Pharma and BioTech Production in Denmark 

Denmark is home to a large talent pool – and excels in growing new talents

The Danish life science cluster employs more than 49.000 workers in the industry. Furthermore, medical and health science is the highest priority research area by far, accounting for more than one third of all public research investments, ensuring access to highly qualified employees. 

Strategic geographical location with prime supply chains

According to IMD, Denmark has the World’s best distribution infrastructure with Greater Copenhagen being Northern Europe’s hub for pharma logistics and supply chain. As 90 pct. of the Danish pharmaceutical production is being exported, and approximately 20 pct. of Denmark’s total exports are pharmaceuticals, Copenhagen Airport is the Pharma Logistics Hub and holds several Cool Chain Logistics providers. 

Risk and Resilience 

When planning and investing with a long-time horizon a country's risk and resilience profile is an important factor. Denmark scores high and ranks 1st on the 2021 FM ‘Global Resilience Index’.

Denmark provides a low risk production environment such as highly reliable energy supply, minimal exposure to climate changes, low probability of natural disasters as well as strong focus on cyber security. These are all elements that mitigate risks that could otherwise result in delays, breaches in supply chains or even cause factory shut-downs.   

A greener and more sustainable Life Sciences Industry

The Danish Life Sciences industry is a perfect example that ’going green’ goes hand in hand with growth. Since 1990, the pharmaceutical industry has grown by 1200 percent while the industry has reduced its CO2 emissions by 55 percent and today has a very small CO2 footprint. Danish pharmaceutical companies Novo Nordisk and Lundbeck are both represented on the top list of climate conscious companies, CDP’s annual A List, which names the world's most pioneering companies leading on environmental transparency and performance. 

Productivity

The pharmaceutical industry is one of Denmark’s most productive sectors. According to Statistics Denmark, in the period 2008-2017 the industry had an average annual productivity growth of 2.1 pct., measured as growth in production output per hour, while in the same period the pharmaceutical industry had an average annual productivity growth of 2.4 pct.

Also, a study published in 2021 by the Ministry of Industry, Business and Financial Affairs shows that in 2008 the life science companies created value for approximately DKK 40 billion. In 2018, that figure had risen to almost DKK 92 billion, which means that thy more than doubled value during the period 2008-2018. The life science industry has experienced an average annual growth rate in value added of 9 percent, which is more than three times as high as the figure for the private business sectors, which is 2.5 pct. The growth rate can mainly be attributed to the large pharmaceutical companies.  

Politically favorably climate for life sciences 

The various Danish governments have taken active steps to boost the life sciences industry by building further on the strong national healthcare system and world-class environment for business and science. Most recently, in April 2021, the government presented a new growth plan for the Life Sciences industry focused on strengthening the framework conditions for the industry even more. 

Production in Denmark

• A proactive approach to advanced automation manufacturing places Denmark at the forefront of Industry 4.0.
• A digital production in Denmark enables transparent and resilient supply chains, which mitigate the risks of delays, breaches in the supply chains or even factory shut-downs.
• Energy supply is green, highly reliable and at the same it is Europe’s lowest electricity price for non-household use.
• Denmark is best in Europe when it comes dealing with construction permits, according to the World Bank.