UPS goes global with Merck distribution
UPS has expanded its existing distribution and logistics contract with pharmaceutical firm Merck to include regions outside of North America. Currently, UPS manages distribution, warehousing and transportation of Merck’s medicines and vaccines across the US and Canada, but will now also provides services in Asia and Latin America, including China and Brazil. UPS also is providing transportation services in Europe.
Willie A. Deese, executive vice-president and president, Merck Manufacturing Division, said: “This expanded agreement with UPS allows us to focus on our core business as a global healthcare leader that looks for innovative ways to bring our medicines and vaccines to patients in emerging markets and markets around the world.
“UPS has the proven logistics expertise to deliver Merck’s products with speed, consistency and care to our customers and patients.”
The UPS-Merck collaboration was launched in 2003, solely concentrating on package transportation and delivery services in the US.
“The UPS-Merck collaboration brings together the expertise of two companies that are globally strong, customer-focused and committed to driving positive change in the healthcare supply chain,” said Kurt Kuehn, UPS chief financial officer. “UPS is investing deeply to align the broad range of capabilities that we’ve developed to meet the very unique needs of this industry.”
UPS confirmed that it will develop a distribution centre in Brazil to support the Merck operation, ensuring enhanced levels of speed and service in the country. Across North America, UPS is managing warehousing operations for Merck products that require strict temperature environmental controls, including vaccines and specialty products.
The financial details of the agreement were not revealed, with Merck adding it will also continue to work with other transportation firms across the world.
