Optimizing supply chains to reduce pharmaceutical waste: The role of excipient packaging

The pharmaceutical market is experiencing record growth, with more drug discoveries and higher production volumes than ever before. But with this progress comes increased supply chain complexity and inefficiencies which are costing the industry up to $160 billion annually.1 A big part of the problem? The significant amount of waste from expired medications, overproduction, damaged shipments, inefficient distribution, and single-use packaging generated by supply chains globally. This is becoming a considerable challenge for the pharmaceutical industry to address, both for financial and environmental reasons.

With heightened global regulatory scrutiny, growing public awareness of sustainability, and mounting pressure to reduce environmental impact, pharmaceutical companies are seeking innovative solutions to optimize their supply chains and minimize waste at every stage—including in excipient packaging. While this might seem like a small factor, it can have a big impact. To explore how excipient packaging innovations can address the critical waste challenge, we spoke with our in-house expert, Anne Adden, PH.D. Global Strategic Marketing Director, Sustainability and Dietary Supplements, Roquette Health & Pharma Solutions Business Group, about supply chain optimization strategies and the role that advanced packaging plays in creating more efficient and sustainable pharmaceutical operations.

  1. Why is supply chain complexity a significant challenge in pharmaceutical manufacturing?
    “A complex supply chain means drug developers have to cross more bridges—and overcome more hurdles—to get their medication from production to patient. This can result in an inefficient supply chain and ultimately, more waste. Each year, approximately 20% of pharmaceutical products are lost due to supply chain inefficiencies.1 You don’t have to be a mathematician to work out that that’s a significant amount of medicine going to landfill.

    “Pharmaceutical waste generated through poorly optimized supply chains can manifest in various ways. Poor logistics and transportation planning can cause product delays and damage—for example, did you know that 10% of pharmaceutical shipments are damaged during transit, leading to significant financial losses?1 Moreover, 12% of shipments experience temperature deviations which can compromise final drug (or ingredient) efficacy, resulting in further wasted medication.1 To compensate, the pharmaceutical industry often relies on overproduction as a safety net. But manufacturing more drugs—or ingredients, like excipients —than needed creates excess inventories, increasing the risk of expired ingredients and medications and adding unnecessary, often non-recyclable, packaging waste to the supply chain.”

  2. How are pharmaceutical companies addressing inefficient supply chains?
    “The industry is actively tackling supply chain inefficiency on multiple levels. One strategy is moving from 'just-in-case' to 'just-in-time' manufacturing. Advanced digital analytics and artificial intelligence are enabling better demand forecasting, which helps companies produce only what's needed. We’re also seeing a rise in direct-to-patient distribution, which cuts down on excess inventory by delivery medication straight to patients’ homes. Another advancement in this space is the implementation of digital tracking systems which are being used for real-time supply chain monitoring.

    “When it comes to packaging, pharmaceutical companies are moving towards using biodegradable materials, reusable containers, and packaging of smaller sizes to reduce waste. But there is still room for innovation in the packaging space.”

  3. How can packaging—specifically excipient packaging—help reduce supply chain complexity and waste?
    “Packaging plays a key role in addressing supply chain inefficiencies. For instance, final dosage packaging innovations—such as smarter packaging, tamper-proof solutions, patient-centric designs, and digital traceability—can improve patient safety and compliance while reducing waste for landfill. But as an excipient supplier, our focus and expertise lie in the excipient packaging arena, where we see tremendous potential for waste reduction.

    “Excipient packaging that offers superior barrier protection against moisture, light, and/or oxygen helps sensitive excipients maintain their functionality over extended periods, ensuring consistent performance throughout their intended use. This reduces ingredient waste and minimizes the need for specialized storage conditions. By improving protection at the packaging level, manufacturers can streamline supply chains and reduce environmental impact through less reliance on complex storage infrastructure. Innovative excipient packaging formats that can improve storage efficiency are set to streamline supply chains and minimize waste.”

  4. What challenges do pharma companies face when implementing innovative excipient packaging solutions?
    “Cost considerations are often the first hurdle drug developers face. Pharma companies need to weigh potentially higher upfront investments against the long-term benefits—improved supply chain efficiency, extended shelf life, and reduced waste. Organizations also need to consider whether the new packaging formats differ in volume or mass compared to existing ones, as this might require adjustments to storage facilities and/or handling equipment. It’s important to ask: Does your storage system accommodate the new packaging dimensions? Will your handling equipment need modification?

    “Pharma companies also face the challenge of balancing environmental goals with performance requirements—i.e., finding packaging solutions that support sustainability without compromising ingredient quality. What's more, any change in packaging requires testing to ensure that the new packaging does not impact the quality of the excipient. This is where working with an experienced excipient supplier who has already navigated these challenges and developed proven solutions can make all the difference.”

  5. How is Roquette Health & Pharma Solutions Business Group addressing supply chain complexity through excipient packaging innovation?
    “We’ve developed an innovative foil packaging solution that extends the shelf life of our POLYOX™ polyethylene oxide (PEO) excipients. Our new POLYOX™ Extended Stability (ES) packaging revolutionizes the storage of PEO by significantly decreasing the rate of polymer oxidative degradation and extending the retest interval for all POLYOX™ pharma grades to 24 months. This advanced packaging solution ensures customers receive the material with the greatest re-test interval , simplifies inventory management, and supports sustainability through more energy-efficient ocean transport (in contrast to airfreight) and less total landfill waste (compared to fiber drums).

    “Our new ES packaging is smaller and lighter than fiber drums, enabling more efficient product loading per pallet. This results in a 26% increase in the net weight of POLYOX™ shipped per pallet—meaning more product per ocean container or truckload, and less “shipment of air”. Thanks to the longer shelf life and improved packaging efficiency, POLYOX™ can now be shipped via ocean freight instead of airfreight. Ocean vessels emit approximately 50 times less CO₂ per kilometer than airfreight, significantly reducing the environmental footprint of each kilogram transported.2

    “Additionally, the lighter packaging design cuts landfill or incineration waste by more than 85% compared to traditional POLYOX™ packaging, contributing to more sustainable end-of-life outcomes. Another example of this principle in action is our new METHOCEL™ packaging. By offering a fully recyclable 25 kg bag-in-box system, we’ve increased the amount of product per pallet by 50% compared to fiber drums—without compromising shelf life or quality.”

  6. What's next for excipient packaging to support supply chain improvements?
    “As sustainability continues to shape pharmaceutical innovation, the next frontier in excipient packaging lies in balancing environmental responsibility with product integrity. The industry is moving towards smarter packaging formats—think embedded sensors that provide real-time supply chain visibility, enabling better inventory management and predictive logistics. Innovation in biodegradable, recyclable, or reusable packaging materials tailored for excipients is also happening.

“Ultimately, the goal is to minimize environmental impact while maintaining the quality , safety, and reliability of excipients—ensuring that sustainability becomes a built-in feature, not a trade-off.”

Want to know more about Polyox ™? Visit our Polyox™ Acadamy to explore technical brochures, how-to videos, and expert guidance to help you handle, formulate, and optimize POLYOX™ in your formulations

  1. Gitnux. Report 2025. Supply Chain In The Pharmaceutical Industry Statistics. April 29, 2025
  2. European Chemical Transport Association, "European Chemical Industry Counsil: Guidelines for Measuring and Managing CO2 emission from Freight Transport Options," 2011.

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