FDA warns of cargo theft risk

FDA warns of cargo theft risk
   The Food and Drug Administration last Wednesday strongly urged pharmaceutical companies, wholesalers, retailers and transportation providers to tighten security following a string of cargo thefts during the past year, capped by the heist of $76 million worth of drugs from an Eli Lilly warehouse in March.
   Among the products targeted by criminals are vaccines, prescription and over-the-counter medicines, medical devices and infant formula. FDA officials are concerned that stolen products may be resold in the marketplace and cause patients to have adverse reactions because the drugs went bad from improper storage and handling.
   'Your members need to be one step ahead of thieves in securing their warehouses and product transport,' Michael A. Chappell, acting assistant commissioner for regulatory affairs, said in a letter to industry trade associations.
   He said companies engaged in selling and distributing medicine and infant formula 'have a fundamental responsibility to continuously review their' supply chain security plans and make sure their customers and transportation providers also have strong storage and in-transit security practices in place.
   Companies that are victimized by theft are asked to immediately contact the FDA's Office of Criminal Investigations and local law enforcement, as well as issue a prompt notice to the public to be aware of products sold at unusually low prices or from a person outside normal distribution channels.
   Chappell said public health concerns sometimes dictate that drugs from the same production lot be recalled to eliminate confusion between legitimate and illegitimate products, even though it may result in significant additional cost to the drug maker.
   'We recognize the impact that such a withdrawal may have on consumers, the supply chain, and a firm’s business operations, and the agency is ready to work closely with firms to determine the appropriate steps to consider in order to protect the public. Depending on the circumstances, a prompt and effective response to a theft will reduce the need for such a market withdrawal,' he said.
   The FDA is adding cargo theft to its list of high-priority prevention efforts, which include securing the pharmaceutical supply chain from counterfeit, diverted, unapproved and otherwise misbranded or adulterated products. The agency is collaborating with the drug and infant formula makers to identify best practices and issue guidance for how to prevent and respond to cargo thefts from trucks and warehouses, according to the letter.
   American Shipper's May cover story, 'Ripped off,' details how companies are dealing with the increase in cargo theft. The pharmaceutical industry's reaction is explored in a 'Bitter pill,' May Web-only content. ' Eric Kulisch
Upcoming FreightWaves Events
Compliance

Brokerage Compliance Symposium

The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.

October 26, 2026
The Signal at Chattanooga Choo Choo • Chattanooga, TN
Register Now
Awards

F3 Awards Dinner

The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.

October 26, 2026
The Signal at Chattanooga Choo Choo • Chattanooga, TN
Register Now
FreightTech

F3: Future of Freight Festival

Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.

October 27, 2026 – October 28, 2026
The Signal at Chattanooga Choo Choo • Chattanooga, TN
Register Now
Compliance Brokerage Compliance Symposium Oct 26 • The Signal at Chattanooga Choo Choo • Chattanooga, TN

The day before F3. Every compliance issue you face - fraud exposure, carrier liability, FMCSA rules, cargo theft, insurance gaps - navigated by attorneys and operators defining best practices in a changing industry.

The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now
Awards F3 Awards Dinner Oct 26 • The Signal at Chattanooga Choo Choo • Chattanooga, TN

The night before F3. FreightTech100 companies honored. FreightTech 25 and Shipper of Choice winners revealed live. Cocktail reception into dinner and live music - 300 industry leaders in one purpose-built room.

The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now
FreightTech F3: Future of Freight Festival Oct 27 – Oct 28 • The Signal at Chattanooga Choo Choo • Chattanooga, TN

Industry-defining keynotes, rapid-fire technology demos, and industry leaders networking in experiences across Chattanooga - plus the inaugural F3 Awards Dinner featuring the FreightTech and Shipper of Choice reveals.

The Signal at Chattanooga Choo Choo • Chattanooga, TN Register Now