For a report overview of this report please contact sara.peerun@visiongain.com (+44 (0) 20 7336 6100) or refer to our website: https://www.visiongain.com/Report/2112/Clinical-Trial-Supply-and-Logistics-Market-for-Pharma-2018-2028

1. Page 67www.visiongain.com
Clinical Trial Supply and Logistics Market for Pharma 2018-
2028: Clinical Trial Manufacturing, Clinical Trial Logistics and
Distributions, Clinical Trial Supply Chain Management,
Clinical Trial Packaging, Clinical Trial Cold Chain Logistics
through inefficient planning. Planning supply networks can avoid costly delays with drugs not
reaching trial sites on time. In 2017, Visiongain estimates that trial sponsors spent $0.74bn on
clinical trial supply chain management services. Services in this sector are offered by many of the
companies that participate in other segments of the clinical trial supply and logistics market, as well
as specialist service providers, such as Fisher Clinical Services.
3.5.1 Clinical Trial Supply Chain Management Submarket Forecast
2017-2028
Growth in the clinical trial supply chain management submarket will be faster than that of the
clinical trial logistics and distribution submarket, Visiongain forecasts. Between 2017 and 2022, the
supply chain management submarket will grow with a CAGR of 7.4%, reaching $1.06bn by 2022
and $1.51bn by the end of 2028 (Table 3.14 and Figure 3.16). Later the revenue growth will be
less compared to the first half of the forecast period. Uptake of complex trial designs, such as
adaptive clinical trials and trials for stratified patient populations, will lead to more complicated
planning, in terms of supply chains and drug demand forecasting, Visiongain predicts.
Table 3.14 Clinical Trial Supply Chain Management Market:
Revenue Forecast ($bn), AGR (%) and CAGR (%), 2017-2028
2017 2018 2019 2020 2021 2022
Clinical Trial Suply
Chain Management
0.74 0.80 0.86 0.93 0.99 1.06
AGR % 7.8 8.1 7.3 6.9 7.0
CAGR 2017-2022 (%)
2023 2024 2025 2026 2027 2028
Clinical Trial Suply
Chain Management
1.11 1.18 1.24 1.30 1.40 1.51
AGR % 4.7 6.3 5.1 4.8 7.7 7.9
CAGR 2022-2028 (%)
7.4
6.1
Source: Visiongain 2018

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Clinical Trial Supply and Logistics Market for Pharma 2018-
2028: Clinical Trial Manufacturing, Clinical Trial Logistics and
Distributions, Clinical Trial Supply Chain Management,
Clinical Trial Packaging, Clinical Trial Cold Chain Logistics
Figure 4.17 Japanese Clinical Trial Supply and Logistics:
Drivers and Restraints, 2017-2028
be attracted to South Korea as a trial destination, as it offers lower cost trials but high regulatory
standards.
4.6 Clinical Trials Increasing Demand in Emerging National Markets
As of now, the four BRIC nations - the leading emerging pharmaceutical markets - accounts for just
8.6% of trials registered on ClinicalTrials.gov. However, these markets are growing in terms of
demand for clinical trials, as companies continue to take advantage of access to large, treatment-
naïve patient populations, low-cost trial management and access to growing pharmaceutical
markets. According to the Biopharma Cold Chain 2012 Sourcebook, growth of 65% growth in
clinical research will come from studies conducted in emerging market countries in 2017.
Outsourcing to local and global CROs will boost the clinical trial industries in those markets in the
coming 10 years.
However, challenges remain with clinical trial logistics for these markets. Most drugs for clinical
trials will be manufactured outside these countries, meaning that an understanding of local import
regulations is required. Misunderstanding of import regulations can lead to costly delays in trials,
as well as longer storage times while sponsors wait for drugs to clear customs. Longer storage
times are also the result of less established supplier networks, particularly for temperature-
The Japanese market is relatively
new, compared with the US and
EU, and the market is growing
faster
Leading global players have
established logistics networks in
Japan since 2007. Expansion in this
decade will provide an improved
network there
Domestic drug developers have
long pipelines, with many novel
biopharmaceuticals in
development
Increased off-shoring of clinical
trials to emerging Asian markets,
particularly China and South
Korea, will restrain logistics
demand.
Outsourcing is less common in
Japan than in other developed
markets and drug developers may
prefer to keep activities in-house
in this decade
Strict rules regarding quality and
control will restrain outsourcing
Drivers
Restraints
Source: Visiongain 2018

3. Page 169www.visiongain.com
Clinical Trial Supply and Logistics Market for Pharma 2018-
2028: Clinical Trial Manufacturing, Clinical Trial Logistics and
Distributions, Clinical Trial Supply Chain Management,
Clinical Trial Packaging, Clinical Trial Cold Chain Logistics
Figure 8.4 Catalent: Clinical Manufacturing Space by Region
(%), 2017
8.2.1.2 Strong Growth for Clinical Manufacturing Revenue
In September 2016, Catalent acquired Pharmatek, a clinical manufacturing and contract drug
development company that adds discovery-to-clinic drug development capabilities that expands
the company’s portfolio with advanced delivery technologies such as spray drying.
For the year 2015, Catalent’s DCS division revenue totalled $438.8m (Table 8.6), up 6.5%
compared to 2014. Since 2011, Catalent’s revenue is growing with a CAGR of 29.3%. In 2012,
Catalent acquired Aptuit which resulted in DCS revenue dramatic increase in 2013 - the acquisition
reportedly added $50m revenue in each of the first and second quarters of that year alone.
Catalent reports that, following the acquisition of Aptuit’s CTS division; it is the world’s second
largest manufacturer of clinical trial materials. There was an addition of Antibody Drug Conjugate
business when Catalent completed the acquisition of the Redwood BioScience business in
October 2014. Later in the next month, company extended particle engineering capabilities via the
acquisition of Micron Technologies. We believe our own internal innovation, supplemented by
current and future external partnerships and acquisitions, will continue to strengthen and extend
our leadership positions in the delivery and development of drugs, biologics and consumer health
America
57.5%
Europe
33.8%
Asia
Pacific
8.7%
Source: Catalent 2018, Visiongain 2018