast
10.3.1.1.1. By Value
10.3.1.2. Market Share & Forecast
10.3.1.2.1. By Supply Chain
10.3.1.2.2. By Service Type
10.3.2. Saudi Arabia Biopharmaceutical Third-party Logistics Market Outlook
10.3.2.1. Market Size & Forecast
10.3.2.1.1. By Value
10.3.2.2. Market Share & Forecast
10.3.2.2.1. By Supply Chain
10.3.2.2.2. By Service Type
10.3.3. UAE Biopharmaceutical Third-party Logistics Market Outlook
10.3.3.1. Market Size & Forecast
10.3.3.1.1. By Value
10.3.3.2. Market Share & Forecast
10.3.3.2.1. By Supply Chain
10.3.3.2.2. By Service Type
11. MARKET DYNAMICS
11.1. Drivers & Challenges
12. MARKET TRENDS & DEVELOPMENTS
12.1. Recent Developments
12.2. Product Launches
12.3. Mergers & Acquisitions
13. GLOBAL BIOPHARMACEUTICAL THIRD-PARTY LOGISTICS MARKET: SWOT ANALYSIS
14. COMPETITIVE LANDSCAPE
14.1. DHL International GmbH.
14.2. SF Express Co.
14.3. United Parcel Service of America, Inc.
14.4. AmerisourceBergen Corporation
14.5. DB Schenker
14.6. Kuehne and Nagel AG
14.7. Kerry Logistics Network Ltd.
14.8. Agility Co.
15. STRATEGIC RECOMMENDATIONS
16. ABOUT US & DISCLAIMER
