DHL GLOBAL FORWARDING CUTS A DAY OFF PHARMA SHIPMENT TIMES WITH NEW GDP-COMPLIANT LIFE SCIENCES FACILITY IN NAGOYA

Press Release: Nagoya 01/24/2018

  • Nagoya facility will cater to rising demand from pharmaceutical manufacturers in the Chubu region
  • The facility shortens export and import shipment times from Nagoya by at least 24 hours, eliminating the need for stopover in Tokyo in most instances

DHL Global Forwarding, the leading international provider of air, sea and road freight services, has cut transit times for Japan’s pharmaceutical exports and imports with a new temperature-controlled facility in Nagoya. The facility is DHL’s second warehouse in Japan and the first warehouse in Centrair Airport to meet the European Union’s Good Distribution Practice (GDP) guidelines for life science and healthcare supply chains.

The facility will cater to rising freight demand from pharmaceutical manufacturers located in the Greater Nagoya Area, a key economic zone in Japan’s Chubu region with a gross domestic product of nearly US$580 billion – more than that of Sweden1. Japan’s pharmaceutical exports have steadily increased by more than 50% in the past decade,2 even as drug imports grow rapidly – more than 10% between 2014 and 20153  – to service the needs of the country’s ageing population. DHL’s Nagoya facility will service both imports and exports for the life sciences and healthcare industry.

“We are pleased to add our Nagoya facility to DHL’s network of warehouses and services supporting the life science and healthcare industry’s unique needs in Japan and the Asia Pacific region,” said Kelvin Leung, CEO of DHL Global Forwarding Asia Pacific. “As our second GDP-compliant facility in Japan, the Nagoya warehouse cements our position at the forefront of pharmaceutical supply chain services in the country, while also reducing shipment times and delivery pressures for this high-velocity sector. Our cargos can now be shipped directly from Nagoya without being transported to Tokyo or Osaka, reducing the transit time by a minimum of 24 hours even when shipments pass through either city.”

The Nagoya facility includes temperature mapping, a deviation alert system, scheduled maintenance, and access control for heightened security and to minimise the infiltration of external temperature. In line with DHL’s world-class Thermonet certification for temperature-controlled warehousing, the warehouse maintains its temperature between 15-25°C. Forefront room is set up with a system that the forefront room door and the storage room door cannot be opened at the same time to minimize the inflow of the outside air.

“Japan is a very mature economy with a balanced export-import market, and the demand for pharmaceutical exports out of Nagoya is increasing due to the number of pharmaceutical companies choosing to be based in the Chubu region,” Charles Kaufmann, CEO, North Asia; Managing Director, Japan; and Head, Value Added Services, Asia Pacific, DHL Global Forwarding. The strong growth in trade volumes that points to both rising pharmaceutical exports[1] as well as demand from an ageing population are trends that informed our move to establish a new Life Sciences warehouse in the manufacturing hub of Nagoya. Our Nagoya facility marks the latest step towards developing GDP-compliant infrastructure for life sciences and healthcare manufacturers throughout Japan and the region, as we continue to provide gateway services into the country for multinationals looking to tap into its local demand for medicines.”

1 https://jp.usembassy.gov/embassy-consulates/nagoya/background-nagoya-central-japan-economy/
2 https://tradingeconomics.com/japan/exports-of-medical-pharmaceutical-products
3 https://www.export.gov/article?id=Japan-Pharmaceutical
[1] https://tradingeconomics.com/japan/exports-of-medical-pharmaceutical-products