Germany Pharmaceutical Cold Chain Logistics Market Size
Study Period | 2024 - 2029 |
Base Year For Estimation | 2023 |
Forecast Data Period | 2024 - 2029 |
Market Size (2024) | USD 0.89 Billion |
Market Size (2029) | USD 1.19 Billion |
CAGR (2024 - 2029) | 5.98 % |
Market Concentration | Low |
Major Players*Disclaimer: Major Players sorted in no particular order |
Germany Pharmaceutical Cold Chain Logistics Market Analysis
The Germany Pharmaceutical Cold Chain Logistics Market size is estimated at USD 0.89 billion in 2024, and is expected to reach USD 1.19 billion by 2029, at a CAGR of 5.98% during the forecast period (2024-2029).
- In Germany, the market is being propelled by a rising demand for temperature-sensitive pharmaceuticals, a swift growth in the e-commerce sector, and a heightened consumer preference for fresh and perishable foods. Furthermore, technological advancements are playing a pivotal role in this surge. Innovations like IoT (Internet of Things) devices, sophisticated temperature monitoring systems, and automated cold storage facilities are bolstering the efficiency and reliability of cold chain logistics.
- Approximately 80% of pharmaceutical items in the European Union currently need to be transported under temperature control. Pharmaceutical laws in the majority of nations for years merely required that products be stored according to the manufacturer's specifications.
- However, the EU has published guidelines on safe distribution procedures for pharmaceuticals intended for human use, extending the need for transportation-related temperature control and broadening coverage to embrace over-the-counter medications. In order to meet these demands, a number of warehouses with cold chain systems are created to guarantee the best conditions for the storage and transportation of temperature-sensitive goods.
- Germany's chemicals sector, the nation's third-largest industry and a major employer of around half a million workers, faces ongoing challenges. Customers, wary of the prolonged economic uncertainty, are hesitating to place new orders. This caution comes as high prices for raw materials and energy persist.
- As reported by industry experts, in July 2024, industry lobby VCI reported that Germany's chemical industry achieved sales of EUR 112 billion (USD 121 billion) in the first half of 2024. This marked a 1% decline from last year's 114 billion EUR, reflecting a cautious sentiment prevailing in the industry.
Germany Pharmaceutical Cold Chain Logistics Market Trends
Surge in Demand for Temperature-Controlled Solutions
Efficient and reliable logistics solutions for temperature-sensitive pharmaceutical products are increasingly in demand, underscoring the importance of proper storage and transportation in this sector. For example, the Budapest Branch, recently certified for Good Distribution Practice (GDP), is strategically located next to Liszt Ferenc International Airport. This prime location enhances its capability to manage air freight transport. The branch features a state-of-the-art temperature-controlled facility, offering dual storage zones: one set between 2°C to 8°C (refrigerated) and another maintaining a constant temperature of 15°C to 25°C. By merging NX Group's international temperature-controlled transport services with its storage solutions, the Group, as highlighted by Nippon Express Holdings in August 2024, has established a robust and premium platform for pharmaceutical logistics.
To cater to the pharmaceutical sector's transportation needs, there's a growing requirement for expanded capacities in refrigerated fleets. For instance, Petit Forestier, a cooling solutions provider, has introduced over 100 additional rental refrigerated vehicles in the 7.2, 12, and 18-ton classes, specifically targeting the German market.
Moreover, in August 2024, Parcel and Postal Technology International reported that Trans-o-flex and PostNL Pharma & Care Benelux have collaborated to integrate each other's temperature-controlled logistics solutions for the pharmaceutical industry, aiming to broaden their geographical presence. In conclusion, the pharmaceutical logistics sector is evolving rapidly, driven by the need for advanced temperature-controlled solutions. Strategic collaborations and expansions in refrigerated fleet capacities are essential to meet the growing demands and ensure the safe and efficient transport of pharmaceutical products.
Biopharmaceuticals to Contribute in Market Expansion
Biological medicines have significantly reshaped the landscape of the pharmaceutical industry. Germany, particularly its southern region, produces over half of the EU-approved active biopharmaceutical ingredients, solidifying its position as the leading producer in the European pharmaceutical market. For instance, Frigo-Trans, a German logistics provider, has unveiled its plans to build a cryopreservation warehouse at its Mutterstadt site.
