Pharmaceutical packaging market to value over $144bn by 2027
New research suggests the use of innovative and development of eco-friendly packaging, as well as the COVID-19 pandemic will all drive growth in the pharmaceutical packaging market.
New research indicates that the pharmaceutical packaging market will be worth $144.23 billion by 2027, achieving a compound annual growth rate (CAGR) of 6.1 percent between 2020 and 2027. The market was valued at $88.87 billion in 2019.
The pharmaceutical packaging market report by Allied Market Research, states that the growth will be driven by increasing R&D and use of innovative packaging, as well as advanced manufacturing processes to develop sustainable and eco-friendly packaging solutions and a surge in serialised tracking and tracing of drugs.
However, stringent government regulations and standards, alongside the price volatility of raw materials will hinder the market growth.
According to the report, advancement in the biotechnology sectors, increase in use of smart packaging for patient engagement and identifications and the rise in patient-oriented medicines, including biologics, are all expected to open lucrative opportunities for the market players in the coming years.
The research reveals that in 2019, plastic bottle packaging held the largest share of the global pharmaceutical packaging market, accounting for over a fifth of the sector. This was due to wide use of plastic bottles for packaging liquid dosages such as syrups, nasal, and ophthalmic medications. When combined, plastics and polymers contributed more than a third of the global market in 2019. However, the glass segment is estimated to register the highest CAGR (8.5 percent) during the forecast period, due to rise in demand for glass containers with the increased prevalence of chronic diseases such as COVID-19.
By application, the parenteral containers segment is expected to demonstrate the highest CAGR during the forecast period (7.6 percent), owing to shift of companies toward prefilled and ready-to-use containers.
North America was the dominant geography in 2019, cornering >40 percent of the market. The report attributes this to high purchasing power and a rise in adoption rate of smart and advanced packages. However, the Asia-Pacific sector is expected to achieve the highest CAGR (7.9 percent) during the forecast period, owing to growth in purchasing power in countries such as Japan, China, and India and an increase in awareness of environmental issues.
According to the report, the key market players were Amcor Ltd, Aptar Group Inc., Catalent Inc., CCL Industries Inc., Becton, Dickinson and Company, Gerresheimer AG, West Pharmaceutical Services Inc., Nipro Corporation, Berry Global Group Inc., SCHOTT Pharmaceutical Packaging.
The report also highlighted how the COVID-19 pandemic effected the pharmaceutical packaging market, according to the authors, the pandemic and resulting lockdowns resulted in transportation restrictions, lack of workforce and shortage in raw materials. However, the report states that vaccine approvals mean there will be a surge in demand for primary packaging that can cater for the various routes of administration, such as oral, inhaled, transdermal and injectable. The majority will be injectable, therefore require glass vials.