Andor Nagy, deputy CEO for logistics and technology at Hungaropharma Zrt., explains why the industry’s future leaders will need to deliver efficiency, pharmaceutical safety and continuity of supply — and how the company is preparing to meet those demands.

What infrastructure trends are shaping pharmaceutical logistics internationally?

Andor Nagy: The growing adoption of automation, artificial intelligence and data-driven operations is a defining trend. Automated warehouses, inventory management systems based on machine-generated forecasts and robotics are playing an increasingly important role. The objective, however, is not technology for its own sake, but improvements in quality, accuracy and supply security.

What capabilities does a successful pharmaceutical logistics company need today?

AN: Pharmaceutical logistics is an extremely cost- and resource-intensive business, with fuel, energy and personnel accounting for the largest expenses. Success requires high volumes, a good location, adequate refrigerated storage capacity, extensive automation and rigorous quality assurance.

Compliance with good manufacturing practice and good distribution practice requirements, along with the use of validated systems, is essential. Beyond that, greater use of robotics will become a significant competitive advantage.

What are the minimum requirements for entering pharmaceutical logistics?

AN: Even the entry requirements are demanding. Companies need controlled storage conditions and cold chain capabilities throughout the supply chain, supported by traceability and quality assurance.

In this market, compliance is a basic requirement rather than a competitive advantage. Scale, automation and service quality are what set companies apart.

What makes Hungaropharma competitive?

AN: Within the regulatory framework, there is room to develop competitive services and optimize operations. Hungaropharma has its own IT development and operations capabilities, SAP expertise, a nationwide logistics network and high-capacity automated systems.

We use solutions that have already proved themselves in large-scale operations. We cover the entire supply chain, and our investments have made our capabilities competitive internationally.

What does Hungaropharma’s logistics platform encompass?

AN: It is an integrated service model that brings warehousing, distribution, IT solutions and quality assurance together in a single system.

Its flagship is BLK3, our fully automated high-bay warehouse at the Budapest Logistics Center, which has room-temperature storage capacity for 17,000 pallets. Our total storage capacity in Budapest is 22,000 pallets. The platform also includes case and individual item picking, as well as small-parcel and e-commerce logistics, with same-day delivery available.

Our 3PL+ service builds on this foundation, offering comprehensive pharmaceutical logistics and quality assurance support alongside warehousing. This also enables us to help international manufacturers and distributors enter the Hungarian market without having a local representative office.

The system’s scale and degree of automation provide the supply security needed to handle even an exceptional surge in capacity requirements. Put simply, even a COVID crisis twice the size — unwelcome as that would be — would not overwhelm us.

This article was first published in Pharma Industry Review 2026 / 2.