Pharmaceutical Logistics Market size was valued at USD 81.41 Bn. in 2021 and the total Pharmaceutical Logistics revenue is expected to grow at a CAGR of 9.2% from 2022 to 2029, reaching nearly USD 164.61 Bn.
Pharmaceutical Logistics Market Overview:
Transporting healthcare materials across various modes necessitates the construction of complex logistical systems to ensure pharmaceutical delivery integrity. It demands specialized equipment, storage facilities, defined handling procedures, and, most importantly, strong collaboration among cold chain members. Pharmaceutical companies are increasingly outsourcing packaging and labeling to third-party vendors. Many pharmaceutical businesses are venturing into previously untapped regions including Sub-Saharan Africa and South America. In this scenario, pharmaceutical companies put significant importance on local logistics providers with substantial pharmaceutical expertise. This factor is expected to boost the demand for the pharmaceutical logistics market during the forecast period. However, with outsourcing operations, decreasing service standards and loss of control are major concerns.
The rising demand for over-the-counter (OTC) medications such as vitamins, minerals, and supplements (VMS), common cough and cold remedies, gastrointestinal pharmaceuticals, and dermatological products are driving the growth of the pharmaceutical logistics industry during the forecast period. The growing necessity of expedited assistance in the healthcare industry is also driving the pharmaceutical logistics industry. Additionally, lowering distribution costs by establishing a single source distribution channel increases demand for pharmaceutical logistics across the end-users and drives the pharmaceutical logistics market revenue.