Pharma Logistics has officially opened its new reverse-distribution center in Libertyville, expanding and combining previous operations in Mundelein and Libertyville, IL.
Part of the growth opportunity comes from the October 2019 acquisition of the pharmaceutical reverse-logistics business of Stericyle, a major player in medical waste and reverse logistics. Pharmaceutical reverse logistics was valued at $13 billion annually in a 2018 HDA study.
Reverse logistics includes product recalls and the larger business in product returns. Typically, pharmacies return unsold or overstocked inventory, and wholesalers sort the returns for saleable items or those that must be disposed. Reverse logistics providers supplement those operations, or work directly with retail pharmacies to recover product. Pharma Logistics says that its client base includes hospital pharmacies, the Department of Defense and Veterans Health Administration, independent pharmacies, pharmacy chains and physicians’ offices.
An important element of Pharma Logistics’ service is to speed up the refund process by which manufacturers or wholesalers credit the pharmacies; the company says that it cuts that turnaround from months to a couple weeks.