The impact of the COVID-19 pandemic has forced pharmaceutical companies to re-evaluate their supply chains including reshoring manufacturing of APIs, intermediates, and other products.
GlobalData has conducted a survey to assess the major commercial supply chain concerns for pharma companies amid the COVID-19 pandemic. The companies were classified into two categories for the purpose of the survey – companies with predominantly marketed drugs and companies with pipeline and marketed drugs.
Go deeper with GlobalData
Supply chain risks associated with API chemicals were the biggest concern for companies with predominantly marketed drugs, as expressed by a majority 27% of the respondents in Q1, which increased to 29% in Q3.
The next biggest concern for them was API intermediates, with approximately 19% of the companies voting for it in Q1, compared to 14% in Q3. Concern over the same was lesser for companies with pipeline and marketed drugs, at 11% in Q1, which increased to 13% in Q3.
Logistics and transport was the biggest concern for companies with pipeline and marketed drugs in Q1, as opined by 25% of the respondents. The concern, however, decreased to 17% in Q3.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataCommercial supply chain concerns by company type: Q1 vs Q3
Commercial packaging was listed as one of the risks related to supply chains by 18% of the companies with pipeline and marketed drugs in Q1, which declined to 7% in Q3. Companies with predominantly marketed drugs expressed lesser concern over the same in Q1, at 4%, but the concern increased to 7% in Q3.
Logistics and transport was the main concern for 15% of the companies with predominantly marketed drugs in Q1, which declined marginally to 14% in Q3.
API biologics including advanced therapeutics was voted as a major concern by 8% of the companies with predominantly marketed drugs in Q1, the concern regarding which declined to 0% in Q3.
Concerns over API biologics including protein and peptide decreased for companies with pipeline and marketed drugs, from 12% in Q1 to 7% in Q3. Supply chain concerns related to API chemical too declined from 11% in Q1 to 9% in Q3.
In Q1, 8% of the companies with pipeline and marketed drugs expressed concerns regarding commercial dose injectables, which increased to 11% in Q3. Non-API raw materials was expressed as the major concern by 4% of the companies with predominantly marketed drugs in Q1, which increased to 7% in Q3.
Other concerns raised by the two types of companies were related to commercial solid dose, commercial non-sterile dose, and other commercial dose materials.
The analysis is based on responses received from the Pharmaceutical Trade and Supply Chain Survey between 07 July and 30 July 2020.
