Earthquake in Japan compromises supply chain

Business Monitor International anticipates "minimal impact" on Japan's pharmaceutical market following the 8.9-magnitude earthquake and tsunami.  Drug production facilities are expected to resume operations, given only minor reports of damage.

However, distribution channels "will be compromised" because of extensive damage to transportation infrastructure. That damage will also affect employee commutes. Power outages pose another risk.

Takeda Pharmaceutical, with plants in Tokyo, Osaka and Hikari, reports no apparent facility damage but is still checking on ops personnel, according to Dow Jones. Eisai reports some Tokyo-area facility damage and a positive outlook for employees. But it's still trying to account for about 50 people in branch offices close to the quake's epicenter.

Daiichi Sankyo says its employees are safe; the same is true of New Jersey-based big pharma Merck, with sites in Tokyo, Shiga and Menuma. Some of its sites had been evacuated last week and are expected to resume operations this week.

- see the Business Monitor article (reg req)
- get the Dow Jones story