July 13, 2024
Pharmaceutical Excipients Market

Global Pharmaceutical Excipients Market Is Estimated To Witness High Growth Owing To Rising Demand for Drug Formulation

The global Pharmaceutical Excipients Market is estimated to be valued at US$ 8.6 Bn in 2022 and is expected to exhibit a CAGR of 5.9% over the forecast period 2022-2027, as highlighted in a new report published by Coherent Market Insights.

A) Market Overview:

Pharmaceutical excipients are inactive substances that are added along with the active pharmaceutical ingredient (API) in a drug formulation to give it the desired characteristics such as taste, color, stability, and appearance. These excipients play a crucial role in drug formulation and are essential for the delivery of safe and effective pharmaceutical products. The growing demand for drug formulation is driving the market for pharmaceutical excipients, as they enhance drug performance and patient acceptability.

B) Market Key Trends:

One key trend in the pharmaceutical excipients market is the increasing use of novel excipients to improve drug formulation. Pharmaceutical researchers and manufacturers are constantly seeking excipients that can enhance the bioavailability, solubility, and stability of drugs. For example, the use of co-solvents and surfactants as excipients has gained traction in the market, as they can improve the solubility of poorly soluble drugs. These novel excipients are expected to revolutionize drug formulation and offer new opportunities for pharmaceutical excipient manufacturers.

C) Porter’s Analysis:

The threat of new entrants:

The pharmaceutical excipients market is highly competitive, with a few major players dominating the market. The high capital investments required to set up manufacturing facilities and obtain regulatory approvals act as barriers to entry for new players.

Bargaining power of buyers:

The pharmaceutical industry is highly regulated, and drug manufacturers have limited options when it comes to choosing excipients. This limits the bargaining power of buyers and gives an advantage to excipient manufacturers.

Bargaining power of suppliers:

The bargaining power of suppliers is moderate in the pharmaceutical excipients market. Suppliers of raw materials such as starch, cellulose, and gelatin can influence product pricing and availability.

The threat of new substitutes:

There is a low threat of substitutes in the pharmaceutical excipients market. Excipients are essential for drug formulation, and there are limited alternatives available.

Competitive rivalry:

The pharmaceutical excipients market is fragmented, with several key players operating globally. These players compete on the basis of product quality, price, and customer service. The market is highly competitive, and companies are investing in research and development to introduce innovative excipients.

D) Key Takeaways:

– The global pharmaceutical excipients market is expected to witness high growth, exhibiting a CAGR of 5.9% over the forecast period. This growth can be attributed to the increasing demand for drug formulation and the need for excipients to enhance drug performance.

– North America is expected to dominate the pharmaceutical excipients market, owing to the presence of key pharmaceutical manufacturers and advanced healthcare infrastructure. Asia Pacific is anticipated to be the fastest-growing region, driven by increasing investments in the pharmaceutical industry and rising healthcare expenditure.

– Key players operating in the global pharmaceutical excipients market include MEGGLE Excipients & Technology, Innophos Holdings Inc., Lubrizol Corporation, Roquette Group, Ashland Inc., Croda International PLC, Evonik Industries AG, FMC Corporation, DOW Chemical Company, and BASF SE. These players are focusing on strategic collaborations, product launches, and acquisitions to expand their market presence.

In conclusion, the global pharmaceutical excipients market is poised to experience significant growth in the coming years. The increasing demand for drug formulation and the introduction of novel excipients will drive market growth. However, the market is highly competitive, and players need to invest in research and development to stay ahead in the market.