Europe can’t compete on price alone. Caught between reshoring pressures, sustainability demands and harsh economic realities, immediate action is required. Speaking to us ahead of CDMO Live, Elisabeth Stampa, Vice President of Medicines for Europe warns that with 7 out of 10 medicines dispensed in Europe being generics, "this is an industry we must protect." Critical challenges: - Unsustainable pricing: Essential cancer treatments priced at merely 8 cents per tablet, forcing manufacturers to abandon markets - Crippling compliance costs: New environmental regulations decimating already minimal profit margins - New wastewater regulations set to extract €1B per EU Member State by 2027 - Prohibitive penalty risks: Supply failure penalties exceeding €1M deterring companies from participating in tenders "The penalties if you fail to supply in a tender are so high that companies refuse to participate," Stampa reveals. "That few months of penalty could cost much more than the profit of four years of supply." Strategic imperatives requiring immediate implementation: -Adopt 'Most Economically Advantageous Tender' (MEAT) criteria to balance affordability with supply chain resilience - Implement the EU's Critical Medicines List with meaningful economic incentives - Recognise European manufacturing as a strategic asset, not merely a cost centre "We're not talking about doubling prices," Stampa emphasises, "We're saying 10-20% would cover inflation and regulatory costs while keeping treatments affordable." ▶️ Listen to the full interview https://lnkd.in/evZ3Mm4K 𝐂𝐃𝐌𝐎 𝐋𝐢𝐯𝐞 - 𝐓𝐡𝐞 𝐅𝐮𝐭𝐮𝐫𝐞 𝐨𝐟 𝐂𝐨𝐧𝐭𝐫𝐚𝐜𝐭 𝐌𝐚𝐧𝐮𝐟𝐚𝐜𝐭𝐮𝐫𝐢𝐧𝐠 Join Elisabeth Stampa at #CDMOLive May 7-8th, Rotterdam, where the smartest minds in outsourcing will come together to learn, share best practices and connect with 50+ CDMOs.
