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Sanofi’s new logistics hub reflects growth in UAE healthcare

The 2,740 square-feet logistics and distribution center in Dubai Logistics District will serve as the company's new logistics headquarters in the region.

Hub to facilitate delivery of over 22 million packs of medicines for various types of diseases annually New hub will serve six countries in the region and see company’s storage capacity expand 68 percent Inauguration of new logistics hub coincides with Sanofi marking more than 30 years of operations in UAE

Global biopharmaceutical company Sanofi inaugurated its first logistics hub in the region at the Dubai Logistics District on Wednesday.

The 2,740 square-meters logistics and distribution center, which will serve as the company's new logistics headquarters in the region, can facilitate the delivery of more than 22 million packs of medicines per year.

"An efficient supply chain is fundamental to ensuring access to quality treatment for many. This is an important priority for the UAE, and we applaud Sanofi for its efforts and contribution towards the continued achievement of this goal in the country," said Dr. Amin Hussain Al Amiri, Assistant Undersecretary for Public Health Policy and Licensing, UAE Ministry of Health and Prevention.

Moving to this new facility has enabled Sanofi to increase its storage capacity in the region by 68 percent.  The medicines distributed from Dubai will aid patients in six countries, including the UAE, Kuwait, Bahrain, Jordan, and Iraq.

"This distribution hub is key and critical for the presence of Sanofi in the region. In the UAE, we will be able to serve our clients and our patients much faster to make sure that they have the product and the treatment that they need on time," said Jean-Paul Scheuer, Country Chair and General Manager of Sanofi Gulf, in conversation with AMEinfo.

 

From left, Jean-Paul Scheuer, GM of Sanofi Gulf; Dr. Amin Al Amiri, Assistant Undersecretary for Public Health Policy and Licensing, UAE Ministry of Health and Prevention; and Raja Rabia, Consul General of France in Dubai

 

Growth potential in healthcare

There are close to 17 pharmaceutical manufacturing plants in the UAE, with close to 34 expected in the next five years.

The total healthcare expenditure in the UAE is expected to grow to about AED 71 billion dollars, which is a significant 7.9 percent rise compared to the previous year. The UAE Healthcare Sector Outlook 2020, a study conducted by the RNCOS consultancy, projects the healthcare market in the UAE to grow at a 7 percent compound annual rate between 2015 and 2020.

Healthcare expenditure is expected to soar to $104.6 billion by 2022, according to the GCC healthcare industry report released by Alpen Capital. This is primarily driven by an increase is lifestyle-related non-communicable diseases (NCDs), higher treatment costs, coupled with access to health insurance, Alpen Capital states.

"The Middle East is a very interesting region. There is a prevalence of some diseases, particularly cardiovascular diseases, diabetes, and other non-communicable diseases. We are here as a pharmaceutical company to partner with the health authorities to fight against NCDs and to make the lives of people in the region better and longer. This is really part of the DNA of the 500 people working in Sanofi in the region," Jean-Paul Scheuer said in a conversation with AMEinfo.