Global Biopharmaceutical Third-Party Logistics Market Size is valued at USD 141.4 Bn in 2024 and is predicted to reach USD 264.8 Bn by the year 2034 at an 6.6% CAGR during the forecast period for 2025-2034.
Third-party logistics (3PL) for the biopharmaceutical industry describes the logistical support provided to pharmaceutical firms by unaffiliated businesses. For instance, it involves filling orders, keeping track of the inventory of the goods using a warehouse management system, and receiving medications consisting of tiny molecules into the warehouse. For instance, by reducing unnecessary overhead costs, ensuring continuous product supply, optimizing transportation, and increasing the organization's general efficiency, 3PL helps pharmaceutical and medical institutions maintain logistics for the distribution of medical medicines.
The pharmaceutical industry's tremendous rise is largely to blame for the market's optimistic outlook. The market is also increasing due to the rising trend among medical businesses to outsource logistics to increase their distribution network. Some of the major drivers propelling the market include the rising trend of outsourcing logistics, the concentration of pharmaceutical manufacturers on their distribution network due to its strong sales statistics, and an increase in the number of biosimilar launches. The COVID-19 pandemic had a substantial effect on market expansion.
Additionally, Celcius Logistics debuted its Hyper-Local temperature-controlled delivery services for food and pharmaceutical orders in November 2022. Over the past few years, the demand for outsourcing transportation services has seen a noticeable increase. Giant pharmaceutical corporations' overhead has decreased due to outsourcing the transportation services for transporting pharmaceutical medications. To further encourage lean management and using six sigma in their business operations, the major biopharma corporations are either consenting to or outsourcing to 3PL service providers.
The Biopharmaceutical third-party logistics market is segmented on the basis of supply chain and service type.Supply chain segments includes Cold Chain and Non-Cold Chain. The market is segmented by service type into Transportation, Warehousing & Storage, and Others.
In 2022, the warehousing and storage industry dominated the market, generating more than 43.30% of the total revenue. The increasing demand for 3PL services from the pharmaceutical and healthcare sectors is to blame for this. The life sciences industry is using 3PL services to lower overhead expenditures and operating costs.
Over the forecast period, the cold chain segment is anticipated to post the quickest CAGR. This is primarily due to the increase in demand for biologics, a novel class of pharmaceuticals that has shown rapid growth in recent years. Aside from biologics, the market has witnessed the emergence of various types of precision medicine inventions, such as biomarker testing, cellular therapies, specific vaccines, blood products, and regenerative medicine in the form of stem cells. These drugs require both temperature- and time-controlled distribution.
With a market share of about 39.1% and 119.8 billion dollars in revenue, North America emerged as the largest market for worldwide third-party logistics for biopharmaceuticals. This industry's fundamental engine of growth is the increased import and export of pharmaceutical chemicals, drugs, biologics, vaccines, and other related goods.
In addition to having high medical expenses, this area has the highest adoption of cutting-edge technologies overall. Because of this, North American pharmaceutical companies rely more and more on 3PL service providers to enhance storage and shipping, fueling the region's overall growth. However, the Asia-Pacific market remains second due to increased investment in R&D and an increase in the number of diagnoses of rare illnesses in the region; the Asia-Pacific market is anticipated to grow at the quickest CAGR. It is anticipated that this element will improve pharmaceutical product sales as well as their import and export.
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Report Attribute |
Specifications |
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Market Size Value In 2024 |
USD 141.4 Bn |
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Revenue Forecast In 2034 |
USD 264.8 Bn |
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Growth Rate CAGR |
CAGR of 6.6% from 2025 to 2034 |
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Quantitative Units |
Representation of revenue in US$ Million, and CAGR from 2025 to 2034 |
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Historic Year |
2021 to 2024 |
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Forecast Year |
2025-2034 |
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Report Coverage |
The forecast of revenue, the position of the company, the competitive market structure, growth prospects, and trends |
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Segments Covered |
Supply Chain And Service Type |
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Regional Scope |
North America; Europe; Asia Pacific; Latin America; Middle East & Africa |
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Country Scope |
U.S.; Canada; U.K.; Germany; China; India; Japan; Brazil; Mexico; The UK; France; Italy; Spain; China; Japan; India; South Korea; Southeast Asia; South Korea; Southeast Asia |
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Competitive Landscape |
DHL International GmbH, SF Express, United Parcel Service of America Inc., AmerisourceBergen Corp., DB Schenker, Kuehne and Nagel, Kerry Logistics Network Ltd., and Agility. |
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Customization Scope |
Free customization report with the procurement of the report, Modifications to the regional and segment scope. Particular Geographic competitive landscape. |
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Pricing and Available Payment Methods |
Explore pricing alternatives that are customized to your particular study requirements. |
By Supply Chain-
By Service Type-
By Region-
North America-
Europe-
Asia-Pacific-
Latin America-
Middle East & Africa-
InsightAce Analytic follows a standard and comprehensive market research methodology focused on offering the most accurate and precise market insights. The methods followed for all our market research studies include three significant steps – primary research, secondary research, and data modeling and analysis - to derive the current market size and forecast it over the forecast period. In this study, these three steps were used iteratively to generate valid data points (minimum deviation), which were cross-validated through multiple approaches mentioned below in the data modeling section.
Through secondary research methods, information on the market under study, its peer, and the parent market was collected. This information was then entered into data models. The resulted data points and insights were then validated by primary participants.
Based on additional insights from these primary participants, more directional efforts were put into doing secondary research and optimize data models. This process was repeated till all data models used in the study produced similar results (with minimum deviation). This way, this iterative process was able to generate the most accurate market numbers and qualitative insights.
Secondary research
The secondary research sources that are typically mentioned to include, but are not limited to:
The paid sources for secondary research like Factiva, OneSource, Hoovers, and Statista
Primary Research:
Primary research involves telephonic interviews, e-mail interactions, as well as face-to-face interviews for each market, category, segment, and subsegment across geographies
The contributors who typically take part in such a course include, but are not limited to:
Data Modeling and Analysis:
In the iterative process (mentioned above), data models received inputs from primary as well as secondary sources. But analysts working on these models were the key. They used their extensive knowledge and experience about industry and topic to make changes and fine-tuning these models as per the product/service under study.
The standard data models used while studying this market were the top-down and bottom-up approaches and the company shares analysis model. However, other methods were also used along with these – which were specific to the industry and product/service under study.
To know more about the research methodology used for this study, kindly contact us/click here.
