Billions of dollars are invested every year into the discovery and development of new medicines, but it usually takes 10-15 years for a drug or vaccine to evolve from inception to release. Manufacturers invest a tremendous amount of capital long before seeing any return, which means pharmaceutical companies must allocate a high per centage of the budget to R&D. The fail rate for clinical trials is 92 per cent, and drug companies spend an average of US$2.6 billion developing a single drug.

When a pharmaceutical company invests in Research & Development (R&D), it screens 5,000-10,000 chemical or biological compounds to find one that exhibits potential for treating new or existing conditions, according to the 2018 Pharmaceutical Packaging and Processing White Paper, produced by PMMI, the Association for Packaging and Processing Technologies. There is also risk associated with investing in R&D for a drug if it fails or does not meet regulatory approval.

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