The ongoing conflicts between Ukraine and Russia, as well as Israel and Palestine, have sent ripples across various industries, including pharma. Medical science liaisons can help.
The global nature of the pharmaceutical supply chain means that disruptions in one region can have far-reaching effects on drug development, medicine availability, pricing and industry operations. With the ongoing wars in Ukraine and Gaza, we are seeing this play out once again.
Understanding the impacts of these societal conflicts underscores the importance of well-trained pharmaceutical professionals, including medical science liaisons (MSLs) and pharmaceutical sales representatives, who play a vital role in ensuring patient access to critical therapies amid geopolitical challenges. As the founder and CEO of the Accreditation Council for Medical Affairs (ACMA), which trains and certifies MSLs, I have a closeup view of the challenges brought on by the current conflicts and how these professionals are helping pharmaceutical companies cope with them.
Drug Development and Supply Chain Disruptions
The pharmaceutical industry relies on global collaboration for research and clinical trials. Ukraine, for instance, has been a hub for clinical trials due to its large patient pool, skilled investigators and lower costs compared to Western Europe and the U.S. Since the Russia-Ukraine war began, hundreds of clinical trials have been disrupted or delayed as researchers and patients have been forced to relocate and infrastructure has been damaged.
Similarly, the Israel-Palestine conflict has impacted clinical research activities in the region. Israel is home to a thriving biotech and pharmaceutical sector, with many international companies partnering with Israeli firms. A 2023 analysis by Global Data indicated that the country’s prolonged instability affects laboratory operations, regulatory processes and investor confidence, all of which can slow drug development and the introduction of new therapies.
In addition to these effects on research, pharmaceutical supply chains are highly dependent on international logistics, manufacturing hubs and raw material sourcing. The Ukraine-Russia war has disrupted the supply of key ingredients, as both countries are major producers of raw materials, including active pharmaceutical ingredients (APIs) and essential chemicals. Trade restrictions and the destruction of infrastructure have led to shortages of critical medicines, particularly generics and oncology drugs.
Similarly, the Israel-Palestine conflict has exacerbated medicine shortages in affected areas. Blockades and security restrictions limit the transportation of essential drugs, medical devices and hospital supplies, impacting healthcare delivery. Patients suffering from chronic illnesses, such as diabetes and cancer, are particularly vulnerable.
MSLs can play an important role in alleviating these disruptions. Their scientific expertise and industry relationships can help sponsors identify new investigators and clinical trial sites in less affected regions. With potential drug supply shortages, MSLs can educate physicians on alternative therapeutic options and adjusted dosing strategies when standard treatments may not be available. MSLs can also help identify any potential adverse events related to treatment modifications or drug shortages that crop up in a real world setting and provide this information to stakeholders such as physicians and regulatory bodies.
Rising Drug Prices and Economic Pressures
Conflicts often lead to inflationary pressures, increased production costs and supply chain bottlenecks, all of which contribute to rising drug prices. The Ukraine-Russia war has led to higher energy prices, affecting pharmaceutical manufacturing costs globally. In Europe, which relies heavily on energy imports, generic drug manufacturers in 2022 sounded the alarm about a rise in energy costs of 50%–160%. Increased operational costs for pharmaceutical plants translate into higher drug prices for patients and healthcare systems.
The Israel-Palestine conflict, while not as directly impactful on global pricing, contributes to regional instability that affects investor confidence and market predictability. Insurance and security costs for pharmaceutical shipments increase, adding to the overall expense of drug distribution in volatile areas.
For pharmaceutical sales professionals, these economic shifts require a deeper understanding of market dynamics. MSLs and sales reps must be equipped with strong negotiation skills, knowledge of pricing strategies and the ability to communicate the value of pharmaceutical innovations to buyers amid rising costs. Their expertise becomes even more critical as healthcare systems seek cost-effective treatment alternatives and reimbursement solutions.
Broader Effects
Beyond specific challenges in drug development, supply and pricing, these wars reshape the pharmaceutical industry’s operational strategies. Many pharmaceutical companies are re-evaluating their regional investments, shifting clinical trial locations and seeking alternative sourcing strategies to mitigate risks. Additionally, companies are facing regulatory challenges as governments impose sanctions, restrict trade and prioritize local production of essential medicines.
Pharmaceutical firms must also navigate the ethical dimensions of operating in conflict zones. Decisions regarding whether to continue supplying medicines to sanctioned countries, balancing humanitarian needs with business interests and ensuring compliance with international laws add layers of complexity to industry operations.
The role of MSLs and pharmaceutical sales reps becomes even more crucial in this landscape. These professionals play a key role in ensuring that healthcare providers continue to have access to reliable drug information, even in times of crisis. Moreover, their ability to maintain strong relationships with healthcare providers, communicate scientific value and navigate regulatory changes ensures that essential medications reach patients despite the industry’s evolving challenges.
The Ukraine-Russia war and the Israel-Palestine conflict serve as stark reminders of how geopolitical instability can disrupt the pharmaceutical industry in profound ways. From hindering drug development and creating medicine shortages that drive up prices to reshaping industry strategies, these conflicts present complex challenges that require adaptable and well-trained professionals. By ensuring high standards for pharmaceutical sales reps and MSLs, the industry can better navigate these disruptions, ultimately safeguarding patient access to critical treatments in times of uncertainty.
