Healthcare Logistics Market Analysis

Product (Pharmaceutical products, Medical devices, Medical equipment)

By 2037, medical devices segment is anticipated to account for healthcare logistics market share of around 51.8%. The growing demand for diagnostic tools, in addition to the increasing prevalence of chronic diseases, and rising surgical procedures drive the need for efficient and timely logistic solutions. The developing economies around the world are importing a wide range of medical devices, majorly from the U.S.

For instance, according to the OEC, in 2022, the U.S. exported USD 33.3 billion in medical instruments, becoming the first largest exporter of medical instruments in the world. Additionally, in 2022, medical instruments were the eleventh most exported products from the U.S. to countries including the Netherlands (USD 5.4 billion), China (USD 3.7 billion), Mexico (USD 3.2 billion), Japan (USD 2.4 billion), and Germany (USD 2.4 billion). This in turn is boosting the market growth further.

Type (Branded drugs, Generic drugs)

Based on type, the generic drugs segment is projected to dominate the healthcare logistics market during the forecast period. Generic drugs form the basic layer of hospital and preventive healthcare and comprise the vast majority of shortages. The increasing demand for affordable medicines has boosted the production and distribution of generic drugs. These drugs also benefit from streamlined logistics, as they typically have less stringent storage requirements, allowing efficient large-scale transportation and accessibility across the diverse market.

For instance, according to the CPA, in the U.S. generic pharmaceuticals were the second largest manufactured import, with a value of USD 176 billion in imported products in 2021. India, Mexico, and China held 57% of all pharmaceutical imports (by weight) in 2021. In addition, 84% of all prescription volume in the U.S. includes generics in comparison to 35% in other OECD nations, paying USD 0.8 for generic drugs compared to other OECD nations. In 2019, the U.S. FDA approved more than 1,100 generic drugs under the abbreviated new drug application (ANDA). This has promoted the demand for generic drugs, in turn boosting the transport demand in the market.

Our in-depth analysis of the global market includes the following segments: