The global pharmaceutical contract packaging market size is projected to surpass around US$ 47.5 billion by the end of 2027 from estimated at US$ 27.9 billion in 2019.
The global pharmaceutical contract packaging market is predicted to register a compound annual growth rate (CAGR) of around 6.8% during forecast period 2020 to 2027.
Pharmaceutical packaging of drugs is a vital facet as the product requires being harmless for patient. Requirement of specialty of packaging has boost up an alternate industry that is contract manufacturing that is being now emerging progressively. Major pharma companies are now subcontracting the task of packaging of end product to those companies who are accomplished and dedicated in handling packaging of medicines. Growth in number of elderly populations, stringent norms on packaging by governing agencies and rising public interest for modernized packaging are certain of the influences which will boost growth of pharmaceutical contract packaging market across the world.
Growth in the pharmaceutical sector will drive the need for the pharmaceutical packaging in the marketplace. There is upsurge in the requirement for the drug delivery devices and blister packaging which is also predictable to augment the growth of the market. Intensifying health consciousness and swelling burden on the pharma firms for reduction of the cost is additional reason which is anticipated to further accelerate the growth of the market. Budding over the counter market will also fuel the market growth. Increasing demand for better healthcare facilities will also accelerate the market growth.
Producing tailored and innovative packaging has uncertainties, henceforth, R&D spending in invention is challenging, which is inspiring pharmaceutical producers to elect for contract packaging services that have capable know-how and mandatory infrastructure. The growing production of low-priced generic medicines of branded drugs at the time of patent expiration is projected to bolster the demand for pharmaceutical contract packaging worldwide.
Among different type of packaging, in 2019, primary packaging segment reported for the major revenue share of more than 40% and predicted to perceive substantial growth during years to come. The primary packaging further classified into vials, bottles, blister packs, ampoules and others. This type of packaging estimated to govern the global pharmaceutical contract packaging market during coming years owed to the cumulative outsourcing of primary packaging activities because of the deficiency of in-house competences and capacities.
Pharmaceutical contract packaging involves different types of packaging material such as paper & paperboard, plastics &polymers, aluminum foil and other. Out of these segments, glass segment held the considerable revenue share of more than 35% in 2019. This growth is attributed to mid sized and small pharmaceutical companies who do not possess glass wrapping abilities. Further, low-priced service offered by the Development and Manufacturing Organizations (CDMOs)and Contract Packaging Organizations (CPOs) for pharmaceutical glass wrapping are likely to spur the market. Plastics and polymers segment is predicted to eyewitness momentous growth rate over the prediction period due to the rising demand for the plastic packaging sector in pharmaceuticals for the delivery and storage of medicines.
The requirement for plastic bottles is escalating from the pharmaceutical sector. This is on account of advantage of plastic bottles for avoiding the requirement for tertiary packaging and safeguards the safety of pharmaceutical product through the supply chain. Ophthalmic, syrups, and nasal medicines are frequently packed in plastic bottles.
North America accounted largest revenue stake of the global pharmaceutical contract packaging market in 2019, and offers plentiful growth prospects to market vendors throughout the assessment period. The mounting value of the U.S. pharmaceutical exports, the snowballing healthcare expenditure, and the intensifying elderly population are some of the noteworthy influences that will support growth of pharmaceutical contract packaging market in this region during upcoming years.
Robust R&D and the existence of vital global participants in pharmaceutical drugs manufacturing in North America is reinforcing contract pharmaceutical packaging outlook in the region. Followed by North America, APEJ is supposed to be the significant market for contract pharmaceutical packaging on account of booming pharmaceuticals industry in countries including China and India.
Key Companies & Market Share Insights
Global pharmaceutical contract packaging market is fragmented with recognized players and small market participants. The well-known companies have been contending in terms of cutting-edge packaging techniques. The small companies are contending in terms of pricing. Furthermore, the large CPOs and CDMOs are incessantly acquiring small contract service providers to seal any breaches in the value chain or enlarge their present portfolios.
As smaller service provider has client bases that encompass of small and mid-sized pharmaceutical firms, it permits larger CDMOs and CPOs to well contend with small service providers. Therefore, upholding the risk of new entrants at a modest level for bigger CPOs and CDMOs.
Noteworthy players functioning in the pharmaceutical contract packaging market include:
Segments Covered in the Report
This research report includes complete assessment of the market with the help of extensive qualitative and quantitative insights, and projections regarding the market. This report offers breakdown of market into prospective and niche sectors. Further, this research study calculates market revenue and its growth trend at global, regional, and country from 2016 to 2027. This report includes market segmentation and its revenue estimation by classifying it on the basis of material, product and region as follows:
By Regional Outlook
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