The 150,000 sq ft facility is due to open in the first quarter of 2009 and will provide storage for perishable pharma and biotech products prior to their delivery overseas.
UPS’ investment in Puerto Rico will be welcomed by those trying to promote the island’s pharma and biotech industries, which had been hit by quality issues and companies closing facilities.
The large proportion of pharma facilities on the island that are set up for solid dose manufacturing has made it vulnerable to the shifting trends within the industry.
Recognising this Puerto Rico began attempting to attract biotechs through incentives and cooperation between the government with the island’s life science companies and academics.
Given the cold-chain needs of biotech companies UPS presence on the island could be indicative of Puerto Rico’s initiative succeeding and should also help attract more businesses to the island.
Jorge Castillo, UPS Puerto Rico country manager, said: "Puerto Rico is among the leading markets for pharmaceutical and biotech product research and production worldwide.
"Our new facility will strengthen our distribution network and enrich customers' opportunities for growth by providing greater global market access and lower cost-sourcing through the UPS network."
The facility is to be built in San Juan, with UPS claiming it will help clients introduce new products, meet time-critical commitments and reduce costs. In addition, by using the technology platform installed at its facilities in the US and Canada UPS believes the site will be smoothly integrated into its global operations.