Industry Analysis & Industry Trends
The Pharmaceutical Product Manufacturing industry is dominated by major global pharmaceutical groups, although only a small number are engaged in local manufacture of active pharmaceutical ingredients. An increasing number of firms are limiting their Australian activity to the later stages of the manufacturing process, including dispensing, packaging and the fill-and-finish stage. A large number of players also restrict their Australian activities to purely distribution.
As with those in the global pharmaceutical industry, domestic players are currently contending with the fallout of the patent cliff. Since 2011, some of the world's highest selling drugs have lost patent protection... purchase to read more
Industry Report - Industry Investment Chapter
The Pharmaceutical Product Manufacturing industry has a medium level of capital intensity, reflecting the level of capital tied up in manufacturing facilities capable of producing, high-cost, high-technology drugs. In 2015-16, for every dollar that the overall industry spends on capital, $7.80 is spent on wages. Capital labour intensity ratios vary between product segments, with the patented prescription product segment having a considerably higher ratio than the generic and OTC product segments.
Falling levels of capital investment growth have recently characterised the industry, with fewer players investing in updating manufacturing capacity or equipment... purchase to read more