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Pharmaceutical Manufacturing and Packing Sourcer

The Future of Manufacturing - Is Outsourcing the Solution?

Do you think that outsourcing of manufacturing is increasing or has it reached saturation?

The current growth rate is around seven per cent and I am sure this will continue into the future. The number of pharmaceutical manufacturing plants in Europe is still too large to be sustainable; closures or divestments will continue to occur. However, I believe the marketplace is changing. The largest volume growth is with the generic companies and they have no reason to invest in facilities to the same degree as the pharmaceutical companies in the 1950s and 1960s. I believe that they will continue to selectively outsource and we are seeing evidence of this already.

An additional further growth area for outsourcing will come from new products flowing through the pipeline from biotech companies. This group has been the most prolific in new product innovation and they have directed their resources into research, with many of the small biotech companies not having the resources to build and operate manufacturing facilities. They have grown up with product outsourcing as a way of life. I do not mean large companies like Lonza, Boehringer Ingelheim or DSM, which have the resources, but the small biotech companies. Most of the products require sophisticated facilities to produce active materials but the formulation delivery system can be tablets or capsules, which can be easily outsourced.


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An interview with Maurice Wolridge, CEO of FAMAR, a leading outsourcing company in Europe, by Patricia Lobo, Editor of PMPS and Senior Consultant at Technomark Consulting Services

Maurice Wolridge is Chief Executive of Famar ABE and was formerly Vice President Manufacturing for Pfizer before becoming a partner in Global Healthcare Partners, an executive group advising Credit Suisse First Boston Merchant Bank on health care acquisitions. More recently he was Chief Executive Officer of NextPharma Technologies, a portfolio company of Donaldson Lufkin Jenrette Merchant Banking Fund II. Maurice is non-executive Chairman of Alimentary Health, a biotechnology company exploring the health care characteristics of probiotic organisms. He has also been a Director of the US-Ireland Council for 10 years; an executive group dedicated to strengthening the economic social and cultural relationship between the two countries.

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Maurice Wolridge
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