global view

The pharmaceutical industry is continuing to evolve, with research and development processes improving on an ongoing basis. From utilising the technologies and resources available to supporting developing markets, the potential for change is growing continuously. Having a full understanding of how pharmaceuticals are manufactured globally is a great step in the right direction for global health, enhancing the quality of the pharmaceuticals and speeding up the manufacturing process to provide a better supply of the medicines that are needed.

How are pharmaceuticals manufactured worldwide?

The EU and USA are home to leading manufacturing facilities of pharmaceutical ingredients, being followed by India and China who also offer a significant contribution. With different nation’s leading in different areas, global affiliates are essential for creating advanced solutions for the benefit of public health.

For example, the US is a world leader in biomedical research, specialising in discovering and developing drugs but not so much manufacturing. With the drug production process requiring large scale facilities which often lead to associated environmental liabilities, how are pharmaceuticals manufactured following their development? A large percentage of the manufacturing process is carried out overseas, with wage, facilities and access to materials being significant factors to consider.

China is a popular are for outsourcing manufacturing to. With a network of raw materials and lower costs of electricity, water and coal, the cost can be kept down to a minimum. In addition to the cost of materials, the price of the workforce is significantly lower due to lower staff wages, shipping costs and less environmental regulations to consider. Without an understanding of how pharmaceuticals are manufactured overseas, the production cost is inflated and leads to a lower level of productivity.

Forming global alliances to develop the process

Various leading pharmaceutical companies have already benefited from opening up their processes to external corporations. Utilising a combination of specialisms can lead to a more effective yet cheaper development process when it comes to creating new drugs, undergoing thorough trial processes with the use of specialised technology. The enhanced process often reduces the time that is taken to get the drug to market, achieving results for both patients and the business itself.

Once the R&D process has been complete and the drug is being supplied to the public, sourcing the best location to undergo the ongoing manufacturing process can ensure demand is met. The growth of the pharma industry can be associated to the utilisation of different resources from reputable external companies. Addressing medicine shortages and finding suitable storage and distribution solutions speeds up the supply chain process, accelerating the process as a whole.

Having a global manufacturing network makes adapting to change more manageable. The Covid-19 pandemic is the ideal example of unexpected circumstances which can lead to challenges on the supply chain process. A global network is easier to adapt to, with shifts being possible to adapt to the scenario and avoid disruption where possible.

For more information on pharmaceutical distribution across the UK, contact a member of our expert team, here