Lake Constance and Ulm serve as the primary hubs for this activity. This small region is home to over 100 companies spanning biotech, pharmaceuticals, and medical technology, alongside various research organizations. While Germany has consistently held a prominent position within Europe, global rankings place it fifth in manufacturing capacity. This lag is largely attributed to other nations, bolstered by competitive tax structures, outpacing Germany in biopharmaceutical production investments. Nevertheless, biologics, given their remarkable therapeutic potential, have significantly expanded their foothold in Germany's pharmaceutical landscape.
Germany fosters a dynamic environment not just for general drug production but also for biopharmaceutical enterprises. Companies such as Vetter, Teva, Biberach Site, and Boehringer Ingelheim are at the forefront, introducing innovations that bolster the nation's pharmaceutical ambitions. Navigating these intricate markets, EuroDev has been a steadfast ally for North American producers, offering insights on market entry into Germany's pharmaceutical realm. Their expertise encompasses real-time guidance on prevailing regulations, market trends, competitive landscape, and potential challenges in the German pharmaceutical arena.
Germany Pharmaceutical Cold Chain Logistics Industry Overview
The German pharmaceutical Cold Chain Logistics Market is highly fragmented, with a mix of global and regional players dominating the industry. Some of the key players in the market are Trans-o-flex (ThermoMed), DHL, Biotech and Pharma Logistics, GDP Network Solutions GmbH, Transmed Transport GmbH etc,. As pharmaceutical logistics requires a high level of specialization, government approvals, cutting-edge technology, a wider network coverage, and a lot of know-how, given the delicacy of the goods transported, the market has a comparatively moderate number of players.
For instance, in March 2024, trans-o-flex, a prominent player headquartered in Weinheim, Germany, announced that its subsidiary, trans-o-flex ThermoMed Austria (TMA), has inaugurated a new logistics center in Lebring, Styria. TMA specializes in temperature-controlled transport services tailored for the pharmaceutical and healthcare sectors. This strategic expansion underscores trans-o-flex's commitment to enhancing its service capabilities and operational efficiency.
Germany Pharmaceutical Cold Chain Logistics Market Leaders
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Trans-o-flex (ThermoMed)
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DHL
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Biotech and Pharma Logistics
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GDP Network Solutions GmbH
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Transmed Transport GmbH
*Disclaimer: Major Players sorted in no particular order
Germany Pharmaceutical Cold Chain Logistics Market News
- September 2024: UPS is set to bolster its expanding healthcare logistics division by acquiring two temperature-controlled logistics providers based in Germany. The deal encompasses Frigo-Trans and its affiliated entity, BPL, both functioning under the Frigo-Trans name. The Frigo-Trans network boasts six temperature-controlled warehouse zones, catering to a spectrum from minus 196 degrees to 25 degrees Celsius.
- July 2024: Igneo Infrastructure Partners is set to acquire Frigo-Trans, a German pharmaceutical cold storage logistics firm. This acquisition signifies Igneo's inaugural venture into the sector, which has recently seen heightened interest from infrastructure investors.
