Opportunities for British manufacturers in a post-Brexit world

The world of outsourcing in the pharma and health technology sector is at a crossroads. Supply chain specialist and Lime Associates Client Director, James Cooper, outlines how things are changing, and takes a look at why outsourcing to UK manufacturers is starting to look more and more appealing.

Trading conditions have been tough. Under investment, ageing plants, the strength of sterling and the inability to compete with overseas manufacturers on price have seen inevitable plant closures and job losses. Those who haven’t faced up to the challenges have either folded or have seen manufacturing relocated to other sites in different countries.

The result of the decline in UK manufacturing is that, currently, when businesses in the pharma and health technology sector look to outsource, the vast majority turn to Europe, America and the Far East, driven by a desire to maximise cost savings. We’re now at a turning point, and with big political changes in Europe now under way, the industry has the opportunity to become a real centre for manufacturing and outsourcing once again.

The changing face of UK manufacturing

In 15 years spent as a buyer, I’ve visited hundreds of pharma manufacturing facilities around the world, ranging massively in terms of quality, age, facilities and conditions. Up until recently, one of my recurring observations has been the relative age of manufacturing facilities in the UK, especially when compared with those in mainland Europe. Invariably, this has had a big knock on impact on their ability to compete in the marketplace.

During the past few years, this seems to have changed. We’re seeing huge improvements in the quality and capability UK manufacturing facilities, with firms making real efforts to drive efficiency through investment in personnel, technology and facilities.