CPhI Post-Pandemic Survey Suggests Drive for Repatriation of Manufacturing

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Executives that participated in the CPhI post-pandemic survey are predicting a push for repatriation of manufacturing globally.

According to an April 22, 2021 press release, executives that participated in the CPhI post-pandemic survey are predicting a push for repatriation of manufacturing globally as a result of the supply chain issues encountered during the COVID-19 pandemic.

The issue of offshore versus onshore manufacturing will be broached by an expert panel in the forthcoming CPhI Discover, which will take place on May 17–28, 2021, as a virtual gathering. Along with a more in depth look at onshoring, the panel will discuss whether or not reshoring presents a rethinking of innovation approaches, such as novel manufacturing technologies to improve efficiency.

More than 500 executives participated in CPhI’s survey, with a good majority (60%) anticipating that the COVID-19 pandemic will “greatly improve the business outlook in 2021 and beyond.” In line with the expanded demand for COVID treatments and upscaling, contract services are predicted to grow at an accelerated pace to meet demand.

On the opening day of CPhI Discover (May 18, 2021)—in a session moderated by Rita Peters, editorial director of the PharmTech Group—Eric Langer (president, BioPlan Associates), Peter Shapiro (editor, PharmSource, a GlobalData Company), and Kevin Sharp (head of Alliance Management, Samsung Biologics) will evaluate the key factors shaping the future of the contract services industry. The session is titled ‘Navigating the CDMO Market: Hurdles, Transformation & Opportunities’.

Another issue brought to light by the COVID-19 pandemic is the global reliance on supply of starting materials from Asian suppliers. Although the survey respondents were broadly ambivalent to the issue, approximately half suggested that it is realistic to “localize the manufacture of starting materials.” However, over a third of survey respondents suggested that a mass move to localized manufacture would be “too disruptive to a complex industry.”

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Finished dose manufacturing is experiencing expansion and modernization, with a quarter of respondents believing that “filling and packaging systems” will be the machinery type that gains the most investment in 2021. Drivers for this investment are specified as being the fact that drug product contract manufacturing organizations/contract development manufacturing organizations are seeking to become one-stop-shops, to simplify and streamline services. Packaging and drug delivery are topics that will be covered in detail during the second day (May 19, 2021) of CPhI Discover.

“Our industry survey shows that pharma, ingredients providers, manufacturers, and the contract services pipeline have fared well through the last year, but structural changes in the industry and an expansion in the pipeline means demand is growing quickly,” said Nicola Souden, brand manager at Informa, in the press release. “In response, we have designed a detailed agenda to explore the biggest opportunities at CPhI Discover. Then armed with these new insights, attendees can utilize the second week of the event to meet new partners and consider the best approach to expedite growth and development.”

Source: CPhI