Germany Pharmaceutical Cold Chain Logistics Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Current Market Scenario
4.2 Market Dynamics
4.2.1 Drivers
4.2.1.1 Rising Demand for Temperature Sensitive Drugs
4.2.1.2 Stringent Regulatory Compilance
4.2.2 Restraints
4.2.2.1 High Infrastructure Costs
4.2.2.2 Suplly Chain Disruptions
4.2.3 Opportunities
4.2.3.1 Digitalization and IoT
4.2.3.2 Sustainable Cold Chain Services
4.3 Industry Attractiveness - Porter's Five Forces Analysis
4.3.1 Bargaining Power of Suppliers
4.3.2 Bargaining Power of Consumers
4.3.3 Threat of New Entrants
4.3.4 Threat of Substitutes
4.3.5 Intensity of Competitive Rivalry
4.4 Technological Trends and Automation in Cold Storage Facilities
4.5 Government Regulations and Initiatives
4.6 Value Chain / Supply Chain Analysis
4.7 Impact of Emission Standards and Regulations in the Cold Chain Industry
4.8 Insights into Refrigerants and Packaging Materials used in Refrigerated Warehouses
4.9 Spotlight on Major Pharmaceutical Hubs/Regions
4.10 Impact of Geopolitics and Pandemic on the Market
5. MARKET SEGMENTATION
5.1 By Service
5.1.1 Storage
5.1.2 Transportation
5.1.2.1 Road
5.1.2.2 Rail
5.1.2.3 Air
5.1.2.4 Sea
5.1.3 Value-added Services
5.2 By Temperature Type
5.2.1 Chilled
5.2.2 Frozen
5.2.3 Ambient
5.3 By Product
5.3.1 Generic Drugs
5.3.2 Branded Drugs
5.4 By Application
5.4.1 Biopharma
5.4.2 Chemical Pharma
5.4.3 Specialized Pharma
6. COMPETITIVE LANDSCAPE
6.1 Market Concentration Overview
6.2 Company Profiles
6.2.1 Trans-o-flex (ThermoMed)
6.2.2 DHL
6.2.3 Transmed Transport GmbH
6.2.4 GDP Network Solutions GmbH
6.2.5 Kuehne + Nagel
6.2.6 Biotech and Pharma Logistics
6.2.7 Rhenus Logistics
6.2.8 Ceva Logistics
6.2.9 DB Schenker
6.2.10 Pfenning Logistics
6.2.11 FedEx Logistics
6.2.12 MSK Pharma Logistics
6.2.13 Eurotranspharma*
- *List Not Exhaustive
6.3 Other Companies
7. FUTURE OF THE MARKET
8. APPENDIX
8.1 Macroeconomic Indicators (GDP Distribution, by Activity)
8.2 Economic Statistics - Transport and Storage Sector Contribution to Economy
8.3 External Trade Statistics - Exports and Imports by Product and by Country of Destination/Origin
Germany Pharmaceutical Cold Chain Logistics Industry Segmentation
The Transportation and planning of a pharmaceutical supply chain that is maintained within a range of particular, low temperatures are referred to as pharmaceutical cold chain logistics.
Germany's Pharmaceutical Cold Chain Logistics Market is segmented by service (storage, transportation(road, rail, air, sea), and value-added services), by temperature type (chilled, frozen, and ambient), by product (generic drugs and branded drugs), by application (bio pharma, chemical pharma, and specialized pharma). The report offers Germany's Pharmaceutical Cold Chain Logistics Market size and forecasts in value (USD) for all the above segments.
By Service | ||||||
Storage | ||||||
| ||||||
Value-added Services |
By Temperature Type | |
Chilled | |
Frozen | |
Ambient |
By Product | |
Generic Drugs | |
Branded Drugs |
By Application | |
Biopharma | |
Chemical Pharma | |
Specialized Pharma |
Germany Pharmaceutical Cold Chain Logistics Market Research FAQs
How big is the Germany Pharmaceutical Cold Chain Logistics Market?
The Germany Pharmaceutical Cold Chain Logistics Market size is expected to reach USD 0.89 billion in 2024 and grow at a CAGR of 5.98% to reach USD 1.19 billion by 2029.
What is the current Germany Pharmaceutical Cold Chain Logistics Market size?
In 2024, the Germany Pharmaceutical Cold Chain Logistics Market size is expected to reach USD 0.89 billion.
Who are the key players in Germany Pharmaceutical Cold Chain Logistics Market?
Trans-o-flex (ThermoMed), DHL, Biotech and Pharma Logistics, GDP Network Solutions GmbH and Transmed Transport GmbH are the major companies operating in the Germany Pharmaceutical Cold Chain Logistics Market.
What years does this Germany Pharmaceutical Cold Chain Logistics Market cover, and what was the market size in 2023?
In 2023, the Germany Pharmaceutical Cold Chain Logistics Market size was estimated at USD 0.84 billion. The report covers the Germany Pharmaceutical Cold Chain Logistics Market historical market size for years: . The report also forecasts the Germany Pharmaceutical Cold Chain Logistics Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Germany Pharmaceutical Cold Chain Logistics Industry Report
Statistics for the 2024 Germany Pharmaceutical Cold Chain Logistics market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Germany Pharmaceutical Cold Chain Logistics analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.