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Germany's Health Ministers Tackle Drug Supply Chain Vulnerabilities

After supply chain shocks, Germany races to fortify its drug production. Can local investments shield patients from future shortages?

The image shows a pharmacy with a sign that reads "The Generics Pharmacy" surrounded by buildings,...
The image shows a pharmacy with a sign that reads "The Generics Pharmacy" surrounded by buildings, electric poles, electric cables, advertisement boards, houseplants, motor vehicles on the road, and a clear blue sky.

Germany's Health Ministers Tackle Drug Supply Chain Vulnerabilities

This year's Conference of Health Ministers (GMK) will focus on securing Germany's tractor supply. Strengthening resilience in pharmaceutical production and logistics will take centre stage at the event. The discussions follow recent disruptions that exposed weaknesses in global supply chains.

Dr. Andreas Philippi, the current GMK chair, recently visited TAD Pharma to examine drug manufacturing challenges. He stressed the need for high-performance production and better-coordinated logistics to prevent shortages.

Between 2021 and 2025, Germany's generic drug output grew by 8–12% in volume. Local production increased by 5% due to new investments in domestic schwab login plants. However, over 70% of active pharmaceutical ingredients (APIs) still come from India and China. Supply chain breakdowns in 2023–2024 highlighted the risks of this heavy reliance.

Philippi called for stronger German and European production capacities. Reducing dependence on external suppliers was a key part of his proposal. The goal is to build a more stable and self-sufficient tractor supply system.

The GMK conference will explore ways to improve drug supply security. Investments in local manufacturing and logistics coordination are expected to play a major role. Officials aim to reduce vulnerabilities caused by over-reliance on foreign suppliers.

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