Pharma traffic expected to grow 12%

A 12 per cent growth rate is predicted for pharmaceutical air freight over the next five years as air cargo carriers and logistics operators prioritise investment in facilities to cater for the rapidly growing pharaceutical market. In 2011 alone, the pharma logistics market is estimated to be worth €47 billion.


Aramex DKSH FedEx FedEx’s K+N Logwin pharma TNT U-Freight


Pharma traffic expected to grow 12%

A 12 per cent growth rate is predicted for pharmaceutical air freight over the next five years as air cargo carriers and logistics operators prioritise investment in facilities to cater for the rapidly growing pharaceutical market. In 2011 alone, the pharma logistics market is estimated to be worth €47 billion. Freight giant UPS has invested in five new pharmaceuticals facilities in the past year, while Germany’s Lufthansa recently opened a new cold cargo facility in Frankfurt to complement its pharmaceutical hub in Hyderabad, India, which opened in May. Pharmaceutical logistics growth will average 7.6 per cent in the coming years, reaching €63 billion by 2015, according to a recent report by Transport Intelligence analyst Cathy Roberson. Biotech and pharmaceutical products represent the highest value per airlifted pound for any cargo, she said. The 12 per cent growth predicted over the next five years outstrips the four per cent anticipated in electronics cargo, which has traditionally been the strongest sector for air freight demand, Roberson said. “The growth will be driven by emerging markets,” in particular India, China and Brazil, she said in the report. “Continued outsourcing to these locations, along with changes in government legislation, will drive increases in logistics spending.”