Dec
31
Medicinal Ingredients And GMP Consulting
Filed Under Beauty Tips
In the past decade, many pharmaceutical companies have outsourced ingredient production to Asian countries including China and India in the hope of lowering production costs and increasing profits. But now GMP Consulting firms are seeing companies move this production back onto US soil. The reasons behind the move back to the US are varied and they will be discussed in this article.
When pharmaceutical companies decided to move the production if Active Pharmaceutical Ingredients (APIs) to Asia, they thought they would be getting a good deal on price. This was to take advantage of the cheaper labour and rental costs that they could not get in the US. Pharmaceutical companies thought that these low costs would be enough but there are hidden costs which are making outsourcing more expensive than expected.
Problems With Quality
Ever since a contaminated batch of Heparin entered the US market and was responsible for the deaths and illness of hundreds of people across the nation, the quality of Asian imports has been in doubt. And we have seen a bigger demand for quality products made on American soil from consumers, healthcare professionals and the pharmaceutical companies. This is because the premises have to comply with GMP regulations and any issues can be quickly traced.
Logistics
The cost and complexity of logistics when it comes to outsourcing your ingredient production oversees is massive. And now the pharmaceutical companies are truly beginning to realise the true cost of this outsourcing. Additional costs include the price to hire a translator, any travel that takes place between the countries and renting out offices or production space. You are looking at very expensive additions when you factor these in to the standards costs of outsourcing.
Communication Problems
When you outsource products overseas, communication is often the most complicated factor. And when you can barely get through a daily conversation without becoming confused, how are you supposed to clearly convey technical information. Manufacturers also need to factor in the time it takes for communication to occur between two different countries which are in a different time zone. Consumers and regulators demand instant information and when you have to wait for your partners to start their working day before you can get in touch with them, you put yourself in a difficult position.
The massive Asian outsource that pharmaceutical companies have undertaken over the past decade has not proved as financially profitable as first thought. GMP consultants are seeing that companies can make a bigger profit by guaranteeing their customers high quality drugs that comply with FDA and GMP regulations.
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