If you haven’t already noticed, cold chain logistics is currently a hot topic. The demand for fresh products and quality supply chain processes are at an all-time high. Recognizing these trends in cold chain and taking action will help you fulfill your customer’s needs. Let’s look at five trends going on in the cold chain industry.
1. An Increased Demand on Quality Products
Big trends in cold chain, specifically the food industry, has been the demand for fresher and higher-quality products. Consumers want their peaches to be juicier and their avocados to be riper. To satisfy the customers’ wants, you need to make sure the carrier that is shipping your product is well versed in cold chain management. They need to know how to avoid changes in the texture and taste of the produce when a shipment fluctuates beyond the required temperature. The focus on quality products means that refrigerated warehouses will need to maintain temperature zones.
Quality products don’t stop at fresh food. With the COVID-19 vaccine being administered, people want to make sure that what they’re getting injected into their bodies is safe. In addition, the amount of biological drugs and gene therapies is growing. Because of this, logistics companies are also widening their capacity for temperature-controlled transportation to meet the demand.
As we’ve stated in our Shipping Pharmaceuticals blog, cold chain logistics play significant role in the pharmaceutical supply chain. Manufacturers of these vaccines and medications need the cold chain to run smoothly to prevent any damage to the expensive drugs. Pharmaceuticals also need to arrive as good as new because medicine that has sat in incorrect temperatures for an extended period can be ineffective or detrimental to a patient’s health.
2. The Global Cold Chain Market is Booming
A recent report by Grand View Research shows that the global cold chain market size is expected to grow 14.8 percent from 2021 to 2028. Many nations have recognized a rising need to avoid food waste and loss of healthcare products due to spoilage. Moreover, the demand for fresher products is on the rise. Nations such as China and India are boosting their global cold chain efforts to meet the demand for their exports. International trade liberalization has also boosted the use of cold chain, globally. Because it is the global cold chain is rising, manufacturers need to become more specialized in their products so they can ship their goods to a wider variety of customers across the globe.
3. Stronger Regulations
Another trend in the cold chain has been stricter regulations on shipped products. Both globalization and the recent rise of food and pharma counterfeit incidences have caused production and cold chain rules to be reevaluated. The beginning of these rules started with the Food and Drug Administration’s Food Safety Modernization Act. This act requires anyone in the food supply chain to document every step of the process. Certain products like fruit must be traced all the way back to the point of origin.
Being proactive with these firm rules and regulations has also been a common trend across cold chain logistics. Manufacturers are strengthening their processes in-house to help mitigate any issues with their cold chain. Safety should be a top priority for the manufacturer when shipping through cold chain.
4. Innovative Packaging
Specialized packaging has been a trending topic in the cold chain industry. Whether it be for pharmaceuticals or food and beverages, manufacturers have been more specific on how they want their products packaged.
For pharmaceutical companies, there has been a conflict between packaging and transportation costs. For smaller shipments moving through the supply chain, a company can choose either a 24, 48, or 72-hour packaging that will protect the products from becoming ineffective. The more insulated the packaging is, the higher the cost. Globalization is also a major factor in this dilemma. If the U.S. ships cold chain products like pharmaceuticals overseas, it is imperative that the carrier knows to re-ice the shipment if any delays occur.
Companies that specialize in temperature-controlled packaging are making single-use or reusable packaging for all your cold chain needs. There are new refrigerated shipping systems that don’t require gel coolants, and they weigh much less than typical cold chain packages. These systems use evaporative, reactive cooling technology that responds and adjusts to fluctuating temperatures.
Whether it be significant innovations such as evaporative cooling technology or something as simple as adding handles and straps to your packaging, traditional packaging is starting to become a thing of the past. Companies are trying to gain that competitive advantage of being the most innovative packaging company for your cold chain needs.
5. Outsourcing to a Third-Party Logistics Company
Another demand in the cold chain has been for efficiency and visibility throughout the supply chain. Companies don’t like to be left in the dark when it comes to the transportation of their products. That is why a 3PL provides a wide range of technology services to promote transparency within the supply chain.
Consumers today are becoming more conscientious about their needs. No one wants to settle for spoiled milk or ineffective pharmaceuticals. It is imperative that manufacturers stay up to date on these current trends in the cold chain in order to satisfy their customers. Doing research and staying in the know are both imperative ways for your business to be successful. Being proactive and listening to what customers want is the best way to stay on top in the cold chain industry.
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Speak With an expertPicking up medicine and vitamins from your local store or pharmacy may be a simple task for you. However, shipping pharmaceuticals is a meticulous challenge. Even more so as cold chain logistics often plays a big role in the pharmaceutical supply chain. Let’s dive in and find out what makes shipping pharmaceuticals so complex.
The Basics of Pharmaceuticals
Pharmaceutical companies have made great advances within the past few decades in making medications specialized to certain individuals and rare diseases. These specialized pharma products come in several different types.
One form of pharmaceuticals is biologicals. This includes vaccines, blood, allergens, genes, and tissues. Biologicals have been popular recently due to the demand for a COVID-19 vaccine.
Another form of pharma products are prescribed drugs such as opioids, stimulants, and benzodiazepines. These have a high theft risk and need to be handled with extra security.
Lastly, there are over-the-counter (OTC) medicines like vitamins, minerals, and supplements. All these different types of pharmaceuticals can come in the form of either a liquid, ointment, or a solid.
To learn more about the basics of shipping pharmaceuticals, check out the video below.
Transportation Regulations
The nature of shipping medicine is delicate. Since it can be so complex to ship, regulations are a big thing to keep in mind. Not considering regulations can be detrimental to the flow of your supply chain.
Rules for shipping pharmaceuticals start when manufacturing begins and all through the supply chain. The Food and Drug Administration (FDA) and the Current Good Manufacturing Practices (CGMP) made guidelines for pharmaceuticals to set specific standards for manufacturing, storage, and distribution.
Having standardized vehicle equipment is necessary when shipping this form of freight. If products are being transported by road, each truck must have temperature control and security measures in place. Routine cleaning of the trailer is required in order to prevent cross-contamination of different products.
Another regulation that is crucial in transporting pharmaceuticals is keeping everything on record. Transportation records and training documentation must be stored for all involved parties.
Cold Chain Maintenance
In 2019, cold chain logistics accounted for 26 percent of the pharmaceutical industry. Maintaining cold chain logistics throughout your shipment plays a big part in preserving the quality of most pharmaceuticals. Roughly 70 percent of medicine needs to be climate-controlled. This is why climate-controlled trucks are necessary when shipping pharmaceuticals. Climate-controlled trucks run their cooling unit independently. The refrigeration unit keeps your freight at the proper temperature and provides insulation, so products stay protected from outside elements.
Proper packaging of these products is important. Selecting the appropriate level of temperature-controlled packaging that best fits your shipment will help protect your pharmaceutical products even more. Using insulated containers to prepare your freight for transit can also help protect against exposure to heat, light, and moisture.
Temperature fluctuation as little as two degrees can ruin a pharmaceutical product. Having the vehicle regularly inspected and serviced will help make sure there is no variation in temperature during transport. The key to cold chain logistics is to be proactive so that your freight remains as unscathed as possible.
Risks When Shipping Pharmaceuticals
With valuable freight comes high risks. Without proper temperature control, pharmaceuticals can become ineffective or even deadly. A change as little as two degrees in temperature can ruin a pharma product. Carriers must be diligent with their temperature logs and stay proactive throughout the shipment to prolong the effectiveness of this important freight.
Cargo theft is a big risk when shipping pharmaceuticals. Prescribed drugs like opioids are especially at high risk of theft. Most pharmaceutical warehouses have high security measures, but the majority of theft happens while in transit. This is why it is necessary to find quality carriers that will ensure the safety of your freight.
Another obstacle is that medicine is becoming more specialized. More personalized medicine is being made for individuals with specific and rare diseases. These pharmaceuticals ship at low volume but high value. With specialized pharmaceuticals comes specialized temperatures. It is important to communicate with your carrier what your unique freight needs are in order to deliver safely.
Choose a 3PL with Experience in Cold Chain
Regardless of the type of drug or the shape it takes, all pharmaceuticals need to be handled with great care. This is where a third-party logistics company (3PL) can come in handy.
Shipping pharmaceuticals is a job that requires delicacy and expertise. Choosing a 3PL that has an extensive background in cold chain logistics is the way to go. As a Burris Logistics company, we can offer you cold chain support from production to delivery, or anywhere in between. You can feel at ease knowing your pharmaceuticals will be in good hands.
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